The courts of Arona have again ordered Excel Hotels & Resorts SA to return possession of apartments in hotel Beverly Hills Club, Los Cristianos, to the owners. The hotel management company does not own the apartments, but leases them, typically from private individuals.
In the latest two court sentences issued on the 18th June 2021, the judge ruled in favour of the claimants, clients of The Nordic Consulting, who had petitioned the court to break the contract they had signed with the hotel.
Excel has repeatedly failed to pay owners the amount they were promised in their contracts. The company has given various excuses, such as having a new corporate owner, that are simply not valid. As a result of the non-payments, apartments that have these contracts have been difficult to sell and have a lower valuation on the open market compared to apartments that are not linked to the hotel exploitation.
Excel was ordered to cancel the contract and to give possession of the apartment back to the owners, free of occupants. In addition, the hotel was ordered to pay the costs of the court case.
The Nordic Consulting has many more similar cases that are due to be heard soon by court. Many apartment owners are choosing to initiate legal action now, because they are worried that the hotel will not hand over the possession of the apartment when their contracts expire, typically at the end of 2022.
If you have a rental contract with Excel Hotels and Resorts SA and want to check if you can pursue a similar legal action, feel free to contact The Nordic Consulting for advice.
Congratulations to Mrs Pearse on your court victory!