Atlantic City hotel owners win class-action lawsuit regarding casino room pricing
This is the second case to be dismissed in federal court.
Key Points
- The lawsuit claimed that AC hotel owners were using shared software to engage in price-fixing
- The case was dismissed due to lack of evidence from the plaintiff
Caesars Entertainment and MGM Resorts have won an Atlantic City lawsuit that claimed the hotel operators were overcharging for rooms in their casino hotels, according to a recent Reuters report.
US District Judge Karen Williams in Camden, New Jersey dismissed the plaintiff’s class-action suit with prejudice and ruled that the consumers “had failed to present enough evidence to let their price-fixing lawsuit move ahead.”
However, this is not the first time consumers have brought up this issue in court. The Atlantic City case against MGM and Caesars is part of a series of lawsuits filed for alleged price-fixing.
Consumer have argued that the use of revenue management platforms in major hotels that rely on data from rival destinations qualifies as price-fixing.
Good to know: Consumers have since filed an appeal in the Nevada case
They also claim that hotel owners “fed sensitive internal information” that included occupancy data and real-time price information to a shared software platform.
The recent ruling by Judge Williams is the second in favor of major hotel operators, the Reuters report said. Another case in Nevada against Wynn Resorts, Caesars and other hotel brands was dismissed by a federal judge.
In other legal news, an appeal against Encore Boston Harbor’s use of coinless self-serve machines was overturned.
A Massachusetts class action suit filed by A. Richard Schuster claimed that Encore’s 28 coinless kiosks “departed from Wynn’s internal controls.”
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