AG settles lawsuit against owners of Split Rock Resort in Lake Harmony

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Attorney General Michelle Henry on Tuesday announced a settlement of a lawsuit against the owners of Split Rock Resort in Lake Harmony, regarding alleged mistreatment of consumers who purchased timeshares.

The settlement will require Split Rock Investments, LLC, and SCH USA, LLC — doing business as “Bel Air Owner’s Circle” — to comply with applicable laws and fund a restitution pool up to $250,000 for eligible consumers. Timeshare owners who feel they were mistreated and intend to seek restitution should act soon by contacting the Attorney General’s Bureau of Consumer Protection.

The Office of Attorney General filed suit last year, alleging that Split Rock engaged in business practices which violate the Pennsylvania Unfair Trade Practices and Consumer Protection Laws. The suit alleged that timeshare owners were denied access to the property and were charged excessive maintenance fees and illegal usage fees.

“Consumers who paid hard-earned dollars for vacation accommodations for themselves and their families were overcharged and denied access to their getaway resort,” Attorney General Henry said. “This settlement involves significant restitution funds for timeshare owners who did not get what they paid for.”

The settlement agreement, in the form of a Consent Petition for Final Decree, was recently filed with the Common Pleas Court of Carbon County and is subject to court approval. Under the terms of the Consent Petition, Split Rock agreed to comply with all applicable laws and will pay $5,000 in civil penalties, $50,000 in costs — in addition to the maximum $250,000 restitution fund.

Defendants agreed to refund consumers who paid a resort fee as a usage fee for the recreational facilities in instances where consumers did not use the facilities. The restitution funds are limited to $250,000 and are only available for six months.

Timeshare owners who believe they qualify for a refund of the resort fee are encouraged to contact the Bureau of Consumer Protection at 800-441-2555 or visit the Attorney General’s website for information on filing a complaint. This case was handled by Senior Deputy Attorney General, Merna T. Hoffman.