Tag Archives: Hotels

by | February 1, 2013 · 7:45 am

Hospitality Industry Legal Risks: New York Hotel Settles Federal Class-Action Lawsuit For $550,000; “Service And Grutuity Charge” Not Paid To Workers

“…alleged that guests were not told that service charge was part of their bills. The amount of charge varied, depending on the service…in the dining room, standard meals were charged at a certain amount per diner Hospitality Industry Class Action Lawsuitswhether it was $5 or $8 or whatever, per meal, and also that the lodging charges were per night…”

Leatherstocking Corp., owner of the Otesaga Resort Hotel in Cooperstown, has agreed to pay a $550,000 settlement in a federal class-action lawsuit brought by service workers, largely over the distribution of service-charge proceeds. The workers alleged in the suit filed in Albany in 2010 that the hotel’s actions violated New York labor law the federal Fair Labor Standards Act.

The lawsuit also alleged violations of overtime and minimum-wage standards, but the bulk of the case focused on a “service/gratuity” charge that the hotel charged guests and restaurant patrons, according to court papers.

According to court documents, the hotel insisted that it properly distributed all of the service-charge money to employees. The dispute centered on which employees were paid, according to the documents.

The plaintiffs contended that management employees who were not legally entitled to a share of the payments nonetheless received them, while the hotel countered that that all of the people it paid were entitled to a share of the money.

For more:  http://thedailystar.com/localnews/x1746084500/Otesaga-pays-550-000-to-settle-lawsuit

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by | January 31, 2013 · 7:43 am

Hospitality Industry Safety Risks: California Hotel Explosion And Fire Caused By “Illicit Drug-Making Operation” In Guest Room; Walls “Blown Out” And Property Evacuated

“…all guests were evacuated and it took firefighters about 35 minutes to fully contain the flames which had reached into the third story and the attic of the hotel…Because of the drug-making substances that had caused Hotel Explosionthe hotel explosion, a hazardous-materials crew and the U.S. Drug Enforcement Administration were called in to investigate the illegal drug-making operation…”

An apparent drug-making operation in a hotel room caused a hotel explosion in San Diego on Wednesday shortly after 11 a.m. The explosion which happened in one of the hotel rooms blew out several windows and three walls, reported San Diego’s 10News on Jan. 30, 2013.

“An explosion apparently caused by an illicit drug-making process blew out walls and windows at a Midway-area hotel Wednesday and set part of it ablaze, leaving a young man gravely burned and two other people less severely hurt, authorities reported.”

The hotel explosion occurred in a hotel guest room on the second floor at the three-story Heritage Inn on Channel Way, just south of San Diego’s Interstate 8.

The man who was gravely injured during the hotel explosion had apparently lit a cigarette while using a butane spray can to try to extract hashish oil from marijuana. The flame from his lighter ignited the chemical fumes and caused them to detonate powerfully. The man who is in his early 20s suffered life-threatening burns.

Hash oil is made by packing finely ground stems and leaves of marijuana plants in a pipe and pouring butane through it. The liquid typically is then cooked on a stove to separate the butane. Hash oil averages about 15 percent THC, the chief intoxicant in marijuana. A drop or two is about as potent as a marijuana cigarette.

For more:  http://www.examiner.com/article/illegal-drug-making-hotel-room-causes-hotel-explosion-san-diego

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by | January 29, 2013 · 7:21 am

Hospitality Industry Safety Risks: Texas Hotel Guest Files “Negligence Lawsuit” After Marble Tile In Elevator Falls On Child Causing “Serious Injuries”

“…as (plaintiff)  stepped off the hotel elevator, a large marble tile fell from a wall and onto the child’s head, Hospitality Industry Lawsuitchest and leg.  His bodily injuries were serious, permanent and disabling…”

An Oklahoma woman claims her son was injured at a Galveston hotel and is seeking damages in a suit against the owner. Shawna Martin filed a lawsuit against Neel Shah Hospitality Inc. on Jan. 25 in Galveston County District Court.

According to the suit, Martin and her 8-year-old son were on vacation in Galveston on Jan. 14, 2007, and the boy was injured at the at the Comfort Inn & Suites in the 6300 block of Seawall Boulevard.

“Allowing a loose tile which was inadequately secured to the wall….. posed an unreasonable risk of harm and the defendant had constructive knowledge of that risk,” the original petition says.

The defendant is blamed for:

  • Failing to properly and adequately secure the mirror to the wall;
  • Failing to perform an adequate inspection to determine whether there was a hazard present;
  • Failing to repair said mirror; and
  • Failing to warn.

For more:  http://setexasrecord.com/news/281053-woman-sues-galveston-hotel-after-marble-tile-strikes-son

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by | January 25, 2013 · 9:21 am

Hospitality Industry Property Risks: New York Hotel And Restaurant Suffers “Significant Water Damage” After Frozen Pipe Bursts; $200,000 Damage From Third Floor To Basement

“…A water pipe had frozen and burst early Wednesday morning…the pipe was connected to the facility’s sprinkler system and the malfunction triggered a response from the Geneseo Fire Department…The pipe burst Hotel Water Damageon the third floor, pouring water into a guest room and working its way down to the basement. There was “significant damage” in several parts of the building including two parlors, dining rooms and guest rooms and spaces above and below the rooms…”

The Big Tree Inn, 46 Main St., remains closed after a water pipe burst on Wednesday, flooding several areas of the landmark building and causing significant damage from the third floor to the basement. Big Tree Inn will remain closed through Friday, but Scott is hopeful that at least part of the facility will be able to open some time during the weekend.

Scott estimated repairing the damage will cost $200,000 or more. The restaurant does have insurance.

Facility managers were alerted to a problem by a guest who reported hearing what was believed to be a small leak. An investigation revealed the bigger problem.

For more:  http://thelcn.com/2013/01/24/burst-water-pipe-causes-significant-damage-at-big-tree-inn/

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by | January 24, 2013 · 8:28 am

Hospitality Industry Safety Risks: Alabama Hotel Sued By Guest Trapped In Elevator; “Sustained Injuries During Escape From Broken Machinery”

“…(plaintiff) and several others became entrapped in the hotel’s elevator…(she claimed) the hotel didn’t respond to the emergency call which resulted in two male guests in the elevator prying the door open and Hotel Elevator Accidentcreating an opening to escape…hotel administrators pulled King by the legs through the opening resulting in her falling and suffering physical injuries…”

An Alabama resident is suing a local Marriott-owned hotel after allegedly being trapped in an elevator and sustaining injuries during an escape from the broken machinery. Maureen A. King filed a lawsuit against Marriott Hotel Services, Inc., Renaissance Hotel Management Company, LLC, Renaissance Hotel Operating Company, Sodexo, Inc. and John Doe in the Orleans Parish Central District Court.

The defendant is accused of failing to respond to the emergency elevator alarm, pulling petitioner from the elevator and causing her to fall and failing to seek emergency assistance.

An unspecified amount is sought for past medical expenses, future medical expenses, past lost wages, future lost wages, pain and suffering and mental anguish.

For more:  http://louisianarecord.com/news/248516-renaissance-pere-marquette-hotel-blamed-for-injuries-sustained-by-guest-stuck-in-elevator

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by | January 22, 2013 · 8:17 am

Hospitality Industry Business Risks: Texas Hotel Loses Reservations After Gas Line Damaged By Woman In Stolen Vehicle; Thousands Of Dollars Lost As Property Was A “Crime Scene”

“…the gas company had to shut the gas off and hotel hot water boilers run on gas…(hotel) was without hot water for almost 12 hours and as a result lost 26 reservations…the woman who ran over the gas main will have business interruption insuranceto pay (hotel) back in restitution fees that could be assessed to her in court but that doesn’t mean it’s feasible…”

An Amarillo hotel is out thousands of dollars after it’s forced to shut off it’s gas while police investigate a crime scene on the property. Saturday, the Holiday Inn near I-40 and Ross had to shut off its gas after its gas main was run over by a woman who stole a van.

Normally, a business might turn to its insurance company for damages like these, but not in this case.

“According to our insurance company there was no liability for them because of the fact that it was a crime scene,” added Muse. “It if had been a gas company issue, a faulty main or something, then it would’ve been something we could go to out insurance company for.

“Most of the time, in order to collect stuff, they’ve got to be have the ability to pay for it. With fines, court costs, all of that, restitution, it’s a matter of do they have the ability to pay. So, assessing and collecting are two different things.”

Even if the defendant is able to pay, if they serve any time, probation or parole, it could be years before the person they owe sees any of that money.

“So, even if it’s assessed and could be collected, they could pay, it could be a long time before they actually pay it?” NewsChannel Ten asked Sims. “Correct,” he answered. “And, like I said, probation is like an interest free loan.”

“It looks like we’re just going to be eating the loss,” said Muse.

Muse says he’s fortunate his hotel is older and more established, otherwise this blow to the business’ wallet would’ve hurt them a lot worse.

For more:  http://www.newschannel10.com/story/20609001/crime-scene-investigation-costs-amarillo-hotel

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by | January 20, 2013 · 8:52 am

Hospitality Industry Employment Risks: Hotels And Restaurants Providing “Paid Sick Leave” Benefits Reduce Employee Illnesses, Work-Related Injuries And Turnover According To Latest Studies

“…it (is) better for an employee to call in sick, take care of their illness and not contaminate the other staff. The number of employees struggling to work while sick was drastically reduced. The H1N1 virus in 2009 Paid Sick Leave In Hospitality Industrydemonstrated the value of keeping sick employees out of the workplace…And best of all, according to the Centers for Disease Control, workers with paid sick leave are 28 percent less likely to suffer work-related injuries. People in construction, restaurants or hospitals who do physically demanding jobs are more likely to injure themselves (or someone else) if they are working while sick, weak and fatigued…”

The Bureau of Labor Statistics tells us that 39 percent of people employed in private industry do not have paid sick leave as a benefit.

And 81 percent of service workers earning $10.50 or less have no paid sick leave. These are the people behind the cash register, serving you food in a restaurant, cleaning offices and hotel rooms and handing you your ticket when you go out to see a movie.

The information comes from studies conducted by the Centers for Disease Control, the Bureau of Labor Statistics and the Women’s Institute of Policy Research study of San Francisco’s paid sick leave ordinance. Before San Francisco enacted its ordinance in 2007, the restaurants and mom-and-pop businesses fought hard to prevent it. They predicted the cost of paid sick days would put them out of business. In 2011 a detailed study was done and employers are happy their fears were not realized. There was no discernible increase in payroll costs.

Turnover decreased because employees didn’t need to change jobs to get paid sick leave. The city ordinance requiring paid sick leave leveled the field for all employers, and good employees stayed in place longer.

For more:  http://union-bulletin.com/news/2013/jan/19/sick-pay-benefits-employers-bottom-lines/

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by | January 18, 2013 · 8:53 am

Hospitality Industry Crime Risks: Arkansas Hotel General Manager Arrested For “Promoting Prostitution At Property”; Rented Rooms Hourly To Accommodate Sex For Money

“…a serious crime because it’s such a spider web into other facets, robberies stem from this, assaults, rapes…Police say the activity not only violates state statutes regarding prostitution but violates the city’s Hotel Prostitution ringssexually oriented business ordinances…”

The general manager and employee of a Fort Smith hotel were arrested Tuesday (Jan. 15) for promoting prostitution in the business, according to police. A six-month investigation revealed general manager John Lee Rohlin, 42, and his employee Jonathan Richard Bean, 28, regularly rented rooms at the Season’s Inn on south Waldron to individuals by the hour to accommodate men and women engaging in sex for money, a police report states.

The arrests stunned guests Thursday afternoon. “It will be scary because it’s something illegal you know,” said Monsour Alhussain, a hotel guest. A confidential informant tipped off the police about the prostitution in June, according to police.

Both men were booked into the Sebastian County Detention Center and released on $1,500 bonds.

For more:  http://5newsonline.com/2013/01/17/hotel-employees-arrested-on-promoting-prostitution-charge/

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by | January 15, 2013 · 7:48 am

Hospitality Industry Safety Risks: California Hotel Faces “Negligence Lawsuit” Over Carbon Monoxide Leak From Hotel Pool Boiler

“…(the plaintiff) was a guest at the time of the evacuation, which was believed to be caused by a boiler leak…claims the hotel was not equipped with carbon monoxide detectors resulted in exposing paying guests to hotel Carbon Monoxide Poisoninghazardous levels of the gas… he’s claiming negligence and requesting the hotel cover costs of general damages, medical bills, potential loss of revenue and legal fees…”

A carbon monoxide leak that prompted the evacuation of the Embassy Suites San Francisco Airport hotel in Burlingame in November prompted a lawsuit from a guest who was staying at the hotel. On Friday, a lawsuit was filed against the hotel on behalf of Robert and Diane McNamara by San Francisco-based attorney Richard Schoenberger.

Firefighters were called to the hotel at 150 Anza Blvd. to test its air quality and evacuate guests around 1 a.m. Thursday, Nov. 8, according to news reports at the time.

The carbon monoxide was traced to a boiler that feeds the hotel pool and a spa, Central County Fire Chief Don Dornell said at the time. The unit was immediately shut down, and carbon monoxide levels dissipated, he said. At the time, it was reported that there were no injuries nor was treatment required of anyone. Guests were able to return to their rooms shortly after 5 a.m. Crews remained at the hotel monitoring the air throughout the morning.

For more:  http://www.smdailyjournal.com/article_preview.php?id=1761499&title=Carbon%20monoxide%20leak%20at%20hotel%20sparks%20lawsuit

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by | January 10, 2013 · 9:29 am

Hospitality Industry Property Risks: Pennsylvania Hotel “Fire Alarm System” Fails During Basement Fire; Over 70 Guests Evacuated After Electrical Panel Circuit Found “Dead”

“…the hotel had a small fire in its basement over the weekend, and the fire alarms did not go off…(it was) found that the hotel’s electrical panel that controls the fire alarms was dead and the alarms didn’t work…the fire alarms for hotelshotel’s general manager said they had to evacuate more than 70 guests Tuesday, and they’ve been working since then to replace the fire alarm system..”

A hotel in a Scranton shut down Tuesday night because of a problem with its fire alarm system. It turns out, that hotel may have been without fire protection for weeks, maybe even months.

Scranton firefighters received a tip call from a former employee of the Clarion Hotel in Scranton. That call unraveled what could have been a big problem for the hotel and city officials.

The city’s director of inspections and permits, Mark Seitzinger went with firefighters to check out the tip calls claim.

“It’s dangerous, as of the other day they had 75 occupants or patrons of the building, that’s 75 people not including employees that are at risk because there’s no fire system,” said Seitzinger.

On the city’s advice, hotel managers made the call to evacuate all of those 75 guests and sent them to nearby hotels. Among the displaced were realtors who were supposed to have a certification class at the Clarion, but they had to change their plans and move to another venue in Clarks Summit.

For more:  http://wnep.com/2013/01/09/hotel-replaces-faulty-fire-alarms-following-small-fire/

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