Double victory against Club La Costa as contracts ruled null and void in Malaga court

Following this week’s major financial win in a timeshare dispute, two more substantial settlements have been secured for British couples in the Spanish courts.

Just days after Malaga-based M1 Legal won an award of €365,000 for a Southampton couple, the firm has secured two further victories.

Both cases relate to Club La Costa, although the contractual party named on the paperwork was Paradise Trading SLU. In each case, Paradise Trading SLU argued it was not a party to the timeshare contract and was simply acting as a sales agent for Club La Costa Resorts Development Limited.

The judge ruled that where a company has the power to terminate the contract, is responsible for collecting payments towards the purchase price, and applies pressure on the client for non-payment, it can be treated as a contractual party and held liable. The court also found both contracts to be null and void because they did not meet minimum legal requirements.

The court also considered it irrelevant that Paradise Trading SLU did not issue the membership certificate.

Mr & Mrs Kelly of Worcestershire were awarded £26,728.20 plus legal fees. A second client, who has chosen to remain anonymous, was awarded £10,755 plus legal fees.

Club La Costa is aware that there are more than 100 cases in court and, in addition, M1 Legal is preparing a further 165 cases for submission.