Online Hotel Bookings

Case Details

The proposed class action has been brought on behalf of all of the following individuals in Canada:

1. Individuals who booked, purchased and were charged for an accommodation reservation for non-business purposes on any of the following websites:
• Expedia.ca
• Hotels.com
• Travelocity.ca; and
• Booking.com.
2. Individuals who were referred to one of the websites above from Trivago.ca and who booked, purchased, and were charged for accommodation by that website for non-business purposes.

The action alleges that the Defendants, who are the companies that operate these websites, made false and misleading statements on their websites, including representations about the price and availability of hotel rooms, contrary to provincial consumer protection legislation and the federal Competition Act. For example, the action alleges that:

• the Defendants' representations create the false impression that the search results displayed on their websites reflect objective results and fail to disclose (or fail to adequately disclose) that search results are significantly influenced by the fees that the Defendants earn from accommodation providers;
• the Defendants create a false sense of urgency to induce consumers to book accommodations (e.g. stating "only 3 rooms left at this price!") when no such urgency actually exists; and
• The Defendants advertise discounts that are not true discounts and employ misleading price comparisons, including comparing the current price to an alternative price that does not match the consumer's search criteria, including stay dates and room type.

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