The scourge of timeshare scams is not limited to the United States. Many timeshare companies exist throughout the world—and in some cases the same companies plying their cruel trade here are also doing so overseas. This includes our neighbor to the south—Mexico—where companies do everything they can to get U.S. citizens to purchase interests in timeshare properties. This leaves many U.S. citizens wondering whether the consumer protection laws in their home states apply to timeshare purchases in Mexico.
The fact is that consumer protection laws are generally limited to the place where the purchased property (or the right to use that property) sits. So, no—your state’s consumer protections laws have no jurisdiction over a property purchased or a contract signed for property interest in Mexico. That goes even when a timeshare company that is a party to the contract operates out of—or is based out of—the United States, including companies like Wyndham, Vistana Signature Experiences, and Shell Vacation Club, all three of which are in fact headquartered in Florida!
It should perhaps come as no surprise that these parasitic companies will treat consumers with the lowest level of available protections, even knowing they could treat them better. (After all, they have a huge timeshare lobby that is always working to undermine the rights of consumers here in the United States—even as it uses propagandistic language to convince consumers that it is working in their best interests.)
United States citizens—and in fact anyone who is not a citizen of Mexico—are not permitted under Mexican law to own land within 50 kilometers of the coast. This means that most timeshares purchased by US citizens in Mexico, which tend to be in places like Cancun, Cozumel, Mazatlan, Puerto Vallarta—places with beaches and ocean views—are not property purchases. Instead, they are “right-to-use” contracts. This is the case with many timeshares in the US too, of course. And just like in the US, Mexican timeshares come along with exorbitant purchase prices and ever-increasing maintenance fees. It’s the modus operandi of timeshare companies.
The People’s Advocate is here to fight the good fight. We hold greedy timeshare companies’ toes to the fire. We are dedicated to doing battle with the timeshare lobby one case at a time—and the best way to do that is by helping individuals tricked and cajoled into timeshare contracts to get out of them. Contact us today for a free information session on how we can help you.