It was back in April of this year that we first reported on the allegations of Caesars price fixing. The company, along with Wynn and a few others, had a lawsuit filed against them over supposed collaboration via a “third-party software” as a way to manipulate and artificially inflate the rates charged for their hotel rooms. Supposedly, these accusations were being investigated by the Antitrust Division of the US Department of Justice, as well as the Federal Trade Commission, over hotel rates charged in Nevada, New Jersey, and other states.
Now a judge has dismissed the class-action lawsuit which made claims of Caesars price fixing, along with several other major hotels. Chief US District Judge Miranda Du in Las Vegas ruled that the plaintiffs failed to demonstrate any agreement among the hotels to fix prices. This decision marks the second dismissal of the lawsuit, following a previous ruling allowing the plaintiffs to revise their case. In her latest order, Judge Du outright dismissed the lawsuit outright.
Last year, consumer plaintiffs sued Wynn Resorts, Caesars, Treasure Island, and others, alleging they used a revenue platform by tech company Cendyn to unlawfully coordinate room prices, violating US antitrust laws. The lawsuit claimed the hotels exchanged competitive, sensitive information not typically disclosed. Judge Du clarified in her ruling that the hotels were not obligated to accept pricing suggestions from Cendyn’s algorithm and had not agreed to limit their ability to set room prices.
Despite this, recent policy statements from the US Department of Justice have supported the plaintiffs’ arguments of Caesars price fixing, among others. Wynn, Blackstone, and the other defendants either declined to comment or did not respond immediately to requests for comment following the ruling. All have previously denied any wrongdoing. Cendyn welcomed Judge Du’s decision to dismiss the lawsuit with prejudice in a statement. Plaintiffs’ lawyer Steve Berman stated they were considering their next steps, including a potential appeal.
Leave a Reply