Fractional Ownership News
New Association For Fractional Ownership
A self-regulated association for fractional ownership vendors is launching in early 2008. The Fractional Ownership Trade Association (FOTA) will have a number of objectives, the first being to protect the interests of fractional ownership operators and their investors through legal, well-structured entities, and produce an international code of conduct for FO companies.
FOTA is being assembled by Piers Brown, founder of asset-sharing specialist Fractional Life and organiser of the Fractional Life Expo, who told OPP: “The ‘not for profit’ association’s aim is to introduce some formalities and standards into this new sector and to try and ensure levels of integrity by operators.”
“Fractional ownership is potentially quite complicated,” said partner of Howard Kennedy solicitors, Eric Gummers. “A trade organisation would be good because it would sort out the people who are serious and separate them from those who aren’t. It’s also good to provide standards; some ethics or codes to ensure that customers get what’s promised.”
Improving consumers’ perception of fractional ownership is also high on the organisation’s agenda. Another key objective is to develop a strong public image for FO companies and undertake global research into areas where combined technical resources and experience is needed. “Reputation is very important,” noted Gummers. “As always if someone does something that’s poor practice it also reflects on those doing things well. A trade association should help to address that and aid those [vendors] who are just at an early stage.”
In the event of any disputes, Brown aims to provide a “point of reference” to settle any differences between members globally. “We want to be an influential national and international lobby for the benefit of members,” he added. Gummers, who sits on the legislative committee of American Resorts Developers Association (ARDA), concluded by stating associations are a way of protecting the industry and that it must be a good thing if “serious industry players” are putting time and money in.
Piers Brown will be at OPPLive on 5th December and would like to talk with fractional operators who would be interested in having representation and becoming members. To find out more about OPPLive, how to get there and who will be there, visit www.opplive.org.uk .
