Empire Hotel Group class action overview:
- Who: Plaintiff Miguel Frias filed a class action lawsuit against Empire Hotel Group LLC.
- Why: Frias alleges Empire Hotels misleads consumers with hidden fees, known as “drip pricing.”
- Where: The Empire Hotel Group class action lawsuit was filed in New York federal court.
A new class action lawsuit claims Empire Hotel Group uses deceptive pricing practices to mislead customers into believing its hotel rooms are cheaper than they actually are.
Plaintiff Miguel Frias filed the class action complaint against Empire Hotel Group on Feb. 2 in New York federal court, alleging violations of state and federal consumer laws.
Frias claims that Empire Hotels, which owns and operates several hotels in New York City, uses a tactic known as “drip pricing” to hide additional fees from consumers until the final stages of booking.
“Rather than disclose the full price of a hotel room up front, [Empire Hotels] baits a consumer into believing they are getting a lower price for a hotel room by listing a price on the search page that excludes additional taxes and fees,” the class action lawsuit says.
Frias argues that Empire Hotels’ practice misleads consumers into thinking they are getting a bargain, only to be “ambushed” by expensive fees that significantly increase the total cost of a hotel room.
These fees are only visible after a consumer clicks through multiple pages and reaches the checkout screen, the Empire Hotel Group class action lawsuit claims.
Empire Hotels’ pricing practices allegedly violate state and federal consumer laws
“Drip pricing allows companies like Empire Hotels to capture consumers seeking out bargains by tricking them into believing they are paying lower prices before adding fees later on in the shopping process,” Frias says.
Frias claims that he booked a room at The Belvedere Hotel in New York City through Empire Hotels’ website, only to find that the total price was higher than the initial advertised price due to additional taxes and fees.
The class action lawsuit alleges that Empire Hotels’ pricing practices violate New York’s General Business Law and the Federal Trade Commission’s (FTC) rules on deceptive fees.
The FTC recently passed a rule prohibiting businesses from advertising prices without clearly disclosing all mandatory fees, a regulation that took effect in May 2025, the lawsuit says.
Frias is looking to represent anyone in the United States who booked a hotel room at one of Empire’s hotels. He is suing for violations of New York state consumer laws and seeks certification of the class action, damages, fees, costs and a jury trial.
In related news, five major international hotel chains are accused of colluding to share non-public occupancy data via Amadeus’ Demand360 platform to fix prices while not losing market share.
What do you think of the allegations made in this Empire Hotel Group class action lawsuit? Let us know in the comments.
The plaintiff is represented by Philip L. Fraietta and Julian C. Diamond of Bursor & Fisher P.A.
The Empire Hotel Group class action lawsuit is Frias v. Empire Hotel Group LLC, Case No. 1:26-cv-00884, in the U.S. District Court for the Southern District of New York.
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