A Michigan couple who were jailed in Mexico for a month after a dispute erupted over a timeshare agreement is mired in legal action against the resort company. 

Paul and Christy Akeo, of Spring Arbor, filed their latest legal steps Aug. 20 in U.S. District Court for the Southern District of Florida, Miami Division, seeking a temporary restraining order and preliminary injunction against a pending arbitration effort by Palace Resorts, a Florida-based company that owns resorts and properties in Mexico, and its related company holdings.  

The couple formerly had a membership with Palace Resorts, and a credit card was attached to the account for the monthly payments. About $116,000 of such charges was eventually reversed on a claim of services or products not received. 

This plea to the court was in advance of an Aug. 26 hearing on the case.  

Circumstances of the dispute 

Palace Resorts had claimed that the couple committed credit card fraud and breached a contract agreement, telling CBS News Detroit in March that "Between 2016 and 2021, the Akeos knowingly and willingly entered into 19 separate membership agreements with Palace Elite, investing over $1.4 million USD in exchange for exclusive benefits and rates intended strictly for personal use." 

In social media posts shared with CBS News Detroit, Palace Resorts alleges that the couple bragged about receiving the reversed feeds and encouraged others to follow suit. Lawyers for the company sent a cease-and-desist letter accusing the Akeos of providing "specific instructions to current palace elite members on how to purportedly 'terminate' their respective membership agreement using illegal and fraudulent means."  

As the contract dispute continued, the Akeos began to challenge the membership charges on their credit card accounts. 

Shortly after they landed in Cancun on March 4 for a vacation visit, Mexican authorities told the Akeos they faced criminal fraud charges. They remained in custody in separate locations for about a month. The U.S. State Department was notified, and U.S. Rep. Tom Barrett, who represents Michigan's District 7 in the Lansing area, flew to Mexico and met with the couple. 

In response to the incarceration, the Akeos' attorney, John Manly, said that the company's decision to pursue criminal charges was overblown. 

They were released on April 3 under circumstances that included going under police escort to an airport, where a private jet then took them out of the country. 

The arbitration agreement document 

Shortly before they were allowed to leave Mexico, the Akeos signed what they called an "alleged agreement" that bumps the financial dispute into the jurisdiction of the International Court of Arbitration, with the sessions in Vancouver, Canada. 

A photo of the couple seated, with a uniformed guard standing next to them, was taken by Barrett that day and included with the legal documents. 

They now claim the signature was given under duress as a condition to being released from Mexican custody. 

"We learned from our lawyers that we needed to sign the Mutual Release and Nondisparagement Agreement in favor of Palace Elite to be released from these terrible circumstances," Christy Akeo's statement filed Aug. 20 said. "We signed the Agreement where we were told to by our lawyers. While signing the Agreement, Palace lawyer Kevin was standing over us glaring at us. This was the first time we ever saw the Agreement." 

Manly, in his statement filed Aug. 20, said "I was told expressly by Congressmember Barrett and other diplomats that the Akeos would not be freed from prison or criminal prosecution instituted by Palace Resorts unless they signed the agreement at issue." 

The Akeos are parents of Lindsey Hull, formerly known as Lindsey Lemke, who was one of the gymnasts identified as Dr. Larry Nassar's victims. 

The above video originally aired on April 4.