The article reports on the latest developments in a proposed class action lawsuit against Extended Stay America. The hotel chain is accused of refusing to refund customers who claim that their prepaid nights in hotels were cancelled due to the COVID-19 pandemic. The lawsuit was first filed in August 2020 and has since been amended several times. In the most recent filing, the plaintiffs accused Extended Stay of violating the North Carolina Unfair and Deceptive Trade Practices Act.
However, the article states that the judge in charge of the case has dismissed part of the lawsuit, ruling that the plaintiffs cannot seek damages related to the alleged violation of the act. The judge also dismissed claims of negligence against the hotel chain, stating that the plaintiffs had not provided enough evidence to support these claims. The judge did allow some claims to go forward, including breach of contract and unjust enrichment. The plaintiffs are seeking to create a class of all customers who had prepaid for hotel rooms at Extended Stay locations and were not refunded after the COVID-19 pandemic forced the company to cancel reservations.
Extended Stay has defended its actions, stating that it has offered customers the option to reschedule their stays or receive vouchers for future visits. The company has also argued that it is not obligated to issue refunds under its terms and conditions, which state that prepaid bookings are non-refundable in most circumstances. The plaintiffs, however, argue that the COVID-19 pandemic constitutes an extraordinary circumstance that should exempt them from this policy.
The article notes that the lawsuit against Extended Stay is just one of several class actions filed against hotels and travel companies over refunds during the pandemic. Many customers have struggled to obtain refunds for cancelled trips and accommodations, leading to a surge in legal action. As the pandemic continues to disrupt travel plans and businesses, it is likely that these lawsuits will continue to multiply.
Overall, the article provides an update on the Extended Stay lawsuit and shows the challenges faced by customers seeking refunds for cancelled travel plans. While the judge’s ruling is a setback for the plaintiffs, the lawsuit will still proceed on some claims. It remains to be seen how the case will ultimately be resolved and what impact it will have on the wider travel industry.
