Category Archives: Liability

by | June 25, 2012 · 6:27 am

Hospitality Industry Information Security: Hotel And Restaurant Guests Face Increased Risks Of "Credit Card Cloning"; Stolen Data Rewritten Onto New Cards And Used Instantly

 “…an unscrupulous restaurant waiter with a pocket skimmer might be able to steal information from hundreds of customers a week, selling that information to those with the means to encode fake credit cards. Battery-powered skimmers can be carried in a pocket…copying information as customers swipe cards to pay for gas or withdraw cash…”

The (stolen) information then can be emailed or downloaded over the Internet and rewritten onto any card with a magnetic strip, such as gift cards or hotel keys. While the victim’s credit card is still in his or her possession, someone could be using a perfect replica hundreds of miles away.

The process, called “cloning,” accounts for much of the growth in credit card fraud during the past few years, officials said. According to a Javelin Strategy and Research report, credit card fraud has increased 87 percent since 2010, culminating in aggregate losses of $6 billion nationwide.

Credit card cloning is easy and lucrative, accounting for its popularity, said Sileo, who founded the Web site Thinklikeaspy.com.

People whose cards are skimmed might not know for weeks or months that their information has been stolen. Once someone realizes it, the account usually is closed quickly. Savvy crooks know to rack up major bills just as fast.

Read more here: http://www.kentucky.com/2012/06/24/2236535/financial-crimes-credit-card-cloning.html#storylink=cpy

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by | June 24, 2012 · 6:13 am

Hospitality Industry Employment Risks: Missouri Restaurant Settles "Sexual Harassment" Lawsuit With EEOC; $23,000 Payment And Employee Training Part Of Settlement

The victim will receive the payment and the training will be for all management and non-managemnt employees at its Galleria location.  Villa Galleria also agreed to report internal complaints of sex harassment to the EEOC for the decree’s 18-month term.

A restaurant in the Galleria will pay $23,000 and provide training against sexual harassment to all employees as the result of a sexual harasssment lawsuit settlement, according to the U.S. Equal Employment Opportunity Commission.

The EEOC filed a suit last September that alleged Villa Galleria allowed an employee to be subjected to sexual harassment by an assistant supervisor.  The employee alleged the supervisor tried to put his hands up her skirt and kiss her.

For more:  http://www.ksdk.com/news/article/325114/3/Galleria-restaurant-settles-sexual-harassment-lawsuit

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by | June 23, 2012 · 6:23 am

Hospitality Industry Legal Risks: Nevada Hotel Owner Files "Trademark Infringement" Lawsuit Against Website Operator; Judge Issues Temporary Restraining Order

The suit says Marchex has been using a domain name called Aceplay.com, purporting to offer information about the Stratosphere and three other American Casino properties; the two Arizona Charlie’s in Las Vegas and the Aquarius in Laughlin…The suit also claims the website at issue infringed on American Casino’s “ace PLAY” loyalty club trademark.

“…U.S. District Court Judge Gloria Navarro issued a temporary restraining order requiring a domain name registrar to immediately remove or disable the aceplay.com domain name, place it on “hold and lock” and transfer it to the control of the court…”

According to the LasvVegasSun.com, the owner of the Stratosphere hotel-casino in Las Vegas has filed  suit against Marchex (MCHX) for alleged trademark infringement over the domain name AcePlay.com. American Casino claims in its suit that Marchex Sales Inc. has been involved in trademark infringement and ‘’cybersquatting,’’ which involves the registration of a website domain name that is similar to another party’s trademarked-name. Wednesday’s lawsuit says the site also includes links to online gaming sites and that Marchex is believed to generate “click-through” revenue from the online casinos.

American Casino “owns the exclusive right to use its ace PLAY trademark in connection with gaming services”

For more:  http://www.thedomains.com/2012/06/22/marchex-gets-sued-by-the-stratosphere-hotel-casino-in-las-vegas-over-the-domain-aceplay-com/

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by | June 22, 2012 · 11:59 am

Hospitality Industry Property Risks: West Virginia Motel Fire Caused By Manager Frying Food In Room; Structural And Electrical Repairs Delay Reopening

“…(the street) was closed for about four hours because of the fire, and electricity had to be cut to the motel because of damage to the wiring…the Red Cross was called to find places for the few motel guests to spend the night…”

No one was injured in a fire that broke out early Friday at the Jefferson Motel. Kanawha County Fire Coordinator C.W. Sigman said a manager at the MacCorkle Avenue motel was frying some food at about 12:45 a.m. when the grease caught on fire and set fire to the room. Firefighters were able to contain the blaze to the manager’s area, he said.

Sigman said the motel will not be allowed to reopen until repairs are made and the electrical system is fixed and inspected.

For more:  http://wvgazette.com/News/201206220029

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by | June 20, 2012 · 6:15 am

Hospitality Industry Safety Risks: Virginia Hotel Sued For $250,000 By Guest Who Fell Down Stairwell During Power Outage; No Emergency Lights Above Door To Stairwell

“…(the plaintiff) unknowingly stepped into a stairwell and fell 14 steps, according to the suit. It states there were no emergency lights above the door to the stairwell or on the stairwell itself. Christians claims he received permanent injuries, and continues to have physical pain, mental anguish and lost wages…”

A Loudoun County man is suing The Homestead in Hot Springs after falling down a flight of stairs during a power outage at the luxury hotel and spa. Allan Christian, of 20934 Winola Terrace, Ashburn, filed the $250,000 lawsuit Monday in U.S. District Court, according to online court records.

He was in one of the hotels’ restaurants at about 9 p.m. June 19, 2010 when the lights went out, leaving it “pitch black,” according to the complaint. Resort staff told Christian and other guests the lights would be on again soon, and served food to them, the complaint states. However, candles and flashlights weren’t handed out or placed in areas where people may need to walk, it states.

About 40 minutes after the power went out, Christian got up to move in the direction of the bathroom, and used “the furniture and staff to guide his movement,” the lawsuit states.

For more:  http://www.nvdaily.com/news/2012/06/northern-virginia-man-sues-luxury-resort.php

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by | June 19, 2012 · 6:18 am

Hospitality Industry Health Risks: Oregon Hotel Sued For $26,000 By Guest Sickened By Hollandaise Sauce Served At Breakfast

“…(the hotel’s owner) settled complaints by two people in the outbreak…negotiations on the Stanley case deadlocked, prompting Falkenstein to file a lawsuit earlier this month in Multnomah County Circuit Court…(since becoming ill) he has racked up nearly $14,000 in medical expenses, according to the lawsuit. He is seeking to recover those expenses plus at least $26,000 in noneconomic damages…”

According to a state outbreak investigation, the 83-year-old six-term commissioner from North Carolina was one of seven people sickened after breakfast that morning at Crowne Plaza Hotel in Northeast Portland. All of them ate eggs benedict. An eighth person, who ordered eggs benedict but had the hollandaise sauce on the side and didn’t consume it, felt fine.  No one else got sick, pointing to the hollandaise sauce as the culprit.

But lab tests confirmed that Stanley — and another person hospitalized in the outbreak — were sickened by a strain of Staphylococcus aureus,  a bacterium commonly found on the skin and in the noses of healthy people. Certain strains produce toxins that can spark quick and acute gastro-intestinal symptoms.

Dr. Mathieu Tourdjman, lead Oregon epidemiologist investigating the outbreak, said the sauce became toxic because it was not kept hot enough. Unlike many other pathogens, the toxins produced by Staph cannot be killed by cooking. The only way to prevent foodborne Staph infections is by thorough hand washing and proper cooking. Food safety advocates recommend keeping cooked food warm at 140 degrees Fahrenheit or more.

For more:  http://www.oregonlive.com/portland/index.ssf/2012/06/portland_visitor_says_hotels_h.html

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by | June 16, 2012 · 6:32 am

Hospitality Industry Wireless Security Risks: Cyber Criminals Setting Up "Mock Wi-Fi Hot Spots" At Hotels To Steal Wireless Device Data

“People will see ‘free Wi-Fi’ and click on it, and when they do that they open themselves up to great exposure…the best approach is to be wary and steer clear of Wi-Fi hotspots that do not seem legitimate — something (that) looks like it’s not quite right, not the proper name they might expect,” 

Gary Davis, McAfee’s director of global consumer marketing, said there was a growing trend of hackers setting up mock Wi-Fi hotspots in public places, which appear at the top of the list of available Wi-Fi connections.

Once compromised, hackers can take total control of a device, including removing all the data contained on it. Android devices are currently the devices most targeted by hackers, Davis said.

“We saw a 1,200% increase in malware targeting Android devices just in the first quarter of this year,” he said.

John said the best approach for business travelers when using public Wi-Fi is to remotely log into their employer’s virtual private network, or VPN, which ensures all data received and sent from a device is encrypted.

For more:  http://edition.cnn.com/2012/06/12/business/cyber-hackers-data-security-travel/index.html

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by | June 13, 2012 · 6:46 am

Hospitality Industry Property Risks: Hawaii Hotel Tree Trimmer Dies After Falling Forty Feet To Pool Deck; Fourth Tree Care Worker To Die In 18 Months

“…the tree trimmer died after falling about 40 feet during work at a Waikiki  resort…he landed on the pool  deck at the Hilton Hawaiian Village…”

Barcelona was the fourth tree trimmer to die in the state since January 2011.  Five died between November 2009 and November 2011, and three between January  2011 and July 2011…according to the state Department of  Labor and Industrial Relations.

The Hawaii Occupational Safety and Health Division will investigate the  death, which the medical examiner’s office said was an accident. Police do not  suspect foul play.

In response to the spate of deaths, the state and the Aloha Arborists  Association held a series of tree care safety workshops on Oahu, the Big Island  and Maui, Kunstman said.

In November, the state recommended penalties of $10,000 for a Maui  landscaping company after an investigation found one of the company’s tree  trimmers fell to his death from a coconut tree while using a rusty line patched  with duct tape. In September, a 71-year-old tree trimmer died after a coconut  tree fell on him in Kailua.

The Kailua company’s owner, Wesley Jay, didn’t immediately respond to a  request for comment. Stasia Barcelona said her son looked up to his boss, who  was very cautious, and dreamed of someday taking over the business.

According to the state Department of Commerce and Consumer Affairs, the  company has a valid license in good standing. The hotel extended their  condolences to the family in a statement.

Read more:  http://www.vcstar.com/news/2012/jun/12/trimmer-dies-after-fall-from-tree-at-waikiki/#ixzz1xgScV88n – vcstar.com

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by | June 11, 2012 · 6:30 am

Hospitality Industry Legal Risks: Texas Hotel Still Replacing Glass Panels One-Year After Falling Glass Injured Guests In Pool; "Negligence Lawsuit" Still Pending

“…they have been traumatized by the incident and seek recovery for damages, assert negligence on the part of the hotel, and ask for reasonable compensation for their pain, disfigurement, loss of earnings, loss of earning capacity, physical impairment, medical care and expenses and mental anguish…”

Crews are currently still replacing the more than 1,000 glass panels on the hotel.

Two people who were in the swimming pool at the W Hotel on June 10 when panels of glass fell from the building, shattered and then rained down on them have  filed a lawsuit against the W and Starwood Hotels and Resorts. Susan Davis and Prashanth Magadi  filed the complaint , represented by attorney Sean Breen, in Travis District Court. The two were injured and are still removing glass from their bodies when they filed the lawsuit in late June 2011. Davis said she still doesn’t know the extent of her injuries yet but remembers clearly that day at the pool on June 10.

The plaintiffs are asking that safety measures be put in place to prevent more falling glass, along with asking that covered walkways be built at the affected parts of the building.

The lawsuit alleges that the hotel had been warned of the problem before the June 10 incident, but failed to respond. In May, a similar incident happened at a  W Hotel in Atlanta where two women fell out of the hotel when glass failed and fell out of their hotel room, according to the lawsuit.

The lawsuit was filed the day after a second incident of falling glass happened at the W,  when three panels fell to the street below on June 27. No one was injured, though cars were damaged.

For more:  http://www.kxan.com/dpp/news/local/austin/one-year-later-few-answers-at-w-hotel

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by | June 10, 2012 · 6:45 am

Hospitality Industry Property Risks: Ohio Hotel Fire Started In "Mulch Pit" On Side Of Building; $2 Million In Structural Damage, $200,000 Contents

 “…a mulch bed on the side of the building caught fire, sending flames through a stairwell and into the attic…eight rooms on the third floor of the Microtel were directly affected and it took about three hours to control…”

Fire officials have determined the origin of a Jackson Township hotel fire on May 25 that shut down parts of Interstate 77. The State of Ohio Fire Marshal said a mulch bed on the side of the building caught fire, sending flames through a stairwell and into the attic. The exact cause of the fire remains under investigation and officials have not located the ignition source, the fire department said.

Last month, NewsChannel5 consumer advocate Jenn Strathman reported that weather was to blame for an increase in mulch fires in northeast Ohio. In Lorain County, Avon Fire Chief Frank Root III said they have seen 12 mulch fires in 2012, compared to just one by this time last year.

Fire officials said eight rooms on the third floor of the Microtel were directly affected and it took about three hours to control the blaze. Fire departments from across the area responded to the scene and one firefighter was treated for smoke inhalation.

The incident caused about $2 million in damage to the building and another $200,000 on contents.

Read more: http://www.newsnet5.com/dpp/news/local_news/oh_stark/fire-officials-say-mulch-was-origin-of-jackson-township-hotel-fire#ixzz1xOv21qxJ

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