Tag Archives: Las Vegas

Hospitality Industry Legal Update: “Class Action Lawsuit Goes After Hotels That Fail to Disclose Resort Fees”

“Brian Kabateck, an attorney for Brin, said he has heard from many hotel guests who have groused about being surprised by resort fees on their hotel receipts. “This is really an insidious practice,” he saidresort fees lawsuit…Although the U.S. Department of Transportation regularly imposes fines against airlines that fail to disclose the full airfare, there may be too many hotels in the U.S. for the Federal Trade Commission to enforce the disclosure law on hotels, Kabateck said.”

If you have ever glanced at your hotel receipt only to be stunned to see an unexpected $28 resort fee, help may be on the way.

A Studio City man has filed a class-action suit against a Las Vegas casino, claiming that the resort is guilty of false and misleading advertising for failing to clearly disclose a mandatory resort fee at the time that he booked the room.

The practice is not unique to Las Vegas.

Undisclosed resort fees are such a prevalent problem that the Federal Trade Commission sent out a letter to 22 hotel companies in 2012, warning that their online reservation sites “may violate the law by providing a deceptively low estimate of what consumers can expect to pay for their hotel rooms.”

For more: http://lat.ms/1HN6ia9

Comments Off on Hospitality Industry Legal Update: “Class Action Lawsuit Goes After Hotels That Fail to Disclose Resort Fees”

Filed under Crime, Guest Issues, Hotel Industry, Management And Ownership, Risk Management

Hospitality Industry Technology Update: “The Hotel Booking App That Will Change Everything!”

“Also, unlike most apps, Roomlia has no ties to a user’s credit card information. It passes the credit card data on to the hotel securely,Roomlia which means that the user can handle booking changes directly with his or her hotel of choice, making it much easier on the traveler and the hotel.”

I am an avid hotel-booking-app user. I regularly toggle between Hotel Tonight, Expedia, Travelocity, and Orbitz to hunt for rooms and deals when I travel. Sometimes I use them even when I don’t have travel plans as a way to decide where I want to go. I’m cheap!

I like to search Gogobot to browse by destination. I think Hipmunk offers a stellar user experience. I am not altogether unhappy with the app landscape right now, so I’m not necessarily in the market for a new hotel booking app, but I am always willing to try something new.

For more: http://yhoo.it/1qKUGuJ

Comments Off on Hospitality Industry Technology Update: “The Hotel Booking App That Will Change Everything!”

Filed under Hotel Industry, Management And Ownership, Technology

Hospitality Industry Business Practices: “Bitcoin To Be Accepted For Food and Lodging In Two Las Vegas Hotels”

“…Using bitcoins for the casinos itself won’t be happening anytime soon. State regulators, particularly the Nevada Gaming Control Board, are being more cautious about acknowledging and accepting the new type of currency.Image The gaming industry isn’t particularly keen on pushing for it either. This is almost in contrast to the government of Singapore who just recently recognized Bitcoin as a valid, and therefore taxable, currency…”

Bitcoin has been making waves across the world, and now the cryptocurrency craze has reached the good city of Las Vegas. Starting Wednesday, two hotels in Las Vegas, including the The Golden Gate, the city’s oldest casino, will start accepting Bitcoin payments but only for hotel expenses.

Four years have already passed since Bitcoin came into being, but this new kind of currency only truly exploded last year, sometimes to rather insane heights. While it still mainly remains an oddity and curiosity for many, it has started to be become quite literally a serious business for others, including some governments.

For more: http://www.slashgear.com/bitcoin-to-be-accepted-for-food-and-lodging-in-two-las-vegas-hotels-21314010/

Comments Off on Hospitality Industry Business Practices: “Bitcoin To Be Accepted For Food and Lodging In Two Las Vegas Hotels”

Filed under Hotel Bar, Hotel Restaurant, Management And Ownership, Technology

Hospitality Industry Insurance Risk Management: Las Vegas Hotel Has Insurance Policy That Fails To Name Hotel As “Additional Insured”, Complicating Payment Of A Submitted Claim For Structural Damage

The floor collapsed and dropped almost a foot, resulting in damage to the structures of both the lounge and the hotel.

The Luxor also sought compensation as an “additional insured.” The lease between the casino and developer required the latter to name Luxor as an additional insured on all policies. No doubt the Luxor assumed (that dangerous word!) that this language covered its exposure to loss.

However, the developer’s insurance policy restricted the coverage of an additional insured. Luxor’s entitlement was limited to indemnification for money it paid to people injured by the developer’s acts or omissions. The casino was not entitled to compensation for its own losses…

The casino invoked the Unfair Insurance Claims Practices Statute, a law adopted by numerous state legislatures.

The Luxor Hotel & Casino Hotel contracted with a developer to construct and operate a restaurant called the Cathouse Lounge (nothing is subtle in Vegas) on the mezzanine level. The developer gutted the space, made structural modifications and installed new fixtures and equipment.

One night during Cathouse’s third month in operation, while a large crowd was enjoying good food and fun ambiance, a portion of the structure began to buckle. The floor collapsed and dropped almost a foot, resulting in damage to the structures of both the lounge and the hotel. The lounge was evacuated immediately. Thereafter the county Department of Building Services ordered Luxor to close both the Cathouse and damaged portions of the hotel pending repairs. Luxor hired an expert to determine the cause of the floor’s failure. Turns out the renovations were insufficient to support the sizeable number of people the lounge attracted.

Both Luxor and the developer paid to repair the structural deficiencies and for damage to their respective property. The Cathouse reopened in three weeks and submitted a claim to its insurance company. The Luxor also sought compensation as an “additional insured.” The lease between the casino and developer required the latter to name Luxor as an additional insured on all policies. No doubt the Luxor assumed (that dangerous word!) that this language covered its exposure to loss.

However, the developer’s insurance policy restricted the coverage of an additional insured. Luxor’s entitlement was limited to indemnification for money it paid to people injured by the developer’s acts or omissions. The casino was not entitled to compensation for its own losses. Yikes!

This is a very significant limitation. Luxor was seeking compensation for costs of repairing structural damage to its own facility, replacing its own destroyed property and interruption of its business. The insurance company denied the claim based on the indemnification-only coverage, and the court upheld the denial. This was not the plan Luxor had in mind when it included the requirement that the casino be listed as an additional insured in the developer’s lease.

But lawyers are clever folks and Luxor was well-represented. The casino invoked the Unfair Insurance Claims Practices Statute, a law adopted by numerous state legislatures. This act requires, among other consumer protection provisions, that insurance companies respond to claim letters within 30 days of receipt. The insurance company in the Luxor case waited months before acknowledging the hotel’s claim. The penalty for violation is mandatory payment of the claim. This is true even though the policy does not otherwise cover the claim. So the court awarded Luxor the money it sought. Sometimes the back door can be a great alternative.

For more:   http://www.hotelworldnetwork.com/legal/read-your-insurance-contract-closely-then-read-it-again

Comments Off on Hospitality Industry Insurance Risk Management: Las Vegas Hotel Has Insurance Policy That Fails To Name Hotel As “Additional Insured”, Complicating Payment Of A Submitted Claim For Structural Damage

Filed under Claims, Insurance, Liability, Risk Management, Uncategorized