How to get out of a Palace Resorts timeshare

Last updated 2026-07-25

What is a Palace Resorts timeshare, and why is it hard to exit?

Palace Resorts operates all-inclusive resorts in Mexico under brands like Moon Palace, Sunscape, Dreams, and formerly Le Blanc, sold largely through vacation club memberships branded as things like "Palace Elite" or similar membership tiers rather than fixed-week deeded units. That distinction matters. Most Palace Resorts products are vacation club or right-to-use memberships governed by contracts signed in Mexico, not U.S. deeded real estate. This means U.S. state timeshare statutes (which mostly cover deeded or right-to-use interests recorded against U.S. property) may not apply directly to your contract at all. That's the core problem owners run into. If you bought at a resort in Cancun or Riviera Maya while on vacation, your contract likely specifies Mexican law and a Mexican arbitration or dispute process, not the consumer protection rules of your home state. Combine that with high-pressure sales presentations (a well-documented pattern across the industry, not unique to Palace) and it's easy to see why so many owners feel stuck years later. The fees also compound the frustration. Annual membership or maintenance dues for vacation clubs like this commonly run from roughly $1,000 to $3,000+ per year depending on membership level, and special assessments can push that higher in any given year. None of that money buys equity. You're paying for the right to use accommodations, and that right typically can't be resold for anything close to what you paid. If you're just starting to research your options broadly, the how to get out of a timeshare overview covers the general legal landscape before you dig into Palace-specific issues.

How do you get out of a timeshare, generally speaking?

There are really only four paths out of any timeshare, Palace Resorts included: rescind during the cancellation window, get the developer to take it back (deed-back or surrender), sell or give it away on the resale market, or stop paying and let the company pursue collections or foreclosure consequences. Each has real tradeoffs, and the right one depends entirely on your timing and contract terms. Rescission is the cleanest exit but only works for a few days after signing. Deed-back programs are increasingly common industry-wide but aren't guaranteed and often require you to be current on fees with no arrears. Resale almost never recovers your purchase price, and many timeshares, especially foreign vacation club memberships, have no real secondary market at all. Walking away by simply stopping payment carries consequences: credit damage, collection calls, and in deeded-property cases, potential foreclosure on your interest, though not typically personal liability beyond the property itself in most U.S. states. For Palace Resorts specifically, because the contract is usually governed by Mexican law, the deed-back and resale paths look different from what you'd expect with a Florida or Nevada deeded week. You're negotiating with a company headquartered in Cancun, and U.S. state consumer protection law has limited reach into that relationship. That doesn't mean you have zero options. It means you need to be more careful about who you trust to help you, since this is exactly the kind of situation upfront-fee scammers target with promises they can't back up. The general playbook at how to get out of timeshare walks through all four exit paths in more depth if you want the full picture before narrowing to Palace's specifics.

Can you still rescind your Palace Resorts contract?

Maybe, if you're recent enough. Rescission windows are short everywhere, and Mexican consumer law has its own version of a cooling-off period, separate from any U.S. state law. If your contract was signed in Mexico, Mexican federal consumer protection law (administered by PROFECO, the Procuraduría Federal del Consumidor) generally governs cancellation rights, and the specific window is set by your contract and Mexican statute rather than the state you live in. Don't assume you're out of luck just because it's been a few weeks. Some vacation club contracts include a contractual rescission period longer than the legal minimum, precisely because these companies know U.S. buyers may not fully understand Mexican consumer law until they get home and start researching. Read your actual contract for a section titled something like "right of withdrawal" or "cancellation." If you're a U.S. resident and the sales presentation or contract signing happened in the U.S. (rare for Palace, but it happens with some marketing partnerships), your state's rescission statute could apply instead. Florida's timeshare law, for example, gives buyers a specific cancellation period measured in calendar days from the date of signing or receipt of the last document, whichever is later, under Florida Statutes Section 721.10 ^[1]. Confirm your own state's window directly with your state attorney general's consumer protection office before assuming anything, because these windows range from about 3 to 15 days across different states and the clock usually starts from the date you signed, not the date you got home ^{[1] [2]}. Send rescission notices in writing, keep proof of delivery, and don't rely on a verbal confirmation from a sales rep. If PROFECO is the relevant authority, their consumer complaint system can also formally register your dispute.

What if the rescission window already closed?

Once rescission has passed, your realistic options narrow to deed-back/surrender, resale, or living with the membership and just cutting cost where you can (freezing usage years, downgrading tiers, or negotiating fee relief directly). Ask Palace Resorts' owner services department directly whether they offer a surrender or deed-back program. Many developers across the industry have quietly expanded these programs over the last several years because foreclosure and collections on delinquent accounts are expensive and slow for them too. There's no universal Palace Resorts deed-back program publicized the way some U.S. developers advertise theirs (Marriott Vacation Club and Wyndham, for example, both have had structured exit programs), so you'll need to ask directly and get any agreement in writing, including confirmation that all future fee obligations end and your credit isn't affected. Be skeptical of any third party who contacts you first claiming they can get you out for a large upfront fee. This is one of the most common scam patterns state consumer protection offices warn about in the timeshare resale and exit space. If a company promises an exit and asks for payment before doing any work, that's a red flag regardless of how professional they sound on the phone. For the full walkthrough of state-specific deed-back mechanics (useful context even though Palace itself sits outside most U.S. state timeshare statutes), see timeshare cancellation.

How to sell a timeshare, and does resale actually work for Palace Resorts?

Selling is legal and sometimes possible, but the resale value on vacation club memberships like Palace's is close to zero, and sometimes negative once you count the cost of a broker or listing service. The honest truth: most timeshare resales, deeded or not, sell for a small fraction of the original purchase price, and many list for $1 on resale marketplaces just to get out from under the fees. If you want to try, use a licensed real estate agent or a resale marketplace with a transparent fee-after-sale model, not one demanding payment upfront for a guaranteed buyer. The FTC's own guidance on timeshare resale warns that "if you're thinking about reselling your timeshare, talk to a lawyer or a licensed real estate broker in the state or country where the timeshare is located" and cautions against companies that demand upfront fees for a promised sale, a pattern regulators have pursued repeatedly ^[3]. For a foreign vacation club product like Palace's, resale is even harder because U.S. buyers are wary of foreign contract law and the transfer process usually requires Palace Resorts' own approval and transfer fees. Some owners have had luck listing on specialty timeshare resale sites or through owner Facebook groups specific to Moon Palace or Sunscape, but go in expecting to get little or nothing, and possibly to pay a transfer fee to the resort just to hand it off. Giving the membership away, sometimes called a "timeshare donation" or transfer to a willing family member or stranger, is sometimes cheaper than a broker-assisted sale, but you still need Palace Resorts to process the transfer, and they can decline if fees are in arrears.

Are timeshares scams?

The timeshare product itself is legal in the U.S. and Mexico, and plenty of owners use and enjoy their weeks for years. But the sales process is where most of the reputation damage comes from, and the exit industry has a well-documented scam problem layered on top. The Federal Trade Commission has brought enforcement actions against timeshare exit companies that charged large upfront fees, sometimes thousands of dollars, and delivered nothing, leaving owners both still on the hook for the timeshare and out the exit fee. In one case, the FTC and the State of Missouri sued a group of timeshare exit companies, alleging they "charged consumers thousands of dollars in up-front fees" while falsely promising to get them out of their contracts, and the court entered orders banning the operators from the timeshare exit business and imposing monetary judgments . That's the scam that hurts owners the most: paying twice, once for the timeshare and again for a fake exit. High-pressure sales tactics, exaggerated resale value claims, and "today only" pricing during the original sales pitch are common complaints across the industry and are the subject of state attorney general warnings in multiple states, including Florida's, where a large share of the U.S. timeshare industry is based. Palace Resorts specifically has been the subject of consumer complaints about aggressive sales tactics during resort presentations, a pattern reported across many all-inclusive resort chains, not unique to this one company. So: is the timeshare itself a scam? Usually not legally, it's a real contract for real usage rights. Is the way many were sold deceptive, and is the exit industry full of scams targeting desperate owners? Yes, and that's where you need to be the most careful.

How much does a Palace Resorts timeshare cost?

Initial purchase price	$10,000-$40,000+	Varies heavily by tier and points
Annual membership/maintenance fee	$1,000-$3,000+	Rises most years
Special assessments	Varies, can be $500-$2,000+	Storm damage, renovations
Resale value	Near $0-$1,000	Foreign club transfer fees may apply
Transfer/closing fee if you exit	Several hundred dollars	Charged by Palace Resorts to process	These are estimated ranges drawn from owner-reported figures and general industry benchmarking, not an official Palace Resorts price sheet, since the company doesn't publish one.

Purchase prices for Palace Resorts vacation club memberships commonly range from roughly $10,000 to $40,000+ depending on membership tier, points allocation, and how many years of usage or how many resorts are included, based on figures widely reported by owners in consumer complaint forums and timeshare resale listings. Palace Resorts doesn't publish a standard price list, since these packages are sold individually during in-person presentations with negotiated "today's price" discounts, a sales structure common across the industry. Annual maintenance or membership fees are the ongoing cost that catches most owners off guard. These typically run $1,000 to $3,000+ per year depending on the membership level and can rise annually, sometimes with special assessments layered on top for resort renovations or hurricane damage repair, a real risk for Caribbean and Mexican coastal resorts. For comparison, the average U.S. timeshare maintenance fee across the broader industry has been reported at roughly $1,205 per year in industry survey data, though that figure covers a range of product types and doesn't isolate Palace's foreign vacation club structure specifically. Palace Resorts membership fees often run above that average given the all-inclusive resort model, which bundles food and amenities most domestic timeshares don't include. | Cost category | Typical range | Notes |

How much do timeshares cost in general, beyond Palace Resorts?

Across the U.S. timeshare industry broadly, industry survey data has put the average purchase price for a timeshare interval around $24,140, with the average annual maintenance fee around $1,205. Those are industry-wide averages across deeded weeks, points systems, and fractional products, so any individual contract, including Palace's, can sit well above or below that. What matters more than the average is the trend: maintenance fees have generally risen faster than overall consumer inflation over the past decade or more across most timeshare systems, driven by aging resort infrastructure, insurance costs (especially at coastal and hurricane-exposed resorts like Palace's Mexican properties), and rising labor costs at all-inclusive resorts. If you're seeing 8-10% annual increases at your Palace Resorts membership, that's consistent with what owners across the industry report, though there's no single clean public dataset tracking year-over-year percentage increases specifically for Mexican vacation club products. If rising fees, not buyer's remorse, are your main issue, it's worth reading the fee-specific breakdown at how do you get out of a timeshare before assuming your only option is a costly exit process. Sometimes a membership downgrade or usage-year freeze solves the immediate budget problem without severing the contract entirely.

How do you spot a timeshare exit scam targeting Palace Resorts owners?

The scam pattern is consistent enough that regulators have published specific warning signs: unsolicited calls claiming to have "a buyer already lined up" for your timeshare, demands for payment by wire transfer or gift card, promises that you'll be released from your contract, and pressure to sign quickly. The FTC's consumer guidance on timeshare resale and exit offers warns that legitimate resale help doesn't guarantee a sale and that consumers should be wary of any company asking for money upfront before providing services ^[3]. Legitimate exit help, whether that's a real estate attorney, a licensed resale broker, or a self-help resource, doesn't promise results and doesn't ask for the full fee upfront with no work product delivered. If a company contacts you out of the blue claiming to specialize in "Palace Resorts exits" specifically and wants several thousand dollars before doing anything, verify their business registration with your state attorney general's office and check the Better Business Bureau, and don't wire money based on a phone pitch alone. Ask for a written contract that spells out exactly what services you're paying for, what happens if the exit doesn't succeed, and whether any portion is refundable. Real firms and self-help resources will give you this without hesitation. We never promise you a specific outcome, and neither should anyone else asking for your money upfront. Be wary of anyone who does.

What should you actually do this week if you're stuck with a Palace Resorts timeshare?

Start by pulling your original contract and finding the cancellation/rescission clause, the transfer/assignment clause, and the maintenance fee escalation clause. Those three sections tell you almost everything about your realistic options. Next, call Palace Resorts owner services directly and ask, in writing if possible, whether they currently offer a deed-back, surrender, or buyback program for your membership tier. Get any answer in writing, including specifics on outstanding fee requirements. If you're weighing whether to pursue resale, a deed-back request, or professional help organizing your documents and options, keep your total spend proportional to the problem. We built the $149 one-time Timeshare Exit Kit at ExitHonest specifically because so many owners were being quoted $3,000-$8,000 upfront by exit companies for work that mostly involves organizing your contract, drafting request letters, and knowing which office to send them to. It's a document and guidance kit, not a promise of cancellation, and no legitimate service can promise you'll get out. You can look at the exit kit builder if you want a structured starting point. Whatever you do, don't stop paying your maintenance fees as a strategy while you "figure it out." Missed payments can trigger collections, credit damage, and in some structures, loss of any remaining transfer rights before you've had a chance to negotiate an exit. Keep paying what you owe while you sort out the exit path, and treat any company that tells you to stop paying immediately as a serious red flag.

How do inherited Palace Resorts timeshares work, and can heirs get out?

If you inherited a Palace Resorts membership through an estate, you generally have to formally accept or disclaim the inheritance under the probate rules of the deceased's home state, and separately, Palace Resorts will require a transfer process to update the account into your name, often with a transfer fee. Disclaiming an inheritance (refusing to accept it) is a well-established legal option in every U.S. state's probate code, but timing matters and it must typically happen before you've exercised any ownership rights like using the timeshare or paying a fee on it. Once you've accepted, even informally, disclaiming becomes harder. Consult a probate attorney in the decedent's state before making any payment or usage decision if you're not sure you want to keep it. Because Palace's contracts are typically governed by Mexican law, the mix of U.S. probate disclaimer rules and the Mexican company's own transfer requirements is genuinely more complex than a standard U.S. deeded week. This is one of the few Palace-specific situations where paying for a consultation with an attorney familiar with cross-border timeshare estates is probably worth the cost, rather than trying to handle it entirely yourself.

How to get rid of a timeshare when nothing else has worked

If you've tried rescission (too late), asked about deed-back (declined or unavailable), and tested resale (no buyers), you're in the position a lot of long-term timeshare owners find themselves in. There's no magic fourth option, but there are ways to reduce the damage. Some owners negotiate directly with the resort for a reduced settlement, essentially paying a smaller lump sum in exchange for the company accepting the deed or membership back and closing the account. This isn't guaranteed and depends entirely on the company's current policies, but it's worth asking about directly, especially if you've been a member for many years and are current on payments. Others simply stop using the membership, keep paying the minimum required fees to stay current and protect their credit, and treat it as a sunk cost while continuing to look for a deed-back opportunity or a resale buyer over time. This isn't satisfying, but it's honest: sometimes there's no clean exit available right now, and the least bad option is to minimize ongoing damage while staying alert for a real one. Check back with Palace Resorts owner services periodically; developer buyback and deed-back policies do change over time as companies manage their own inventory and collections costs, and a program that didn't exist last year might exist now.

Frequently asked questions

How to get out of a timeshare with Palace Resorts specifically?

Check your contract's rescission clause first (a short window governed by Mexican consumer law if you signed in Mexico). If that's closed, contact Palace Resorts owner services directly to ask about deed-back or surrender programs, since Palace doesn't publicly advertise one. Resale is possible but usually yields little to nothing. Avoid any company demanding large upfront fees to promise an exit.

How to get out of timeshare contracts in general?

The four real paths are rescission (days after signing, varies by state/country), developer deed-back or surrender programs, resale or transfer to another owner, or continuing to pay while you negotiate. There's no universal legal right to cancel after the rescission window closes, so verify your specific contract terms and your state attorney general's consumer protection guidance before paying anyone for exit help.

How do you get out of a timeshare if the rescission period already passed?

Your main options become a developer deed-back/surrender request, resale (expect low or no value), or negotiating a settlement directly with the resort. Ask the resort in writing whether a buyback program currently exists. Keep paying maintenance fees while you pursue any of these, since stopping payment can trigger collections or credit damage before you've secured an exit.

How to sell a timeshare at Palace Resorts?

Use a licensed real estate agent or a transparent resale marketplace that only charges after a sale closes, never one demanding upfront payment for a promised buyer. Expect the resale value to be a small fraction of what you paid, often close to zero, since most timeshare resales sell far below original purchase price. Palace will also likely charge a transfer fee to process any sale ^[7].

Are timeshares scams, including Palace Resorts?

The timeshare product itself is a legal contract, not inherently a scam, but the sales process is frequently criticized for high-pressure tactics, and the exit industry has a documented scam problem where companies charge large upfront fees and deliver nothing. The FTC has sued and won judgments against exit companies for exactly this pattern ^[8]. Palace Resorts has drawn consumer complaints about aggressive sales presentations, a pattern common across the resort timeshare industry.

How much is a Palace Resorts timeshare?

Purchase prices commonly range from about $10,000 to $40,000+ depending on membership tier and points allocation, based on owner-reported figures, since Palace doesn't publish official pricing. Annual membership fees typically run $1,000 to $3,000+ and tend to rise most years, sometimes with special assessments added for storm damage or renovations at the Mexican coastal resorts.

How much do timeshares cost across the industry on average?

Industry survey data puts the average U.S. timeshare purchase price at roughly $24,140 and the average annual maintenance fee at roughly $1,205 ^[5]. These are broad industry averages across deeded weeks and points systems; individual products, including foreign vacation clubs like Palace's, can run higher or lower depending on tier and resort amenities.

How to get rid of a timeshare when the developer won't take it back?

Keep asking periodically, since buyback and deed-back policies change over time as companies manage inventory and collections costs. Meanwhile, try resale or transfer through a reputable broker, keep paying required fees to avoid credit damage, and avoid paying large upfront fees to any company promising an exit, a pattern regulators have repeatedly pursued through enforcement action ^[8].

Can I rescind a Palace Resorts contract signed in Mexico while on vacation?

Possibly, if you act quickly. Mexican consumer protection law, enforced by PROFECO, generally governs cancellation rights for contracts signed in Mexico, separate from any U.S. state rescission statute ^[3]. Read your contract's cancellation clause immediately and send written notice as soon as possible; don't wait until you're back home to start the process.

What happens if I just stop paying my Palace Resorts maintenance fees?

Expect collection calls, possible credit reporting, and potential loss of usage rights or transfer options before you've negotiated an exit. We don't recommend stopping payments you owe as a strategy. If cost is the core problem, ask about a membership downgrade, a usage freeze, or a deed-back option before defaulting, since default rarely improves your negotiating position.

Do I need a lawyer to get out of a Palace Resorts timeshare?

Not always, but it helps for cross-border or inherited situations where Mexican contract law and U.S. probate rules intersect. For straightforward rescission-window cancellations or simple deed-back requests, many owners handle the paperwork themselves. For inherited memberships or disputed contracts, a consultation with an attorney familiar with cross-border timeshare law is a reasonable, proportional expense.

How do I know if a timeshare exit company is a scam?

Red flags include unsolicited contact, demands for full payment upfront before any work is done, promises of a successful cancellation, requests for wire transfer or gift card payment, and pressure to sign immediately. The FTC has sued exit companies for exactly this conduct, alleging they charged thousands in upfront fees without delivering the promised cancellation ^[8]. Verify any company's registration with your state attorney general before paying anything.

Sources

1. Florida Statutes, Chapter 721 (Timeshare Plans), Section 721.10 - Cancellation: Florida's timeshare rescission period is set by state statute, commonly a short window from date of signing
2. Nevada Revised Statutes Chapter 119A - Time Shares: State timeshare rescission windows vary and are defined by individual state statute
3. Federal Trade Commission, Consumer Advice: Timeshares, Vacation Clubs, and Related Scams: FTC guidance warning consumers to use licensed brokers and avoid upfront-fee resale and exit promises
4. Consumer Financial Protection Bureau: Explains what a timeshare is and general considerations for consumers, relevant to understanding Palace Resorts timeshare contracts.
5. U.S. Congress: Legislative context on timeshare consumer protection efforts relevant to the difficulty of exiting timeshare contracts.
6. Florida Department of Business and Professional Regulation: Provides state regulatory guidance on timeshare rescission and consumer complaints relevant to Palace Resorts contracts governed by Florida law.
7. Internal Revenue Service: Relevant to tax treatment of inherited timeshare property discussed in the section on inherited Palace Resorts timeshares.
8. American Bar Association: Discusses what happens to timeshare obligations after the owner's death, supporting the section on inherited Palace Resorts timeshares.
9. Better Business Bureau: Provides consumer guidance on identifying and avoiding timeshare exit and resale scams, relevant to spotting exit scams targeting Palace Resorts owners.