Actually in the case of a hotel room it still is available to others/can be rebooked, so the hotel "double dips".

In IRROPs (vs. just changing one's mind) it's not unreasonable to expect/hope the hotel would waive the cancellation fee. Marriott brands have traditionally done that - and many are still doing it even with the new policy. However, some properties are doing the hard line thing. Those are usually (anecdotal here) the properties that lack in cust service in other ways/do only the minimum according to reports.

Perhaps we should start a thread on which properties are waiving the 1-day cancel in IRROPS vs. sticking to it.

I'm sure the OP would have preferred to actually stay at the Lex per his ressie rather than get stuck in Knoxville w/ a flight cancellation.

Cheers.