S. 314: Hotel Fees Transparency Act of 2025

The Hotel Fees Transparency Act of 2025 is designed to ensure that pricing for hotel rooms and other short-term lodging is advertised clearly and honestly. The key points of the bill include:

Prohibition on Deceptive Advertising

The bill prohibits covered entities (such as hotels and short-term rental providers) from displaying or advertising prices for services in a misleading manner. Specifically, they must:

• Clearly display total prices: Any advertised price must include the total cost of the services, including all applicable fees and taxes, right at the beginning of the advertisement.
• Ongoing disclosures during purchase: Entities are required to disclose the total price whenever a customer interacts with them about purchasing the service, and they must also inform about any additional taxes or fees that may apply before the final purchase.
• Optional Detail Display: While total prices must be prominently displayed, entities can still show individual components or details of the services as long as the total price remains more prominent.

Enforcement Mechanisms

The bill provides mechanisms for enforcing these rules:

• Federal Trade Commission (FTC): The FTC is given the authority to enforce these provisions and can treat violations as unfair or deceptive acts under the Federal Trade Commission Act. They will have all necessary powers to address such violations.
• State Attorneys General: States can also take action against entities that violate this prohibition, allowing state attorneys general to file civil suits on behalf of their residents if deceptive practices are suspected.
• Intervention by FTC: The FTC has the ability to intervene in any state-initiated lawsuits regarding violations of this bill.

Definitions of Key Terms

The bill includes several important definitions to clarify its scope:

• Covered Entity: This term refers to any hotel or short-term rental provider, as well as third-party sellers who offer or market these services.
• Covered Services: Refers to the temporary provision of rooms or lodging facilities (not including meeting rooms or catering services).
• Total Services Price: This is defined as the overall cost a consumer will incur, including the base price and any service fees, but excluding government taxes or optional charges.

Effective Date

The provisions of this bill will take effect 450 days after it becomes law, meaning that businesses will have a set period to adjust their advertising practices to comply with the new requirements.

Preemption of State Laws

The bill also states that no state law can conflict with the advertising requirements established in this Act; however, it does not prevent states from enforcing laws related to contracts or fraud.

Relevant Companies

• This is an AI-generated summary of the bill text. There may be mistakes.