No immediate relief for timeshare owners in consumer watchdog report
Recommended changes to the laws will take a long time to finalise, so consumers remain at the mercy of the industry in terms of cancellation of existing contracts
A long-awaited report on the inquiry into the timeshare industry has recommended that all timeshare contracts, including the purchase of points and membership application agreements, be defined as fixed-term contracts in terms of the Consumer Protection Act. The National Consumer Commission report recommended that the rights set out in the act for consumers regarding the cancellation of fixed-term contracts also automatically apply. However, these recommended changes to the legislative regime will take a long time to finalise and in the meantime consumers will be at the mercy of the industry in terms of the cancellation of their existing contracts. Any legislation would also not be retrospective, and it would therefore depend on the willingness of industry to change its practices with regard to existing contracts.
There is widespread frustration and anger on the part of timeshare owners about “in perpetuity” contracts, which provide owners with no means to extricate themselves...
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Subscribe now to unlock this article.
Support BusinessLIVE’s award-winning journalism for R129 per month (digital access only).
There’s never been a more important time to support independent journalism in SA. Our subscription packages now offer an ad-free experience for readers.
Cancel anytime.
Questions? Email helpdesk@businesslive.co.za or call 0860 52 52 00. Got a subscription voucher? Redeem it now.