Accepting the OKW extension – legal documents required?

[LauraLea]

Those of you that accepted the extension, what (other than the $) did DVC require from you? Were all members listed on the deed required to sign a legal document?

Here is the nightmare some dear friends of mine are having over this OKW extension.

About 10 years ago, 3 single sisters visited WDW. When they returned to their home in Europe they decided to buy DVC (OKW) and their only option from there was resale. A 150 point resale contract was purchased, but unfortunately not set up with rights of survivorship.

After the contract was purchased, one sister married. Sadly, several years later this sister passes away. The surviving spouse was not on good terms with the family; the surviving sisters actually fear the man and have (nor want) any contact with him. They have no clue where he is now.

The 2 sisters have contently been using their contract with no issues, until this extension comes along. I met up with them this month at WDW. They wanted to take care of the paperwork while there and asked if I would go to the preview center with them to help with any language difficulties. (Really no need, they both speak fluent English). I suggested they bring their sister’s death certificate along.

Initially their new guide (a rather pushy salesperson they are not comfortable with) takes the death certificate and their papers to decline and tells them she will send it all to the legal department in Celebration, have the deceased sister’s name taken off the deed, then they could sign the paperwork and everything would be fine. This was a surprise, because DVC had told them many years ago they would need the other sister’s spouse to waive his rights to the points to have the name removed.

This is when everything started to get ugly. Several days later when they called back to talk to the guide, they found out she was working a cruise. They were told to come back to the preview center and someone would talk to them.

This time someone from legal spoke with them and explained to them the issue of the contract not set up with survivorship and they would need to get documents from the deceased sister’s spouse to change the deed. This is the first time they hear of the possibility of their points being locked. The 2 sisters were allowed to sign the declination paperwork, but when they pressed DVC for answers what would happen if they cannot find (or refuse to find) the spouse, it was only “hinted” at the possibility of the points being locked. DVC would not commit to what would actually happen. DVC gave them the name of a probate lawyer in Orlando and told them to contact him.

Their vacation was coming to a close, and now they had this dark cloud hanging over them. They make a lot of phone calls, even to the lawyer DVC recommended. Actually this lawyer was very good. He recommended they use someone in their country to do the search for the spouse, as the cost for him to do it would be much greater. The sisters really do not want to search for him. Even if they find him, most likely he will refuse to help them in anyway. The lawyer also said Disney was treading new waters here and it would really surprise him if their points ending up being locked since the 2 of them did sign the papers. The only reason he would see it necessary to change the deed was if they ever wanted to sell the contract. This reassured them somewhat and they were beginning to believe they would still be able to use their points in the future.

They return home and within the first 2 hours home they get a call from their guide. This is really unbelievable, but this is what they were told, you have 2 options:
1. Accept the extension. In a few years file a petition in the US courts stating they could not find the spouse and since he never showed interest in the points the name could be taken off the deed.
2. Decline the extension. Your points will become locked.

According to this guide, no signatures are needed to accept the extension, only to decline. They emailed the lawyer they talked to in Orlando, and he said according to petition this was not true.

Needless to say the 2 sisters are at a lost as to what to do. They are in their 50s and really do not want the extension as they have no heirs that have any interest in using it when they can no longer travel to WDW. At this point they are ready to pay for the extension, but need a commitment from DVC that the points will not be locked if they purchase the extension without their sister’s signature.

Thanks for sticking with this story to the end. The sisters requested that I put this here to get an idea what other OKW owners have experienced concerning the extension and to provide them any suggestions on what they should do. They do enjoy reading the DIS boards for all the great info here and are looking forward to any helpful comments.

Laura

 

[dianeschlicht]

Holy cow! I do uncerstand the need for the signature though, since this is a legal document turning over the extended years to DVC. It seems to me they should be able to contact a Florida attorney who can advise them further.

 

[CarolA]

The sisters need to contact the attorney they worked with in Orlando and have HIM work with Disney legal.
Then they need to call MS and request a NEW guide. If they have problems with the one they have and don't feel like he is being helpful boot him!

Unfortunately under FL law they are going to have to sign stuff either way. And legally this spouse they don't like MAY be entitled to 1/3 of this asset. For that they need to contact an attorney in thier home country. Without knowing the laws in thier country who knows. They need legal expertise there too. It may be that thier attorney in their home can come up with some legal documents stating he can't be found, refuses to cooperate or something.

Under FL law you must "Decline" the extension. I have the documents here and all three sisters would have to sign.


If they just "ignore" this it's not going away and can result in the loss of thier ownership.

 

[LauraLea]

Under FL law you must "Decline" the extension. I have the documents here and all three sisters would have to sign.


If they just "ignore" this it's not going away and can result in the loss of thier ownership.

But if the "Accept" do all 3 sisters have to sign?

Laura

 

[Laxmom]

One thought would be to find that spouse, because it appears they don't have an option, and pay him for that 1/3 ownership and have him sign whatever is neccessary to get the deceased sister off the deed. He may be willing to cooperate if there is money owed him. Have them check if this is an option with the attorney in Florida.

 

[CarolA]

But if the "Accept" do all 3 sisters have to sign?

Laura

I haven't seen the accept doucments in person, but generally under real estate law as I understand it, all owners must sign or have power of attorney to sign for someone eles for a change. (I know we had to dig up all kinds of junke here when we had a change in my HOA and my next door neighbor had died and left the unit to his parents.. Dad is in a nursing home and doesn't have a clue who he is... It was a nightmare!)


However, ANY advice you are getting on here is worth what you are paying for it. I really think they need legal advice and a new guide!