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Legality of the no-show cash fee policy for award bookings

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Legality of the no-show cash fee policy for award bookings

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Old Oct 27, 2013, 4:15 pm
  #16  
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Originally Posted by nnn
This is not legal advice.
Ofcourse . Thanks for your input, appreciate it. I did have the charge removed so its not an issue at this point but my concern was for the future if anything like this happened at any of the very expensive resorts, what would the likely recourse. Seems like the right course would be to implement a policy like SPG as the previous poster indicated. That would be fair and would not be an issue with anyone.
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Old Oct 27, 2013, 4:51 pm
  #17  
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For them what worry, Hyatt posts the specific terms right on its website. Relevant section is bolded below. Put simply, each property has its own policy, you are warned that there is a policy and given 4 ways to find out the exact $ number, if any.

While this stuff can be boring, it really does pay to read it. Not only are the penalties sometimes tough, but there are also benefits out there that many people don't read about and therefore don't use.


Hyatt Gold Passport award reservations are subject to the reservation requirements of the individual hotel, such as length of stay. Hyatt Gold Passport award reservations are subject to the cancellation policy of the individual property at which member is redeeming an award. If member does not follow proper hotel cancellation policy or if member does not check into the hotel, the credit card provided with the reservation will be charged in accordance with the hotel’s cancellation or no-show policy. These policies vary by hotel and each hotel’s cancellation policy can be found on the hotel’s website on hyatt.com, by calling the hotel directly, or by contacting the local Worldwide Reservation Center.
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Old Oct 27, 2013, 10:48 pm
  #18  
 
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This is probably easily solved if it's a real concern. Use a prepaid credit card to guarantee the room, then swap to a real one on check in. On the last number of reservations I made I did not notice a hold being placed on the card for the funds.

Of course, you would still be liable for the no show charge if you agreed to it, and you could deal with that as a separate matter. But it would prevent you having to fight to get your money back, I suppose.

OP - why didn't you just call to cancel? Did you forget or were there real circumstances beyond your control? I am curious if you don't mind saying.
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Old Oct 27, 2013, 11:58 pm
  #19  
 
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misread, sorry

Last edited by emilio911; Oct 28, 2013 at 8:13 am Reason: misread, sorry
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Old Oct 28, 2013, 1:21 am
  #20  
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Originally Posted by Often1
Hyatt Gold Passport award reservations are subject to the reservation requirements of the individual hotel, such as length of stay. Hyatt Gold Passport award reservations are subject to the cancellation policy of the individual property at which member is redeeming an award. If member does not follow proper hotel cancellation policy or if member does not check into the hotel, the credit card provided with the reservation will be charged in accordance with the hotel’s cancellation or no-show policy. These policies vary by hotel and each hotel’s cancellation policy can be found on the hotel’s website on hyatt.com, by calling the hotel directly, or by contacting the local Worldwide Reservation Center.
Good luck finding any of those hotels cancellation policies.... this text really doesn't contain any useful information.
And in my view that's the intention, (almost) nobody will call after a reservation to get a hotel specific cancellation policy. Relevant policies should be included in the reservation, but it simply doesn't happen that way.

It doesn't affect me much since I never cancel after the deadline, but it's not very transparent.
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Old Oct 28, 2013, 1:23 am
  #21  
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Originally Posted by Often1
The sole question is what OP contracted for. Many contracts have liquidated damages clauses and they are entirely legal in all 50 states (I am presuming that OP is in the USA and the property in question is in the USA).
In fact, liquidated damages provisions are generally only enforceable where they reflect a reasonable estimate of likely damages or where damages are difficult to calculate. Liquidated damages clauses are not enforceable where they effect a penalty.

There is a very good argument in this case that actual damages are easy to predict and calculate (cost of the room), that the $400 charge is a penalty, and thus unenforceable. Here in California, a court would almost certainly decline to enforce it.

Originally Posted by saaru
I read and read it and no where does it list the actual amount. additionally I would want to know whether this can stand Legal scrutiny. it's one thing to have it in the contacts but it's another thing to have it legally enforcAble. I would understand if thEy charged me 8k pts which would be fair. The rationale I was given for the initial charge for that they had a special event going on that weekend.
It has to be disclosed. No way it's enforceable if it's not disclosed.
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Old Oct 28, 2013, 2:21 am
  #22  
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Originally Posted by Kacee
No way it's enforceable if it's not disclosed.
I agree. But in this case I'm not so sure it wasn't disclosed. Every rez i make comes with a plainly written cancel policy. Depending on how sure i am about my trip makes a difference in whether i book a prepaid rate. It's on me if i book it and then something comes up, that's why there may be a discount and penalty involved.

Last edited by fireworksboy; Oct 28, 2013 at 2:27 am
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Old Oct 28, 2013, 2:32 am
  #23  
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Originally Posted by fireworksboy
I agree. But in this case I'm not so sure it wasn't disclosed. Every rez i make comes with a plainly written cancel policy. Depending on how sure i am about my trip makes a difference in whether i book a prepaid rate. It's on me if i book it and then something comes up, that's why there may be a discount and penalty involved.
Yeah I've been burned by no-show charges and now look very very carefully before booking to make sure I know what the rules are. I can't recall ever not being able to find the applicable policy prior to booking (though it usually requires clicking a link).
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Old Oct 28, 2013, 2:37 am
  #24  
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Originally Posted by Kacee
I can't recall ever not being able to find the applicable policy prior to booking (though it usually requires clicking a link).
Please enlighten me where with Hyatt did you find these policies.....
My reservations only contain something like "CANCELLATION POLICY: CANCEL BY 4 PM DAY OF ARRIVAL", no links or further info...
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Old Oct 28, 2013, 2:58 am
  #25  
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Originally Posted by RTW1
Please enlighten me where with Hyatt did you find these policies.....
My reservations only contain something like "CANCELLATION POLICY: CANCEL BY 4 PM DAY OF ARRIVAL", no links or further info...
Sorry dude, can't help you, as I was not looking over your shoulder when you booked the reservation. Did you check all the links? (btw, I'm not saying it was disclosed to you, I'm just saying I can't recall ever not being able to find the policy prior to booking).
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Old Oct 28, 2013, 3:12 am
  #26  
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I'm sorry too.... seems you're short on facts but long on speculation.

I'm genuinely looking how it is that I'm not able to find the hotels cancellation policies. So facts would be helpful...... assumptions, not so much.

When you make a booking you first see the rate rules, then on the booking form the same information gets repeated again under the T&C's. Same info again in the e-mail. Nothing additional is provided, no other links like you seem to imply. But all those are (mostly a single sentence) is the basics about the cancellation policy, not the policy itself. Nothing about additional fees or what the rate will be for nights charged.

So if you get more info, please share...
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Old Oct 28, 2013, 4:05 am
  #27  
 
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Im very surprised Hyatt Does not tell you on the confirmation EXACTLY what you will be charged for a no show on points. Starwood makes in VERY clear on all redemption bookings EXACTLY what the no show fee will be.

As others have mentioned, in the future just cancel the booking and avoid the problem.........its just a phone call. Most hotels are very good about waiving the fees f its due to a missed or cancelled flight. (Of course you can also use an expired CC to hold a booking and just change the exp date but that would be SO WRONG
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Old Oct 28, 2013, 5:15 am
  #28  
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Originally Posted by chinatraderjmr
Im very surprised Hyatt Does not tell you on the confirmation EXACTLY what you will be charged for a no show on points. Starwood makes in VERY clear on all redemption bookings EXACTLY what the no show fee will be.

As others have mentioned, in the future just cancel the booking and avoid the problem.........its just a phone call. Most hotels are very good about waiving the fees f its due to a missed or cancelled flight. (Of course you can also use an expired CC to hold a booking and just change the exp date but that would be SO WRONG
Hyatt's policy are not listed anywhere. I am a diamond and as such book many nights at multiple hotels but have yet to find a single hotel reservation where I saw the policy with the exact charge.
Additionally I have been staying with Hyatt for a long time and this happened for the 1st time. Next time I am at an expensive hotel I will be sure to call and check before hand. I doubt I will get the answer in a 2 min call with the front desk staff but will definitely confirm for expensive resorts. Its an extra step that no one should have to go through though for each hotel where it might happen once in many years.

SPG has a good policy. I was able to dig an old thread where the OP was charged a rate that was changed to points and the policy was clarified to be across the board. If Hyatt had a similar policy no one would have a heartburn.
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Old Oct 28, 2013, 5:24 am
  #29  
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Originally Posted by atsak

OP - why didn't you just call to cancel? Did you forget or were there real circumstances beyond your control? I am curious if you don't mind saying.
I did it online and thought I was fine but I never checked back until I saw the charge. I make multiple bookings with Hyatt and never had issues with cancelations or changes before
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Old Oct 28, 2013, 6:21 am
  #30  
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Originally Posted by atsak
This is probably easily solved if it's a real concern. Use a prepaid credit card to guarantee the room, then swap to a real one on check in. On the last number of reservations I made I did not notice a hold being placed on the card for the funds.

Of course, you would still be liable for the no show charge if you agreed to it, and you could deal with that as a separate matter. But it would prevent you having to fight to get your money back, I suppose.
Ditto. I do just that. Very few hotel sites check if the card no is real or active (Hyatt does not). I always use a CC that I already cancelled but which expiration date is in the future.

Sometimes Prepaid CC's are not a good tool to use at least as long as they are registered to your name (some charges WILL be placed on the card even if the balance is less - example is inflight internet - but that will probably depend on the card issuer).
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