Hospitality Industry Liability: Hotels Can Be Held Liable For Failing “To Protect Children From Adult Movies”

In October 2007, a Norwalk, California Superior Court Jury found the Value Lodge Hotel, liable for involuntarily subjecting an 8 and 9 year old sisters to hard core pornographic movies. (McCombs vs Value Lodge Enterprises Case VC 047178)

 The guests, a woman from Tennessee and her 8 and 9 year old daughters, checked into the Value Lodge Hotel. After check in, the woman took a shower and told her daughters to watch television.

 The daughters turned on the TV and came across a pornographic television channel, which was unprotected and could be accessed just like any other regular television channel or program. The Mother sued the Hotel for $640,000.

 The Jury awarded the Mother $85,000 in damages. The Judge did not allow punitive damages in this case.

 During the trial, the Mother’s Attorneys presented testimony from a Hotel Expert, who commented that in his thirty years experience, he has never seen a family hotel where some affirmative action was not necessary in order to access adult movies.

 The Hotel argued that there was a sign on the television advising guests to notify the front desk if they did not want the adult movies, but the hotel could not produce a sign as evidence.

 After the trial, the Jury said they did not believe the Hotel in fact had a sign or any other notification in the rooms about the adult movies.

 How does this case affect Hotels with adult movies?

 The facts of this case are very specific. The Hotel’s adult movies were not protected in the usual hotel “movie system”, which requires the guest to push numerous remote buttons, and pass through numerous movie / ordering screens. The adult movies at this Hotel were just one of the regular channels, the same as all of the rest of the television channels.

 The Jury felt the Hotel had a “duty” to protect children from this type of unprotected and simple access to an adult movie. Remember that all lawsuits start with the neglect or failure of a “duty” that is required from one party to another. I think we all would agree that in this specific case, the Hotel did have a “duty” to prevent children from viewing adult movies.

 What is your “duty” if you don’t have immediate access to adult movies, but a Hotel movie system (like LodgeNet or On Command) that requires you to select movies and go through numerous screens and buttons to order a movie?

 The Norwalk Superior Court verdict tells us that Hotels do have a duty to protect children from adult movies. But the Court does not offer any guidance for other adult movie systems that are currently being used in a majority of Hotels.

 I could argue that a “LodgeNet or On-Command” in room Hotel movie system is adequately protected, as the movie system requires numerous selection screens, remote button pushing and ordering screens before a movie can be ordered. There is an automatic defense in common law known as “improper parental supervision”, that can be used if a child’s parent is present, and the child gets injured or otherwise harmed. The defense to the child’s harm can be that the child “was not properly supervised” by the parent who was present. Of course the exact facts of each case would dictate what the “duty” of the Hotel was, and what the “duty” of the parents was, in those very specific circumstances.

 I could also argue that if the Hotel were held liable for what a child sees on a Hotel television, then it would create a “slippery slope” for other television situations. For instance, the Animal Planet channel shows african lions attack and kill a defenseless animal during a nature program. Children could be harmed by seeing an animal they loved being mauled and eaten by another animal, so is the Hotel responsible for that situation? Or, how about a Health Channel showing a real medical operation on a person that shows blood and human body organs? This could also upset a child. As you can see, there is no simple answer to this question.

 And, what about our favorite free movie channels that most Hotels carry like HBO or Showtime? HBO and Showtime are in the TV line up as regular television channels and often carry very provocative and sexual oriented programming, but these channels are not protected or blocked in any way.

 So, What Should You Do?

 Train your staff to ask guests at check in if they would like any of “the movies” turned off in the room. Especially if you see the guest is with children at check in, or the guest is asking for a crib etc. This includes HBO etc.

  1. Post a sign or small placard on the television advising the guest that the hotel has adult programming, and to call the front desk if they would like those channels blocked. Include this advisement in your guestroom directory along with all of the other Hotel, menu and attraction information.
  2. Turn off all adult movies to all Hotel rooms. This would require the guest to specifically call the front desk and request the movies to be turned on, which now protects you from accusations of negligence. This step will increase your front desk work load, as they will have to respond to dozens of calls every night asking for movies. This might also upset the Guest, as it becomes inconvenient to have to call for movies, so you should consider all of the consequences to having the movies turned off all of the time.
  3. If a Guest calls and informs you they are receiving “free movies” which they didn’t ask for or pay for, then make sure your staff reacts quickly to turn off the movies. Don’t take a guest complaint of getting “free movies” lightly. Have maintenance respond to the guest room to ensure the problem is solved.
  4. Regularly check your movie system to ensure it is working properly. Recently I was staying in a large hotel that was under renovation, and I was receiving all movies, including adult movies free, as I channel surfed. It was obvious that the movie system had been compromised as part of the renovation, so all of the pay movies were being broadcast to rooms without restrictions.

 Todd Seiders CLSD, is Director of Risk Management, Petra Risk Solutions, Hospitality Insurance and Risk Management experts, you can contact Todd at: todds@petrarisksolutions.com, or (800) 466-8951.

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Workers’ Compensation In California: Next California Governor Will Face Challenges To States Workers’ Compensation Reform

(From a Sacramenton Bee article) When Arnold Schwarzenegger deigns to catalog his accomplishments, reforming the state’s system of compensating workers for job-related injuries and illnesses ranks high on his list.

One of Schwarzenegger’s first acts six years ago was bulldozing the Legislature into a sweeping overhaul of workers’ compensation, reducing both eligibility for direct payments to disabled workers and medical care costs.

The system is so large that the legislation and the administration’s subsequent implementation rules cut employers’ costs by about $15 billion a year, or approaching $100 billion so far.

Workers’ comp politics being what they are, however, the changes generated fierce opposition from those on the other end of the pipeline, namely unions, disability attorneys and medical care providers.

http://www.sacbee.com/2010/02/22/2554129/dan-walters-workers-comp-battle.html

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Hospitality Industry Conferences: 2010 American Hotel & Lodging Association “Legislative Action Summit” To Be Held March 15-16 In Washington, D.C.

2010 AH&LA Legislative Action Summit
March 15-16, 2010
J.W. Marriott Hotel
Washington, D.C.

Join other AH&LA members from across the country in the U.S. lodging industry’s annual legislative summit. Come to the AH&LA Legislative Action Summit in Washington, D.C., during March 15-16, 2010, and make a difference through coordinated visits to Capitol Hill to share your perspective to lawmakers on key issues affecting your own workplace.

This is your chance to visit your Senators and Representative and let them know your opinion on pending legislation. There is no better opportunity for hoteliers to come make a big difference on the legislation that matter most to you in 2010: economic recovery, hotel taxes, healthcare reform, card check, and travel promotion.

At the 2010 LAS, you will gain insights from lawmakers and top industry executives on how impending legislation will impact your business decisions. LAS’s Industry CEO panel will feature an in-depth discussion on issues from these top industry leaders:

• Jim Abrahamson, President, The Americas, InterContinental Hotels Group
• Steve Joyce, President & CEO, Choice Hotels International
• David Kong, President & CEO, Best Western International Inc.
• Christopher Nassetta, President & CEO, Hilton Worldwide

With the economy, healthcare, and card check legislation on the table during the 2010 election year, Congress needs to hear your point of view.

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Hospitality Workplace Health And Safety: Preventing Accidents Must Be A Priority (Video)

[youtube=http://www.youtube.com/watch?v=tN2gpRcFKAQ]

WARNING: Graphic content. This ad is from the workplace health and safety marketing campaign from Ontario’s workers’ compensation board. Disturbingly effective.
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Hospitality Industry Workplace Safety Legislation: Wyoming Legislature Passes Bill Increasing Civil Penalties For Workplace Safety Violations

(From a KULR8.com article) A bill boosting fines and civil penalties for workplace safety violations will be considered by the full House.

The Wyoming Tribune Eagle reports that House Bill 93 passed the House Minerals, Business and Economic Development Committee on Wednesday by a 5-4 vote. Under the legislation, civil penalties would rise from a range of $5,000-$70,000 to a range of $8,000-$120,000 for each violation.

If the violation causes the death of an employee, the civil penalty amounts would increase to a range of $50,000-$250,000. For an employer with 25 or fewer employees, the minimum penalty would not be less than $25,000.

Fines for failing to fix problems or violating specific areas also would rise

http://www.kulr8.com/news/wyoming/84659927.html

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“Workplace Accident Prevention” Needs To Be A Higher Priority In Hospitality Industry As Surveys Show Most Worker’s Compensation Carrier Decisions Based On Pricing

Survey results... found that price drives the choice of workers' compensation carrier for 3 out of 4 (71%) restaurant owners and other decision-makers.

(From a Hotelnewsresource.com article)  Workplace accident prevention apparently remains a persistent problem as nearly half (44%) of restaurant owners and managers reported at least one costly workers’ compensation claim in the past five years-and 10% percent reported five or more claims within the same period.

Despite this accident reporting, a majority (61%) of survey respondents who changed carriers at their last renewal reported switching because of price. Workers’ compensation insurance carriers track policyholders’ loss experience to help determine premiums, as accident frequency can directly affect restaurants’ insurance premium pricing. Service-driven workers’ compensation insurance carriers like EMPLOYERS focus on the potentially significant savings that could be realized through effective use of workplace safety and accident prevention efforts.

http://www.hotelnewsresource.com/article34605Restaurant

_Survey_Finds_Focus_on_Workers__Comp_Price_Trumps_Accident_Prevention_Savings.html

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High Levels Of Carbon Monoxide Found To Be Leaking In A Hotel Illustrate Importance Of Industry Safety Compliance

(From a Fosters.com article)  It’s colorless, odorless, tasteless and can kill you without notice.

The potentially lethal amount of carbon monoxide or CO found to be leaking inside the Hilton Garden Inn on Monday is actually considered to be a by-product of combustion of fossil fuels.

According to the Centers for Disease Control and Prevention (CDC) statistics show that each year more than 500 Americans die from unintentional carbon monoxide poisoning. On Monday, a total of 12 people were sickened and taken to the hospital as a result of nearly 600 parts per million of CO being found in the basement of the downtown hotel.

A normal level of the colorless, odorless gas is said to be between 30 to 35 ppm.

“Appliances such as furnaces, space heaters, clothes dryers, ranges, ovens, water heaters, charcoal grills, fireplaces and wood burning stoves can produce CO,” according to the CDC. “It is usually vented to the outside if appliances function correctly and the home is vented properly. Problems occur when furnace heat exchanger crack or vents and chimneys become blocked. Insulation sometimes can trap CO in the home.”

Once the gas is inhaled, it is easily absorbed through the lungs.

The CDC says when CO is breathed in by an individual, it accumulates in the blood and forms a toxic compound known as carboxyhemoglobin or COHb. Hemoglobin carries oxygen in the bloodstream to cells and tissues. When carbon monoxide is introduced to humans it attaches itself to hemoglobin and displaces the oxygen the body’s organs need.

When that happens symptoms can occur that include headaches, fatigue, nausea, dizzy spells, confusion and irritability. Later stages of CO poisoning can cause vomiting, loss of consciousness and eventually brain damage or death.

http://www.fosters.com/apps/pbcs.dll/article?AID=/20100217/GJNEWS_01/702179868/-1/FOSNEWS

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Hospitality Industry Risk Update: Colorado Considers Legislation Limiting Workplace Surveillance Of Employees Who Filed “Workers Compensation” Claim

(From a BusinessInsurance.com article posting) Legislation that would restrict video surveillance of employees who have filed a workers compensation claim by insurers and self-insured employers has been approved by a Colorado House committee.

Workplace surveillance would be limited by pending Colorado legislation.

Colorado’s House Judiciary Committee approved H.B. 10-1012, sponsored by state Rep. Sal Pace, D-Pueblo, on a 6-4 vote last week. The bill would prohibit insurers or employers from conducting surveillance of workers comp claimants unless they have “a reasonable basis to suspect that the employee has committed fraud or made a material misstatement concerning the claim.”

 Claimants would be allowed to ask for an expedited hearing to learn why they are being investigated and individuals conducting the surveillance would be required to respond fully to questions.

 The legislation, which now goes to the Colorado House Appropriations Committee, also sets up a $1,000-a-day penalty for violations. A similar bill is pending in the Colorado Senate.

 Separately, Denver-based Pinnacol Assurance, a state-created workers comp insurer, said in a statement Tuesday that it is prepared to give the state $200 million to remove it from state control become a policyholder-owned workers comp insurer.

http://www.businessinsurance.com/article/20100216/NEWS/100219948

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Hospitality Industry Risk Management Involves Company Sponsored Safety Training (Video)

[youtube=http://www.youtube.com/watch?v=LGFUg4H_13M]

Hospitality Industry Safety Training

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Workers’ Compensation Claims Must Be Reported And Processed Quickly And Efficiently To Keep Insurance Costs Down

Reporting claims in a timely manner not only is cost-effective, but creating an encouraging reporting culture can also promote a successful claims management program.

It is illegal to conceal or fail to submit a workers’ compensation claim.

Workplace accidents happen due to unsafe conditions, inadequate training and ignoring near-misses. Although accidents can’t be eliminated entirely, injury prevention is an essential component of efficiency and profitability. The goal is to reduce both the frequency and severity of claims. A culture in which employees are encouraged to speak out about safety concerns without fear of reprisal is imperative in averting claims. When a claim does occur, a culture invested in identifying and addressing the root cause will benefit the company. The key to a successful culture change in workers’ compensation reporting is a shift in thinking and behavior that is consistently reinforced by management until expectations are realized.

In a January 2009 article in Proofs Magazine, William Penney says that 69 percent of injuries may never make it into the BLS Survey of Occupational Injuries and Illnesses. The most probable driving force in underreporting workers’ compensation claims is that employers pay the total cost of medical care versus health insurance which involves co-pays. Other factors include a lack of understanding of reporting requirements, economic and/or peer pressure, safety/bonus incentives, an attempt to maintain or gain government contracts or an avoidance of OSHA inspections. When an employee submits a claim under their personal health insurance, the claim does not affect a company’s experience modification factor or workers’ compensation premium.

 

It is illegal to conceal or fail to submit a workers’ compensation claim. Although it may appear that underreporting workers’ compensation claims is cost effective, studies have shown that this practice often increases costs. Unreported and untreated soft tissue injuries, especially back injuries, may become more severe over time and eventually require more medical care and possibly surgery. The National Council on Compensation Insurance (NCCI) reports that injuries reported within two weeks are 18% more costly than those reported within the first week and injuries reported in the fourth and fifth weeks are 45% more costly. Additionally, claims that are reported late are more likely to be litigated. The NCCI finds that injuries reported within 10 days are 22% more likely to be litigated whereas claims reported 31 days after the loss are 47% more likely to be litigated.

 http://www.rjfagencies.com/claims-culture-fall09.html?utm_campaign=FallNewsletter09&utm_medium=email&utm_source=link3

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