Paying about $300,000 to join a club at the Four Seasons Hualalai Resort on the Big Island gives members some exclusive benefits — but not exclusive enough, according to one member who is suing over the club’s privileges and use.
Christopher Zyda, a homeowner at the resort and a member of The Hualalai Club, recently filed a lawsuit in state Circuit Court on Hawaii island alleging that overuse of club and resort amenities prompted the operator of the resort and club to cut back club member privileges.
Zyda, the founder of a Beverly Hills, Calif.-based wealth management firm, bought a home at Hualalai in 2000, and claims in the lawsuit that recent changes to his club membership by Four Seasons Hotels and Resorts have unfairly added fees and diluted benefits.
The lawsuit, which seeks class-action status to represent all club members at Hualalai, was filed Sept. 30 by Honolulu law firm Revere & Associates LLLC against Four Seasons, Hualalai Realty and entities involved in developing the resort.
“When making home and club sales, the defendants consistently represented that the Hualalai Resort would provide a world-class experience yet they have failed to and continue to fail to provide adequate facilities,” the complaint said.
Four Seasons provided a written response saying the company believes that Zyda’s claims are without merit and do not represent the position of many club members.
“Four Seasons works diligently with ownership to implement policies that respect and balance the interests of club members and hotel guests,” the company said. “We believe the policies implemented are expressly permitted by the club agreements and, more importantly, are in the best interest of club members.”
The company added that based on recent member surveys, Zyda’s claims are shared by only “a small minority” of club members.
Club membership, which is reserved exclusively for residential property owners at the resort, provides preferred access to a variety of amenities that are shared with hotel guests, as well as discounts and other perks.
Four Seasons declined to discuss how much it costs to join the club, though Hualalai Realty lists the price on its website as a $250,000 “premier membership deposit” and $40,625 annual membership dues.
For golf, privileges include getting on the course without a tee time or having to pay a greens fee, using complimentary rental clubs, playing nine holes with the resort’s golf pro on Wednesdays and a scramble tournament with other club members on Tuesdays followed by complimentary drinks.
For tennis, members don’t pay court fees and have free use of a ball machine and daily clinics.
On the ocean, club members don’t pay to use stand-up paddleboards or outrigger canoes, can have their own canoes stored and delivered to the beach, and may participate in an annual regatta.
Club members also receive hotel room, dining and retail discounts, complimentary transportation to and from the airport, and exclusive use of a “casual hideaway” called the Canoe Club that includes lunch and cocktail service, a pool and a spa overlooking Uluweuweu Bay.
“To become a member of The Hualalai Club brings another rich and fulfilling dimension — the unequalled Hualalai lifestyle,” the resort states on its website.
Four Seasons states that members and their spouses receive full benefits and that other immediate and extended family members receive varying levels of benefits. Hualalai Realty notes that some fee changes took place Jan. 12 that added fees for unaccompanied guests of members, including guests renting the homes of members.
Zyda, in his lawsuit, said he bought his membership based on sales representations that there would be no additional guest fees. Zyda also alleges that the resort has contributed to overuse of the club by building and selling new homes, letting employees use club facilities and planning to sell up to 150 new memberships, including some to nonresidents of the resort.
“The defendants failed to maintain and provide adequate facilities to handle the growing population and increased usage of the resort,” the lawsuit said.
The suit seeks to eliminate guest fees, obtain monetary damages, elect a board of homeowners to govern the club and prevent the resort from selling more homes and club memberships until homeowners democratically agree that sufficient club facilities and amenities can handle such expansion.
Four Seasons said the lawsuit will have no impact on the running of the resort.
“We are pleased that Hualalai Resort has become one of the world’s premier luxury resort communities, for both club members and hotel guests,” the company said in its statement. “This matter does not affect the day-to-day operations of the resort, and our dedicated team continues to be focused on doing what they do best — providing service that is genuine, consistent and personal.”
