The Court ruled in favour of a Norwegian national who argued that the "in perpetuity" clause of her timeshare contract with Anfi was illegal according to EU law.
The basic issue at stake was whether Anfi could sell time share in perpetuity after EU law banned the practice in 1998. Anfi argued that timeshare units in buildings created before the 1998 law were exempt. The court ruled that they aren't.
The ruling, which currently covers just the one case, could mean that all "in perpetuity" timeshare deals sold by Anfi del Mar since 1998 are illegal and therefore invalid. The company, owned by Bjorn Lyng's family and local firm Santiago Cazorla, could be facing lots of court cases and a big legal and compensation bills.
EU law states that timeshares can only be sold for a period of between 3 and 50 years.
If the ruling holds it will also affect any other timeshare resort that sold "in perpetuity" after 1998.
Alex Says: This ruling has now been confirmed by the Spanish Supreme court and the owner got her money back in May, 2016.
For more on Spanish timeshare law and how lots of timeshare owners are getting their illegal contracts annulled and their money returned, read our FAQ.