Delta Air Lines and United Airlines were ordered by a federal judge to face a consumer antitrust class action accusing major U.S. carriers of conspiring to drive up domestic airfares by reducing the number of available seats.
26.08.2023 - 13:49 / skift.com / Gary Leff / Joe Biden / Sean Oneill / Hyatt Hotels
Travelers United’s choice to sue Hyatt over its “junk fee” practices fits into a broader storyline about travel junk fees being in the limelight ever since President Joe Biden referred to travel fees in his 2023 State of the Union address.
Travelers United filed the case in Washington, D.C., whose laws require transparent upfront pricing — which the activist group alleges Hyatt isn’t providing.
Lauren Wolfe of Travelers United said yesterday the advocacy group plans to file similar lawsuits against other hotel groups.
From the suit:
“Since at least 2020, Hyatt has been systemically cheating consumers out of tens, if not hundreds, of millions of dollars each year by falsely advertising its hotel room rates,” the lawsuit claims. Rather than disclosing the full cost of its hotel rooms upfront, Hyatt instead adds on last-minute “destination fees,” “resort fees” and other similar charges that are really part of the daily room rate. The goal of Hyatt’s false advertising is to convince consumers shopping for a hotel room that a Hyatt room is cheaper than it is.”
—The lawsuit (embedded below)
We asked Hyatt for a comment yesterday, but haven’t received a response.
Travel commentator Gary Leff blogged that “This is an industry-wide problem, not a Hyatt problem.”
Yet broadly, some consumers seem to take the the industry practice of drip pricing in stride. One study found that guests dropped their online ratings by only a small percentage after they faced “surprise” fees and booked anyway.
Delta Air Lines and United Airlines were ordered by a federal judge to face a consumer antitrust class action accusing major U.S. carriers of conspiring to drive up domestic airfares by reducing the number of available seats.
Park Hyatt New York has unveiled a new art installation from local contemporary abstract artist and hotel bellman for nine years, Jeffrey Okyere-Agyei.
Yet another U.S. hotel company faces a lawsuit about disclosing mandatory resort fees. Sonesta, which runs more than 1,200 hotels under various brand flags, faces a class-action suit in Washington, D.C., over how it displays its resort fees on its website and app.
Good morning from Skift. It’s Wednesday, August 30. Here’s what you need to know about the business of travel today.
Hyatt, Marriott, and MGM Resorts have been hit with lawsuits since 2019 over how they disclose mandatory resort fees. The companies have since changed how they disclose resort fees on their websites and apps.
2,800 employees from eight TUI companies under one roof.
Guy Hutchinson is President & CEO of Rotana, one of the leading hotel management companies in the region with hotels across the Middle East, Africa, Eastern Europe and Turkey. Hutchinson is responsible for developing and executing the strategic direction of Rotana and devising and implementing short- and long-term strategies to help the company realize its expansion plans. In addition, he provides executive oversight of all aspects of Rotana’s day-to-day operations.
Traveling cheap usually includes hidden costs — now, plaintiffs who previously flew on Spirit Airlines and were surprised with bag fees at the gate will be paid settlements.
The State of Texas filed a lawsuit against Booking Holdings, alleging that it violates state law by marketing hotel rates in a deceptive manner because it doesn’t include a variety of fees when it initially displays room prices.
Hyatt just lapped the one-year anniversary of acquiring the all-inclusive resort company Apple Leisure Group in a $2.7 billion deal. The Chicago, Illinois-based hotel group is now looking to expand its hotel presence in European cities that could help feed its all-inclusives, according to comments executives made as they reported its earnings.
Top Hyatt executives said on Tuesday they planned to create hotels and resorts in two destinations on Mexico’s Caribbean coast — Tulum and Isla Mujeres — with about 5,000 rooms together.
Hyatt Hotels Corp., which enjoyed a blockbuster financial performance in 2022, forecasted Thursday continued success this year, especially in the first half. The company expects to benefit from growing consumer interest in its lifestyle, luxury, and resort properties, returning group reservations for its banquet halls, and an expanding room count.