Potential Lawsuit vs. Hyatt Hotels
In recent years, a troubling trend has emerged in the hospitality industry — the practice of charging “resort fees” that guests are often not fully informed about until after they’ve booked their stay, or they realize after checking in that the services included in the fee are not available. Resort fees are additional charges tacked onto a guest’s final bill, typically disguised as a “service fee” to cover amenities and services that the hotel claims are included in the price of the stay. However, a growing number of these fees are being charged for services that are either not provided at all or are of questionable value, making the fees not only deceptive but potentially illegal.
What is a resort fee?
A resort fee, by definition, is a mandatory charge added to the room rate by hotels, regardless of whether or not the guest actually uses the services or amenities listed. These amenities might include access to the gym, pool, Wi-Fi, bottled water, or even things like newspaper delivery. While these charges are often presented as covering “complimentary” services, many guests report that they never even use the services for which they are being charged. Worse, some hotels claim to provide these amenities while they are either unavailable or extremely subpar.
The Legality of Resort Fees
The legality of resort fees is being increasingly questioned, especially when hotels fail to disclose these fees upfront in a transparent and easily accessible manner. The Federal Trade Commission (FTC) and other consumer protection agencies have scrutinized resort fees for misleading marketing practices. Hotels sometimes advertise a lower room rate, with the resort fee hidden until the end of the booking process, making the actual cost much higher than initially anticipated. This lack of upfront disclosure is at the heart of why many resort fees can be considered illegal under consumer protection laws. In fact, various U.S. states, including Nevada, have investigated and fined hotels for failing to clearly disclose these charges before booking, with the argument that the hidden fees violate truth-in-advertising laws.
Exploiting Guests’ Expectations
What makes resort fees particularly insidious is that they exploit guests’ expectations of what is included in the price of a room. A guest may book a hotel thinking they are paying for a room rate that includes all necessary services, only to arrive and discover that they are obligated to pay additional fees for basic services that should have been part of the room rate. This practice often affects travelers who may not realize the extra charges until after they’ve already committed to their booking or even checked in, leaving them with little recourse.
Moreover, in some instances, hotels will continue to charge resort fees even when the amenities they advertise are unavailable. For example, a hotel may charge for access to its pool or gym, only to close these facilities due to maintenance or health concerns. In such cases, the resort fee can be seen as a blatant violation of consumer rights, as the guest is paying for services they are unable to access.
A Lack of Transparency
Ultimately, the charging of illegal resort fees reflects a deeper issue in the hospitality industry: the lack of transparency and the tendency to exploit customers through hidden charges. In the face of rising consumer complaints and legal challenges, it is likely that these deceptive fees will continue to face increased scrutiny. Travelers deserve transparency when booking their stays, and they should be able to rely on clear, upfront pricing that includes all fees, so they can make informed decisions without the risk of hidden costs at the last minute.
Compensation
Did you stay at a Hyatt brand hotel in the last 2 years and were charged a resort fee/destination fee/ amenity fee? If so, you may be entitled to compensation. Also, if you contact us you may serve as a class representative helping to eliminate these “junk fees.” Hyatt brands include: Park Hyatt, JDV by Hyatt, Hyatt Regency, Hyatt Centric, Grand Hyatt, Destination by Hyatt, Caption, Andaz etc.
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