I wrote two years ago about the way that Marriott illegally hides resort and destination fees from guests who are booking rooms using points. It’s gotten worse.
- Marriott entered into a legal settlement with Pennsylvania that required them to show the full cost of a room up front. They did this for paid stays, but never for free night awards. That was a violation of their legal agreement.
- The federal rule that the full cost of a hotel stay, inclusive of fees, must be displayed up front is now in effect. So Marriott’s display of free night prices is in violation of federal law, too.
New York EDITION
The federal rule says that “businesses [must] clearly and conspicuously disclose the true total price inclusive of all mandatory fees whenever they offer, display, or advertise any price of live-event tickets or short-term lodging” and that they must “display the total price more prominently than most other pricing information.”
For illustrative purposes, let’s take a look at the Westin Arlington outside of D.C. which has started imposing a $25 ‘destination fee’ per night. I’ve stayed here countless times because – although the 2006-era property is really worn, and it shows especially in the hallways, it’s one of the closest to my office.
On paid nights, Marriott shows the price per night inclusive of destination fee.
However on redemption nights they show the points price without any cash charges.
It’s not even in the ‘rate details’ when you click on that (although hiding it there wouldn’t be compliant, it would still be better than not showing it at all).
Instead, when you click through to book the reservation you see $28.56 will be due in addition to points.
If you expand that you will see the cash is for the destination fee, plus tax on the destination fee.
That simply does not comply with the law – either with Marriott’s lawsuit settlement agreement, or with federal regulations that have gone into effect. Neither contains a carveout for room nights that involve the use of points. Marriott has updated their booking to comply with the law on paid nights, I pointed out even two years ago that they’d never done so on points nights and still have not done so two years later even though it’s a federal requirement.
Westin Arlington Lobby
Everyone knows that resort fees are a scam. Hotels know it. By taking part of the mandatory cost of a hotel room out of the room rate, the hotel looks less expensive than it really is. And even if the resort fee is disclosed prior to completing the reservation, it still makes the initial rate – the rate you’re comparing against other hotels in a search – seem less expensive.
Properties do it to scam guests and to cheat taxing authorities or travel agencies that take a percentage of the room rate, but not a percentage of the total cost of the room. In other words, resort fees are literally fraud – both in intention and effect.
Westin Arlington Guest Room
On award nights this is a way for hotels to tax loyal guests. It’s like fuel surcharges that some foreign airlines impose on points redemptions. While Hyatt and Hilton forbid these fees on free night awards, Marriott introduced them when it launched the Bonvoy program. It was a way of having the program pay less to hotels for free nights, while allowing hotels to take in more revenue for those same nights.
At Marriott, there’s a cash co-pay to use your points at many of its hotels in a way that’s out of step with the industry. That’s bad enough. But the way they’re doing it is even illegal.
JW Marriott Desert Ridge
Some members will feel that Marriott eliminating the promise from their terms that if a suite is available it will be provided as an upgrade is worse.
I just see not even telling members they’ve done that as the same attitude towards customers that imposes cash surcharges to use your points and hiding the ball on that in violation of law. And probably the most Marriott thing ever, which is sad because this is a hotel company you really used to be able to trust and trust to deliver consistently.
IHG did the same to me and I was not appraised of a junk fee until I got my folio at checkout. Fortunately, I politely inquired with the general manager as to a waiver of the fee because it was never disclosed to me, and the manager acquiesced, although made clear in no uncertain terms I would be charged the fee on my next stay (obviously I would not stay there again)
@Gary – I didn’t realize you had a law degree! In any event you spout off like you do. I’m sure Marriott and the other hotel companies actually do have competent legal counsel and are comfortable that what they display is consistent with their interpretation of the regulations.
My company has on of those ‘corporate discount’ websites. All the hotel rates say nothing about resort/destination/AHP fees at all – then at checkout in 5pt font you’ll see that there are additional fees due, paid directly at check-in.
Industry to going to milk those fees for as long as they can. Once the government got their taxes attached onto those fees, they stopped giving a damn.
@AC the US Attorney General has a law degree so she must be competent right?
Bernie Madoff running Marriott from the grave?
BonVOID
Once upon a time Marriott was a reasonably honest hotel company and many folks had the perception of trust.Seriously what happened?
I avoid them at all costs and would have never been a customer had I not been grandfathered in from SPG a company I reasonably trusted
Sad really sad that they have to scam, defraud & mislead to sell rooms and redeem award nights
Another reason I no longer give Marriott priority when I book hotels, and I am Lifetime Titanium. I’ve said it before and I’ll repeat. Ever since Bill Jr stepped down from CEO role, it’s been downhill for Marriott brand strength. When Front Desk associates say, “Thank you for your loyalty as a LT Titanium member,” it rings too shallow and meaningless, and is. Maybe current CEO is doing what all the others’ are doing, but Marriott soared in the 1990s-2000’s because they were different than Hilton, Holiday Inn, etc. I still believe people will seek out customer service that’s above the mediocre crowd that Marriott is now a part of. Sad.
Marriott never had the best hotels, but Marriott used to be consistently good. They didn’t promise much, but they delivered on what they promised. When there was a significant issue you knew that Mr. Marriott would make things right.
Then, everything started to change when Mr. Marriott retired and his replacement as CEO, Arne Sorenson, wasn’t a hotelier but a corporate lawyer. Marriott shifted big time under Sorenson. No longer was the customer the guest. The customer became the owners, who are primarily franchisees and licensees since Marriott now operates less than 30% of its properties across all brands.
Under Sorenson is when customer service stopped serving guests. They found every excuse in the book to defend bad properties. Customer service became about serving the owners. If you had an issue, it was just kicked back to the property and not resolved by corporate. Gone were the days when you could get a hold of Mr. Marriott’s office to make things right.
Then after Sorenson died, his replacement accelerated the shift. He only cares about adding “keys” (rooms). Who cares about guests or even current properties — lots of longtime owners are mad as new brands are acquired and old brands are neglected. I remember when someone pulled up his Instagram and Facebook before it was scrubbed. The Marriott CEO didn’t even stay at Marriott hotels. When he traveled with his family he went to Four Seasons and other non-Marriott hotels.
A class action, also known as a class action lawsuit, class suit, or representative action, is a type of lawsuit where one of the parties is a group of people who are represented collectively by a member or members of that group.
Time for a Class Action Lawsuit on behalf of ALL Bonvoy members?
I read the FTC’s Rule on Unfair or Deceptive Fees, 16 C.F.R. Part 464, and it does not specifically state where the disclosure has to be located. It only says that “the required disclosure must be easily noticeable (i.e., difficult to miss) and easily understandable by ordinary consumers.” Based on the photos you posted, you can’t book the room without being told that taxes and the destination fee applies and is compliant with the regulation.
@AC — You can have a law degree and multiple bar licenses, yet, ultimately, our courts interpret those laws based on the facts are reach their own judgments, which are supposed to be enforced; unless and until this is actually adjudicated, we don’t really know what they’d decide. So, yes, it is often ‘it depends’ and ‘shades of grey,’ not black and white. I say, let Gary (and anyone else) express their opinions; if it’s a ‘bad take,’ then call it out. Done.
@Gary, keep fighting the fight.
“I’m sure Marriott and the other hotel companies actually do have competent legal counsel and are comfortable that what they display is consistent with their interpretation of the regulations.” The same lawyers who were forced into the PA settlement?
No need for an incessant argument on the finer points of law. There is an easier way to exact a toll on businesses engaged in deceptive practices, legal or otherwise: quit doing business with them. That includes Marriott.
@DFWSteve — I like the ideals of ‘let the free market decide,’ yet, this is not really a ‘free’ market; it’s regulatory capture; it’s corporate lobbying; it’s dark money in politics, leading to a lack of enforcement, consumers getting harmed, and having little recourse. So, fine, don’t reward bad actors, and maybe, in the aggregate, they change, but more likely, they keep screwing the ‘little guy,’ and we just keep ‘taking it,’ unless we fight the good fight, demand accountability. The best way to do that is to continue to expose bad practices. Gary does that on here often. Name and shame. This is the way.
This was cute when it started in LAS 10 years ago, and it should have lasted 2 weeks. But since people didn’t stand up to it and stopped staying at those hotels, now everyone’s doing everywhere. My approach is simple. I do not stay at hotels that charge me a resort fee, period. And I’m lifetime Platinum. Except I’m alone in this so it won’t move the needle, and it keeps getting worse. It’s why I root for a recession.
I’ve already contacted the Pennsylvania attorney general.
You can file FTC complaints at https://www.ftc.gov/complaint
@Nick Thomas:
The FTC is currently on a 4-year vacation from protecting consumers from billionaires.
Funny, I was charged a $30 resort fee on a rewards night at the Gaylord in dallas. I didn’t know until I left the property the next day when I got the email. I feel like fighting it now.
Was in Rome back in March, and used points for a stay at the Westin. The hotel charged 20 Euros per night (100 Euros total for my stay) in city tax. I went to Marriott to complain, and all they would do was forward my complaint to the hotel, which of course said “tough.” This tax was not disclosed clearly until the very end of the booking process, and was otherwise not disclosed or intentionally hidden.
So?
Americans voted for deregulations. The President is being very selective in enforcements, abs is not enforcing burdensome regulations.
I don’t see the current administration doing anything about this since removing regulatory burden on companies is literally the will of the people.
Marriott is *not* a European company burdened with all sort of consumer -friendly regulations. Thankfully deregulation is the law of the land In the great, beautiful USA.
Bonvoy !
Housekeepers in New York makes more than their corporate representatives. They have employees there for over 10 years making 17.00 – 19.00 and hour. Their employees are being forced to enroll members or their job is on the line. They are robbing their customers and their employees. I feel so bad because they are overworked and under paid. I was there for 15 years and all I got was a card in the mail and an email saying happy anniversary. The longtime customer who are high tier members aren’t able to enjoy their benefits. The whole Marriott chain needs to be investigated. They stay getting sued. I hope this message reaches the right person and Marriott gets exposed. They were already on behind the scenes on CNN and some ugly truths came out. It has gotten worse. The corporate workers are given only 6 days off through the entire year including tardies. If this isn’t abuse I don’t know what to say. You earn time off which is 4 hours per month. Not even a full day. You have to work 2 months straight to get an excuse absence for only 8 hours. They feed their employees hamburgers, hot dogs and pizza for making millions/ billions of dollars. For Christmas they don’t get bonuses or any gifts. They don’t get time off for birthdays, anniversary, etc. They crammed all their departments in to one and overworking these people. If you wonder why your cases and issues aren’t being addressed, they are putting everything on their call agents and not holding the hotels accountable. The employees were told if they don’t enroll they will listen to 75 calls and be written up which means their job is online. After forcing them to enroll one million members during the end of 2024 they were given a sweatshirt in return. They were forcing emails out from multiple managers to pick up their sweatshirts. No one wanted them. They breadcrumb everyone for their own profit. What a joke. Marriott does mandatory surveys for employees to complete once a year and I’d told it’s confidential.
Once employees complete the surveys we are being pulled by our managers having team huddle meetings because the scores are low and our managers are being told they need to speak with us for the poor ratings. I’ve seen multiple managers crying over this. They want us to lie! How is it confidential and they’re pulling people off the phones and addressing managers?
They are launching many changes that aren’t working properly causing employees not to perform their job and the customers to navigate from the website, app, and calling. We’re tired of the abuse and Marriott taking advantage of their customers and employees.
Marriott is abusing their authority.
Keep shining the light Gary. The light is the only thing cockroaches fear and scurry from.
I am at the point now that a paid night in Ardmore Oklahoma is worth getting Platinum for the free Breakfast and Lounge in Seoul or Masi Mara.
They might change the rules and shift the goalposts on the fly but I can adapt.
It is a constant game of Yahtsy, where you avoid getting Bonvoyed the worst.
@WILLIAM SPIEGEL Rome has a city tax, depending on the hotel’s category, of up to 10€ per person per night (from what I’ve heard). Even with a free room, they are required to fork over the money. So, if the hotel didn’t charge you, they’d still have to pay the 100€ (assuming there were 2 of you). So, I have no problem with them charging you for something they’ll be out of pocket for. Of course, they should have forewarned you. But, would you have agreed anyway? Close to “no harm/no foul.”
Of course, charging a $25 destination fee is different, as that adds to the hotel’s bottom line. They are not out of pocket for the $25 if it’s waived. At minimum, it should be disclosed.
N.B., I use the term “out of pocket” in the traditional fiscal sense, not in the new “crazy” sense.
@Marie — Thank you for taking the time to express your concerns on here. I, too, feel for both workers and consumers, especially when they are apparently mistreated by corporations and managers. Often overworked and underpaid. 6 days off per year is indeed absurd. It really is someone else’s profit over all these people. Weaponization of anything and everything (like those surveys) is also appalling. It seems these are not just one-offs; it’s systemic. Hopefully, more attention will bring more accountability, soon. That’s why I always support when Gary posts about these things, even if not perfect, it’s shining a light. Sunlight cleanses.
Yes, I unfortunately fell for this. I usually redeem Hyatt points, so there are no extra fees, but I had a Marriott free night, so I redeemed it in Downtown Chicago and was shocked when there was a $35 resort fee per night. It was a total scam.
@1990 yes indeed, “name & shame” is an effective tool. It also requires an informed consumer to stop throwing coin at deceitful operators, even if it means throwing off the handcuffs of loyalty programs.
Marriott is very shady regarding their hotel fees and rates. They did not honor the rates they quoted at booking and were very vague about why they charged the amounts they did. They claimed they were going to issue a credit which they never did!
Have no intention of giving them my budiness!
@AC Or maybe Marriott has just made the calculation that it’s more profitable to flout the law given that it’s unlikely that it will ever be enforced, and even if it is, the likely penalty will be far lower than the amount that they benefited by flouting the regulations during the intervening period. This is typical of companies like Marriott that act in deceptful ways.
I agree that it’s 100000% bull.poo that they charge you those fees ok award stays… And I hate having to click an extra button to see the amenity fee total… They should show it on the initial page next to the points per night.
Buuut they do clearly display the free before you book, so I’m.lrefty sure they are in compliance with the law.