Resort Fee Lawsuits: Fighting Against Hidden Charges

Resort fees are more than an annoyance on vacation—they may represent an unlawful practice that strips consumers of their right to honest and transparent pricing. With growing attention from regulators and the courts, hotels and booking companies are being forced to change their sly, hidden fee tactics. By seeking legal advice and standing up for your rights, you can help push the industry toward fairer practices while recovering compensation for your losses. Call now to learn more. 

What is a Resort Fee?

Resort fees, also known as facility fees, destination fees, or service fees, are mandatory charges piled on top of a hotel’s room rate. Hotel management will likely explain that these fees are charged for amenities such as pool access, gym use, Wi-Fi, or printing boarding passes. However, travelers often discover that they are required to pay these charges even if they never use the listed services.

Unlike optional upgrades, resort fees are non-negotiable. This means the advertised price is not the true price—an issue that consumer advocates argue is inherently deceptive. Hotels usually justify resort fees by claiming they cover bundled “extras” rather than being part of the room rate. Some of the most common justifications include:

• Access to on-site amenities — gyms, pools, spas, tennis courts, or private beaches.

• Daily conveniences — Wi-Fi, local phone calls, bottled water, or newspapers.

• Business perks — access to business centers, meeting rooms, or printing services.

• Shuttle/transportation services — airport shuttles or local area transport.

• Entertainment extras — discounts on local attractions, live entertainment, or resort-hosted activities.

From the hotel’s perspective, they argue that bundling these charges as a separate “resort fee” helps keep the advertised base room rate competitive in search engines and booking sites. Essentially, the room looks cheaper up front, even though the mandatory fee is added later.

This practice, however, is the heart of the legal controversy. Critics (and regulators) say that because these fees are mandatory and non-optional, they should be included in the displayed nightly price, not tacked on at checkout. Courts and attorneys general in several states have targeted this practice as deceptive advertising.

Why Resort Fees May Be Illegal

Consumer protection laws require businesses to present honest, transparent pricing. Hidden or mandatory charges that are excluded from the advertised rate can create legal exposure for hotels, booking platforms, and travel companies.

Possible Legal Violations

1. Misleading Marketing

   • If a hotel promotes a nightly room rate without including unavoidable fees, that price may be considered misleading under state false advertising laws.

2. Unfair Competition Law Violations

   • California’s UCL, for example, prohibits unlawful, unfair, or fraudulent business practices. Drip pricing—where extra charges are added at the final step—has been cited by regulators as an unfair tactic that disadvantages honest competitors.

3. Consumer Legal Remedies Act (CLRA)

   • Advertising one price while intending to charge another may violate statutes that bar misrepresentations in the sale of goods or services.

4. Breach of Contract

   • Guests may argue that they agreed to pay only the advertised nightly rate, and tacking on mandatory charges later constitutes a breach of the booking contract.

Resort Fee Lawsuits in Action

Across the country, both individual plaintiffs and state attorneys general have pursued claims against hotel chains for hidden fees. These lawsuits typically seek restitution for consumers, injunctions requiring full price disclosure, and in some cases, civil penalties. The Federal Trade Commission (FTC) has also issued guidance warning businesses that drip pricing practices may constitute deceptive advertising.

One of the largest settlements to date involved Booking Holdings, a major online travel company that agreed to pay millions after state attorneys alleged the business promoted deceptively low room rates, only to reveal unavoidable “resort” or “amenity” charges at the final stage of booking. Regulators emphasized that consumers deserve to see the full cost of their stay at the moment prices are first displayed, not after they’ve already invested time in the reservation process.

In California, a class-action was filed against the operator of the state’s official campsite reservation system. Plaintiffs claim that families booking campsites were misled when significant fees were tacked on at checkout, inflating the advertised price by nearly twenty percent. The lawsuit highlights that “junk fees” aren’t confined to hotels—they can impact travelers in unexpected places.

Elsewhere, a case against a national hotel chain has been cleared to proceed to trial. At issue is whether disclosing mandatory charges late in the booking process materially misleads guests. Courts are increasingly signaling that drip pricing practices may amount to unlawful deception.

Consumer Rights and Practical Steps

If you believe you have been misled by undisclosed resort fees, there are proactive steps you can take:

• Document Everything: Save screenshots of the advertised room rate, checkout pages, confirmation emails, and your final receipt.

• File a Complaint: Report deceptive fees to your state attorney general, the FTC, or local consumer agencies.

• Seek Legal Counsel: Attorneys experienced in consumer protection law can evaluate whether you have a viable claim for damages or injunctive relief.

Why Hire The Lyon Firm

The Lyon Firm has significant experience representing consumers in complex lawsuits involving deceptive trade practices and hidden charges. Resort fee litigation requires a blend of knowledge in consumer protection statutes, contract law, and regulatory enforcement trends. When you work with The Lyon Firm, you gain a team that:

• Conducts detailed investigations into corporate pricing practices.

• Pursues class action lawsuits on behalf of groups of travelers affected by unfair charges.

• Leverages consumer protection laws to seek refunds, penalties, and injunctive relief.

• Provides compassionate representation, understanding that hidden fees often harm everyday families and individuals who trusted advertised prices.

Our mission is to hold businesses accountable and to restore transparency in consumer transactions.

Resort Fee Lawsuits FAQs

1. Can I sue if a hotel added fees I didn’t agree to?
Yes. If the advertised price did not include mandatory resort fees, you may have a claim under state consumer protection laws for deceptive or unfair business practices.

2. Are resort fees legal if disclosed in fine print?
Not always. Courts may still find disclosures inadequate if the fees were not presented clearly and prominently before you committed to the booking.

3. Can I bring a lawsuit even if the resort fee was small?
Yes. Many individual claims are combined into class actions where consumers join together to recover damages, even when the fees alone are modest.

4. Do online travel sites share liability for hidden fees?
Potentially. Booking platforms that advertise misleading rates may also face liability under false advertising and consumer fraud statutes.

5. What compensation can I expect in a resort fee lawsuit?
Possible remedies include reimbursement of the fees paid, statutory damages, injunctive relief requiring full price disclosure, and attorney’s fees.