Section 1 Short title
This Act may be cited as the “No Hidden Fees on Extra Expenses for Stays Act of 2023” or the “No Hidden FEES Act of 2023”.
No Hidden Fees on Extra Expenses for Stays Act of 2023
AN ACT
To prohibit unfair and deceptive advertising of prices for hotel rooms and other places of short-term lodging, and for other purposes.
Sec. 2 Prohibition on unfair and deceptive advertising of hotel room and other short-term lodging prices
In general— A covered provider may not advertise, display, market, or otherwise offer for sale in interstate commerce, including through a direct offering, third-party distribution, or metasearch referral, a price of a reservation for a place of short-term lodging that does not include each mandatory fee.
Exclusion— Subsection (a) does not prohibit a covered provider from displaying any individual component, including any fee or tax, that is part of the total price, if such total price is clearly and conspicuously disclosed to the consumer.
Sec. 3 Enforcement
Enforcement by Federal Trade Commission—
Unfair or deceptive acts or practices— A violation of section 2(a) shall be treated as a violation of a regulation under section 18(a)(1)(B) of the Federal Trade Commission Act (15 U.S.C. 57a(a)(1)(B)) regarding unfair or deceptive acts or practices.
Powers of Commission— The Commission shall enforce section 2(a) in the same manner, by the same means, and with the same jurisdiction, powers, and duties as though all applicable terms and provisions of the Federal Trade Commission Act (15 U.S.C. 41 et seq.) were incorporated into and made a part of this Act. Any covered provider who violates section 2(a) shall be subject to the penalties and entitled to the privileges and immunities provided in the Federal Trade Commission Act.
Authority preserved— Nothing in this Act may be construed to limit the authority of the Commission under any other provision of law.
Enforcement by States—
In general— If the attorney general of a State, or an official or agency of a State, has reason to believe that an interest of the residents of the State has been or is being threatened or adversely affected by a practice that violates section 2(a), the State may bring a civil action on behalf of the residents of the State in an appropriate district court of the United States to obtain appropriate relief.
Rights of Commission—
Notice to Commission—
In general— Except as provided in clause (iii), an attorney general, official, or agency of a State, before initiating a civil action under paragraph (1), shall provide written notification to the Commission that the attorney general, official, or agency intends to bring such civil action.
Contents— The notification required under clause (i) shall include a copy of the complaint to be filed to initiate the civil action.
Exception— If it is not feasible for an attorney general, official, or agency of a State to provide the notification required under clause (i) before initiating a civil action under paragraph (1), the attorney general, official, or agency shall notify the Commission immediately upon instituting the civil action.
Intervention by Commission— The Commission may—
intervene in any civil action brought by an attorney general, official, or agency of a State under paragraph (1); and
upon intervening—
be heard on all matters arising in the civil action; and
appeal a decision in the civil action.
Limitation on State action while Federal action is pending— If the Commission or the Attorney General of the United States has instituted a civil action for violation of section 2(a) (referred to in this subparagraph as the “Federal action”), no State attorney general, official, or agency may bring an action under paragraph (1) during the pendency of the Federal action against any defendant named in the complaint in the Federal action for any violation of such section alleged in such complaint.
Rule of construction— Nothing in this subsection may be construed to prevent an attorney general, official, or agency of a State from exercising the powers conferred on the attorney general, official, or agency by the laws of the State to conduct investigations, to administer oaths or affirmations, or to compel the attendance of witnesses or the production of documentary or other evidence.
Sec. 4 One national standard
In general— A State, or political subdivision of a State, may not maintain, enforce, prescribe, or continue in effect any law, rule, regulation, requirement, standard, or other provision having the force and effect of law of the State, or political subdivision of the State, that prohibits a covered provider from advertising, displaying, marketing, or otherwise offering, or otherwise affects the manner in which a covered provider may advertise, display, market, or otherwise offer, for sale in interstate commerce, including through a direct offering, third-party distribution, or metasearch referral, a price of a reservation for a place of short-term lodging that does not include each mandatory fee.
Rule of construction— This section may not be construed to—
preempt any law of a State or political subdivision of a State relating to contracts or torts; or
preempt any law of a State or political subdivision of a State to the extent that such law relates to an act of fraud, unauthorized access to personal information, or notification of unauthorized access to personal information.
Sec. 5 Definitions
In this Act:
Commission— The term Commission means the Federal Trade Commission.
Corporate, government, or institutional travel management program— The term “corporate, government, or institutional travel management program” means—
a program used by a company, government entity, or not-for-profit institution for the travel of the officers, directors, or employees of such company, government entity, or not-for-profit institution; or
a program purchased by a company, government entity, or not-for-profit institution and used for the travel of the officers, directors, or employees of such company, government entity, or not-for-profit institution.
Covered provider—
In general— The term covered provider means a provider of a place of short-term lodging, a provider of an internet website or other centralized platform, or any other entity who advertises, displays, markets, or otherwise offers a price of a reservation for a place of short-term lodging.
Exclusion— The term covered provider does not include any entity who advertises, displays, markets, or otherwise offers a price of a reservation for a place of short-term lodging for purchase pursuant to a corporate, government, or institutional travel management program.
Mandatory fee— The term mandatory fee—
means each mandatory fee required to complete the booking or stay that is assessed by the covered provider and paid directly by the consumer; and
does not include any tax or fee imposed on the consumer by a governmental or quasi-governmental entity or assessment fees of a government-created special district or program.
Place of short-term lodging— The term place of short-term lodging means a hotel, motel, inn, short-term rental, or other place of lodging that advertises at a price that is a nightly, hourly, or weekly rate.
State— The term State means each of the several States, the District of Columbia, and each territory or possession of the United States.
Sec. 6 Application to prior bookings
Section 2(a) shall apply only to a reservation for a place of short-term lodging made on or after the effective date of this Act.
Sec. 7 Effective date
This Act shall take effect on the date that is 1 year after the date of the enactment of this Act.