Sure.
FL Statute 721.552(1)(b) states, "Any person who is authorized by the timeshare instrument to make additions to the multisite timeshare plan pursuant to this subsection shall act as a fiduciary in such capacity in the best interests of the purchasers of the plan as a whole and shall adhere to the demand balancing standard set forth in s.
721.56(6) in connection with such additions. Additions that are otherwise permitted may be made only so long as a one-to-one use right to use night requirement ratio is maintained at all times."
FL Statute 721.56(6) states, "Prior to offering the multisite timeshare plan, the developer shall create the reservation system and shall establish rules and regulations for its operation. In establishing these rules and regulations, the developer shall take into account the location and anticipated relative use demand of each component site that he or she intends to offer as a part of the plan and shall use his or her best efforts, in good faith and based upon all reasonably available evidence under the circumstances, to further the best interests of the purchasers of the plan as a whole with respect to their opportunity to use and enjoy the accommodations and facilities of the plan. The rules and regulations shall also provide for periodic adjustment or amendment of the reservation system by the managing entity from time to time in order to respond to actual purchaser use patterns and changes in purchaser use demand for the accommodations and facilities existing at that time within the plan. The person authorized to make additions and substitutions during the term of the multisite timeshare plan shall also comply with the requirements of this subsection in ascertaining the desirability of the proposed addition, substitution, adjustment, or amendment and the impact of same upon the demand for and availability of existing plan accommodations and facilities."
The BVTC Disclosure doesn't specify anything about adding resorts that I could find. My Multi-Site POS (says rev. 12/13/18 - but it includes the Riviera restriction) section 6.a. Basis for Additions, paragraph 2 states, “In making a decision to associate additional DVC Resorts, BVTC shall use its best efforts, in good faith and based upon all reasonably available evidence under the circumstances, to further the best interests of the Club Members taken as a whole with respect to Club Members’ opportunity to use and enjoy all of the Vacation Homes and related facilities made available through the DVC Reservation Component. In this regard, BVTC may consider such factors as size, capacity, furnishings, maintenance impact, location (including geographic, topographic, and scenic considerations), recreational capabilities, demand, and availability for Club Member use and enjoyment” (p. 28 of my booklet). My BCV DVC Resort Agreement says something similar in section 6.2.b (what
@crvetter posted above).
I do see where it says BVTC could make any changes and they could adversely affect a member's rights - BVTC Disclosure section 7.5 Amendment. I took it to mean that a change could adversely affect some members but overall would need to be in the best interest of owners as a whole (sort of like what
@Sandisw was saying in a previous post). Or maybe since they have previously reserved this right, they can make any changes regardless? It's one of the questions I have for DVC.
I was speaking to someone in the legal department I believe, but the CM made clear she was an introductory level CM and did not have all the specific details or the reasoning that the higher ups did when making the restrictions. I could see how she could have been just trying to placate me. She wasn't able to answer my specific questions about the restrictions benefiting members or balancing demand, but I didn't have the time to wait to speak to the next level department/person yet.
Interesting, thanks for sharing the CCV sections! My BCV Resort Agreement does specifically say "same terms and conditions," in addition to the "substantially similar" clause. Here are the same sections from the BCV DVC Resort Agreement:
section 5.1 "All reservations made by Club Members among the DVC Resorts using the DVC Reservation Component shall be made in accordance with the Disclosure Document as promulgated and/or amended from time to time by BVTC. BVTC reserves the right to amend the Disclosure Document in its sole, absolute and unfettered discretion and as it determines necessary or desirable in order to operate and manage the services and benefits made available through BVTC; provided, however, that the Disclosure Document will only be amended as permitted under Applicable Law."
section 6.1 "In the event BVTC associates one or more additional resorts as DVC Resorts, the DVC Resort Agreement executed to effect such association shall be substantially similar to this Agreement in all material respects under the circumstances pertaining to each such additional DVC Resort."
section 6.2.b is the same - it continues, "In this regard, BVTC will consider such factors as size, capacity, furnishings, maintenance impact, location (including geographic, topographic, and scenic considerations), recreational capabilities, and demand and availability for Club Member use and enjoyment."
section 6.2.c "In the event other resorts are associated as DVC Resorts, the addition of the DVC Resort will result in new Club Members who will have the opportunity to make reservations for the use of Vacation Homes and related facilities through the DVC Reservation Component under the same terms and conditions as existing Club Members, including the Club Members at Disney’s Beach Club Villas, and may also result in an increase in the Annual Dues assessed against each Ownership Interest. If other DVC resorts are associated, demand for use may vary among the various DVC Resorts and the level of Club Member demand for a particular DVC Resort may increase over the level of use demand that existed at the time of purchase by a particular Club Member such that the ability of a Club Member to reserve use at a high demand DVC Resort at a particular time may be impacted. However, new Club Members’ reservation requests will also be subject to the Home Resort Priority Period for each DVC Resort, and in no event shall the addition of a DVC Resort result in a greater than “one-to-one purchaser to accommodation ratio,” as that term is defined in Section 721.05(23), Florida Statutes. In addition, the inclusion of new resorts as DVC Resorts will afford existing Club Members with more DVC Resort Vacation Homes and location reservation opportunities and options.”
section 6.2.d is the same, but the last sentence continues, "as permitted under Applicable Law."
Now the Riviera DVC Resort Agreement takes out the section 6.1 substantially similar clause, so the 6.2 sections become Riviera's 6.1.
6.1.c is where Riviera's states "different terms" and "different rights": "If other resorts are associated as DVC Resorts, the addition of the DVC Resort will result in the addition of new Club Members who will have the opportunity to make reservations for the use of Vacation Homes and related facilities through the DVC Reservation Component along with existing Club Members, including the Club Members at Riviera Resort, and may also result in an increase in the Annual Dues assessed against each Ownership Interest; provided, however, that BVTC may determine to add a DVC Resort under different terms and conditions and provide different rights of access by Club Members from such other DVC Resort to existing DVC Resorts or by Club Members at existing DVC Resorts to the added DVC Resort as it determines in its discretion. If other DVC Resorts are associated, demand for use may vary among the various DVC Resorts and the level of Club Member demand for the use of a particular DVC Resort may increase over the level of use demand that existed at the time of purchase by a particular Club Member such that the ability of a Club Member to reserve use at a high demand DVC Resort at a particular time may be impacted. However, new Club Members’ reservation requests will also be subject to the Home Resort Priority Period for each DVC Resort, and in no event shall the addition of a DVC Resort result in non-compliance with the One-to-One Use Right To Use Night Requirement Ratio standard. In addition, the inclusion of new resorts as DVC Resorts will afford existing Club Members with more DVC Resort Vacation Homes and location reservation opportunities and options.”
I agree with you that it probably comes down to which document takes precedence, but since the BVTC Disclosure does not specify about adding new resorts, I assumed it would defer to the DVC Resort Agreements - also since 6.2.d says to "enforce the provisions of this Agreement" and applicable law.
I also agree that "in all material respects" is a key phrase. I know that my BCV POS says that any changes with regard to previously disclosed rights or that only affect prospective purchasers are considered "non-material changes" (BCV POS Text 7.a). I think this is how DVD/BVTC were able to add in the restrictions. But I have questions about the implications of this and want to ask DVC for clarification.
I know, and this was one of my comments as well! Although the Membership Extras disclosure (the other resale restrictions) is on the member website, this Riviera booking restriction info is not. I found all this in the Component Site POS and Multi-Site POS booklets I received mailed from DVC. I found Riviera's Declaration on the FL OCC Public Records website - that has Riviera's Membership Agreement and DVC Resort Agreement, but not the BVTC Disclosure.
*Sorry to derail this thread a bit! I've been meaning to start my own thread but was hoping to get more answers from DVC first.
