DVC Change to Renting Rules?

[Acklander]

I agree with Carol.

My feelings aside on renting, if DVC wanted to slow down renting, (I don't think they ever will be able to stop it) they could very easily find "offenders" if they wanted to.

JMHO

And what would be the point of finding the "offenders"? The contract that Disney and the owner signed clearly states that renting is allowed. If Disney doesn't like it, they would have to offer to buy up all the contracts out there, and then reissue new contracts excluding the right to rent. Would you, as an owner, want your dues to cover the cost of buying up all the contracts for those who choose not to sign the new contract? The contract is legal and binding - they can't just decide to "change the rules" after the fact. They'd have quite the lawsuit on their hands. Even if Disney didn't want to go thru the expense of buying up all the old contracts and instead all the new ones from this day forward excluded the right to rent points. That would leave Disney at a serious disadvantage over other timeshare sales. It's a very competitive business. As it is they are charging a premium price for something you don't get to own, but have to give back after so many years. If you put too many rules/regulations that contradict what others timeshares are offering, they won't be in the vacation club business much longer. The bottom line is - it comes down to the bottom line.

 

[drakethib]

And what would be the point of finding the "offenders"? The contract that Disney and the owner signed clearly states that renting is allowed. If Disney doesn't like it, they would have to offer to buy up all the contracts out there, and then reissue new contracts excluding the right to rent. Would you, as an owner, want your dues to cover the cost of buying up all the contracts for those who choose not to sign the new contract? The contract is legal and binding - they can't just decide to "change the rules" after the fact. They'd have quite the lawsuit on their hands. Even if Disney didn't want to go thru the expense of buying up all the old contracts and instead all the new ones from this day forward excluded the right to rent points. That would leave Disney at a serious disadvantage over other timeshare sales. It's a very competitive business. As it is they are charging a premium price for something you don't get to own, but have to give back after so many years. If you put too many rules/regulations that contradict what others timeshares are offering, they won't be in the vacation club business much longer. The bottom line is - it comes down to the bottom line.

What the contract states and doesn't is for one of the legal eagles types to decipher as it is way over my head. I have heard arguments by both views who seem to have an extensive knowledge in the area and they all make sense so who knows.

With that being said, if Disney were to say no more renting period so sue us, I think the majority of DVC owners did not purchase to rent so I don't think there would be that much of an outcry (this is just a guesstimate on my part so I may be wrong).

Your statement of charging a premium price for something you don't own is something I have to disagree with. Everyone who buys DVC, knows that they do not own anything (if they don't, then shame on them for spending money without knowing what they are doing).At best DVC is a lease IMHO.

I think Disney has the advantage over other timeshares is because they have a product that many people want and obviously are willing to pay for. From what I hear, some of the DVC properties have held their value pretty well so I would be willing to bet that they will be in vacation club business a lot longer then some of the others out there.

But hey, all of this is my opinion just like yours, and you know what they say about opinions ......

 

[JimMIA]

As a beancounter, I'd suggest this isn't an accounting issue.

Perhaps if DVC had better computer systems, they could do these "audits" easily. From what I've seen as a user of the system though, I wonder if there is even a searchable data base! You'd think there has to be...

Their auditors use ACL and can do just about any imaginable query. Just because their public-access systems are clunky and outdated doesn't mean their internal systems are. They obviously capture all of our points usage, ressies, etc, because we can access those online. Those records are a much more fertile field to explore than going on an Internet wild goose chase.

I'm not saying you couldn't do what some have suggested. I'm just saying there are much better ways.

 

[JimMIA]

My feelings aside on renting, if DVC wanted to slow down renting, (I don't think they ever will be able to stop it) they could very easily find "offenders" if they wanted to.

They could, and would, find them easily and quickly...if it were important to DISNEY. The reason they don't really go after renters is NOT that renters are hard to identify. It is that Disney has no real interest in going after them.

 

[rinkwide]

...The reason they don't really go after renters is NOT that renters are hard to identify. It is that Disney has no real interest in going after them.

Oh, I think they're interested. If Disney had the right to legally outlaw renting I think they'd do it. As far as they're concerned, the potential profits in point expirations and decreased CRO competition outweigh the benefits of member flexibility and increased program exposure. Unfortunately for them, they've already sold those rights away for a tidy profit.

Plus, if they got rid of renting who would they blame their availability problems on?