As lawyers who specialize in representing hospitality owners, developers, independent operators, and investors, we have a critical message for restaurants: it’s time to rethink how you disclose your fees. Recent changes in the legal landscape have significant implications for your operations, and compliance is no longer a matter of choice—it’s a necessity.
Jim Butler Discusses Pricing Transparency Laws on Hotel News Now PodcastEffective July 1, California implemented two new laws aimed at increasing transparency in advertised hotel room rates by addressing hidden or “junk” fees. These laws require mandatory fees, such as resort fees, to be included in the initial advertised price, fostering a more transparent and competitive market.
On July 1, 2024, the first comprehensive Junk Fee Law in the United States took effect in California. It prohibits drip pricing, which involves advertising a price that fails to include all mandatory charges and fees a consumer must pay. It requires upfront disclosure of the total price of goods or services upon first contact with the consumer. It applies to the sale of most goods and services, with only a few exceptions. A last-minute restaurant exemption was rushed into law — only two days before the law’s effective date.
AAHOA (Asian American Hotel Owners Association) welcomes New York City Councilwoman Julie Menin’s recent announcement to postpone the hearing on the Safe Hotels Act, a decision that follows last week’s announcement of the bill’s concerning rapid introduction and development. If enacted, it would prohibit hotels from operating without an additional license, including preventing the use of subcontractors for core functions such as housekeeping, front desk, and security.
American Hotel & Lodging Association Interim President & CEO Kevin Carey released the following statement after the New York City Council postponed a planned July 30 hearing on a bill that would gravely harm the city’s nearly 700 hotels and their roughly 265,000 employees.
Destination leaders Christopher L. Thompson, former president and CEO of Brand USA, and William D. “Bill” Talbert, III, former president and CEO of the Greater Miami Convention and Visitors Bureau, will be honored as the 2024 inductees into the U.S. Travel Hall of Leaders this fall, the U.S. Travel Association announced today.
AAHOA (Asian American Hotel Owners Association), the largest hotel owners association in the world, expresses deep concern over the recently introduced New York City Council bill that would prohibit hotels from operating without an additional license, including preventing the use of subcontractors for core functions such as housekeeping, front desk, and security.
The American Hotel & Lodging Association (AHLA) today announced the launch of its Hospitality Law Database, which gives hoteliers quick access to a nationwide compendium of state and local laws that impact hotel operations.
American Hotel & Lodging Association (AHLA) Interim President & CEO Kevin Carey issued the following statement today after the introduction of a New York City Council bill that would force hotels to abide by arbitrary operational mandates in order to stay in business.
American Hotel & Lodging Association (AHLA) Interim President & CEO Kevin Carey released the following statement today after the National Labor Relations Board (NLRB) withdrew its appeal of a federal court ruling blocking its joint-employer final rule. That rule would have made it easier for the NLRB to declare joint-employment status in business relationships and allowed unions to organize by company rather than property by property.
InnVentures, a division of Highgate that specializes in the management of premium select-service and extended stay hotels, announced today the addition of two hotels to its portfolio. InnVentures will assume management of the Embassy Suites Portland Washington Square, Oregon and Embassy Suites Seattle Bellevue, Washington. The hotels represent 596 keys, the company’s third and fourth Embassy Suites under management, and bring the total number of properties managed by InnVentures to 85.
The HGV Clubhouse will return to the highly anticipated FORMULA 1 HEINEKEN SILVER LAS VEGAS GRAND PRIX this fall offering fans an exclusive, all-inclusive viewing experience. Photo credit: Hilton Grand Vacations.
First, the nomenclature of the forbidden practices, then the names for the law, a summary of the latest events, and details of the final California Junk Fee Law. In this article, we will focus on the changes to the California Civil Code (CC), and particularly CC Section 1770) of the Consumer Legal Remedies Act (CC 1750, et eq.).
On July 1, 2024, California’s new Junk Fee Law took effect. It could have worldwide impact if prices for goods or services are publicly advertised and reach California residents. How can you avoid that with online ads and other public broadcasts over commercial media?
In the morning hours of June 25, 2024, the California Assembly unanimously approved Senate Bill 1534, an emergency response to the special interests of restaurants and labor (the California Restaurant Association and UNITE HERE), exempting any “restaurant, bar, food concession, grocery store or grocery delivery service” from application of the SB 478’s Honest Pricing Law that was passed in last year to become effective on July 1, 2024.
On June 27, 2024, the California Senate unanimously approved SB 1524’s so-called “restaurant exception” from SB 478’s Honest Pricing Law. See, Junk Fee Law: Exception for California restaurants moves forward.
PM Hotel Group, an industry leader in hospitality management, today announces it has assumed management of the Holiday Inn Wilsonville, situated in the Portland Metro Area. The Holiday Inn Wilsonville joins other PM Hotel Group properties in the region, including Canopy by Portland, Sheraton Portland Airport, Hampton Inn Portland and Aloft Portland Airport. This new partnership underscores PM Hotel Group's proficiency in driving revenue, optimizing operational efficiencies, and maximizing asset value for its properties.
Assembly Bill 537 (AB 537) was signed into law by Governor Gavin Newsom on October 13, 2023. It becomes effective on July 1, 2024, and adds a new Section 17568.6 to the California Business and Professions Code applicable to all advertising for short-term lodging.
Members and constituents of the Global Business Travel Association (GBTA) converged last week in Washington D.C. for the GBTA U.S. Legislative Summit 2024 where over 100 participants met one-on-one with U.S. Senators, Representatives and their staff to share data-informed insights and advocate for policies that support a sustainable future for business travel.
On June 11, 2024, the United States House of Representatives passed HR 6543, the so-called “No Hidden FEES Act of 2023” which introduces federal regulations aimed at enhancing transparency and fairness in the advertising of hotel room and short-term lodging prices. A critical component of this Act is its preemption clause, found in Section 4(a), which establishes a national standard prohibiting states from enforcing any laws that conflict with the federal mandate. This provision has significant implications for state regulations, such as California’s SB 478, which also aims to protect consumers from hidden fees in various transactions. The scope and application of this preemption clause are essential for assessing how state laws will be affected and ensuring compliance with the new federal standards.