Lemonjuice Solutions Lawsuit: Harbor Hill, Yachtsman, and Inverness

There is no single Lemonjuice Solutions lawsuit that defines the company. Instead, Lemonjuice Capital and Solutions, the timeshare restructuring firm led by founder Alexander Krakovsky, has been repeatedly pulled into court through the work it does: buying timeshare intervals at troubled resorts, taking seats on homeowners association boards, and steering distressed properties toward sale, conversion, or termination. Disputes tied to that model have played out in Maryland, Massachusetts, South Carolina, and Texas, and they are the clearest window into how the company operates and why it draws criticism.

Lakewood Resorts in Maryland

The most heavily litigated dispute involving Lemonjuice is with Lakewood Resorts Council of Owners, a timeshare association in Garrett County, Maryland. In 2015, Lemonjuice entities and Krakovsky filed a twelve-count complaint in the Circuit Court for Garrett County challenging the timeshare’s governance and management, and seeking the right to vote 51 time intervals associated with a particular unit.¹

The circuit court granted summary judgment to Lakewood on multiple counts. Lemonjuice appealed, and in August 2021 the Court of Special Appeals of Maryland issued a split decision. It upheld dismissal of a count alleging Lakewood had failed to register Lemonjuice as an owner for meetings, finding Lemonjuice had not requested specific relief on that claim. But it reversed summary judgment on the count seeking a permanent injunction forcing Lakewood to recognize and count Lemonjuice’s voting interests, ruling that the underlying agreement did not terminate the unit’s voting rights and that injunctive relief remained available. The case was sent back to the circuit court.¹

During the appeal, the parties reached a settlement through alternative dispute resolution. That agreement itself became the subject of a separate enforcement lawsuit after the sides disagreed over its terms, and Lemonjuice filed a second suit against Lakewood over thirty-two additional intervals it owned. As of the 2021 appellate opinion, the enforceability of the settlement and the related suits remained unresolved.¹

Harbor Hill Bankruptcy in Massachusetts

In 2016, the Harbor Hill timeshare complex in Provincetown, Massachusetts declared bankruptcy after its office manager was found to have embezzled more than $1.8 million over several years.² The Town of Provincetown bid $8.1 million for the 26-unit property to convert it into year-round rental housing. In February 2017, Lemonjuice Capital submitted a competing bid of $750,000 and intervened in the bankruptcy proceedings, arguing that the trustee lacked authority to sell real property belonging to the more than 1,000 individual interval owners rather than to the association.³

Krakovsky had purchased two intervals for $5,000 each shortly before the auction. Bankruptcy trustee Warren Agin called that a “bad faith” tactic to manufacture standing, and accused Lemonjuice of a pattern of buying small interests in distressed timeshares to force involvement in termination processes for profit. Krakovsky said the company was protecting the property rights of owners who had not been properly informed of the bankruptcy.⁴

In April 2017, U.S. Bankruptcy Court Judge Joan Feeney referred the case to Massachusetts Land Court to resolve the underlying title and ownership disputes.³ The parties eventually settled. Lemonjuice gained the right to purchase foreclosed intervals at a discount and to collect court-ordered settlement payments those interval owners would have received. In exchange, it agreed not to contest the town’s acquisition of the property or the dissolution of the condominium association.² Lemonjuice also agreed to advise the bankruptcy estate on the timeshare termination process for a fee of one dollar.⁵ Provincetown was declared the owner of Harbor Hill in September 2018 after 80% of interval owners agreed to termination, and the property was repurposed into 28 units of year-round rental housing.

The Yachtsman Sale Under Federal Court Supervision

Lemonjuice’s involvement with The Yachtsman Resort in Myrtle Beach, South Carolina, shows a less adversarial but equally court-entangled side of its work. When the resort faced insolvency in 2018, Lemonjuice acquired several hundred intervals and stepped in to keep the property operational.⁶

The company terminated existing service contracts it said were overpriced, oversaw more than $4 million in structural repairs, and worked through expired developer rights, failed financial audits, outstanding legal claims, and changes to South Carolina’s timeshare laws.⁶⁷

Inverness Condominium in Texas

In Conroe, Texas, Lemonjuice took on a 44-unit distressed timeshare called Inverness Condominium, which had widespread owner abandonment from a pool of roughly 2,000 co-owners and no money for maintenance. Lemonjuice began consulting with the board in the summer of 2018 and was eventually tasked with acquiring the property from owners who wished to sell. Over two years the company put more than $500,000 into repairs and set up onsite residential rental operations before selling the property through a virtual auction. Proceeds went to remaining owners, creditors, and Lemonjuice.⁸

Criticism of the Business Model

The Harbor Hill trustee’s “bad faith” accusation is the sharpest version of a critique that follows Lemonjuice more broadly. Some timeshare owners describe the company as a lifeline for resorts that would otherwise collapse and leave them paying maintenance fees on unusable properties. Others say the model lets Lemonjuice buy intervals cheaply, take control of a board, and drive a sale that primarily benefits the company while remaining owners lose their voting power along the way.⁹

Lemonjuice distinguishes itself from what it calls “predatory exit companies” that charge owners thousands of dollars for services they rarely deliver, pointing to its consultative relationship with boards and its record of returning money to owners.¹⁰ In a published interview the company also criticized competitors it accused of forcing owners out through exorbitant special assessments.¹¹

Who Runs Lemonjuice

Krakovsky founded Lemonjuice after his own frustrating experience as a timeshare owner in Ocean City, Maryland. His family purchased a timeshare week in the early 2000s, and by the time he tried to sell around 2013 he found the timeshare market value was far below the underlying real estate value. He began buying additional weeks, attending board meetings, and eventually won seats on the boards of two Ocean City properties, The Bay Club and The Waves.¹¹ His earlier career was in the energy sector, including a decade as Senior Vice President at ContourGlobal from 2005 to 2015.¹²

R. Scott MacGregor serves as Executive Vice President and Chief Operating Officer. He co-founded In Season Resorts and was a regional manager for Interval International.¹³ Lemonjuice joined the American Resort Development Association in 2018.¹⁰

1
Maryland Courts. Lemonjuice Capital Partners I, LLC v. Lakewood Resorts Council of Owners, Inc.
2
Provincetown Encyclopedia. 3 Harbor Hill Road
3
Cape Cod Times. Harbor Hill Case Heads To Land Court
4
Wicked Local. Town Officials Try to Make Harbor Hill Deal Work
5
PRWeb. Efforts of Lemonjuice Capital Helped Set Harbor Hill Timeshare Termination on the Right Track
6
Lemonjuice Solutions. Lemonjuice Solutions Announces the Sale of The Yachtsman Resort
7
Connect CRE. Myrtle Beach Resort Selling Units
8
Lemonjuice Solutions. Lemonjuice Repositions Texas Timeshare Resort
9
TUG BBS. Special Assessments Discussion
10
ARDA. Alexander Krakovsky Spotlight
11
Lemonjuice Solutions. Alex Krakovsky: Journey From Timeshare Owner to Industry Leader
12
The Org. Alexander Krakovsky – Lemonjuice Capital Solutions Org Chart
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Lemonjuice Solutions. Scott MacGregor: Timeshare Leadership