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$4.3 million dollar class action verdict in campground membership case

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San Bernardino, CA (August 26, 2014) (Press Release)After a two-week class action trial, a San Bernardino Superior Court jury reached a unanimous fraud verdict for intentional misrepresentation, concealment, and negligent misrepresentation and awarded $3,585,000 in damages and $750,000 in punitive damages to 2,500 members who purchased campground memberships and/or paid membership fees to Halo Resorts, Inc. from December 16, 2007 to February 20, 2013.

“In a very unique, simultaneous jury and bench trial, a jury found Halo Resorts falsely represented to its members that it was entitled to charge undisclosed fees and concealed the fact that they were not entitled to charge these fees,” said lead attorney Kitty Szeto with the R. Rex Parris Law Firm who tried the case with attorney Kevin Shenkman of Shenkman and Hughes law firm.

“For several years, Halo Resorts has sold a ‘lifetime membership’ - to thousands of consumers over those years. Essentially, the membership entitled consumers to utilize the facilities and amenities at Halo Resorts’ two membership campgrounds, and obligated members to pay annual dues to Halo Resorts,” said Szeto.

“Halo Resorts engaged in a uniform scheme and charged its members fees that were never disclosed in their contracts and in violation of the California Membership Camping Act. Members were charged termination fees, transfer fees, and were also tricked into going to the campgrounds to take a new photo ID but then were forced into a high-pressured sales pitch where they were presented with different ‘options’ to (1) leave their memberships alone but then their annual dues would automatically increase in excess of what the contract allowed for and they would be assessed a $60 monthly surcharge for the next 5 years, (2) purchase an upgrade (gold, silver, or bronze for $3,994 and up) which essentially gave them nothing more than what they already paid for, or (3) terminate their membership by paying $2,350 which was also never disclosed in the contracts. Unconscionably, consumers were forced to select one of the options within the hour or they would be sent to collections,” said lead attorney Kitty Szeto with the R. Rex Parris Law Firm.

A judge will be deciding three remaining claims (violation of the California Membership Camping Act, UCL, and Unjust Enrichment). Case Name: Wilkinson v. Halo Resorts, Inc. - Case No. CIV DS 1114158.


About The R. Rex Parris Law Firm
For over 25 years, R. Rex Parris has devoted his practice to protecting the rights of injured people and aggrieved workers. Rex and his dedicated team provide thorough, high-quality representation with integrity and compassion. From motor vehicle crashes to class actions and defective products, these lawyers fight aggressively against corporate defense attorneys and insurance companies to ensure their clients get the compensation they deserve. For more information, please visit rrexparris.com.

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READER COMMENTS

Posted by

on
I have a similar situation. I bought a membership with Reynolds Resorts at Avila Beach. When I bought it, it was private and now they have turned it into a KOA. I have never used the campgrounds and feel that I can't get anyone to buy it because they are so strict on how can buy them. You can't have used the facility if you want to buy it. I feel this is misrepresentation as I did not purchase, KOA. What recourse if any do I have. I paid $6000 for a membership in 2005. Any info and help would be appreciated as I have been paying $250 dues for the passed 12 years. Thanks for your assistance and help

Posted by

on
i had campground membership with halo resorts

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