Brexit looms and Thomas Cook collapses: impact on Spanish timeshare claims

Latest Blog update from Timeshare Advice Centre.

With Brexit approaching, we spoke to Adriana Stoyanova, one of the senior lawyers at Spanish law firm M1 Legal, to clarify what Brexit could mean for Spanish timeshare claims and cross-border litigation in Spain.

Power of Attorney for a timeshare claim in Spain

To start a claim against a timeshare resort in Spain, owners typically need to arrange a notarised Power of Attorney so a cross-border law firm can act on their behalf in the Spanish courts.

Adriana Stoyanova at M1 Legal explained:

Adriana Stoyanova

“The UK is a part of the Hague Convention Abolishing the Requirement of Legalisation for Foreign Public Documents (1961) since 1965. In the event that according to the purchase contract (mainly in the cases of a Spanish vendor company) we can initiate a claim in Spain, a Power of attorney will be required as usual, notarised either in the UK with apostille or in Spain, Brexit will not affect this aspect.”

Spanish court jurisdiction and timeshare litigation after Brexit

In many cases—particularly with larger timeshare groups such as Club La Costa and Diamond Resorts—once a lawsuit is filed in the Spanish courts, the resort may appeal on jurisdiction. This is often done to argue the claim should not be heard in Spain, in an attempt to have the case dismissed.

Stoyanova said: “This means that after Brexit, in the event that there is a jurisdictional issue the court will first check whether the jurisdictional clause is valid or not. In the event that we prove that the jurisdictional clause is not valid, the court has to apply Art. 22 fifteenth of the Spanish Organic Law of Judicial Power and the claim could be processed in Spain.”

Brexit: deal or no deal—does it affect your right to claim in Spain?

Many consumers are asking about the Brexit impact on their ability to bring a timeshare claim in Spain, particularly where the purchase was mis-sold.

Stoyanova stated:

“No matter the outcome of Brexit, it will NOT affect your rights to claim if you are a victim of a mis-sold timeshare.”

More recently, it was announced that Britain’s oldest travel company, Thomas Cook, went bust. While this has been widely reported, a lesser-known detail is that Thomas Cook was discreetly involved in timeshare from the mid-90s. Reports are still emerging on what led to the collapse, and at this stage we cannot comment on whether their timeshare division contributed to their downfall.

To seek further advice, you can call our friendly advice team on 0203 807 3388, or find out how much your potential claim may be worth by completing our “all-new” claims calculator.

For further information, or if you have any questions about your timeshare, please call our advice line on 0203 807 3388 or email pr@timeshareadvicecentre.co.uk.

Hand holding HM Government leaflet reading “Get ready for Brexit” with “Brexit 31 October” banner at the top
Brexit looms and Thomas Cook collapses: impact on Spanish timeshare claims

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