Dominic Rivera  |  April 24, 2014

Category: Consumer News

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resort fee hotel feesA recent report by USA Today revealed that U.S. hotels collected an estimated $2.1 billion in resort fees in 2013. Travelers are not happy and want companies to quote an honest rate, including all required fees. If they have it their way, there would be a total removal of resort fees.

The report cited the experience of Cheryl Nygaard, a Doubletree San Juan customer, who was charged with 18 percent per night resort fee during her visit to Puerto Rico. The additional fees, which also covered her Internet connection, beach chairs and towels, an in-room DVD player, and water and pool amenities, were added to her bill during the last day of her stay.

Nygaard alleges that she was in Puerto Rico for business and did not even use the pool, beach chairs or DVD player. Doubletree did not consider waiving the fees. Hilton eventually apologized for the confusion and claimed that they make every effort to ensure that fees are disclosed.

Where does the money go? According to the report, most of the $2.1 billion goes directly to hotel owners. Travel agents and hotel companies do not benefit substantially from these fees.

The Federal Trade Commission (FTC) sent warning letters to hotels and online travel agencies informing them that resort fees “might” be deceptive. It is seen as a step towards stricter enforcement. Even Jessica Rich, the agency’s director of Bureau of Consumer Protection, said that they would continue working with the industry to improve upfront disclosures.

The USA Today report hinted that “resort fees could die quickly at the hands of the FTC. A single consent decree, which concludes resort fees are unfair and deceptive, would give large hotel companies the excuse to permanently end the practice, even over the objections of owners.”

What are Resort Fees?

Hotels started charging resort fees in the 1990s, when they were used to pay for the upkeep of high-end facilities at more upscale resorts, beach clubs, and other luxury destinations. Resort fees are almost always on a fixed rate that is paid per room, per night.

However, for the past several years, lower-end resorts and hotels started the practice of charging resort fees. As mentioned earlier, resorts try to justify these charges by stating that they are used for the amenities the guest uses, whether they actually make use of them or not.

Travel experts state that one way to avoid excess resort fees is to read the fine print before booking the room. Oftentimes the fees will be referred to as separate charges when the room is booked, but even if they are not listed specifically. Typically, hotels hide the resort fees through the advertisement of low room rates, and do not mention the resort fees in the reservation total.

Guests often discover these charges when they check out and find they have a higher bill than expected. According to the FCC, this business practice is now illegal, and guests may now be able to file a resort fee class action lawsuit over these fees.

File a Resort Fee Class Action Lawsuit Today

If you or someone you know was charged a mandatory hotel resort fee that was not disclosed until after the hotel was booked, or not until check-out, you may be eligible to participate in a free class action lawsuit investigation. Some of the hotel chains being investigated for this potentially illegal practice include but are not limited to:

Fairmont
Hilton
Hyatt
IHG (InterContinental Hotels Group)
Marriott
Starwood
Westin
Wyndham
Others

Submit your information for a free claim review at the Hotel Resort Fee Class Action Lawsuit Investigation.

One thought on Travelers Want Hotels To Do Away With Resort Fees

  1. Laure Wilson says:

    I am a “so called” owner in worldmark by wyndham and I pay maintanence dues of $202 per month for upkeep and amenities at the resorts. In addition, At several of the properties there are additional charges of $20-$100+. I inquired what the fee was for in Mission Valley in San Diego and was told it was a municipal fee that hotels and resorts charge since 9/11. Another experience I recently had was paying $399 in advance for hotel stay in Scotts Valley on Orbitz.com. I asked for a receipt when I checked out of the Hotel and the cost with all fees & taxes was $321. What happened to my $78! I got the run around when I called Orbitz customer service.

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