A Seattle Lawsuit Says Your Hotel’s Own Website May Cost More Than It Should

A new antitrust complaint filed in Seattle, Andrews v. Expedia Group, targets a pricing practice most travelers never see: rate parity. The suit alleges that Expedia’s rules effectively stop hotels from offering lower prices elsewhere, including on their own websites.

The numbers in the complaint are striking. It says Expedia handles about 78 percent of U.S. hotel booking dollars that flow through online travel agencies, and it claims the alleged restrictions inflate hotel prices by 15 to 30 percent. Those figures are allegations from the plaintiffs, not findings by a court.

If the theory holds up, the logic is simple. When a hotel cannot undercut the commission-bearing platform, it has little reason to push guests toward booking direct with a discount, and the cost of that commission gets baked into the price everyone pays.

Nothing changes for travelers today, and the case will take time. In the meantime, the practical advice is unchanged: compare the hotel’s direct rate with online agencies, and ask about member or loyalty pricing before you book. Expedia has not been found liable of anything in this proceeding.

Sources: Upgraded Points