Understanding Disney Vacation Club's “Right to Refusal” in 2023!

Learn How Disney's ROFR Impacts DVC Resale Transactions

Purchasing a Disney Vacation Club (DVC) membership on the resale market requires an understanding of Disney's Right of First Refusal (ROFR). This crucial policy affects both buyers and sellers and plays a significant role in every resale transaction. While not related to vacation stays or refund rights, ROFR determines whether Disney permits the sale of the contract or opts to repurchase it.

What Is Disney's Right of First Refusal (ROFR)?

The Right of First Refusal is a legal clause in every DVC contract, allowing Disney Vacation Club to repurchase a resale contract before it transfers to a new buyer. Once terms are agreed upon by the seller and buyer, the contract is submitted to Disney for review. If Disney exercises its ROFR, it purchases the contract itself, preventing the sale to the buyer.

This is not a refund policy or customer satisfaction clause; it is strictly part of the DVC resale approval process.

How Does ROFR Work in a DVC Sale?

Once a DVC contract is sold on the resale market, it is sent to Disney for the ROFR review, typically taking 7 to 21 business days. During this period:

• If Disney waives ROFR, the contract proceeds to closing with the buyer.
• If Disney exercises ROFR, Disney becomes the new owner at the same agreed-upon price, replacing the buyer.

No additional fees or paperwork are required from the seller; however, both parties should understand that Disney has the final say before a resale can close.

To see recent contracts Disney has repurchased, check the DVC Buy Back Chart.

Why Does Disney Use ROFR?

Disney employs ROFR to:

• Maintain the value of DVC contracts in the resale market
• Reacquire high-demand contracts and points for their inventory
• Prevent contracts from selling too far below market value

This approach helps Disney manage ownership availability across different resorts and maintain consistency in DVC resale pricing.

How Can Buyers and Sellers Prepare?

Buyers should work with a trusted broker like DVC Sales to stay informed throughout the ROFR process. Brokers can offer guidance on:

• Current ROFR trends
• Safe offer pricing that minimizes the risk of Disney exercising its rights
• Resort-specific patterns (Some resorts are repurchased more frequently)

For sellers, it's important to know that ROFR doesn't delay payment. If Disney buys back the contract, it will pay the same price and close quickly.

What ROFR Is Not

To clarify, ROFR is not a guest-facing policy that allows you to cancel your trip or request a refund during a stay. Disney does not offer a "Right to Refuse" policy based on dissatisfaction during a vacation. For any issues during your trip, contact DVC Member Services or Disney Guest Relations for resolution on a case-by-case basis.

Final Thoughts

The Right of First Refusal is an essential aspect of every DVC resale transaction. While it may seem complex, it protects your membership's value and helps Disney maintain a robust resale market. Whether buying or selling a contract, understanding how ROFR works will help you make informed decisions and avoid surprises.