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