Silverpoint was declared “Concurso de Acreedores” On January 15, 2020 by the Tenerife Commercial Court, which means to be bankrupt. However this kind of liquidation is not as simple as a normal bankruptcy, it is a Spanish lawsuit arising out of under duress by the lender or voluntary action by the Company when it is assumed that the company has more debt than its property. In fact, the company owes loans more than all of its assets. According to current legal suits, Silverpoint has transferred most of its liabilities and assets to other companies in order to avoid or delay payments arising from court orders.
If prosecution finds high fraud not only with bankruptcy but also in the administration of the Company, it is possible to announce the liquidation of the company and the management responsible and guilty of an offence. Thus the CEO of Silverpoint , who,in this scenario is Mark Cushway, may be in personally held responsible for the situation to pay with his own Assets, or serve a prison sentence.
Is this the first time Silverpoint has been in liquidation status?
This is the second time Silverpoint has come to bankruptcy status. In the first scenario, it was connected to Hollywood Mirage, Palm Beach Club, Beverly Hills Heights and Beverly Hills Club. A few years later, the companies along with Club Paradiso failed due to liquidation and were changed to Silverpoint. Now that Silverpoint has also liquidated, the resort is rapidly changing to another company named ONA group.
Silverpoint CEO has been Mark Cushway, since the resort began in eighties. It is clear that Cushway knows the company status and situation very well, due to his long stay; he may be personally sued or stand trial due to this fact.
What about customers wanting to sue Silverpoint or awaiting court cases with the company?
There are many customers who have already terminated their contracts sharing with Silverpoint, as well as many refund cases. This is due to many contracts that violate Spanish law and other grounds related to irregularities.
Even with liquidation, complaints can still be successful and money paid, but the difference is that the claims must be made to the Commercial Courts and not the Civil Courts. This means that customers are viewed as lenders and are at the forefront of the law. For the share owners who complain, there will be no problem for the case; however it can be stressful and time consuming .
What awaits a person with a Mis-sold timeshare from Silverpoint Vacations
In the case where Silverpoint is in liquidation, the contract is now in breached status. But for a person who has spent more than a hundred dollars and a maximum of thirty thousand dollars in a full purchase and has paid with a credit or debt card, their is a chance to prove this and get a refund.
The complaints must be placed in a six year period from January 15, 2020. It is possible to claim against a bank or credit card company for full refund of the full purchase price, plus a valid interest rate of eight percent.
It is advisable for all persons affected to contact their attorney to find out more about there scenario.