RCI Class Action Lawsuit, Murillo vs. R.C.I.

RCI weeks members should be aware of developments regarding a possible class action lawsuit that is currently undergoing the class certification discovery process. The lawsuit is related to an alleged practice through which RCI takes out a lot of the gold crown, and highly sought after properties to rent out to the general public for profit, or for use as a fringe benefit for RCI employees and special guests. This skimming of available weeks makes it difficult for RCI timeshare resort weeks members to bank weeks for exchange at other resorts, since the availability pool is severely limited by this activity.

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It is a well-known fact that RCI weeks members experience a great amount of difficulty when trying to find comparable exchanges within the RCI system. The plaintiffs in this law suit are asking for an injunctive relief through which RCI would be required to provide notice to Weeks Program members about RCI’s rental practices, as well as other relief, including reimbursement of the profits RCI has earned as a result of the alleged wrongful practices.

The class action suit was originally filed in May of 2006 so we can expect it to be quite some time before this case would go to trial. The current status of the case seems to be tied up with uncovering evidence to show that the lawsuit can hold its weight in the courtroom, and this could take quite some time – usually years. If you are a weeks member that wishes to be included if the lawsuit is heard in a court of law you do not need to do anything. All weeks members will receive relevant literature regarding the case by mail prior to the trial date, and at that time you will have the option to opt out of the case – which basically means you will not be held to any of the binding litigation that comes as a result of the trial.

This lawsuit should prove interesting, especially considering that RCI has financial interest in two companies that rent out timeshare weeks to the general public – Snap Travel and Leisure Link. I am not sure if they have controlling interest in SnapTravel and LeisureLink, but I look forward to hearing them try to talk themselves out of the accusations of selling highly sought after time share resort properties to non-members while RCI members are forced to trade their weeks for stays at resorts that can be considered mediocre at best.

UPDATE: RCI may be trying to settle this case out of court.  On July 8, 2008 a settlement conference was held in U.S. District Court in New Jersey, and another was held July 15, 2008 in Federal Court in Newark, NJ.  We are still waiting to see what the next steps are in the case, and if they did agree on terms for settlement.

This just makes me wonder – if RCI really believes they have done nothing wrong, and have nothing to hide, why wouldn’t they be requesting a trial date??

LATEST UPDATE: December 2008, it appears Murillo and RCI have reached a settlement. No word yet on whether or not this has been approved, but if approved, this settlement will allow RCI members to search prior to depositing a week. RCI will also be required to disclose trading power in all relevant situations (which, to me, would seem like any instance in which a trade is being processed). Please see the post – Murillo vs. RCI Settlement Conditions – for the verbose outline of the settlement agreement, and what you, as an RCI member, may be entitled to.

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171 Comments

  1. Is there a class action lawsuit with Highlands Resort in AZ? Our family was a victim of fraud purchasing a week at Verde Ridge. We had no idea at the time that RCI was a subsidary of Wyndham. We wanted better access to our Wyndham weeks and Highlands Resort staff said buying an RCI would give us greater access to Wyndham. It was a ruse!

  2. Does anyone know if there are any class action lawsuits against Capital Resorts Group? I would be very interested in jumping on the bandwagon.

  3. I am reaching out to lawyers for who ever would take this case TLC rci is a scam I have had them over 3 years and never late on payments but it seems that I can never book a trip nothing I do is there anything available always excuses never was able to talk to anyone on the phone till I stopped payment then I got everyone calling me no this is a scam dont buy

    1. I have exactly the same issue. And i need to find a lawyer that will take this case as well

  4. my christmas week in cancun,in 1995,turned in pesadilla,the people of the flight,gave papers,warning us,dont buy time sharing,but the mexicans bull,make us sign,every 2 years,1 week,thanks god,finally we are close to the end,because we have no problem with the language,so we could find resorts of dubious quality,but it was better than to loose the investment,people who are unable to speak or understand spanish,stay away for your own good,usually after november to april,impossible to find resorts in caribe,those are for people with packages,we found out too late

  5. Would appreciate getting on a class action lawsuit, purchased Grandview in 2008 paid 20K NEVER used our week, now getting threatening letters of claim of lien for the maintenance fees, originally were 400 per year NOW 803 biggest scam I ever heard of, told them to repo it like any other property and leave me alone, instead they send threatening letters. Is this happening to anyone else?

    1. Yes. I received similar letters. A lien is the first step to them foreclosing so it’s a good thing. Now they may, after the threats don’t work, offer you a deed in lieu of foreclosure. Simetimes they try to get a fee from you. My suggestion is to tell them you will do a deed in lieu FEE FREE or they can foreclose and that’s fee free. After all they get a timeshare they can resell for a profit.

      Remember, they are assuming you don’t wAnt your property taken away and they absolutely hate taking the thing back. They prefer to get multiple lifetimes of exorbant fees. So, just hang in there and your nightmare will be gone soon.

  6. Anyone else SCAMED by LGI legacy getaways INC Spring TX They don’t care who you are, they are out to scam anyone.
    We are looking for others to join with in a class action suit to get back the two timeshares and ten thousand dollars they conned us out of! There are many others that have been had by these thieves.

  7. I have TLC/ RCI membership…. vacation club ….. I need to speak with someone…. I would like to be in on this class action suit. Please contact me.

  8. How does someone become a member of a class action lawsuit against Silver Lakes in Kissimee, Florida?

  9. Hi, can you tell me if there is still a class action lawsuit open for RCI timeshare? We’ve had a horrible experience. Hopefully someone will be able to help or update us.

  10. Bought timeshare with dad, he passed away and when I started to start paying his monthly payment. I was told it’s too late and the man HUNG UP on me. Never to be heard from again and nor answered the phone. This was 2006

  11. I joined a timeshare with Club Solaris (Cancun) which included two weeks per year to be deposited with RCI. About two years ago I renewed the RCI membership not realizing my week would be converted to points. Noticed many extra fees to combine weeks. But stuck with it. I just deposited the May 2014 weeks in Sept and now am only getting 8 points per week. I got 13 points last October. How can the value change so drastically? My week has reduced to less. This forces me to use two weeks and pay the extra fee to combine the weeks. I cannot stay at a resort using 8 points. The average point value for each rental is 10. I went on RCI to see the point value for the 2015 weeks. Still 8 points. Lawsuit????? I have never enjoyed TRYING to plan a vacation through RCI. Tried to get out of the contract due to high pressure sales. TOO LATE. SCAM. DO NOT EVER DO IT.

    1. I would definitely like to ask u both more questions about this company? I thought they was a scam.please email me back.

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