Impact SGM 23th June 2017

The Spanish Act 42/1998 created timeshare rights called “rotational enjoyment rights” for a period of up to 50 years. The Supreme Court decided that this is true for all contracts after the law came into force so Anfi had to comply with this even the law can be read the other way. At the SGM’s (Special General Meetings) of Beach, Puerto and Monte more than 80 % of certificates of voters (not certificates of all members) voted not to change the timeshare regime but to establish occupancy periods of maximum 50 years duration, with an option to extend for further reoccurring occupancy periods of 50 years to be manifested in new constitutions.

The question is if with this the claim wave of illegal contracts with unlimited maturity is stopped or not, a legal question to be decided by court soon.

Some argue constitutions are part of the contract and with the updated constitutions claims are not possible any more. Other say that the contract is between two parties, Anfi and the member, and cannot be changed by a new constitution with majority voting of only 80 % of voters, not members, and that as a consequence the contract can only be changed by the two parties involved.