Pertinenet excerpts from MGL 183a and 183b

As we do our research, we read the governing documents and try to figure out who's who and who can do what legally. While the language is more for the lawyers to fully understand, a reading of the Trusts, Mass Laws and all is helpful for all of us to get the gist of the relationships, duties and obligations each player has, in this complex thing called the Time Share.

The first following parts are Definitions for terms in Mass General Law 183b. Understanding these words can help you decipher what is really being said in the documents. The second should give us pause as to who runs the resort.

183a and 183b can be found at : http://www.mass.gov/legis/laws/mgl/mgllink.htm
Just fill in the number in the chapter number box. Then you can read the sections.

You may remember last year Cliff Hagberg told us that Festiva was "affiliated" with Sandcastle. It has been written by Festiva that "we have no control over day-to-day operations...". And that "Like any other owner, Festiva Resorts pays
maintenance fees and assessments for the units owned at the Sandcastle"

No control? Really? Let us see the Sept 08 contracts.

And we would like proof that Festiva is paying MF's and SA's. As unit owners we have the right to inspect the books. So far we have been denied access.
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PART II. REAL AND PERSONAL PROPERTY AND DOMESTIC RELATIONS

TITLE I. TITLE TO REAL PROPERTY

CHAPTER 183B. REAL ESTATE TIME-SHARES

Chapter 183B: Section 2. Definitions

Section 2. As used in this chapter, the following words shall, unless the context otherwise requires, have the following meanings:—

“Affiliate of a developer”, any person who controls, is controlled by, or is under common control with a developer. A person controls a developer if the person is (i) a general partner, officer, director, or employer of the developer, (ii) directly or indirectly or acting in concert with one or more other persons, or through one or more subsidiaries, owns, controls, holds with power to vote, or holds proxies representing, more than twenty per cent of the voting interest in the developer, (iii) controls in any manner the election of a majority of the directors of the developer, or (iv) has contributed more than twenty per cent of the capital of the developer. A person is controlled by a developer if the developer is (i) a general partner, officer, director, or employer of the person, (ii) directly or indirectly or acting in concert with one or more other persons, or through one or more subsidiaries, owns, controls, holds with power to vote, or holds proxies representing more than twenty per cent of the voting interest in the person, (iii) controls in any manner the election of a majority of the directors of the person, or (iv) has contributed more than twenty per cent of the capital of the person. Control does not exist if the powers described in this paragraph are held solely as security for an obligation and are not exercised.

“Association”, the association organized under the provisions of subsection (a) of section nineteen.

“Person”, a natural person, corporation, government, governmental subdivision or agency, business trust, estate, trust, partnership, association, joint venture, or other legal or commercial entity. In the case of a nominee trust, however, “person” means the beneficiary of the trust as well as the trust and the trustee.

“Purchaser”, any person, other than a developer, who by means of a voluntary transfer acquires a legal or equitable interest in a time-share other than as security for an obligation.


Chapter 183B: Section 19. Managing entity

Section 19. (a) If the number of time-shares in a time-share property is more than twelve, the developer, before the first transfer of a time-share, shall create or provide a managing entity to manage the time-share property. The managing entity may be (i) a manager, who may be the developer, or (ii) an association, which shall be a profit or nonprofit corporation or an unincorporated association, the membership of which shall at all times consist exclusively of all the time-share owners. If the time-share property is part of a project containing time-share units and other units, the manager may be the entity that governs the project. If the number of time-shares in the time-share property is twelve or fewer and there is no managing entity, the time-share owners may form an association meeting the requirements specified above.

(b) In the absence of a managing entity required by this section, a court upon application of a party in interest, including a time-share owner or a lien holder, may appoint and prescribe the powers of a managing entity.
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Although we may read sections that do not seem to empower us as we'd like, there are other parts of the laws and trusts that give us, as unit owners, all we need.