Texas Attorney General Ken Paxton has filed a lawsuit against Hyatt Hotels Corp., alleging violations of consumer protection laws under the Texas Deceptive Trade Practices Act, as announced by his office.
The lawsuit, submitted in a state district court, claims that Hyatt has engaged in “false, misleading, and deceptive acts and practices” according to Texas law. It asserts that the company marketed hotel rooms at prices that were not actually available to the public as advertised.
Furthermore, the lawsuit accuses Hyatt of imposing mandatory and “unavoidable” fees on consumers, including resort fees, destination fees, and amenity fees, in addition to the daily room rates.
“Even when these fees were eventually disclosed, they were done so in a manner that was unlikely to alert consumers that the initial rate that attracted them was not, in fact, the actual price of the room,” reads a statement from Paxton’s office.
Moreover, the lawsuit argues that the additional fees imposed by Hyatt Hotels Corp. do not correspond to the promised “resort-like” experiences.
“Hyatt’s lack of transparency regarding hotel room prices has misled consumers and violated Texas law,” Paxton said in a statement. “These deceptive practices enabled Hyatt to advertise lodging at artificially low rates, and it must end immediately.”
Paxton provided a clear and precise statement that the state will not tolerate “illegal hidden fees” by any hotel chain.