On March 13, 2019, United States District Judge Vince Chhabria, certified a Nationwide Class of hotels in Cuneo Gilbert & LaDuca’s (“CGL”) case against Expedia under the Lanham Act.
CGL represents a group of hotels challenging Expedia’s misleading advertising tactics, which direct consumers away from hotels that cannot be booked through Expedia or will not pay commissions to it, and toward hotels where Expedia can earn a commission.
“Expedia misleads consumers by publishing fake telephone numbers for hotels and making false statements that they are sold out when, in fact, they have rooms available,” said Joel Davidow from CGL. In so doing, Expedia re-directs consumers to hotels that Expedia is able to book and earn a commission.
The US District Court for the Northern District of California’s ruling granted CGL’s motion to certify a class of hotel owners who are seeking an injunction and will help to put a stop to this practice.