Attorney General's News Release

March 10, 2008

Nixon seeks restitution for consumers from Branson seller of timeshares

Forsyth, Mo. — Attorney General Jay Nixon is seeking restitution for consumers from a southwest Missouri business that allegedly used deception, fraud and misrepresentation in the sale and advertisement of timeshare memberships, plans, property and resale brokerage services. Nixon filed a lawsuit in Taney County Circuit Court today against Branson Log Homes, which does business as Executive Timbers Resort and Golf Course, seeking injunctive relief and civil penalties, as well as the restitution.

Consumers who contacted Nixon’s office complained that Branson Log Homes:

• Failed to provide required notice to consumers of their right to cancel contracts, and failed to allow consumers to cancel those contracts within five days after they purchased the timeshare membership or property;
• Billed consumers for maintenance or upkeep fees on property they were trading in, after neglecting to inform consumers that they would be required to pay such fees;
• Didn’t reimburse consumers for maintenance fees after telling them those fees would be reimbursed;
• Promised that consumers who purchased a timeshare membership, plan or property from the defendant would receive specified benefits or other merchandise, such as membership in a travel club, but then didn’t make good on those promises; and
• Didn’t tell consumers that the defendant was more than $30,000 in debt to the travel club it counted on to provide travel club memberships to consumers.

“A number of consumers spent thousands of dollars and attempted to trade in their existing timeshares as part of an agreement to purchase a new timeshare from Branson Log Homes,” Nixon said. “Many were promised travel club memberships that were never delivered. Others are still paying out of their own pockets for maintenance on timeshares because the defendant omitted essential information about the timeshare trade process and implied that the consumer would no longer have to pay.”

Nixon’s investigation revealed that many consumers have lost between approximately $7,000 and $17,000 in dealing with Branson Log Homes, although some consumers may have lost more.

Today’s lawsuit is requesting that the court order the defendant to stop violating state consumer protection laws. In addition, Nixon is asking the court to order Branson Log Homes to pay restitution to all consumers who suffered a loss due to the defendant’s unlawful conduct, appropriate civil penalties and all costs associated with the investigation and prosecution of the case.

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Inquiries from consumers should be directed to consumer@ago.mo.gov or 1-800-392-8222 (from within Missouri) or 573-751-3321 (outside Missouri).

All media inquiries should be directed to Press Secretary John Fougere.

E-mail      Phone: 573-751-8844         Fax: 573-751-5818