Am I Being a Stickler about Paperwork?

[Amy5000]

I need some perspective here.

I'm doing a small OKW add on. It's for $96 per pt and the pts are until 2057. The Purchase Agreement states:

Purchaser's total financial obligation includes the purchase price, Purchaser's closing costs, Orange County ad valorem property taxes, Reedy Creek Improvement District ad valorem property taxes, External Exchange Company use fees, Annual Dues, special assessments (if any) and all finance charges.

So, I've had a verbal acknowledgement from Q/A that I do not need to pay the $25/$15 special assessment in order to have my pts until 2057, but I've asked for it be either somewhere in the paperwork, or to at least get a written acknowledgement stating the same.

The only other section that I found that might deal with this in the purchase agreement also unclear to me:

DVD warrants that title to the Ownership Interest is free and clear of all encumbrances except restrictions, reservations, conditions, limitations and easements of record prior to closing or imposed by governmental authorities having jurisdiction or control over the subject property; and taxes and assessment for the year of closing and subsequent years, blah, blah, blah..

If I were dealing with a 3rd party purchaser I would expect the contract to state whether any special assessment with respect to the shares had or had not been satisfied, so it seems to make sense that I should expect the same in this case. That said, I actually suspect the risk is quite low that DVC will expect me to pay up or sign over the extra years after purchasing the pts from DVD. When I spoke to QA on Friday the lady said that she would get back to me, but I'm curious if you all think I'm being too much of a stickler.

 

[Chuck S]

The "special assessment" clause is in all contracts, and does not relate specifically to the 2057 extension. It is there in case the resort needs special care, as in rebuilding after a natural disaster if insurance doesn't cover the entire amount.

If your deed states that your interest expires in 2057, then your contract is already extended and will be exempt from the extension assessment.

 

[CarolAnnC]

I would say the price per point and the ending year are both clearly stated. Don't see any problems and I would be comfortable signing for that.

If you are not comfortable, though, you may want to retain an attorney to review the paperwork for you.

Good luck!

 

[Amy5000]

The "special assessment" clause is in all contracts, and does not relate specifically to the 2057 extension. It is there in case the resort needs special care, as in rebuilding after a natural disaster if insurance doesn't cover the entire amount.

If your deed states that your interest expires in 2057, then your contract is already extended and will be exempt from the extension assessment.

I understand that the special assessment clause is intended for future assessments, but it doesn't exempt out the current assessment. My deed has a 2057 expiration, but technically, everyone's points are now extended to 2057 (you just either need to pay the asssessment or sign over to Disney). I guess from the two posts above, it seems that even tho' the paperwork isn't completely clear you neither of you would be nervous b/c you have some faith in dealing with Disney.

CarolAnn: As for the attorney suggestion...consulting an attorney would cost more than paying the special assessment if I were so inclined. And I would be somewhat surprised if the atty had any useful information for me.

That said, it sounds like you all think I've moved into stickler mode....so I will take that into consideration when/if I hear back from QA.

 

[Chuck S]

... but technically, everyone's points are now extended to 2057 (you just either need to pay the asssessment or sign over to Disney).

True, but the individual contracts are not extended, but yours is already...thus I wouldn't worry.

That said, it sounds like you all think I've moved into stickler mode....so I will take that into consideration when/if I hear back from QA.

I think it is fine to clarify with Q & A, absolutely. But in this case, since your contract already has a 2057 end date, I think that speaks for itself. Please let us know if Q&A says anything different. remember for any contract to be valid there have to be a "meeting of the minds" of both parties involved, so clarification is a must. But given the 2057 end date of your contract that is my understanding regarding the extensin assessment, it certainly won't hurt to make sure through Q&A that it is their understanding as well.

 

[DVC92]

I'm doing a small OKW add on. It's for $96 per pt and the pts are until 2057.

Did you extend your original OKW contract? If so, what does that contract say? Also, in your add-on, is there extension language which will allow them to further extend, not that such language is necessary?

 

[rsinj]

.

 

[DVC92]

If you are interested, I could scan/post (less identifying information of course) the acknowledgement sheet later today/tonight.

Please do. That would be of interest to everyone.

 

[rsinj]

.

 

[DVC92]

Well, this site does not allow posting attachments, and it won't let you post a URL.

Do they provide private messages/email or anything of the sort? If you send me a private message or email I'll give you the link where I posted it.

Yes they do. Just click on the member's name (DVC92) and a pull-down menu will appear with a link to private messages.

 

[rsinj]

.