This class action continues to address the question of when it is lawful for hotels and destinations to charge those mandatory “resort fees”. This class action alleges that two hotels in Las Vegas - the Venetian and Palazzo resorts - failed to properly disclose their resort fee until after the consumer had booked his hotel room online. And then the disclosure was in such a form that the consumer did not find out about the fee until after his stay.
The Venetian and the Palazzo charge a $29 daily resort fee. It is mandatory and covers the use of the pool. gym and other hotel facilities.
It is perfectly acceptable for a hotel to charge a resort fee. The question turns on whether the destination properly disclosed the fee to consumers.
In this case, the complaint alleges that the Venetian and the Palazzo online booking system did not disclose the fee in a conspicuous area during the booking process. The fee was disclosed in a follow up email after the booking process was completed, but even the email apparently only contained a hyperlink and the user had to follow that hyperlink to learn of the resort fee.
Significantly, in November 2012, the Federal Trade Commission issued a warning letter to 22 hotel operators notifying each that failure to disclose all mandatory fees during the booking process may violate state consumer protection laws.