You’ve fallen for a timeshare agreement and now you’re locked in — before you think about selling time shares to get out of the deal, you may be in luck: taking advantage of the hardship clause is one of the best ways to get out of a contract.
What is the hardship clause?
The hardship clause is made when you’re in troubling economic straits. Hardship clauses are usually categorized as a type of early termination clause. It occurs when the owner cannot make the payments outlined in the initial legal agreement. Timeshares are often purchased by people in good financial standing, but if you begin to bounce payments or lower the property value of the timeshare, the hardship clause can be put into effect. The timeshare company doesn’t want to lose business, so it will be willing to negotiate with a buyer who cannot afford the property.
What does it do for me?
Hardships can occur at any time, be it familial loss, job loss, an environmental disaster: any of these can happen at any time, putting you at risk for not holding up your end of the deal. Timeshares don’t want to take back their property, but they might be willing to negotiate with you once your hardship puts them at risk of property value reduction.
This hardship clause can result in a few different outcomes: selling, transferring, or donating. All of these put you in a vulnerable position, as associated fees — like transfer fees and maintenance fees — can be costly, putting you in an even worse predicament. On top of that, many timeshare companies don’t acknowledge a transfer of ownership.
What if I can’t get out of my timeshare?
If you’ve exhausted your other options, including trying to sell it on craigslist, looking for people to take it over, and trying to cancel it on your own, definitely consider calling reputable timeshare attorneys to discuss all your options. Nearly 85% of people in timeshare contracts regret purchasing their property, specifically because of the financial hardship that may result from their contract. Whether you are looking to sell your timeshare or just get out of a timeshare contract, contacting attorneys for free legal advice may help you in your time of need.