Will hotel ‘junk fees’ become a thing of the past?

Increased scrutiny of mandatory fees is impacting how hotels advertise prices. But despite widespread support, regulating them could be complicated

Dec 13, 2023

Resort fees, amenity fees, destination fees — the additional mandatory costs tacked on to room rates at hotels have different names depending on who’s charging them. Critics, however, only call them one thing: “junk fees.” In recent months, the fees have become so unpopular that a wave of legislation is threatening to make them a thing of the past entirely.

Key takeaways

  • In recent years, the growing number of regulations — and potential regulations — around junk fees have made it confusing for hoteliers to understand exactly how they can comply. “We’re at a place where we want everybody to be playing with the same set of rules,” Bryan Mohler, partner in New York City-based law firm Pryor Cashman’s Real Estate says;
  • That’s likely a reason behind the American Hotel & Lodging Association’s support of the Hotel Fees Transparency Act and the No Hidden FEES Act - they just want it to be fair, and for everybody to be able to compete with each other in the free market;
  • Effectively regulating junk fees, though, could prove complicated. And if hotels find ways to charge other added fees that are not targeted by anti-junk fees regulation, legislation efforts become a game of Whac-A-Mole.

Get the full story at Hoteldive

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