MGM Resorts Considering Higher Resort Fees, Marriott Faces Lawsuit Over Price Deception

Posted on: July 10, 2019, 09:59h. 

Last updated on: July 12, 2019, 01:03h.

Devin O'Connor @CasinoorgDevinO Read More
Expertise: Asia Pacific Gaming, Commercial Gaming, Legislation, Politics.

MGM Resorts is rumored to be considering increasing its resort fees at three Las Vegas casinos. It comes as Marriott International faces a lawsuit in the District of Columbia over alleged deceptive pricing.

MGM Resorts Las Vegas resort fee lawsuit
It might become more expensive to stay at the Bellagio should MGM Resorts again raise the property’s resort fee. (Image: Shutterstock)

Marc of EDGe Vegas broke the MGM rumors on Twitter. The Sin City insider says the daily resort fee at ARIA, Bellagio, and Vdara will increase from $39 to $45 effective August 1.

Other than perhaps casino company shareholders, it’s tough to find anyone who enjoys a resort fee. Twitter was quick to fire back at the reported increases.

MGM Resorts didn’t immediately respond to inquiries as to whether the resort fee increases are indeed on the way.

DC Lawsuit

Resort fees cover such elegances as in-room Wi-Fi, boarding pass printing, and unlimited local and toll-free. Meanwhile, the attorney general for the District of Columbia announced a lawsuit against Marriott on allegations that the hotelier is misleading customers on room rates.

I am suing Marriott International for charging customers deceptive ‘resort fees’ when booking hotel rooms,” DC Attorney General Karl Racine stated. “Through these fees, Marriott hides the true price of rooms and misleads customers to increase company profits.”

The lawsuit contends, “Marriott conceals the true total price of hotel rooms by advertising one rate, then charging mandatory ‘resort fees,’ ‘amenity fees,’ or ‘destination fees’ on top of the advertised price. At least 189 Marriott properties worldwide charge these hidden fees, which range from $9 to as much as $95 per room per day, and consumers only find out about these fees after they begin to book a room.”

Marriott has more than 20 properties in Las Vegas. Most of them charge a daily resort fee.

“It would not surprise me at all to see more activity against resort fees,” C. Patrick Scholes, a lodging analyst with SunTrust Robinson Humphrey, told The Wall Street Journal. “Having to show resort fees included in the advertised price would certainly be a negative for demand for hotel rooms.”

Ire of Las Vegas

Resort fees have increased throughout Las Vegas in recent years. Paired with the elimination of free parking, the major casino operators have faced much criticism from their guests.

The add-on mandatory charge can greatly alter the actual price of a Sin City trip.

A week stay August 3-10 at the Bellagio shows an average nightly rate of $206.14, and $1,443.00 subtotal. To MGM’s credit, it does show (in smaller font) below the advertised rate that it’s exclusive of the $39 daily resort fee charge and applicable taxes.

When continuing the booking process on the Bellagio website, the $1,443 price jumps to $1,945.60 – a $502.60 surcharge.

MGM says the $39 resort fee includes property-wide high-speed internet access (public spaces and in-room), unlimited local and toll-free calls, airline boarding pass printing, notary service, and fitness center access for guests 18 and older.