High Country Club
Resignation and Redemption

Like several other leading destination clubs, notably Quintess, High Country Club allowed members the opportunity to redeem their membership and receive 100% of their membership deposit back within their first year of membership. Following the first year, members received 80% of their membership deposit back.

Members were redeemed on a "two in, one out" basis, requiring two new members to join the club before one existing member was allowed to resign and be redeemed.

Late in 2008, citing a "drastic decline" in the club's real estate values, difficulty raising capital, and consumer fear, High Country Club planned a massive reorganization of their club. Annual dues would be increased, properties would be decreased, and the club would strive to bring their annual costs in line with their annual revenue.

While the club was restructuring their business model, the club also planned to restructure their resignation policy to make memberships more liquid.

According to the plan, members wishing to sell their membership would make their intentions known to the club that they wished to resign. The member highest on the resignation list for each of the club's membership plans would set a price they would be willing to sell their membership for, not to exceed the last publicly available price, and High Country Club would publish that price on their website. Members who were not the highest on the resignation list could continue to try to find a buyer for their membership, but did not have their desired asking price published.

Despite the fact the High Country Club Success Plan never received the requisite member support, the club did begin to use this resignation for a brief period, with the flaws in the structure immediately evident. The highest ranking Private Member with 35 nights of use wanted $65,000 for their membership. Another Private Member with 45 nights of usage wanted $27,935. All other Private Members with 35 nights of usage would have to wait for the $65,000 membership to be sold before the next highest would make it to the public website.

Soon after the creation of the Success Plan, the club filed for bankruptcy. To learn more about their filing, please access our High Country Club Documents.