Effective DVC Point Rental Agreements

[raykit98]

Great Post thanks

 

[JimC]

Updating my earlier sample agreements reflecting changes based on member comments. As always, I recommend that you have a qualified lawyer review any agreement to ensure that it will achieve your objectives, protect your interests and comply with appropriate law.

Sample Rental Agreement for Disney Vacation Club Reservation

This agreement is made the _____ day of ____________, 2010 by and between RENTER1 and RENTER2 (together “Renter”) and MEMBER1 and MEMBER2 (together “Member”).

Renter agrees to pay $___.00 per point for the points required to make the reservation. In addition to payment for points, Renter is responsible for any exchange fees assessed for non-Disney Vacation Club Resort accommodations. Such fees are due at the time of the initial 10% Security Deposit, are in addition to the Security Deposit requirements and are non-refundable.

Renter agrees to provide the Resort with an acceptable credit card upon check-in for incidentals and any other charges imposed by the Resort connected to Renter’s stay at and use of the Resort.

Member will always retain control over the reservation. Renter may not sublease to a third party. Renter may not change the reservation in any way, at any time. When Member rents to a non-club member, it is the responsibility of the Member to notify Member Services when making the reservation.

Renter will email Member a photo copy of his/her driver’s license or state approved alternate photo ID, the first and last names and ages of each person staying at the Resort, the arrival and departure days and dates, the Resort (first, second and third choice), the accommodations (studio, 1 bedroom, 2 bedroom, grand villa, etc – if you are flexible rank the order of preference) and any special requests (near elevator, low floor, desired view and the like). Special room requests will be noted as a preference in the reservation record but cannot be guaranteed. Medical conditions, particularly if specially equipped accommodations are required should be communicated to Member so that Member Services can check for availability. The information provided by Renter shall be attached to and become a part of the Agreement.

Member will confirm availability with Member Services and make reservation in Renter’s name. At this time Member will provide the Disney Vacation Club confirmation number to Renter. 10% Security Deposit, plus exchange fees (if any) are due via PayPal.

Upon receipt of written confirmation from Disney Vacation Club (this takes from five to ten business days) and confirmation from PayPal of Renter’s initial 10% Security Deposit and exchange fees (if any); Member will fax or email the confirmation notice to Renter. The confirmation will be attached to and become part of the Agreement. At this time a payment of 20% of the price per point times the number of points required is due via PayPal. Confirmation is required from PayPal within 5 business days or reservation will be cancelled and all monies paid to date by Renter shall be forfeited.

The balance of 80% of the price per point times the number of points required is due 60 days prior to the arrival date via PayPal. If PayPal does not confirm the final payment within 5 business days of the due date, the Member shall contact Renter to advise that PayPal must confirm the final payment within an additional 5 business days or the reservation shall be cancelled and all monies paid to date forfeited.

If Renter wishes to change the reservation, Member will make reasonable efforts to assist Renter to make such changes. Renter shall be responsible for 100% of any additional points required, charges assessed or costs incurred to accommodate Renter’s changes. Payment for these changes shall be due via PayPal upon e-mail or fax notice from Member. Confirmation of payment for such changes is required from PayPal within 5 business days of such notice or reservation will be cancelled and all monies paid will be forfeited.

If Renter wishes to cancel the reservation, Member will make reasonable efforts to assist Renter to cancel the reservation on a timely basis. Cancellation must take place 31 days or more in advance of arrival to avoid penalties. Renter will be repaid for any points that are not subject to any restrictions and are returned to their original Disney Vacation Club status and use year. Points that are in holding accounts, or are subject to banking or borrowing restrictions or are permanently transferred outside of the Disney Vacation Club Resort collection are repaid only if Member can rent them and only to the extent of any rental payments received by Member for such points up to and not to exceed the amounts paid by Renter. Member shall deduct any nonrefundable fees or costs incurred by Member prior to returning any monies due to Renter. Member shall return any monies due to Renter via PayPal within 5 business days of the date that such determination is made.

Members are subject to all reservation policies of Disney Vacation Club whenever they make a reservation – whether it's for the Member, a guest or a renter. If a reservation is made within 31 days of travel, Members are automatically subject to holding account rules should they need to cancel the reservation. Because of this restriction Renter must make payment in full via PayPal (must be confirmed by PayPal) before Member will make a reservation within 61 days of arrival.

Renter agrees to abide by all Disney Vacation Club terms, policies and rules applicable to Disney Vacation Club members and Disney Vacation Club membership. Renter agrees to be responsible for any unpaid charges or damages to the unit rented, including all contents and improvements, Disney Vacation Club property and Disney property during his/her stay that are assessed against Member or his membership. Any unpaid charges or damages assessed shall be reimbursed to Member via PayPal within 10 business days of notice to Renter. Sending a fax or e-mail copy of a Disney Vacation Club or other Walt Disney Company communication assessing the charges or damages shall satisfy notice to Renter. Any unused Security Deposit will be returned to the Renter via U.S. Mail 14 days after check-out.

All Disney resorts are smoke free, including balconies. Smoking is permitted only in designated outdoor locations.

Renter understands that Members do not get daily housekeeping services at Disney Vacation Club Resorts. If your stay is for less than eight nights, you'll receive Trash & Towel service on day four. If your stay is for eight nights or longer, you'll receive full cleaning service on day four, and Trash & Towel service on day eight. After that, the cycle begins again on day twelve. Day one is check-in day.

Pets are not permitted to stay at Disney Vacation Club Resorts, except for service animals as defined by the Americans with Disabilities Act.

This is an agreement to rent a reservation requiring ___ points that represent accommodations only. There are no ticket media, transportation, meals, transfers, insurance, or other items included. Member privileges and benefits cannot be extended to non-Club Members who rent reservations from Members.

Agreed and accepted on the date first shown above.

"Signature lines deleted"

 

[mikemalony]

I especially appreciate the suggested rental agreement!

 

[Kathi OD]

Jim, thanks so much for taking the time to share your rental agreement with the rest of us. The shape of the economy is forcing DH and I to rent our points this year, rather than use them ourselves. There is no way we could have come up with such a comprehensive rental agreement ourselves.

 

[js]

Jim, thank you for the rental contract.
I am currently thinking about renting over 900 points instead of using them for a cruise next July but still hesitant since it is all new to me and a massive amount of points to begin renting for my first time.
Although thinking about renting points for one cabin at a time, this may work.
I did rent points for a pre cruise stay since need all my points for my cruise next year and the member made the ressie, gave me the number and once he gets and sends me the confirmation, I will send him, via check 50%.
A month or so beforehand (I don't remember, maybe 3 months), I am to send the other 50%. This seemed easy enough to me. Has anyone else just dealt with checks or it is much better for me to use PayPal (which I'll have to set up an account).
Thank you all very much.

 

[tsomerville]

For a newbie to this site, this information is wonderful. Thank you so much. I am feeling better about using the site.

 

[davidk]

Jim, thanks for posting up that sample contract. I've been an owner for 10 years but only recently became aware of transferring or renting my points out. In fact, I still have to get rid of my points for this use year that ends July 31!

The info on this site has made me feel much more comfortable about handling my points. Thanks to everyone for their contributions.

 

[canole1]

Agreed! We've been members for about 15 years now and this will be the first foray into renting our points. While everyone wants to inherently trust others, it's good to have some written protection - even for some basic sense of security...

Thanks
Alicia

 

[Drudge]

A lot of great info for a newbie like myself. As the saying goes.... Knowledge is Power. Thanks to all the posters.

 

[Annette_C]

I agree that there is great advice in this thread and a big THANKS to all who contributed to our enlightening process of Renting/Transferring DVC points!
I read the entire thread but still haven't seen a reply for a sample Transfer contract.
I'd really appreciate your help/suggestion in the Transfer Points field!

 

[byejou]

Jim, thank you for the rental contract.
I am currently thinking about renting over 900 points instead of using them for a cruise next July but still hesitant since it is all new to me and a massive amount of points to begin renting for my first time.
Although thinking about renting points for one cabin at a time, this may work.
I did rent points for a pre cruise stay since need all my points for my cruise next year and the member made the ressie, gave me the number and once he gets and sends me the confirmation, I will send him, via check 50%.
A month or so beforehand (I don't remember, maybe 3 months), I am to send the other 50%. This seemed easy enough to me. Has anyone else just dealt with checks or it is much better for me to use PayPal (which I'll have to set up an account).
Thank you all very much.

We rented points off another website and paid the 50/50 just as you stated. We did receive the confirmation info from the seller and contacted DVC to confirm. That made us a little more at ease with the transaction. One month before we paid in full. No other contact was made. Just a thank you for an easy purchase. I love the contract idea, though. Also, we paid via Paypal, since it seems like the secure way to go.

We are back and forth about buying into DVC and can't seem to agree. I am a go for it DW and DH needs to calculate it to a tee. We only stay 2-3 nights pre-cruise every year and can't see the value.


Good Luck.

 

[Granny]

I agree that there is great advice in this thread and a big THANKS to all who contributed to our enlightening process of Renting/Transferring DVC points!
I read the entire thread but still haven't seen a reply for a sample Transfer contract.
I'd really appreciate your help/suggestion in the Transfer Points field!

A transfer is an immediate, one-time transaction. Very different from renting points which can take up to 11 months to complete the booking and trip. So the agreement would be much simpler. Probably payment in full up front. One of the parties has to assume the risk and most likely it would be the person "buying" the points. Of course, that is negotiable between the two parties. Even 50% up front, 50% after type of agreement would put too much risk on the person owning the points, IMHO.

 

[Bangerang]

Be extremely careful when including a request for a security deposit. Some states (like Massachusetts) have very strict laws regarding the collection and handling of security deposits for property rental. Separate accounts are needed to hold funds, receipts and statements need to be provided, and Interest included in any non-forfeited funds.

Definitely worth talking to a lawyer about this one.

 

[skelfbsfb]

Would like to thank the OP for starting this thread but also all who have contributed. Very interesting and helpful.

 

[Sammie]

While having a detailed contract is a must so that the Renter is very much aware of what they are getting and what they are responsible for, please be aware that regardless of how good the contract is, the security of the transaction is completely dependent on how honest those involved are.

Paypal is a very convenient way to pay but please realize if you have a dispute Paypal is not that helpful. I had to learn that the hard way from them.

No contract will completely protect you from a scammer.

 

[cm8]

While having a detailed contract is a must so that the Renter is very much aware of what they are getting and what they are responsible for, please be aware that regardless of how good the contract is, the security of the transaction is completely dependent on how honest those involved are.

Paypal is a very convenient way to pay but please realize if you have a dispute Paypal is not that helpful. I had to learn that the hard way from them.

No contract will completely protect you from a scammer.

 

[Granny]

While having a detailed contract is a must so that the Renter is very much aware of what they are getting and what they are responsible for, please be aware that regardless of how good the contract is, the security of the transaction is completely dependent on how honest those involved are.

Paypal is a very convenient way to pay but please realize if you have a dispute Paypal is not that helpful. I had to learn that the hard way from them.

No contract will completely protect you from a scammer.

I agree with this.

As was mentioned early in this thread, these are better called "agreements" rather than "contracts". We aren't lawyers, and there are various state laws to consider.

Really these are just communication tools that lay out expectations of what both sides should expect. As mentioned above, these won't be something that you can use in court except for Judge Judy.

 

[Sammie]

I agree with this.

As was mentioned early in this thread, these are better called "agreements" rather than "contracts". We aren't lawyers, and there are various state laws to consider.

Really these are just communication tools that lay out expectations of what both sides should expect. As mentioned above, these won't be something that you can use in court except for Judge Judy.

Exactly and Agreement is a very good name for it. Basically it just makes sure both the member and the renter are clear on what is provided, not provided, payment, cancellations or not, etc.

But in a scamming situation, the contract/agreement is only worth the paper it is written on.

 

[skiwindham]

Wodering if anyone has had any issues using the agreements posted on
this thread?

 

[Granny]

Wodering if anyone has had any issues using the agreements posted on
this thread?

What kind of issues do you mean? I've never heard of issues stemming from the use of any of these agreements. I have, on the other hand, seen posts from people who wished they had some kind of written agreement when things went wrong with a renter.