What are the risks associated with purchasing a membership?
Below is a summary of the key risks associated with purchasing a Membership in the Club.
Membership in the Club is a lifestyle product; it is not intended to generate a financial return or gain.
Resale of Membership
The price for which a Member sells their Membership may be less than the price they paid for it. The Responsible Entity does not provide a resale service and so does not guarantee either the price of a resale or the market for a resale.
The price for which a Membership may be resold will be influenced by a number of factors, including the general market demand for Memberships at the time the Membership is resold, the willingness of purchasers to participate in a resale to which the Responsible Entity is not a party, and the likelihood that Developer and Personal benefits are not transferable.
A Club Fee is payable annually towards maintenance of the Club to ensure the quality of Club Property is maintained. Other fees may also be payable and are detailed in section 7.
If your Club Fees or Application Moneys are in continuing arrears, then your Membership may, at the discretion of the Responsible Entity, be forfeited and sold.
Any increase in the Club’s costs of operation will result in an increase in Club Fees. However, Club Fee increases are capped at the greater of either the Australian Consumer Price Index or 5% per annum and this is set out in the Constitution.
The effective operation of the Club is dependent upon Members paying the Club Fee. If a substantial number of Members do not pay their Club Fee, the Club may not be able to operative effectively.
Availability of Club Apartments
It is important to plan your holidays in advance particularly in peak times such as school and public holidays.
Club Apartments are limited and you may not be able to obtain your preferred location at your preferred time.
Being aware of the booking windows set out in section 3.3 will help you to make reservations as soon as you are entitled to do so.
Sale of Club Apartments
Club Apartments may be sold if it is in the best interests of the Members to do so. However, if that occurs, they will be replaced by other Club Apartments or the Première Points pool will be rebalanced.
The Responsible Entity may sell Club Apartments in respect of which Première Points have been issued, subject to certain conditions, namely that the Club Property that is sold is replaced with a property that has the equivalent quality and is a similar tourist destination in the same or different geographical area and the same number of Première Points allocated to it as the Club Property sold, or a reduction in the Première Points pool is effected and distribution is made to Members of the net sale proceeds.
Expiry of Première Points
At the end of the period of Première Points validity (shown in Figure C), unused Première Points expire. If you do not use your Première Points by checking in prior, or on the date, of expiry you will lose them.
Member Services may attempt to remind you six months prior to the expiry of your points that they are due to expire. However, you should not rely on this service and should be aware of when your points are due to expire so that they are not lost.
Personal and Developer Benefits
Personal and Developer benefits are not guaranteed. They may be removed at any time and they are not transferable in most cases.
Personal and Developer benefits including Accor Hotel Select and Red Letter Stays are provided respectively at the discretion of the Responsible Entity and the Developer and may be revoked at any time in accordance with the Constitution and at the discretion of the Responsible Entity for Personal benefits and at the discretion of the Developer for Developer benefits.
Particularly, Developer benefits provided by the Developer involving Accor Group Companies may cease in the event that an Accor Group Company ceases to own, operate, manage or franchise a property that may have been participating in a Developer benefits program.
Interval, Flight Centre and Accor Vacation Club Cruises
Interval, Accor Vacation Club Cruises and Flight Centre are third party service providers independent of the Club. The Responsible Entity does not have the power to guarantee performance of their obligations under current agreements, or control the services which they provide.
Growth of Club
The growth of the Club, and subsequently the number of additional Club Apartments acquired, are dependent upon the sale of Memberships which may be impacted by various factors including economic factors.
As its name implies, Bonus Time is an added bonus which is subject to availability and is not guaranteed. Bonus Time Accommodation booking conditions and restrictions are able to be varied by the Responsible Entity.
If the Accor Group Company sells its interest in the operation of the Club it is likely that the trademark ‘Accor’ would be removed from the name of the Club. In this instance another Responsible Entity is also likely to be appointed as the Responsible Entity of the Club.