Category Archives: Risk Management

Hospitality Industry Crime Risks: Washington Hotel Manager And Staff Assist In Arrest Of “Identity Theft Ring”; Forged ID Cards, Computers And Printers Discovered In Room

…the hotel manager called the police to report suspicious men who had booked a room. As he was talking to officers, the identity theftsuspects ran out a back door of the hotel and left in a vehicle…the manager called back to report that his staff found “suspicious computer equipment” and documents strewn about a room they had been scheduled to clean. Detectives served a search warrant on the room…three suspects returned to the hotel that night to get the items they left in the room and were arrested…”

Mukilteo police arrested three men on Thursday in connection with an identity-theft ring after hotel cleaning staff found a room full of forged IDs and the equipment to manufacture them. The room at the hotel in the 8500 block of the Mukilteo Speedway was filled with computers, printers, mail and paperwork that didn’t belong to anyone registered for the room, said Cheol Kang, spokesperson for the Mukilteo Police Department.

A search warrant also recovered numerous ID cards with different names but the same photo of one of the men, as well as a printer with pages of blank check paper.

A 32-year-old from Lake Stevens, a 31-year-old from Renton and a 28-year-old from Everett were booked into Snohomish County Jail for investigation of financial fraud and forgery. Kang said the three men were already under investigation by other law-enforcement agencies for identity theft, fraud and other financial crimes.

For more:  http://mukilteobeacon.villagesoup.com/p/identity-theft-ring-busted/983738

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Filed under Crime, Guest Issues, Management And Ownership, Risk Management, Theft

Hospitality Industry Property Risks: Wisconsin Restaurant Fire Caused By “Improperly Stored Ashes”; $20,000 In Damage To Walls And Siding

Restaurant FireAshes that weren’t properly disposed of caught the wood siding on fire this morning, causing around $20,000 in damage.  The building had to be ventilated of smoke.

There’s some cleaning up to do before McGrath’s Fish House in Milwaukie can re-open for business.

A police officer patrolling the parking lot spotted the flames. Firefighters say make sure to put ashes in a non-combustible container of water to cool them before putting in the trash.

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Filed under Fire, Labor Issues, Liability, Risk Management, Training

Hospitality Industry Legal Risks: Arizona Restaurant Settles “Disability Discrimination Lawsuit” For $65,000; Server With Traumatic Brain Injury Was Fired By New Manager

“…(the plaintiff) worked tirelessly to be a good server after suffering a traumatic brain injury. The ADA prohibits EEOCemployers like Outback from firing individuals like John who add so much to the workplace…”

Outback Steakhouse will pay $65,000 and furnish other relief to settle a disability discrimination lawsuit filed by the U.S. Equal Employment Opportunity Commission (EEOC), the agency announced today.

The EEOC’s lawsuit, EEOC v. OSI Restaurant Partners, LLC d/b/a Outback Steakhouse and OS Restaurant Services, Inc., Civil Action No. 2:11-cv-01754-NVW, charged Outback with firing server John Woods days after a new manager took over at Outback’s Phoenix Metrocenter location. According to the EEOC’s suit, John Woods had worked successfully under Outback’s prior manager, but a new manager terminated Woods because of his disability, traumatic brain injury.

Disability discrimination violates the Americans with Disabilities Act (ADA). The EEOC filed suit in U.S. District Court of Arizona after first attempting to reach a pre-litigation settlement through its conciliation process.

After the court denied Outback’s motion for summary judgment, Outback agreed to a 24-month consent decree that requires the company to pay Woods $65,000; revise its policies concerning disability discrimination; train its Arizona managers on the laws prohibiting disability discrimination; and post notices in Arizona Outback Steakhouses regarding employees’ rights under the ADA.

“Managers cannot fire employees because of their mistaken beliefs about what individuals with disabilities can accomplish,” EEOC Phoenix District Director Rayford Irvin said. “We are pleased with the resolution of this case, and we are hopeful that this agreement will help prevent discrimination in the workplace going forward.”

For more:  http://www.natlawreview.com/article/outback-steakhouse-to-pay-65000-to-settle-eeoc-disability-discrimination-lawsuit

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Filed under Employment Practices Liability, Injuries, Labor Issues, Liability, Management And Ownership, Risk Management, Training

Hospitality Industry Data Security Risks: Hotels Are At Significant Risk Of “Large-Scale Hacking” Of Guest Personal Information, Including Information In Reservation Systems

“Data security is becoming an issue of significant importance in the hospitality industry…(because of) an increase in hacks and malware attacks, which frequently target hotel systems because they’re a rich source of cybercrime in hotelspersonal information… hackers aren’t just targeting data on hotel systems but also the information passed along to reservations systems…credit card theft is much easier — and more likely — through large-scale hacking…another reason hotel guests are vulnerable to having their personal information stolen: They’re easily distracted.”

Several days after Traci Fox visited a small independent resort in the Catskill Mountains, she received an unexpected call from a shoe store. Where did she want it to ship the $400 worth of pricey sneakers that she’d ordered?

Fox believes that her hotel may have compromised her credit card information. At least one government agency shares her concerns. Last summer, the Federal Trade Commission sued Wyndham Hotels, alleging that the company had failed to protect its customers’ personal information. As a result, the FTC claims, hundreds of thousands of credit card numbers fell into the wrong hands, leading to millions of dollars in fraud-related losses. Wyndham denies any wrongdoing and is fighting the suit.

The problem may run deeper than the theft of credit card numbers, however.

The personally identifiable information in your guest profile, such as your home address, your license plate number and your date of birth, which is attached to your reservation, can end up in the hands of a third party that offers little or no warranties about how it will protect your data. “These kinds of areas are more worrisome than some huge Visa bill,” says hotel consultant Marion Roger. “Once your identity has been cloned, you can easily spend years and hundreds of thousands in legal and other fees.”

For more:  http://www.washingtonpost.com/lifestyle/travel/the-navigator-when-you-check-in-your-private-information-may-be-checked-out/2013/03/28/07cb90ca-9599-11e2-bc8a-934ce979aa74_story.html

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Filed under Crime, Guest Issues, Liability, Management And Ownership, Privacy, Risk Management, Technology, Theft

Hospitality Industry Health Risks: Alabama Hotel Guests Hospitalized After Carbon Monoxide Poisoning Caused By “Malfunctioning Heating Unit And Faulty Duct Work”

“…the problem likely had to do with a heating unit that malfunctioned in addition to some faulty ductwork. The carbon monoxide poisoningissues impacted the fifth and sixth floors of the hotel…in addition to the 11 total guests exhibiting symptoms on Friday morning, a family of four also were said to have been experiencing flu-like symptoms. The family was urged to seek medical treatment and did so before returning to their home in Florida…”

Fifteen guests at the Renaissance Birmingham Ross Bridge Golf Resort & Spa in Hoover were taken to the hospital with carbon monoxide poisoning on Friday. According to Hoover Fire Department Lieutenant Rusty Lowe, firefighters received a call at approximately 6:30 a.m. on Friday morning about an unresponsive guest at the hotel.

Upon arrival, fire officials discovered ten additional guests who were exhibiting symptoms of carbon monoxide poisoning. The guests’ symptoms ranged from headaches and nausea to mental problems.

All of the impacted guests were transferred to a nearby hospital for treatment.

For more:  http://www.cbs42.com/mostpopular/story/15-guests-at-Birmingham-hotel-treated-for-carbon/BDBQeW5_70mbg122MdCg5Q.cspx

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Filed under Guest Issues, Health, Liability, Maintenance, Risk Management

Hospitality Industry Crime Risks: Arizona Hotel Guest Reports $2,000 Stolen After Front Desk Accidently Gives Out Victim’s Room Key

“…The hotel front desk worker told police he accidentally gave the suspect the victim’s room key after forgetting the room was already Hotel Theft Surveillanceassigned…a short time later, the suspect and an unidentified man checked out, saying the room was dirty, according to the police report. By the time the victim came back to her room, her purse and clothes bag were gone…”

A 24-year-old Arizona woman had an interesting response when given the wrong room key at an Oak Creek hotel last week: Steal the clothes and purse of the person staying there. According to a police report, the woman took advantage of a mix-up at the Days Inn front counter and got off with more than $2,000 worth of valuables and clothes belonging to a woman staying at the hotel with co-workers.

The purse contained a phone, credit cards, social security card, $30 in cash, a diamond ring valued at $1,500 and a check made out to her for $1,500. The check and credit cards were canceled.

Clothes, an iPad, sunglasses, an umbrella and more jewelry were also stolen, according to the report.

The front desk worker told the victim that Days Inn is responsible for paying to replace the items stolen, according to police.

For more:  http://oakcreek.patch.com/articles/room-key-mix-up-leads-to-theft-of-purse-clothes

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Filed under Crime, Guest Issues, Labor Issues, Risk Management, Theft

Hospitality Industry Legal Risks: Louisiana Hotel Sued For “Injuries Sustained By A Handicapped Guest”; Failure To Provide A Ramp Or Safe Access From Parking Lot To Room

“…the (hotel ownership) is accused of failure to provide a safe access/handicap access from the parking lot to the elevated walkway in front of the Hospitality Industry Injury Lawsuitsroom assigned to the (plaintiff)…an unspecified amount is sought for pain and suffering, mental anguish, embarrassment, humiliation, permanent disability, medical expenses and loss of income/ earning capacity…”

A local branch of a national hotel chain is being sued on claims of damages for injuries sustained by a handicapped guest. Anne G. and Timothy Conwell filed a lawsuit against Days Inn Inc., Days Inn Hotel 10020 I-19 Service Road New Orleans, La. and Nguyen, Nguyen & Vu LLC in the Orleans Parish Central District Court on Jan. 22.

The Conwells claim that while registered guest at Days Inn, Anne Conwell, who suffers from a handicap, fell and broke her right arm, ball and socket joint of her right shoulder, struck her head and suffered severe injuries to her hip and back. The suit claims that the fall was a result of the defendant’s parking area not having a handicap ramp or other access from the parking area onto the walkway and entrance to the first floor level rooms.

For more:  http://louisianarecord.com/news/250306-texas-couple-files-suit-against-days-inn-for-damages

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Filed under Guest Issues, Injuries, Insurance, Management And Ownership, Risk Management

Hospitality Industry Health Risks: Restaurants “Cause 250% More Foodbourne Illnesses” Than Eating At Home A New CSPI Study Finds

“…the CSPI (Center for Science in the Public Interest) found there are roughly two and half times more illnesses caused by outbreak_alert_2013_final-page-001foodborne illnesses picked up by dining at restaurants than by eating at home…restaurants were involved in 1,786 outbreaks during the decade, events associated with at least 32,919 illnesses. Private residences were involved in 922 outbreaks resulting in 12,666 illnesses…another 1,229 outbreaks occurred in multiple locations —schools, jobsites, catered events, etc.—and were responsible for at least 42,301 illnesses…”

Some of CSPI’s other findings include:

  • Foods regulated by the U.S. Food and Drug Administration (FDA) were responsible for twice as many fully investigated outbreaks as those regulated by the U.S.Department of Agriculture.
  • Dairy and produce outbreak levels remained relatively unchanged, while most of the declines came in seafood, beef, pork and poultry,
  • Pound for pound, seafood remains the most risky food, followed by poultry, produce and dairy.
  • The most common contaminant/vehicle pairing is Salmonella in poultry.

For more:  http://www.foodsafetynews.com/2013/03/fewer-people-may-be-getting-sick-from-poisoned-food/#.UVGbf0nn8eE

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Filed under Food Illnesses, Guest Issues, Health, Liability, Management And Ownership, Risk Management

Hospitality Industry Technology Solutions: New California Hotel Features “Virtual Check-In System” Utilizing Tablets For Reservations And Services; Apple TVs Synch To Guests’ iPhone And iPad Applications

“…virtual hotel check-ins (feature) a Cool Concierge which bypasses the human version of concierge or front desk service…guests use the tablet-system themselves to look up directions, phone numbers, make reservations, check their in-mobile technologyflight status and print boarding passes…(the hotel’s) Smart Check-In also allows guests to bypass the front desk and straight to their rooms using radio frequency technology or RFID, or wireless, non-contact systems…”

A new hotel that heavily favors Apple users — and could alienate their Android market base — has opened steps from the Apple’s brain center in Cupertino, California. All 123 rooms at Starwood Hotels & Resorts’ Aloft Hotels, whose tagline is “style at a steal,” will feature Apple TVs that can sync with guests’ iPhones, iPads or iPod Touch devices and their personal iTunes accounts.

Guests can choose among movie titles from iTunes, connect to Netflix for films, or Hulu for TV shows, and play their personal videos and photos on the in-room’s 42-inch LCD flatscreen TV.

As pointed out by CNET, it’s not the first time a hotel chain has opted to go with Apple TVs for their in-room entertainment. Staybridge Suites in London’s Olympic Village was also outfitted with the small, portable devices which enable guests to access their personal iTunes accounts.

For more:  http://www.hindustantimes.com/Travel/Chunk-HT-UI-TravelSectionPage-TravelStories/Apple-friendly-hotel-with-wireless-check-in-opens-in-Cupertino/Article1-1030447.aspx

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Filed under Guest Issues, Labor Issues, Management And Ownership, Risk Management, Technology

Hospitality Industry Legal Risks: Illinois Hotel Faces Second Lawsuit For “Emotional Distress” Resulting From Drowning Of Young Boy; “Failure To Maintain Pool By Not Installing Phone And Posting Emergency Numbers”

“…the suit alleges Pheasant Run Resort and Spa, McArdle Ltd., and Oakbrook Hotels and Resorts should be held liable for the emotional distress caused to Carlos Escobar, who was 12 when he saw his stepbrother drown. Both lawsuits argue the resort failed to maintain the pool properly by Hospitality Industry Lawsuitnot posting emergency numbers or installing a phone at the pool…”

A Belvidere teen, who saw a relative drown at the Pheasant Run Resort in St. Charles more than five years ago, has sued the resort and hotel, claiming emotional distress. The suit, filed this month in Kane County court, is the second involving the Dec. 28, 2007, drowning of Javier Gonzalez, 21, of Garden Prairie, Ill.

A wrongful-death suit was filed in 2009 by the mother of the drowning victim. Daniel Murphy, a lawyer representing the plaintiffs in both lawsuits, declined to comment.

The suit also claims the resort was cited by the DuPage County Health Department at least seven times for not having a buoyed safety rope dividing the shallow and deep sections of the pool, and did not have proper lifesaving equipment on the deck.

According to the suit, Gonzalez was playing in the pool with four relatives, ages 12 through 15, when he became distressed and sank face down to the bottom near the drain. There was no lifeguard on duty and the children frantically called for help before going to their parents’ rooms for assistance, the suit states.

A Pheasant Run employee could not locate any rescue equipment, and Gonzalez was underwater for at least five minutes, the suit said. He was eventually pulled from the water, but CPR did not work and he was pronounced dead on arrival at Delnor Hospital in Geneva. Both lawsuits seek more than $50,000 in damages.

For more:  http://www.dailyherald.com/article/20130321/news/703219793/?interstitial=1

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Filed under Guest Issues, Injuries, Liability, Management And Ownership, Risk Management