Searching over 5,500,000 cases.


searching
Buy This Entire Record For $7.95

Download the entire decision to receive the complete text, official citation,
docket number, dissents and concurrences, and footnotes for this case.

Learn more about what you receive with purchase of this case.

Embree v. Wyndham Worldwide Corp.

United States District Court, M.D. Florida, Orlando Division

February 12, 2018

TOMMY J. EMBREE, Plaintiff,
v.
WYNDHAM WORLDWIDE CORPORATION WYNDHAM VACATION RESORTS, INC., WYNDHAM VACATION OWNERSHIP, INC FAIRSHARE VACATION OWNERS ASSOCIATION, RCI LLC, TERRI DOST, PETER HERNANDEZ and ROB HEBELER, Defendants.

          ORDER

          PAUL G. BYRON JUDGE

         This cause comes before the Court without oral argument on the following:

1. Defendant, Wyndham Worldwide Corporation's Motion to Dismiss Amended Complaint (Doc. 77), filed April 18, 2017;
2. Motion to Dismiss Amended Complaint by Defendants Wyndham Vacation Resorts, Inc., Fairshare Vacation Owners Association, RCI, LLC, Wyndham Vacation Ownership, Inc., Terri Dost, Peter Hernandez, and Rob Hebeler (Doc. 78), filed April 18, 2017;
3. Plaintiff's Consolidated Omnibus Response in Opposition to Defendants' Motion to Dismiss (Doc. 84), filed May 18, 2017;
4. Defendants' Reply in Support of Motion to Dismiss (Doc. 88), filed June 9, 2017; and
5. Plaintiff's Sur-Reply to Defendants' Motions to Dismiss (Doc. 99), filed July 5, 2017.

         The parties have completed their briefing and the Court is otherwise fully advised on the premises. Upon consideration, the Amended Complaint is due to be dismissed without prejudice as a shotgun pleading.

         I. BACKGROUND[1]

         A. Introduction

         Wyndham operates a global conglomerate of hotels and timeshares. This putative class action involves claims for violations of the Arkansas Trust Code arising out of Wyndham's timeshare business, and impugns Wyndham's timeshare business as rife with self-dealing and profiteering. Plaintiff brings suit against multiple distinct entities in the Wyndham family, in addition to three individuals.[2] When a consumer purchases a timeshare ownership interest from Wyndham, “WVR and [Worldwide] require the consumer to place the entire timeshare interest into a trust created by and fully managed by WVR, ” the FairShare Vacation Plan Use Management Trust (“Trust”). Plaintiff generally alleges that Defendants engaged in self-dealing, ignored conflicts of interests, and otherwise used their position of trust to enrich themselves at the expense of the putative class. Specifically, the Amended Complaint presses six Counts: (1) violations of the Arkansas Trust Code against all Defendants; (2) breach of fiduciary duty against FVOA, WVR, and the Individual Defendants; (3) negligence against FVOA, WVR, and the Individual Defendants; (4) breach of implied duty of good faith and fair dealing against FVOA and WVR; (5) unjust enrichment against Worldwide, WVR, WVO, and RCI; and (6) civil conspiracy against Worldwide, WVR, WVO, RCI, and the Individual Defendants.

         The Trust consists of all property interests and use rights purchased by timeshare consumers. It is governed by a document called the “FairShare Vacation Plan Use Management Trust Agreement” (the “Trust Agreement”). FairShare (the “Trustee”) is an Arkansas corporation owned and controlled by Worldwide and WVR. The Individual Defendants are officers and directors of FairShare. Plaintiff alleges that the Individual Defendants control the Trust vis-à-vis their positions at FairShare “at the direction and control of Worldwide and WVR.” The beneficiaries of the Trust include individual timeshare owners and WVR.

         On March 12, 2012, Plaintiff, Tommy J. Embree, and her late husband purchased a timeshare interest from WVR for $149, 206. The purchase was paid through a trade-in of timeshare points, a credit card down payment, and a loan from WVR. On June 2, 2013, after being convinced to upgrade, the Embrees purchased a new timeshare interest from WVR for $224, 555. This purchase was paid through a trade-in of existing timeshare points, a credit card payment, and a loan from WVR. In connection with the upgrade, WVR extended the Embrees a $116, 485.12 loan with a 10-year repayment term and 11.49% interest rate. WVR required the Embrees to assign their entire timeshare interest to “Club Wyndham Plus”, resulting in the timeshare interest being subject to the Trust.

         B. Claim-Supporting ...


Buy This Entire Record For $7.95

Download the entire decision to receive the complete text, official citation,
docket number, dissents and concurrences, and footnotes for this case.

Learn more about what you receive with purchase of this case.