DVC Contract Problem

[MrsDisneyFanatic]

So I put in an offer through fidelity resales and passed ROFR. However, my joy was short lived. A few days later Sharon told me that the sellers changed the state of the contract. They used about 50 of the 2012 points. I asked what my options were. I didn't really like any of the options besides getting out of the deal. I was pretty PO'ed that after all that the sellers went and used up the points they were selling us. So I emailed Sharon and told her what we wanted to do. That was a week ago. Still no response. Still not deposit credited back to my credit card. Has anyone else had a similar problem? When should I expect to receive my deposit back? Thanks.

 

[kenspidey]

That pretty much sucks... Did they offer to pay the going rate for the points used??

 

[lovin'fl]

So I put in an offer through fidelity resales and passed ROFR. However, my joy was short lived. A few days later Sharon told me that the sellers changed the state of the contract. They used about 50 of the 2012 points. I asked what my options were. I didn't really like any of the options besides getting out of the deal. I was pretty PO'ed that after all that the sellers went and used up the points they were selling us. So I emailed Sharon and told her what we wanted to do. That was a week ago. Still no response. Still not deposit credited back to my credit card. Has anyone else had a similar problem? When should I expect to receive my deposit back? Thanks.

Wow...sorry...that's crazy. I had an issue with Fidelity as well, but luckily didn't get as far as yours did. I made an offer (on 88 HH points), offer was accepted and contracts were signed and sent to Disney for ROFR (and our deposit was made and cleared). Then after only 8 days into ROFR, we got an e-mail that the contract was cancelled (I have reason to suspect that they also used their points to book a vacation). Fidelity told me that they would have closing company refund my deposit ASAP...after 5 days of no refund, I sent an e-mail inquiring when and how I should expect to receive it. They replied the next day and said it went in the mail the day before. I got it 3 days after that....so 9 days from cancel of contract. Sorry...I know it's a bummer. I hope you find something else...something better. I found a great 100 point AKV contract and we just passed ROFR yesterday. I got this one through another broker (not Fidelity) and it's going very smoothly. And I won't be paying the $195 broker fee.

 

[WMorganS]

If the OP doesn't get the deposit back within a reasonable time, will he be due interest? It is in an "escrow" account, right? Does anyone know how that works, legally?

 

[Illini Al]

OP, sorry to hear of your issue. You don't sound as upset as I would be, though.
Good luck!!

 

[MrsDisneyFanatic]

Oh I was plenty pissed, but I've had time to cool off. I'm a strong believer in that things happen for a reason. I also thought it was very sketchy that Rachel was my agent through the majority of the process, then randomly Sharon tells me Rachel is no longer with the company. Way to keep the clients in the loop lol. I think we are going to go with another broker.

 

[MickeyFan612]

I also had a contract fall through at Fidelity! After I had passed ROFR and sent in my final payment I was notified a week or so later that the seller owed too much on the 140 point AKV property and that she did not have the additional funds to take to closing. I was working with Rachel at the time and decided to take a full refund and let it go. I admit I am curious as to what my legal rights were? I received a check for full reimbursement within a week and I did not get any interest!

 

[Poolrat]

Oh I was plenty pissed, but I've had time to cool off. I'm a strong believer in that things happen for a reason. I also thought it was very sketchy that Rachel was my agent through the majority of the process, then randomly Sharon tells me Rachel is no longer with the company. Way to keep the clients in the loop lol. I think we are going to go with another broker.

I have 3 contracts all bought from Fidelity ....before the fee Rachel was the first agent but Sharon was always close by. The second one I called Rachel and she started it but sharon stepped in during the middle but the rest of teh coorespondence was Rachel.( vacation maybe) Last time I called Rachel, ( why dont know just had her extension I guess)
no response so I called Sharon and had an answer immediately and she finished it.

I have been very lucky. Total of 4 contract inquiries and 3 I now own all passed ROFR, never a problem.

 

[Dean]

So I put in an offer through fidelity resales and passed ROFR. However, my joy was short lived. A few days later Sharon told me that the sellers changed the state of the contract. They used about 50 of the 2012 points. I asked what my options were. I didn't really like any of the options besides getting out of the deal. I was pretty PO'ed that after all that the sellers went and used up the points they were selling us. So I emailed Sharon and told her what we wanted to do. That was a week ago. Still no response. Still not deposit credited back to my credit card. Has anyone else had a similar problem? When should I expect to receive my deposit back? Thanks.

If they were willing to proceed with a financial adjustment appropriate for renting the points, I'd proceed. Maybe $10 per point if you are paying dues on those points. This is one of the issues I've tried to point out in the past, title insurance doesn't cover you on this in most situations. You could have closed and not found out until later.

 

[JimMIA]

If you notified Fidelity in writing of your intent to cancel, you should receive a prompt refund of any monies you had paid in.

If you do NOT, don't play with Fidelity. From the responses you've received so far, it should be obvious to you that they are sloppy on their best day.

Contact the Florida Department of Business and Professional Regulation (myflorida.com and search for them). They regulate licensed real estate brokerages (Fidelity is one, and all their agents are also individually licensed by DBPR).

File a complaint with DBPR against both Fidelity and the agent you dealt with. You should not have any difficulty getting every penny refunded.

 

[Minnies Dad]

I would think if the terms of the contract are not being honored by the seller you should be able to get out with a refund of your deposit. You should put it specifically in writing though - in clear terms terms relative to the signed contract and what you are now requesting.

Sorry, good luck.

 

[Dean]

I would think if the terms of the contract are not being honored by the seller you should be able to get out with a refund of your deposit. You should put it specifically in writing though - in clear terms terms relative to the signed contract and what you are now requesting.

Sorry, good luck.

It would depend on how the contract were written. If it spells out the points accounting, I would take your interpretation, if not and it just spells out the yearly points, then this would not be a violation of the contract. The former is likely the case. We've seen such reports a number of times before with resolutions that I recall being offered including a points transfer from the broker, cancellation and a cash adjustment. The injury for 50 points depends on their status and any dues the buyer is paying. If they were banked or borrowed points, later in the UY and the buyer is not paying any dues on them, the damages are very minimal, likely $100-200 depending on UY, OTOH, if they are current or future UY points the damage is roughly $500 and could be valued as high as $600 or slightly more.

I'm sure some will jump on the seller but it can be understandable that a seller would use points after the contract were listed but before a contract though this should not happen after it's under contract without disclosing it.

 

[MrsDisneyFanatic]

Update: I got an email that the deposit will be returned ASAP. Thanks, everyone!