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Resort Fees, Destination Fees, and the FTC Junk Fees Rule

$25 to $55 a night, tacked onto hotel bookings as a resort fee, destination fee, or urban fee. The FTC Junk Fees Rule took effect in May 2025 and changed what hotels can hide from the advertised price.

The short version

A resort fee (also called destination fee, facility fee, amenity fee, or urban fee) is a mandatory daily charge added to hotel bookings at many properties. The fee typically ranges from $25 to $55 per night and is often not included in the advertised room rate.

The FTC Junk Fees Rule (16 CFR Part 464) took effect May 12, 2025. It specifically targets this type of fee in the short-term lodging industry. Multiple class actions are active over resort fees where the covered amenities were unavailable or unused.

This guide covers what the fee is, what the FTC rule requires, and what consumers have reported as effective approaches to disputing it at check-out or afterward.

What the fee is

Resort fees emerged in the early 2000s as a way for hotels to advertise lower nightly rates while collecting additional revenue through a mandatory daily charge. The fee is typically justified as covering a bundle of amenities: pool access, gym access, WiFi, local phone calls, coffee, newspaper delivery, fitness classes.

The problem, as documented in consumer complaints and class-action filings, is that these amenities are often:

  • Not available during the guest's stay (pool closed for maintenance)
  • Not accessible to that guest (off-hours, check-in/check-out timing)
  • Not used by most guests (resort fees charged to business travelers who don't use amenities)
  • Already standard in the industry (WiFi, for example, is now expected as included)

The FTC has cited resort fees as a primary example of "drip pricing," the practice of advertising a lower price and adding mandatory fees later in the purchase process.

The FTC Junk Fees Rule (16 CFR Part 464)

Effective May 12, 2025, the FTC Junk Fees Rule applies to short-term lodging (hotels, vacation homes, other short-term rentals) and live-event ticketing.

Key provisions as they relate to hotels:

Total price disclosure. Any business offering, displaying, or advertising a hotel price must clearly and conspicuously disclose the total price, inclusive of all mandatory fees (other than government charges).

Prohibition on misrepresentation. Businesses may not misrepresent the nature, purpose, amount, or refundability of any fee.

Fee amount disclosure. Any mandatory fee excluded from the total price (shipping, government fees) must still be disclosed in the final amount of payment before the consumer is asked to pay.

The rule does not prohibit resort fees themselves. It requires them to be disclosed upfront and accurately described.

State junk fee laws

Several states have passed junk fee laws that go beyond the FTC rule:

  • California: mandatory fee disclosure requirements effective 2024
  • New York: junk fee restrictions in place
  • Tennessee, Connecticut, Maryland, Colorado, Minnesota: each with state-level junk fee legislation
  • Massachusetts: regulation effective September 2025
  • Virginia: law effective July 2025

These state laws sometimes include private rights of action. That means consumers can sue directly for violations, not just wait for state enforcement. Consult a consumer-protection attorney if you believe you've been charged a resort fee in violation of a state junk fee law.

Is the fee disputable?

In many cases, yes, particularly if the covered amenities were unavailable or unused during your stay.

Approaches consumers have reported using successfully:

At check-out, before signing the folio. Review the folio carefully. If you didn't use covered amenities, ask the front desk to remove or reduce the resort fee. Many hotels have discretion to waive it for loyalty members, dissatisfied guests, or those who can document non-use.

Before check-out, via chargeback threat. If the front desk refuses and you believe the fee violates the FTC rule or state law, you can dispute the charge with your credit card issuer after check-out. Document the non-use (photos of closed pools, unused WiFi receipts, etc.).

Loyalty status leverage. Some loyalty programs explicitly waive resort fees for elite members on certain room types or rate codes. Check before booking.

Booking through rate codes that exclude resort fees. Some corporate rates, AAA rates, and loyalty redemptions exclude the resort fee. Worth asking about at booking.

What consumers report working less well:

  • Calling the hotel after departure
  • Disputing the entire stay rather than the specific fee
  • Threatening lawsuits without documented violations

A sample script for check-out

If you decide to dispute a resort fee at check-out, one approach:

"Before I sign the folio, I'd like to address the resort fee. The fee covers [pool access, fitness center, WiFi, etc.]. During my stay, [I was unable to use the pool because it was closed / I didn't use the fitness center / the WiFi in my room didn't work]. Given that I didn't receive the covered amenities, I'd like the resort fee removed from my folio."

If the front desk pushes back:

"I understand the fee is standard. My concern is that the FTC Junk Fees Rule, which took effect in May 2025, requires that mandatory fees accurately correspond to the services provided. Since the covered amenities weren't available or usable during my stay, I'm asking that the fee be removed. If that's not possible, I'll need to dispute this charge with my credit card issuer after check-out."

The second framing is not a legal threat. It's a statement of your next step if the hotel won't resolve it. Most front desk staff have authority to waive the fee to avoid a chargeback.

Booking decisions that help avoid the issue

Check resort fees before booking. Major hotel booking sites now typically disclose resort fees on the search results page. If a hotel's "room + mandatory fees" total exceeds a hotel you prefer, choose accordingly.

Favor hotels without resort fees. Many business and mid-scale hotels (Hilton Garden Inn, Courtyard Marriott, Hampton Inn, etc.) don't charge resort fees. Higher-end and destination properties more often do.

Consider short-term rentals. Airbnb, Vrbo, and similar platforms are subject to the FTC rule as well. Total price including mandatory fees must be disclosed upfront.

Watch for "destination fees" and "urban fees." These are the same category of charge with different names, often used by hotels in New York, Los Angeles, Las Vegas, and other major cities.

If you've already paid a resort fee you believe was inappropriate

Options include:

  • Contact the hotel's corporate customer service (above the front desk level)
  • Dispute the charge with your credit card issuer (most issuers will investigate fees for services not rendered)
  • File a complaint with the FTC at reportfraud.ftc.gov if you believe the fee violated the Junk Fees Rule
  • File a complaint with your state attorney general's office if you believe a state junk fee law was violated
  • If the amount is significant, consult a consumer-protection attorney about class-action opportunities

Common questions

Are resort fees legal?
Resort fees themselves are legal. What's now restricted is advertising a hotel rate that doesn't include mandatory fees. The fees can exist; they just have to be disclosed in the advertised total.
Does the FTC rule apply to my specific stay?
The rule applies to bookings and advertisements on or after May 12, 2025. Earlier stays are subject to whatever disclosures were in place at the time of booking.
What if the fee was disclosed at booking but the amenities weren't delivered?
This is potentially a breach of contract issue, separate from the disclosure question. Consult an attorney if you believe a hotel systematically charges for amenities it doesn't provide.
Is a "destination fee" different from a "resort fee"?
Same category, different name. Some hotels use "destination fee," "facility fee," "amenity fee," or "urban fee" instead of "resort fee." The FTC rule applies to all mandatory fees regardless of label.
Can I get a class action started?
Class actions on resort fees are active. Law firms working with ClassAction.org and others actively accept case intakes. We don't coordinate class actions. If you have a specific complaint, look into existing class actions or consult an attorney about joining one.

A note on scope

This is consumer information based on public records: the FTC rule text, state junk fee legislation, and consumer reporting. It is not legal advice. If you believe you have a specific legal claim against a hotel, consult a consumer-protection attorney in your state.

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Sources & updates

Last updated: April 2026

  • FTC Junk Fees Rule (16 CFR Part 464)
  • FTC Staff FAQs on the Junk Fees Rule (May 2025)
  • State consumer protection statutes (NY, CA, TN, CT, MD, CO, MN, MA, VA)
  • Public filings in active class actions on resort fees
  • ClassAction.org documentation

SneakyFees is a product of Cypher Works LLC. Not affiliated with any hotel chain or booking platform. For informational purposes only. Not legal or financial advice. Individual results vary.