The bill increases upfront price transparency for travelers and strengthens enforcement options, at the cost of compliance and legal burdens on lodging providers and intermediaries and by limiting some state-level advertising rules.
Renters and travelers will see the full total price for hotels and short-term rentals up front, reducing surprise fees at checkout.
Consumers will be explicitly shown government-imposed taxes and fees before purchase, improving transparency about what portion of price is due to taxes or surcharges.
State attorneys general gain an explicit avenue to pursue violations on behalf of residents, increasing enforcement options against deceptive pricing.
Hotels, short-term rental hosts, and intermediaries (including small businesses) must incur compliance costs to update pricing displays and booking processes.
State and local governments may be preempted from enforcing stricter advertising rules, which can limit stronger local consumer protections.
Sellers and intermediaries face increased litigation risk from FTC enforcement and state parens patriae actions, potentially raising legal costs and uncertainty for small online sellers.
Based on analysis of 2 sections of legislative text.
Requires hotels and short-term rental sellers to show a clear total price upfront and disclose government taxes/fees before final purchase, with FTC and state AG enforcement.
Introduced February 21, 2025 by Young Kim · Last progress April 29, 2025
Makes it illegal for hotels and other short-term rental sellers to advertise or offer a price in interstate commerce unless they clearly and prominently display the total price up front, disclose that total price to buyers at the first display and throughout the purchase process, and reveal any government-imposed taxes, fees, or assessments before the final purchase. Allows itemized fee breakdowns only if they are less prominent than the total price and permits private contract indemnities among covered entities. Enforces these rules by treating violations as unfair or deceptive acts under the Federal Trade Commission Act, giving the FTC its usual enforcement powers and remedies, and creating a parens patriae enforcement pathway for State attorneys general with notice, intervention, and stay procedures to avoid duplicative litigation.