More than 10,000 European hotels seeking damages from Booking.com
The initiative announced on Monday is backed by the European hotel alliance HOTREC and more than 30 national associations - including the German Hotel Association (IHA).
The effort is being coordinated by the Hotel Claims Alliance foundation, according to statements from HOTREC and the IHA.
At the centre of the dispute, the facts of which Booking.com has challenged, are the online travel agency's so-called "best price clauses."
These clauses required hotels, for many years, not to offer their rooms at lower prices on other channels - including their own websites - than on Booking.com. According to the hotel associations, such clauses undermined hotels' control over pricing, limited competition and discouraged direct bookings.
"European hoteliers have long suffered from unfair conditions and excessive costs. Now is the time to stand together and demand redress," Alexandros Vassilikos, president of the HOTREC hospitality sector association, said.
"This joint initiative sends a clear message: abusive practices in the digital market will not be tolerated by the hospitality industry in Europe," he added.
According to HOTREC, the class action's claims for damages relate to the period from 2004 to 2024, with participation free and risk-free for hotels.
"The class action is receiving overwhelming support," said IHA Managing Director Markus Luthe. Due to strong demand, the registration deadline has been extended to August 29.
Booking.com pushes back
Booking.com denies the accusations - both in form and content.
The company says it has not yet received any official lawsuit. "This is a statement from HOTREC, not a filed class action," the company said in response to an inquiry.
It also rejects the hotel associations' key legal arguments - especially their interpretation of a European Court of Justice (ECJ) ruling from September 2024.
What the ECJ ruled
The hotel associations are basing their claims on an ECJ ruling from September 2024. The European Union's top court clarified that price parity clauses can, in principle, violate EU competition law.
The ECJ rejected the general legality of such clauses - a decision that bolstered the position of many hotels. However, a court in Amsterdam must make the final determination in the specific case.
Booking.com further argued that its platform is a voluntary distribution channel for hotels: "Each of our accommodation partners is free to set their own distribution and pricing strategies and can offer their rooms wherever they choose."
The company said it supports hotels with marketing, technology and global visibility - which is where the the platform's value lies.
According to a study conducted by HOTREC and a Swiss hoteliers' college, Booking Holdings held a market share of 71% across Europe in 2023, while the share of direct bookings has declined considerably over recent years.
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