Festiva a network of vacation and timeshare companies has been ordered to pay back $3 million dollars for violations of federal telemarketing laws, and sales breaches under Tennessee Consumer Protection Act.
Festiva has also had to agree to tighter guidelines prohibiting unfair, deceptive or misleading acts or practises in connection with their face to face sales and telemarketing of the vacation or timeshare products.
Consumers who have purchased vacation or timeshare products from Festiva companies, including Festiva Adventure Club and Etourandtravel, will be eligible to have their Festiva contracts cancelled and receive partial refunds of the money they have paid to date. In addition, some consumers who financed their Festiva purchases will be eligible to have the entire balance of their Festiva loans repaid.
This settlement resolves allegations that Festiva operated a telemarketing and direct mail enterprise that used fraudulent and deceptive tactics to lure potential consumers into attending high-pressure sales presentations designed to sell them expensive vacation memberships and products. According to complaints received, consumers were misled into believing they had won or been selected for a valuable prize, but to claim the prize, had to comply with many undisclosed requirements including a lengthy, high-pressure sales presentation.
Once consumers purchased their vacation or timeshare products, they learned the vacations were different from what was promised at the sales presentation or during the telemarketing call. And on closer inspection it was found that the products were difficult to use under the terms of usage and desired vacation locations were extremely difficult to book due to unavailability.
Consumers deemed eligible for refunds will be notified within the month any consumer who believes they may also be eligible to share in the Festiva settlement are encouraged to contact the Tennesse Attorney General’s Office before April 30, 2016.
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