CASE obtains court order against timeshare company for unfair practices

Singapore's consumer watchdog has obtained a temporary court injunction against Concord Developments, a business and management consultancy services company.

The Consumers Association of Singapore (CASE) said on Wednesday that with the injunction, Concord Developments cannot carry out certain practices deemed unfair under the Consumer Protection (Fair Trading) Act.

The watchdog said that as of October 10, 2011, 44 consumers had filed complaints against the company.

CASE said the company had allegedly used undue pressure or influence on consumers, as well as misled consumers.

Some consumers reported that they were invited to attend meetings at Concord Developments' office to dispose of their timeshare memberships.

During the meetings, they were reportedly told that they could be sued for their liability on the timeshare membership or that the liability on the membership could be passed on to their children or grandchildren.

CASE said the consumers signed agreements but later realised that these agreements do not dispose of their timeshare memberships conclusively.

It said consumers also complained that they signed subscription agreements thinking they were agreements for property purchase, or realised that the payments were made to another company instead of to Concord Developments.

The court also ordered Concord not to make false claims and/or representations to existing timeshare owners which could mislead them into thinking that they would be released from all liabilities under their existing timeshare agreements.

The order applies until the trial, in which CASE intends to apply for a permanent injunction on similar terms.

This is the fifth injunction application CASE has taken out since 2004.

CASE had invited Concord Developments to sign a voluntary compliance agreement but Concord had declined to sign it.

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