Category Archives: Liability

by | July 14, 2011 · 7:14 am

Hospitality Industry Guest Credit Card Security: Tips For Securing Hotel Computer Systems Against Credit Card Data Theft (Video)

[youtube=http://www.youtube.com/watch?v=iCmZ9DlrI9o]

Sue Zloth, is a member of the HFTP PCI Compliance Roundtable, provides key tips for securing guests’ credit card data at the 2011 Hospitality Industry Technology Exposition and Conference (HITEC) conference.

  • Change default passwords on all new information systems
  • Do not allow remote access into hotel computer systems
  • Minimize areas where credit card data is stored

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Filed under Crime, Guest Issues, Liability, Maintenance, Management And Ownership, Risk Management, Technology, Theft, Training

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by | July 13, 2011 · 10:19 am

Hospitality Industry Guest Security: Hotels Launch "Radio Frequency Identification Technology" (RFID) To Better Secure Guestrooms And Limit Guest Access To Different Floors

One of the latest innovations to be launched in the customer security market within the hospitality industry is non-contact Radio Frequency Identification (RFID) technology. This allows guests to access the hotel and their rooms simply by waving their room card, rather than having to insert it into a lock.

The RFID cards can also be extended to lift-systems with cards encoded to allow guest’s access to only the floors that they are entitled.

This means that visitors can be rest assured that from the front door to their rooms, their safety is of the utmost concern, which will only enhance the customer experience.

  • Hoteliers need to ensure that they have a robust threat assessment procedure in position and ensure that a crisis plan is prepared and rehearsed. Security operations need to be agile to respond or expand to meet the required needs if new threats emerge.
  • When enforcing security checks or CCTV, be sensitive, as the guests still need to feel as sense of relaxation as well as safety.
  • Ensure all current staff is trained to identify, inform and respond to any suspicious activity or any crisis that a hotel could face.
  • Hotel staff should remain visible. This gives guests peace of mind and is a key way to deter any criminal activity.
  • Where possible, incorporate security features into the guest experience but do not let a security operation intrude on the customers stay.
  • Outsource specialist tasks like outdoor patrols and vehicle checks to trained third-party security providers. However, ensure they are trained in guest interaction by the hotel so they adhere to your standards.

For more:  http://www.hotel-industry.co.uk/2011/07/identification-systems/

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by | July 11, 2011 · 5:12 pm

Hotel Industry Employee Risks: The "National Institute for Occupational Safety and Health" (NIOSH) Releases Statistics And Goals For Reducing Injuries To Hotel Room Cleaners

Nearly 1.8 million people worked in the traveler/accommodations industry in 2008, including more than 400,000 hotel room cleaners.

Most cleaners are women, and many are immigrants and minorities who perform tasks including dusting, vacuuming, changing linens, making beds, scrubbing bathrooms, cleaning mirrors, and disposing of trash.

Hotel cleaners face hazards such as the following:

  • ergonomic hazards that include bending, pushing carts, and making beds;
  • trauma hazards that include slips, trips, and falls;
  • respiratory, dermal, and possibly carcinogenic hazards from chemicals in cleaning products;
  • mold and microbial contaminants;
  • infectious agents; and
  • occupational stress due to heavy workloads, lack of adequate supplies, job insecurity, low pay, and discrimination.

Organizations and individuals can help improve the safety and health of hotel cleaners in the United States:

  • Identify and evaluate hazards and adopt inter¬ventions to prevent work-related injuries and illnesses in the hotel environment.
  • Evaluate the quality and ensure maintenance of equipment used in hotel cleaning operations.
  • Encourage the use of ergonomic carts and vacuum cleaners, and long-handled tools like mops and scrub brushes; and inform suppliers about the best equipment for cleaners.
  • Conduct research on guest practices that would improve the work environment for room cleaners.
  • Partner with OSHA, NIOSH, labor, and oth¬ers to study why disparities exist in injury rates among room cleaners and what remedies are effective, and to quickly implement available remedies

For more:  http://ohsonline.com/articles/2011/07/08/niosh-fact-sheet-highlights-safety-health-concerns-among-hotel-cleaners.aspx?admgarea=news

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by | July 7, 2011 · 6:35 am

Hospitality Industry Guest Room Security: Large Hotel Operator Converts Rooms To "Electronic Lock System", Replacing Mechanical Card Locks As "Magnetic Strip Keycards" Provide "Full Audit Accountability"

  • Each keycard is encoded using a portable Front Desk Unit (FDU), uniquely designed for the hotel industry
  •  The magnetic strip keycard reader provides full audit accountability, enabling management to provide legal support in the event of unauthorized access to a room.
  • For emergency use the Generation E-760 door locks provide emergency access through a mechanical key (fixed or recodable) or electronic override plus an emergency keycard.
 
La Quinta Inns & Suites has announced an agreement with Kaba to install the ILCO 760 locking systems in approximately 140 La Quinta hotels. Implementation will begin in fall 2011.
 
“KABA ILCO products demonstrate the reliability that La Quinta wants for its operators and guests,” says Gerald Rodriguez, vice president of purchasing for LQ Management L.L.C. “We were also impressed with KABA’s willingness to engage in a long-term partnership with La Quinta. This will enable us to provide security to our guests, and professional service and operational excellence to our hotels and their staff into the future.”
 
La Quinta began evaluating electronic lock system providers to replace its mechanical card locks in early 2010. This effort included field testing locks from several manufacturers to verify the best solution for La Quinta’s hotels. After testing, La Quinta chose KABA ILCO 760 locks and the Front Desk Unit (FDU).
 
 

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by | July 6, 2011 · 8:23 am

Hotel Industry Pool Safety: Risks Of Dangerous "E. Coli" Outbreaks In Hotel Pools Increase As Chlorine Levels Decrease, pH Levels Rise Due To "Sunlight, Dirt And Material From Swimmers' Bodies"

“Because of the risk for outbreak of illness, it is essential that public pools and water parks follow Centers for Disease Control and Prevention guidelines for adequate chlorine and pH levels.”

Sunlight, dirt, debris and material from swimmers’ bodies can all reduce chlorine levels in pool water. That is why chlorine levels must be routinely measured. As pH goes up, the ability of chlorine to kill germs goes down, so pH levels also need to be tested. Specific regulations regarding testing timetables and testing procedures would prevent illness.

“…E. coli O157 can cause severe dehydration, hemorrhagic colitis (may require removal of part of the colon), and hemolytic uremic syndrome (HUS), sometimes referred to as E. coli kidney failure. In addition to uremia and renal failure, HUS can cause seizures, strokes, encephalopathy, acute respiratory distress syndrome, heart attack and heart failure, blindness, paralysis, pancreatitis and death…”

E. coli attorney Fred Pritzker is calling for better regulations for public swimming pools after fifteen people were sickened at the Opelika SportsPlex and Aquatic Center in Opelika, Alabama. Parents should be able to bring their children to a public swimming facility without the children getting exposed to E. coli O157 or another dangerous pathogen,” said Pritzker. “Better regulations regarding chlorine and pH testing would help prevent E. colioutbreaks.”

To date, thirteen children and two adults who either played in the Splash Park or swam in the pool at the Opelika SportsPlex and Aquatic Center between June 4 and June 22 were identified with severe gastrointestinal illness consistent with E. coli O157 poisoning. Five children have been confirmed positive for E. coli O157:H7 infection.

Four children were hospitalized, and two remain hospitalized. “Based on the information that we have now, it appears that the common source of exposure was the Aquatic Center,” said State Health Officer Dr. Donald Williamson.

For more:  http://www.businesswire.com/news/home/20110630006874/en/E.-coli-Lawyer-Calls-Regulations-Wake-Opelika

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by | July 5, 2011 · 8:22 am

Hospitality Industry Information Security Risks: Hotel Computer Systems Are Increasingly "Breached" Through "Privileged Users" Who Have Total Access To Sensitive Data

“..security breaches are still happening at an even more significant pace with more damaging results.  In the end, many of these advanced intrusions and data security breaches are focused on taking over access to the accounts and permissions of specific “privileged” users in an organization who have access to sensitive data…”

“…These privileged users are specifically targeted by outside hackers because they have proverbial keys to the kingdom, but in some cases the inside user themselves is intent on stealing or doing damage…” 

One solution that is emerging to this problem is to carefully monitor everything (e.g. every key stroke and every mouse click) that a privileged user does on the network, while also putting more granular limits on what they can do.  Basically “trust but verify,” with the goal being detecting any anomalies in a privileged user’s computing usage (e.g. why is this person downloading the source code at 3 a.m.?).  This is not uncommon as it relates to other privileged users in other jobs — the “Eye in the Sky” in the casinos in Las Vegas is equally monitoring the gamblers for cheating but is also monitoring the dealers, and at a bank the CCTV is not only looking for robbers but the teller slipping some money in their pocket.

Instructive of the value of this new approach is that immediately after its breach, the RSA division of EMC acquired private company Netwitness for a reported large premium.  Netwitness is known for analyzing user activity monitoring at the network layer.  In addition, the latest security vendor to file for an IPO, Imperva, has as its core solution the ability to monitor database access and usage by Database Administrators, another type of privileged user.

For more:  http://blogs.forbes.com/tomkemp/2011/07/05/as-hacks-proliferate-new-security-technology-emerges-to-monitor-privileged-it-users/

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Filed under Crime, Guest Issues, Insurance, Labor Issues, Liability, Management And Ownership, Privacy, Risk Management, Technology, Theft

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by | July 1, 2011 · 10:17 am

Hospitality Industry Structural Risks: Texas Hotel Remains Closed As Repair Crews Replace "Glass Balcony Panels" Which Had Fallen And Injured Guests By Pool

“…12, two-man repair crews have begun to remove glass balcony panels. By 5 p.m. Thursday, about 600 glass panels on the north, south, east and west sides of the building had been removed from the balcony frames and secured. Meanwhile, temporary engineered wood panels were prepared for installation on each balcony…”

At about 8 p.m. Wednesday, barricades, flashing police car lights and TV station vans surrounded the normally life-filled W Austin Hotel and Residences. The luxury brand is usually a beacon of fun, sending the sounds of music, drinking and conversation down the busy Second Street District.

Engineers and experts continue to investigate why glass came tumbling down from the tower, forcing one of Austin’s most talked about destinations to close just before the busy July Fourth weekend.

For more:  http://www.bizjournals.com/austin/blog/big-picture/2011/06/w-austin-hotels-life-after-falling.html

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by | June 30, 2011 · 8:16 am

Hospitality Industry Theft Risks: New York Hotel Has Valuable Painting Stolen From Lobby As "Surveillance System" Identifies Man Walking Out With Covered Object

“…A video surveillance shows a man walking into the swanky building then coming out a short time later with a bag not visible in the first clip”…

An art thief made off with a painting worth a reported $350,000 from the Upper East Side’s posh Carlyle Hotel early Tuesday morning. The Fernand Leger painting, which went missing from the lobby hallway, was on loan from the Helly Nahmad Gallery located inside the hotel’s swanky Madison Avenue building.

“The Carlyle’s security personnel reported the painting missing at 3:30 a.m. to the 19th Precinct as well as the gallery owner,” a hotel spokeswoman said. “A complete investigation is now in process.”

The 1917 ink-on-linen by Leger — a French artist who was part of the Cubism movement — was apparently only 10-inches-by-8-inches. The Madison Avenue landmark, a favorite for presidents and prime ministers, boasts of itself as “a showcase great art, a purveyor of privacy and a sanctuary of luxury and refined taste,” on its website.

Read more: http://www.dnainfo.com/20110629/upper-east-side/art-thief-swipes-fernand-leger-painting-at-carlyle-hotel#ixzz1QmBxtyM0

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by | June 28, 2011 · 1:15 pm

Hospitality Industry Insurance Risks: "Employment Practices Liability Insurance" May Contain "Exclusions For Intentional Acts" That May Deny Coverage To Hotel Executives In "Disparated Treatment And Sexual Harassment" Cases

“…a panel of arbitrators found that (the executive)  “was well acquainted with the company’s policy on sexual harassment and other acts of inappropriate conduct.”  They further found that (the executive)  “did not comply with the policy on sexual harassment and that his refusal was willful.” 

“…attorneys should remind their clients to carefully review their existing EPLI policies and to understand all exclusions that may apply, as well as to be mindful of such exclusions when negotiating the purchase of a new EPLI policy…”

Exclusions typically found in EPLI policies include exclusions for Fair Labor Standards Act claims, National Labor Relations Board decisions, ERISA matters, costs of complying with accommodations mandated by the Americans with Disabilities Act, and claims arising out of facts or circumstances known to the employer before the effective date of the policy.  Another possible exclusion is for intentional acts.  This exclusion generally is intended to eliminate coverage if an employer acts with “wonton, willful, reckless, or intentional disregard for any laws.” This exclusion is a carryover from other policies traditionally offered, including commercial general liability policies and workers compensation policies.

The question that arises is whether an intentional acts exclusion precludes coverage for disparate treatment or sexual harassment claims.  By their very nature, disparate treatment and sexual harassment require some type of intentional conduct.  If the intentional acts exclusion is interpreted broadly enough, an allegation of disparate treatment or sexual harassment may provide the insurer grounds for denying coverage under the policy.

For more:  http://www.lexology.com/library/detail.aspx?g=54d3b2ac-48f1-497b-ac65-ee0e32826815

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by | June 26, 2011 · 5:59 pm

Hospitality Industry Employee Risks: Hotel Management Should Use Employment Contracts Which Are "At Will", Do Not Discriminate And Define Scope Of Employment; Comprehensive Insurance Should Be In Place At All Times

Hotel Management and owners should set up uniform employment contracts, which:

  • Do not discriminate against people based on any of the protected classes as defined by federal or state law;
  • Define the scope of the employment;
  • Say if the employment is for a term or “at will”;
  • Assign the pre-corporate formation intellectual property to the company;
  • Assign all subsequently created intellectual property to the company; and
  • Protect the corporate intellectual property from disclosure.

The last two categories of protecting intellectual property of the company can be accomplished by drafting non-disclosure agreements, and Proprietary Invention Assignment Agreements.

Insurance – Getting insurance for your company is a bet worth taking, given the potential unpleasant surprises of not being prepared. Again, your needs will vary depending on your company, but among the standard offerings are:

  • Comprehensive General Liability Policies (“CGL”) – A CGL policy is usually geared towards protecting a company from personal injury;
  • Directors and Officers (“D&O”) Insurance – D&O insurance may cover the wrongful acts of the officers and directors of a company;
  • Advertising Injury Insurance – Insurance that covers defamation, invasion of privacy, copyright infringement and other intellectual property injuries. (The advertising injury is usually a part of a larger policy, like a CGL, and not a policy onto itself.); and
  • Employment Practices Liability Insurance (“EPLI”) – The EPLI is a specialized insurance policy protecting companies against employment lawsuits.

For more:  http://venturebeat.com/2011/06/27/4-legal-pitfalls-startup-owners-must-face/

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