This is a new modal scam which is reaching new heights of disgust in Europe (including Spain), whereby UK consumers are excited into entering a “no win no fee” arrangements with purported legal firms. These firms insist that they need the consumers “power of attorney” to commence the proceeding against others so as to exit consumers from timeshare contracts.
This “power of attorney” has far reaching implication and permits the purported legal firm to act on behalf of the consumers in respect to all matter in the litigation.
In the event that the legal action is lost the consumer will be legally liable to pay the adverse cost order which could result in many thousands of pounds which the consumer will have to pay.
What the consumer is not beening told is that potential liability exists in all litigation.
The potential risks of litigation and adverse costs liability is always assessed by UK Solicitors however in other countries that duty of care may not be in existence.
So the now consumers representative issue the action and when sufficient costs have been “racked up” your-“power of attorney” (appointed legal representative) withdraw from the a case receives “a kick back” and you the consumer are liable for those adverse cost orders from your opponents (many of thousands) and your still not out of your timeshare.
TCA Advice:-
If you are cold called be suspicious as they got you details from people you don’t know! Check out the company and their promises and protect yourself from adverse cost orders. Finally if you decide to use the firm (who offer you the exit package), protract the exit offer via a UK solicitor who is registered by the UK Law Society (as you will be protected)
For more information regarding this article or assistance in any other timeshare related issues please contact the TCA on 01908 881058 or email: info@TimeshareConsumerAssociation.org.uk