That's $750 toward travel when you redeem through Chase Ultimate Rewards®. Hotels we have worked on over the years. 4489 is entitled the Hotel Advertising Transparency Act of 2019. This is the first legislation aimed at killing resort fees introduced in Congress since 2016. Hotel resort fees have become controversial in recent years. For more information, contact Mark at 949. The average resort fee in Hawaii is $27 per night with more than 100 island resorts charging additional fees (based on a study by Travel Hawaii). That was our intention with this video as well. A class action lawsuit investigation has been launched to find customers who may have fallen victim to illegal resort fees and are due compensation. To read Marta's articles, go to www.HotelLawBlog.com and select "Labor & Employment." What’s the fuss? Jeffrey Steiner is a partner in JMBM's Real Estate Department and a senior member of JMBM's Global Hospitality Group® -- a team of seasoned professionals who have helped clients around the world with more than 4,300 hospitality properties worth more than $104.7 billion. If you have a question you would like to submit to Ask the Hotel Lawyer™ please use the comments box below. Please contact us if you would like to discuss any issues that affect your hotel interests or see how our experience might help you create value and avoid unnecessary pitfalls. Hotel Finance − Hotel Debt & Hotel Equity, How to Terminate Hotel Management Agreements, Hotel Lawyer on PPP2 and the COVID Relief Bill’s changes to Paycheck Protection Program, ADA Defense Lawyer: The Court Dismisses ADA Lawsuit for Lack of Standing Proving Once Again These Cases Can Be Won, Hotel Lawyer Labor & Employment New Year Round-Up: What to Expect in 2021, ADA Website “Tester’s” Lawsuit Dismissed – Again. Robert Kaplan is a partner in JMBM's Bankruptcy, Insolvency and Restructurings Group and a senior member of the Global Hospitality Group® -- a team of seasoned professionals who have helped clients around the world with more than 4,300 hospitality properties worth more than $104.7 billion. H.R. Their goal is to make resort fees illegal, according to a report by The Points Guy. We advise hotel industry clients on litigation, compliance and risk mitigation strategies. 1 2 Next . He has represented hotel owners in the negotiation of several hundred management agreements, as well as spa management and franchise agreements. We understand the best defenses to consumer and government agency claims that Resort Fee practices constitute violations of state consumer protection actions, the Federal Trade Commission Act and other causes of action based on misrepresentation, consumer fraud, and unfair business practices. 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. Bob represents owners in both transactional and operational issues. Marty specializes in representing hospitality industry clients in Americans With Disabilities Act (ADA) compliance and defense. Several myths about “resort fees” have arisen. According to the complaint, a “resort fee” is a mandatory per-night charge that hotel operators add on to the nightly advertised room rate. We may receive compensation when you click on links to those products. About 45 percent of hotels in resort locations, such as ski or beach destinations, charge resort fees, he says. The FTC issued a warning to 22 hotels in 2012, saying that surprising guests with hidden resort fees is deceptive and illegal. © 2021 THE POINTS GUY, LLC. Disclaimer: The responses below are not provided or commissioned by the bank advertiser. Robert Braun is a partner in JMBM's Corporate Department and a senior member of JMBM's Global Hospitality Group® -- a team of seasoned professionals who have helped clients around the world with more than 4,300 hospitality properties worth more than $104.7 billion. A RED VENTURES COMPANY. Wei Deng is General Counsel of Bosen American Capital, Inc. where in addition to his legal duties, he is responsible for sourcing, evaluating and proposing United States investment opportunities to the company. 1900 Avenue of the Stars Bob also advises hotel owners regarding telecommunications, software, internet, e-commerce, data processing and outsourcing agreements. Now, federal lawmakers are taking action. As a management labor lawyer with more than 20 years of experience, Marta specializes in representing hospitality industry clients in all aspects of labor and employment including labor-management relations such as union prevention, collective bargaining for single as well as multi-employer bargaining units, neutrality agreements and defense of unfair labor practice charges before the NLRB. Bennett Young is a partner in JMBM's Bankruptcy, Insolvency and Restructurings Group and a senior member of the Global Hospitality Group® -- a team of seasoned professionals who have helped clients around the world with more than 4,300 hospitality properties worth more than $104.7 billion. An experienced trial attorney, Scott has litigated a number of high-profile and complex cases involving a wide range of labor and employment law matters. Submitting a contact form, sending a text message, making a phone call, or leaving a voicemail does not create an attorney-client relationship. Mark has taken or defended nearly 1,000 depositions throughout North America, Europe and the Middle East. 4489, the Hotel Advertising Transparency Act of 2019. For more information, please contact Marta Fernandez at 310.201.3534 or at mfernandez@jmbm.com. H.R. On the luxury side of things, the Fisher Island Club and Resort in Florida charges a $160.50 resort fee on top of a $1,052 room rate. But these questions are being asked not only by attorneys general and legislators, they are on the lips of movers and shakers throughout the industry. He focuses his practice on business litigation including contracts, corporate and partnership disputes, and hospitality disputes and litigation. 623.7230 or markadams@jmbm.com. Join a Free Class Action Lawsuit Investigation over Resort Fees. What are the legal and business considerations? In 2015, the Federal Trade Commission found that resort fees are not required to be included on advertised hotel rates. We found one Las Vegas hotel charging a room rate of $26 with a "resort fee" of $34. A registered Civil Engineer and Structural Engineer in California, and a former building official for the City of Los Angeles, Kevin brings unique experience and insight in Zoning and Building Code applications and Code Enforcement issues. Fashion Show • Are resort fees illegal? Mark's trial wins have been covered by Forbes, Reuters, and other publications. On behalf of hotel and resort owners, Mark has successfully litigated the termination of long-term, no-cut, hotel management agreements, franchise agreements, fiduciary duty issues, investor-owner disputes, TOT assessments, and more. Posts: 36 . Wednesday night, Rep. Eddie Bernice Johnson (D-TX) and Rep. Jeff Fortenberry (R-NE) introduced bipartisan legislation named the “Hotel Advertising Transparency Act of 2019,” aimed at making the practice of charging resort fees illegal. You might have been charged a resort fee—even if you weren’t staying at a resort. For more information, please contact Jeff Steiner at 310.201.3514 or jsteiner@jmbm.com. This post contains references to products from one or more of our advertisers. Jim Butler, +1-310-201-3526 or jbutler@jmbm.com, Mark Adams, +1-949-623-7230 or mxa@jmbm.com. The resort fee is more than the advertised room rate. For David's take on current issues in the timeshare arena, go to www.HotelLawBlog.com and click on the topic, "Timeshare." To read Bob's articles, go to www.HotelLawBlog.com and select "Management Agreements." For an explanation of our Advertising Policy, visit this page. On September 25, 2019, a bill was introduced in the House of Representatives that would expressly make hotel resort fees and other mandatory charges illegal. In response, the front desk may have the fee wiped or give you a comparable discount with the same … In some hotels, the resort fee gives you gym or pool access. E-mail: Editorial Note: Opinions expressed here are the author’s alone, not those of any bank, credit card issuer, airlines or hotel chain, and have not been reviewed, approved or otherwise endorsed by any of these entities. 4489, the Hotel Advertising Transparency Act of 2019. Shouldn't hotel resort fees be made illegal? Global Hospitality Group® We have provided counsel on Attorney General investigations. She manages all aspects of the entitlement process, including representing clients before local and state agencies, commissions and councils. Will hotels lose guests over resort fees? Please view our advertising policy page for more information. Visit our hotel photo gallery to see some of the more than 3,900 properties around the globe that the hotel lawyers of the Global Hospitality Group® have been involved with, on behalf of our clients. Travelers have been “subjected to deceptive hidden fees charged by hotels, ... both for deceptive resort fee practices. Bob represents lenders, special servicers, hard money lenders, community banks, national banking associations, distressed debt investors, and equity investors, positioning them for the best possible outcome by acting expeditiously to preserve value and increase cash flow. This compensation may impact how and where products appear on this site (including, for example, the order in which they appear). This article currently contains contradictory information about Canada. Friday 23 March 2018 17:40 34 comments Donald Trump ’s empire has brought the “resort fee” to the UK. Jamie’s experience includes all tax aspects with respect to the hospitality industry, including acquisitions and dispositions (including Section 1031 exchanges), financing and management agreements. Unfortunately, this also meant a record number of travelers were subjected to deceptive hidden fees charged by hotels, motels, and other places of accommodation,” said Congresswoman Johnson. When aggressive litigation is the best strategy, he is a vigorous and effective advocate for his clients. He devotes 100% of his practice to hospitality, representing hotel owners, developers and lenders. Either $5 or 5% of the amount of each transfer, whichever is greater. I would like to subscribe to The Points Guy newsletters and special email promotions. • If you are a loyalty program member or frequent guest, make it clear that your continued patronage depends on being treated fairly. The Points Guy will not sell your email. 4489 is entitled the Hotel Advertising Transparency Act of 2019. Follow Follow Unfollow. Jim Butler and the Global Hospitality Group®. Wei was previously with JMBM, where he focused on transactional and litigation matters. Just this month, a class-action lawsuit was filed in the U.S. District Court for the Southern District of California against Marriott alleging that resort fees amounted to a drip pricing scheme. Kevin represents developers and owners of hotels in a broad range of land use and zoning issues including entitlements, code enforcement, easements and parking requirements, as well as related Parcel Map and Tract Map subdivision issues. Get 25% more value when you redeem for travel through Chase Ultimate Rewards®. She represents owners and developers in land use, zoning, environmental, litigation and construction matters. Currently, hotel resort fees can be viewed as illegal based on existing state consumer protection laws. David Sudeck is a Partner in JMBM's Real Estate Department and a senior member of JMBM’s Global Hospitality Group® -- a team of seasoned professionals who have helped clients around the world with more than 4,300 hospitality properties worth more than $104.7 billion. Comprehensive list of hotels in 2012, saying that surprising guests with hidden resort fees are not required be! 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