The attorney general of Nebraska, Doug Peterson, became the second attorney general to sue a hotel corporation for what he calls deceptive and misleading resort fees. He filed a lawsuit last week against Hilton Hotels Corp. for its use of resort fee.
The first AG to file such a lawsuit was the attorney general of Washington, D.C., who sued Marriott International Inc. Nevada AG Aaron Ford may be mulling a similar suit depending on how the first two pan out.
The lawsuit accuses the Hilton of hiding the true price of rooms by veiling them in additional fees. It seeks to force the hotel chain to advertise its true fees and to pay civil penalties and a judgment against consumers who have been harmed.
Hilton owns, operates, manages and franchises about 5,700 hotels worldwide. Resort fees are normally collected for additional services, such as gym access, Wi-Fi and pool access, whether a guest uses the services or not.
Hilton claims its collects such fees at fewer than 2 percent of its properties, that it provides additional value, and that the fees are fully disclosed during booking.
The Nebraska AG claims at least 78 Hilton properties in the country have such fees, ranging from $15 to $45 a night. He argues guests discover them as they begin booking.
The states’ 50 attorneys general conducted a joint investigation of the practice. So it is possible that other lawsuits will follow.
