Last week, the American Resort Development Association (ARDA) held a convention in Orlando to discuss the prospects of the timeshare industry. One of the most important discussions of the convention was the idea of a new ARDA Code of Ethics for timeshare resale companies.

Currently, ARDA implements a Code of Ethics that covers all member businesses. Complaints about a company and its business practices are directed to the ARDA Ethic Committee for discussion. Depending on the severity of the complaint, the Committee will take all corrective actions necessary.

The new guidelines, on the other hand, will focus on policies concerning timeshare resale companies. Three themes were proposed during the forum: Disclosure, Transparency and Enforcement.

Disclosure addresses problems in marketing and sales, like costs that will be discussed under a ratified timeshare sales process to eliminate the possibility of “hidden fees.”

Transparency will handle marketing practices of the timeshare resale companies. Consumers need a firm understanding of the services that timeshare resale companies offer them. Transparency involves standardizing sales reports and how a company can use those reports to market itself. This will give buyers the necessary information to compare and contrast timeshare resale companies, giving them a better idea about their options.

For enforcement, the resale guidelines will center on accountability with regard to a timeshare resale company’s marketing, advertising, and sales practices. Similar to the current ARDA guidelines, comments and complaints regarding the resales code will be reviewed and acted upon by the Ethics Committee.