Reservation Desk Lawsuit: FTC Case, Marriott and Drury Suits

The Reservation Desk lawsuit history centers on ReservationDesk.com’s operator, TravelPass Group of Lehi, Utah, which has been sued by the Federal Trade Commission for deceiving hotel bookers, sued by Drury Hotels for trademark infringement, and forced to publicly apologize to Marriott after withdrawing its own antitrust claims mid-trial. The FTC case ended in a permanent injunction that still governs how the site operates. The Drury case, filed in April 2025, is pending.

The 2017 FTC Deception Case

On December 21, 2017, the FTC sued Reservation Counter, LLC, TravelPass Group, LLC, and Partner Fusion, Inc. in the U.S. District Court for the District of Utah, No. 2:17-cv-01304-RJS. The complaint alleged violations of Section 5 of the FTC Act for deceptive advertising and marketing of hotel reservations.1FTC. Reservation Counter LLC Case Page The Commission treated the three entities as a single common enterprise because they shared officers, employees, and offices.2FTC. FTC Complaint, Case No. 2:17-cv-01304-RJS

The central charge was that consumers thought they were booking directly with a hotel when they were actually dealing with a reseller. According to the FTC, the companies used hotel names, logos, and branding in paid search ads and on their websites in ways that mimicked official hotel sites, and placed their own phone numbers near hotel names and addresses so callers believed they had reached the hotel itself.3FTC. Hotel Room Resellers Settle FTC Charges They Misled Consumers

The call centers, running since July 2012, carried the deception further. Agents did not identify themselves as working for an independent travel agency, and the FTC alleged they could pull up a caller’s browsing history to see which hotel the consumer had been viewing, making the call feel like a continuation of the hotel’s own booking flow.2FTC. FTC Complaint, Case No. 2:17-cv-01304-RJS

The complaint also charged the companies with failing to tell consumers that:

  • their credit cards would be charged immediately for the full room cost plus taxes and fees, rather than at check-in;
  • booking through the reseller could cost them hotel loyalty points and benefits; and
  • the hotel’s own cancellation and refund policies might not apply.3FTC. Hotel Room Resellers Settle FTC Charges They Misled Consumers

The Consent Order

The case settled almost immediately. Judge Robert James Shelby signed a stipulated order for permanent injunction on December 26, 2017, five days after the complaint was filed, on a 2-0 Commission vote.4CourtListener. Federal Trade Commission v. Reservation Counter Docket3FTC. Hotel Room Resellers Settle FTC Charges They Misled Consumers5Deseret News. Utah-Based Hotel Room Resellers Settle FTC Charges That They Misled Consumers

The order remains in effect.

The Marriott Antitrust Case and Public Apology

In December 2018, TravelPass Group went on offense. Reservation Counter, TravelPass Group, and Partner Fusion filed an antitrust suit in the U.S. District Court for the Eastern District of Texas against eight hotel companies, including Marriott International, Hilton, Hyatt, Choice Hotels, and Caesars Entertainment, claiming the chains had conspired to restrict resellers’ ability to bid on branded keywords in search advertising.6Justia. Travelpass Group LLC et al v. Caesars Entertainment Corporation et al

Several hotel defendants counterclaimed for trademark infringement and false advertising. The case against Marriott went to a jury trial starting October 25, 2021. Five days in, before a verdict, TravelPass withdrew its claims. As part of the withdrawal, TravelPass Group issued a public statement that “Marriott did not participate in any unlawful activity or engage in any conspiracy” and apologized “to Marriott and the Marriott family for any harm to Marriott’s reputation.”7Crowell & Moring. Crowell Moring Secures Victory for Marriott International in High-Profile Jury Trial

The Drury Hotels Suit (2025, Pending)

On April 17, 2025, Hotel Services Company, LLC and Drury Hotels Company, LLC sued TravelPASS Group, Inc. in the U.S. District Court for the Eastern District of Missouri, No. 4:25-cv-00527-SPM.8Law360. Hotel Services Company LLC et al v. TravelPASS Group Inc.

Drury’s complaint calls reservationdesk.com and reservationcounter.com “infringing websites” that use Drury’s trademarks and copyrighted images without authorization, mislead consumers into thinking the sites are affiliated with Drury, provide false information about room availability and pricing, and charge fees that consumers could mistake for charges imposed by the hotel. The suit brings claims for trademark infringement, false designation of origin, false advertising, unfair competition, and trademark dilution under federal and Missouri law.9GovInfo. Hotel Services Co. v. TravelPASS Group Complaint

This is a second round. Drury sued TravelPass in the same district in 2019, and the parties settled in 2021. According to the 2025 complaint, Drury discovered in mid-2024 that TravelPass had resumed the conduct the settlement was meant to stop, sent demand letters in July and August 2024, and filed the new suit after the problems allegedly continued. Drury is seeking a permanent injunction and damages.9GovInfo. Hotel Services Co. v. TravelPASS Group Complaint

What Consumers Still Face on the Site

The lawsuits track complaints that consumers have continued to report. Reports collected through the Better Business Bureau’s Scam Tracker describe undisclosed service fees added after booking, confirmation emails at rates higher than what was quoted, refund requests that go unanswered or are denied as “non-refundable,” and reservations that hotels have no record of.10BBB. BBB Scam Alert: How to Avoid Scams When Booking a Hotel Online

ReservationDesk.com’s terms and conditions describe how the site handles the money side. The site charges a “facilitation fee” that it keeps as compensation for processing the booking. Cancellation windows vary by reservation, but missing them, typically 24 to 72 hours before arrival, means being charged the full nightly rate plus tax recovery charges and service fees. The company caps its liability at the lesser of the service fees paid or $100, and its terms require disputes to be resolved through individual binding arbitration, barring class actions.11ReservationDesk.com. Terms and Conditions Consumers who feel misled generally cannot join together in a class action against the company; they have to arbitrate individually.

The FTC’s Junk-Fees Rule Adds Another Enforcement Tool

Beyond the 2017 consent order, federal regulators now have a newer instrument aimed squarely at hotel pricing displays. The FTC’s “Rule on Unfair or Deceptive Fees,” announced in December 2024 and effective May 12, 2025, requires any business advertising prices for short-term lodging to display the total price, including all mandatory fees, upfront and more prominently than any other pricing information. The rule applies explicitly to third-party platforms, resellers, and travel agents that display hotel pricing, and violations can bring civil penalties, refund orders, and mandatory changes to business practices.12FTC. Federal Trade Commission Announces Bipartisan Rule Banning Junk Ticket, Hotel Fees13FTC. Rule on Unfair or Deceptive Fees: Frequently Asked Questions

TravelPass Group continues to operate ReservationDesk.com and its other booking sites. The Drury Hotels case remains pending, and the 2017 FTC injunction is still binding.