Over 10,000 hotels file class action lawsuit against Booking.com following EU court ruling on price fixing, seeking compensation for years of restrictive practices.
"European hoteliers have long suffered from unfair conditions and excessive costs"
"Now is the time to stand up together and demand redress"
In an unprecedented move, over 10,000 European hotels have launched a collective legal action against online travel giant Booking.com. The class action lawsuit, coordinated by the Hotel Claims Alliance, marks one of the largest challenges to digital platform practices in the European hospitality sector. The case will be heard in a Dutch court, given Booking.com's headquarters location in Amsterdam.
The lawsuit stems from a landmark European Court of Justice (ECJ) ruling in autumn 2024, which declared that Booking.com's 'best price clauses' violated antitrust laws. These clauses had previously prevented hotels from offering lower rates on their own websites or through other channels. The ECJ determined that such platforms could maintain viable operations without these restrictive practices. Hotels are now seeking compensation for the period between 2004 and 2024, during which these practices were in effect.
The impact of Booking.com's practices on the European hospitality sector has been substantial, with the platform's parent company, Booking Holdings, commanding a dominant 71% market share across Europe in 2023. Despite the controversial practices, many hotels remain dependent on the platform for reaching potential guests. The lawsuit, supported by Hotrec and over 30 national hotel associations, represents a unified stand against what industry leaders describe as 'unfair conditions and excessive costs.'
From a Swiss perspective, the lawsuit has gained significant support, with Hotelleriesuisse joining the coalition of hotel associations backing the legal action. The case holds particular relevance for Switzerland's robust tourism sector, where online booking platforms play a crucial role in attracting international visitors. The outcome of this lawsuit could reshape the digital booking landscape and establish new precedents for platform-hotel relationships in Switzerland and across Europe.