What Disney can do with a contract

[MommaBerd]

If Disney takes a contract (a larger one) in the ROFR step, can they break the contract up into smaller contracts to sell direct? Or does the contract size stay in place once originally sold? Thanks!

 

[Ben E N]

They can break it up however they want. Must be same UY and unit, though.

 

[MommaBerd]

They can break it up however they want. Must be same UY and unit, though.

Thanks! That is good info to know.

 

[ScubaCat]

Correct, although UY is technically irrelevant since all the points in a particular unit are in one UY. Within a UY, DVD has a virtual bucket of points that they can sell in any configuration they want. All contracts they buy back (ROFR or foreclosure) go into the bucket to be resold any way they want.

 

[CarolMN]

Correct, although UY is technically irrelevant since all the points in a particular unit are in one UY. Within a UY, DVD has a virtual bucket of points that they can sell in any configuration they want. All contracts they buy back (ROFR or foreclosure) go into the bucket to be resold any way they want.

Except that (AFAIK), they do not mix points from different units in one contract.

 

[Ben E N]

Except that (AFAIK), they do not mix points from different units in one contract.

I believe that to be true as well. I think that's why some March UY contracts are ROFR'd at $120/pt while others pass at $108/pt. They are in different units and Disney is looking to add to one specific contract.

 

[ScubaCat]

Except that (AFAIK), they do not mix points from different units in one contract.

Yes exactly. (I meant to say "within a unit" and just wrote the wrong thing )

They tend to like to sell add-ons in the same unit a certain owner already owns in, probably so when they foreclose or exercise ROFR, the points all go back into the same bucket.