News Summary
Paul and Christy Akeo from Michigan have filed a lawsuit against Palace Resorts following a month-long detention in Mexico linked to a timeshare disagreement. The couple claims that they were falsely accused of fraud after disputing over $116,000 in charges related to their timeshare membership. Their legal action seeks a temporary restraining order and damages, further highlighting consumer rights issues in timeshare agreements. This contentious case also draws attention due to their previous resolution attempts and the involvement of U.S. Representative Tom Barrett in their release from Mexican authorities.
Spring Arbor, Michigan – A Michigan couple, Paul and Christy Akeo, has initiated legal proceedings against Palace Resorts, following a disturbing month-long detention in Mexico that they attribute to a dispute over a timeshare agreement. The Akeos filed their legal action on August 20, 2025, in the U.S. District Court for the Southern District of Florida, seeking a temporary restraining order and preliminary injunction against the resort company.
Palace Resorts, headquartered in Florida and operating properties in Mexico, claims the Akeos engaged in fraudulent activity after they reversed over $116,000 in charges on their credit card. The couple alleges that the resort did not provide the promised services or products related to their membership, and in response, Palace Resorts accused them of credit card fraud and breach of contract, citing that they had entered into 19 separate membership agreements between 2016 and 2021, amounting to more than $1.4 million.
According to Palace Resorts, the Akeos encouraged other customers to execute similar chargebacks and provided instructions on how to terminate their membership agreements improperly. The legal entanglements began shortly after the Akeos arrived in Cancun on March 4, 2025, when they were met by Mexican authorities and confronted with criminal fraud charges, leading to their incarceration for roughly 30 days.
The couple’s release on April 3, 2025, involved a police escort to the airport for a private flight back to the United States. The Akeos were reportedly coerced into signing an “alleged agreement” that moved their financial dispute into the jurisdiction of the International Court of Arbitration in Vancouver, under the belief that signing was a necessary step to secure their release.
Involving significant advocacy, U.S. Representative Tom Barrett had to step in to help facilitate the Akeos’ release from Mexican custody. During their detention, Paul and Christy faced harsh conditions, living in overcrowded facilities with poor sanitation and being separated from each other. Their circumstances played a key role in their decision to pursue legal action against Palace Resorts.
The couple’s lawsuit further addresses claims of defamation, malicious prosecution, and intentional infliction of emotional distress, with the Akeos requesting unspecified damages and a jury trial. This legal effort follows a settlement in their previous dispute with Palace Resorts, in which it was agreed that they would donate the disputed $116,000 to a nonprofit organization in Mexico.
Compounding the Akeos’ turmoil, their daughter, Lindsey Hull, is a known victim of Dr. Larry Nassar, the former USA Gymnastics doctor, which has added to the couple’s emotional distress. Palace Resorts contends that despite reaching a resolution regarding the previous disputes, the Akeos opted to pursue litigation, escalating the situation further.
The ongoing legal battle highlights significant tensions surrounding consumer rights and contractual obligations, particularly in the realm of timeshare agreements. With both sides firmly entrenched in their positions, the outcome will likely have broader implications for how such disputes are handled across international borders in the future.
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