European Hotels Sue Booking.com: Over 10,000 Join Class Action Over Unfair Pricing

Booking.com Lawsuit Business & Financial

The travel industry is facing a seismic shift as more than 10,000 hotels across Europe band together in a massive lawsuit against Booking.com. This collective action, set to unfold in a Dutch court after August 29, 2025, targets the platform’s pricing policies, which hoteliers say have squeezed their profits for years. From small family-run inns in Berlin to boutique hotels in Paris, owners are fed up with what they call unfair commission fees and restrictive rules. This case could change how online travel agencies operate, and it’s a story worth watching.

Prepared by journalists from the news site https://themors.com/, this article dives into the details of the Booking.com lawsuit, its impact on the hospitality sector, and what it means for travelers booking their next stay.

Why Are Hotels Taking Booking.com to Court?

The Parity Clause Controversy

At the core of this class action against Booking.com is the platform’s “parity clause.” For years, this rule forced hotels to offer Booking.com the same or better rates than they listed anywhere else, including their own websites. If a hotel in Amsterdam wanted to give a discount to direct bookings, Booking.com’s policy wouldn’t allow it. This meant hotels were stuck paying commissions—often 15-30% per booking—while losing control over their pricing.

The European Court of Justice ruled in 2024 that this clause was anti-competitive, harming hotels by limiting their ability to attract customers directly. After the ruling, Booking.com phased out the policy, but the damage was done. Hoteliers claim they lost millions from 2004 to 2024 due to these restrictions. Now, they’re seeking compensation, potentially up to 30% of the commissions paid during that period.

A Growing Movement Across Europe

The lawsuit has gained traction, with over 10,000 hotels signing on, according to the German Press Agency (DPA). From Spain to Sweden, hotel owners are joining forces to challenge Booking.com’s dominance. The case will be heard in the Netherlands, where the company is headquartered, making it a focal point for European hospitality.

Hotrec, the leading association for hotels, restaurants, and cafes in Europe, has been a vocal supporter. Its president, Alexandros Vassilikos, told reporters, “Hoteliers have endured unfair conditions for too long, paying high fees while unable to compete on price.” This sentiment resonates with small operators, who feel crushed by the platform’s market power.

Why Are Hotels Taking Booking.com to Court?

How Booking.com’s Policies Affected Hotels

The Financial Toll of Commissions

Running a hotel isn’t cheap—staff, utilities, and maintenance eat into profits. Add Booking.com’s commission fees, and many owners, especially in smaller cities like Lisbon or Prague, struggle to break even. For example, a boutique hotel charging $100 per night might lose $15-$30 to Booking.com per booking. Over years, these fees add up, particularly for independent businesses without the bargaining power of large chains.

The parity clause made things worse. Hotels couldn’t offer lower rates on their websites to lure guests directly, even though direct bookings save on commissions. This created a cycle where hotels depended on Booking.com for visibility but paid heavily for it. The lawsuit argues that this setup stifled competition and innovation, leaving hoteliers with little choice but to comply.

Real-Life Impact on Hotel Owners

Imagine owning a cozy guesthouse in Florence. You want to offer a 10% discount to repeat guests who book through your site, but Booking.com’s rules stop you. Instead, you’re forced to keep prices high to cover the platform’s fees, and guests keep booking through Booking.com, not your site. This scenario played out for thousands of hoteliers, who felt trapped in a system that favored the platform over their businesses.

The lawsuit isn’t just about money—it’s about fairness. Hotel owners want the freedom to set their own prices and build direct relationships with guests. For many, this case is a chance to reclaim control over their livelihoods.

Details of the Class Action Lawsuit

What’s at Stake

The Booking.com lawsuit, set to begin after August 29, 2025, in Amsterdam, could have massive financial implications. Hoteliers are claiming compensation for commissions paid from 2004 to 2024, a period when the parity clause was in full effect. Estimates suggest the total could reach billions of euros, depending on how many hotels join before the deadline.

The case builds on a 2024 European Court ruling that declared the parity clause illegal. This victory gave hoteliers the legal footing to demand refunds for years of lost profits. With over 10,000 participants already, the lawsuit is one of the largest of its kind in the travel industry.

Global Context: Not Just a European Issue

Booking.com has faced similar scrutiny elsewhere. In 2021, Russia’s Federal Antimonopoly Service (FAS) fined the company 1.3 billion rubles ($14 million) for anti-competitive practices, citing the same parity clause issues. The fine followed a ruling that the policy hurt Russian hotels by limiting their pricing freedom. This global pushback shows that the problem isn’t unique to Europe but part of a broader fight against online travel agency dominance.

What Could Happen if the Hotels Win?

Financial Relief for Hoteliers

A win in the Dutch court could mean significant payouts for participating hotels. Recovering 30% of commissions paid over two decades would provide a lifeline for many, especially those still recovering from the pandemic’s impact. Small hotels in cities like Barcelona or Vienna could use the funds to renovate, hire staff, or lower prices for guests.

Changes to Online Booking Practices

A successful lawsuit might force Booking.com to rethink its business model. Lower commissions or more flexible pricing rules could emerge, giving hotels room to compete. This could also pressure other platforms like Expedia to adopt fairer practices, creating a ripple effect across the industry.

The European Union’s Digital Markets Act (DMA), which regulates tech giants, aligns with this case. A ruling against Booking.com would reinforce the DMA’s push for fair competition, potentially leading to stricter oversight of online travel agencies.

Impact on Travelers

For travelers, the lawsuit could mean better deals. If hotels gain more pricing freedom, they might offer discounts for direct bookings, cutting out the middleman. Imagine booking a charming hotel in Rome directly and saving 20%—that’s the kind of change this case could bring. However, there’s a flip side: platforms might raise fees or adjust listings, which could temporarily disrupt booking options.

Challenges and Counterarguments

Booking.com hasn’t stayed silent. The company has argued that its parity clause ensured consistent pricing for consumers, preventing confusion from varying rates across platforms. In a statement after the 2024 ruling, Booking.com said it was committed to complying with regulations and had already begun phasing out the clause.

Some consumer groups agree with Booking.com, noting that price parity can protect travelers from being overcharged on lesser-known sites. However, critics counter that this practice inflates costs by reducing competition, ultimately hurting consumers as much as hoteliers.

What’s Next for the Travel Industry?

As the August 29, 2025, deadline approaches, more hotels are expected to join the lawsuit, potentially increasing its scope. The outcome could set a precedent for how online platforms interact with traditional businesses, not just in travel but in other sectors like e-commerce.

For hoteliers, this is about more than money—it’s about leveling the playing field. For travelers, it’s a chance for more choices and better prices. And for Booking.com, it’s a test of how it can adapt to a changing regulatory landscape.

This case is a wake-up call for the travel industry. Whether you’re a hotel owner in Berlin or a traveler planning a trip to Paris, the Booking.com lawsuit could reshape how you book your next stay.

This material was prepared by journalists from the news site https://themors.com/.

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