News Summary
The Federal Trade Commission has implemented a new rule requiring businesses in Las Vegas to disclose ‘junk fees’ associated with short-term lodging and live-event ticketing, aimed at ensuring consumers are aware of total costs before booking. Effective from May 2025, this initiative affects major operators like Caesars Entertainment and MGM Resorts. Despite compliance from various resorts, MGM has faced scrutiny for not fully adhering to the transparency guidelines. The rule is expected to save consumers an estimated $11 billion over the next decade through improved pricing clarity.
Las Vegas – A new rule implemented by the Federal Trade Commission (FTC) aims to enhance pricing transparency by mandating the disclosure of what are commonly known as “junk fees” associated with short-term lodging and live-event ticketing. Effective from May 2025, the rule is designed to protect consumers by ensuring they know the total costs involved before making a booking or purchase.
The Rule on Unfair or Deceptive Fees, introduced in December 2024, requires businesses to disclose all mandatory ancillary charges alongside advertised prices on their websites. This includes significant expenses such as resort fees, which, on average, can add approximately $60 per night to hotel costs. However, it is important to note that optional fees and taxes do not fall under this disclosure requirement.
Numerous Las Vegas resorts, including major operators like Caesars Entertainment, Wynn Resorts, and Golden Nugget, have swiftly complied with the new regulations by incorporating total prices alongside resort fees on their websites. Travel booking platforms, including vegas.com, hotels.com, expedia.com, and trivago.com, also appear to be aligning with these compliance measures.
In contrast, MGM Resorts International, which operates twelve hotels along the Las Vegas Strip, has faced scrutiny for potentially not adhering to the transparency guidelines. Criticism arose from users on social media who noted that MGM’s booking calendars displayed only the room rates, accompanied by a note indicating the presence of a resort fee, rather than presenting the total price prominently. MGM’s representatives clarified that detailed fee information would be disclosed in a pop-up once a user selects a specific booking date.
Other resorts, such as Resorts World Las Vegas and Fontainebleau Las Vegas, are also implementing pricing models that may not fully comply with the new disclosure requirements. As the FTC encourages consumers to report businesses that fail to adhere to the new rules via their fraud website, violations could result in fines and the necessity for refunds to affected customers.
The FTC’s pricing disclosure requirements specify that all advertised costs be presented in a manner that is clear and conspicuous, making it essential for consumers to easily understand all charges associated with their booking. Despite the good intentions behind the rule, concerns have emerged regarding the FTC’s capacity to manage potential complaints given the agency’s ongoing personnel reductions.
In addition to new regulatory challenges, Las Vegas has also been facing legal issues, with recent lawsuits filed against local properties alleging health risks related to bedbug bites. This ongoing legal scrutiny compounds concerns over potential declines in hotel room tax revenues, leading boards to intensify their advertising efforts targeting domestic travelers.
The FTC’s bipartisan initiative is estimated to potentially save consumers $11 billion over the next decade in time and money by enhancing pricing transparency. Nevertheless, skepticism has been voiced concerning the complete enactment of the rule, with some critics indicating a possible backlash from the industry as well as unpredictable political dynamics that could impact its implementation.
As Las Vegas looks to navigate this new regulatory landscape, the focus remains on achieving compliance while safeguarding consumer interests. The hospitality industry, particularly in a tourist-centric city like Las Vegas, is at a critical juncture that requires careful balancing of profitability and adherence to emerging federal regulations.
Deeper Dive: News & Info About This Topic
HERE Resources
New FTC Rule Bans Hidden Fees on Tickets and Lodging
U.S. House Passes Hotel Fees Transparency Act
Additional Resources
- Review Journal: How Are Las Vegas Resorts Responding to New FTC Junk Fee Rule
- Google Search: Las Vegas Resort Fees
- 8 News Now: Las Vegas Ticketing Company Weighs in on Junk Fee Ban
- Wikipedia: Federal Trade Commission
- RGJ: Nevada Resort Fees in 2025
- Encyclopedia Britannica: Resort
- Fox 5 Vegas: Junk Fees Must Be Clear and Transparent
- Timeout: What Disclosing Junk Fees Means for Las Vegas
- Loyalty Lobby: Masked Resort Fees Are Now Illegal
- KTNV: FTC Cracks Down on Junk Fees
Author: STAFF HERE LAS VEGAS WRITER
LAS VEGAS STAFF WRITER The LAS VEGAS STAFF WRITER represents the experienced team at HERELasVegas.com, your go-to source for actionable local news and information in Las Vegas, Clark County, and beyond. Specializing in "news you can use," we cover essential topics like product reviews for personal and business needs, local business directories, politics, real estate trends, neighborhood insights, and state news affecting the area—with deep expertise drawn from years of dedicated reporting and strong community input, including local press releases and business updates. We deliver top reporting on high-value events such as Electric Daisy Carnival, World Series of Poker, and Consumer Electronics Show. Our coverage extends to key organizations like the Las Vegas Chamber of Commerce and Three Square Food Bank, plus leading businesses in hospitality and entertainment that power the local economy such as MGM Resorts International, Caesars Entertainment, and Las Vegas Sands. As part of the broader HERE network, we provide comprehensive, credible insights into Nevada's dynamic landscape.
