10/24/24 | Department of Justice Files Brief Bolstering Case for Las Vegas Hotel Customers
On Oct. 24, 2024, the Department of Justice filed an amicus brief in the U.S. Court of Appeals for the Ninth Circuit, placing its support behind Hagens Berman’s lawsuit in which consumers alleged Las Vegas hotels algorithmically fixed prices, violating the Sherman Act.
“Pricing algorithms can process more information more rapidly than humans aided by prior communications technologies,” the DOJ’s brief states. “For this reason, such algorithms can increase the means and opportunities for collusion among competitors.”
Did you book a Las Vegas hotel room at any point since 2019 at The Bellagio, Caesars Palace, The Cosmopolitan, MGM Grand, Paris Las Vegas, Planet Hollywood or Wynn? You may have overpaid due to an alleged scheme to artificially inflate room rates above competitive levels. Find out your rights »
WHAT’S THE ISSUE?
Hagens Berman has filed a lawsuit defending the rights of Las Vegas consumers harmed by an alleged scheme perpetrated by some of the largest gaming and hospitality companies, including Wynn and MGM Hotels. We believe these casinos colluded to artificially increase the price of Las Vegas hotel rooms, putting rates above competitive levels. In this alleged scheme, consumers lose, and rates are adjusted beyond what a free market would bear. We believe in upholding consumers’ rights.
HOW DO I KNOW IF I’M AFFECTED?
The companies named in the lawsuit maintain hotels in Las Vegas, Nevada, along The Strip. If you booked a hotel maintained by one of the following companies, or another large hotel, fill out the form to find out your rights »
- The Bellagio
- Boyd Gaming (Suncoast Hotels, Fremont Hotel, The Orleans Hotel)
- Caesars Entertainment (Caesar’s Palace, Paris Las Vegas, Planet Hollywood)
- The Cosmopolitan
- Greektown Casino Hotel
- MGM
- Wynn
- Other large hotels operating in Las Vegas
YOUR CONSUMER RIGHTS
Your rights as a consumer include a fair price for your accommodations, and we believe these companies have violated federal laws in artificially raising the price of hotel rooms in Las Vegas. You may have rights under antitrust laws to compensation for your losses due to this scheme.
PRICE SCHEME EXPLAINED
Our legal team believes that beginning in 2019, these hospitality giants began to work together to increase hotel room prices for Las Vegas consumers. According to the complaint, instead of using an independent pricing metric and supply decisions, they agreed to use a third-party pricing and data collection service, Rainmaker, to make unit-specific price adjustments. Rainmaker also allegedly allows participating hotel companies to coordinate supply levels to avoid price competition. They allegedly made these changes in lockstep, forcing hotel room prices higher.
HOW CAN A CLASS ACTION HELP?
Through a class-action lawsuit, individual consumers can collectively bring claims against large corporations that would otherwise have the upper hand. A class-action lawsuit seeks to level the playing field, bringing strength to collective action to change corrupt practices. Though these measures do not bring immediate relief, they are a time-tested method of holding companies accountable for wrongdoing.
TOP CONSUMERS’ RIGHTS LAW FIRM
Hagens Berman is home to some of the most well-respected and successful lawyers representing plaintiffs in class actions, and the firm has achieved more than $320 billion in settlements since its founding. The firm has taken on major institutions for fraudulent billing and predatory behavior, and your claim will be handled by attorneys experienced in this area of law.
NO COST TO YOU
In no case will any class member ever be asked to pay any out-of-pocket sum. In the event Hagens Berman or any other firm obtains a settlement that provides benefits to class members, the court will decide a reasonable fee to be awarded to the class' legal team.
CASE TIMELINE
Judge Miranda M. Du of the U.S. District Court for the District of Nevada granted defendants’ motion to dismiss allowing plaintiffs to file an amended complaint. Steve Berman, managing partner at Hagens Berman and the attorney leading the case, said, “We are confident we can amend to address the court’s concerns.” Hagens Berman will file its amended complaint by the end of November 2023.
