{"id":267450,"date":"2023-04-04T12:23:50","date_gmt":"2023-04-04T17:23:50","guid":{"rendered":"https:\/\/www.casino.org\/news\/?p=267450"},"modified":"2023-04-04T14:39:52","modified_gmt":"2023-04-04T19:39:52","slug":"las-vegas-strip-resorts-file-motion-to-dismiss-price-collusion-suit","status":"publish","type":"post","link":"https:\/\/www.casino.org\/news\/las-vegas-strip-resorts-file-motion-to-dismiss-price-collusion-suit\/","title":{"rendered":"Las Vegas Strip Resorts File Motion to Dismiss Price Collusion Suit"},"content":{"rendered":"<p>Four major Las Vegas Strip resort operators asked a US court last week to dismiss a lawsuit accusing them of price-fixing.<\/p>\n<figure id=\"attachment_267452\" aria-describedby=\"caption-attachment-267452\" data-style=\"width: 858px\" class=\"wp-caption aligncenter\"><img loading=\"lazy\" decoding=\"async\" class=\"wp-image-267452 size-post-thumbnail-858xAUTO\" src=\"https:\/\/www.casino.org\/news\/wp-content\/uploads\/2023\/04\/las-vegas-strip-stock-image-858x476.jpg\" alt=\"\" width=\"858\" height=\"476\" srcset=\"https:\/\/www.casino.org\/news\/wp-content\/uploads\/2023\/04\/las-vegas-strip-stock-image-858x476.jpg 858w, https:\/\/www.casino.org\/news\/wp-content\/uploads\/2023\/04\/las-vegas-strip-stock-image-430x239.jpg 430w, https:\/\/www.casino.org\/news\/wp-content\/uploads\/2023\/04\/las-vegas-strip-stock-image.jpg 1000w\" sizes=\"(max-width: 858px) 100vw, 858px\" \/><figcaption  id=\"caption-attachment-267452\"class=\"text-description\">Four major Strip resort companies have filed a motion to dismiss a class action lawsuit brought against them that alleges hotel room price-fixing. (Image: giftsanddec.com)<\/figcaption><\/figure>\n<p>The class action lawsuit <a href=\"https:\/\/www.casino.org\/news\/lawsuit-4-biggest-las-vegas-strip-resort-companies-colluded-via-data-sharing-to-price-gouge\/\">filed in January<\/a> accuses Caesars Entertainment, MGM Resorts International, Wynn Resorts Holdings, and Treasure Island of illegally sharing data with each other via revenue management software to artificially inflate the prices of their hotel rooms.<\/p>\n<p>The four casino companies collectively control 26 of the 33 resorts on or near the Strip.<\/p>\n<h2>Company&#8217;s Respond<\/h2>\n<p>Attorneys representing the four companies and Cendyn Group, the Florida-based revenue management platform Rainmaker manufacturer, wrote in a March 27 filing that the plaintiffs, two tourists, showed no direct evidence that the platform led to price collusion.<\/p>\n<blockquote class=\"main-blockquote\"><p>The complaint fails at the outset because it is missing every essential ingredient necessary to plead an antitrust conspiracy,\u201d the defendants wrote in a joint motion to dismiss the US District Court of Nevada case. \u201cThe complaint fails to identify a single communication between hotel defendants, much less one that suggests a conspiracy was afoot.\u201d<\/p><\/blockquote>\n<p>In a statement released to the <em>Las Vegas Review-Journal,<\/em> Steve Berman, managing partner of the plaintiffs\u2019 law firm, Seattle-based Hagens Berman, said the motion to dismiss was no surprise.<\/p>\n<p>\u201cThe defendants in this case will attempt every trick in the book to hedge their bets, but we believe the cards are stacked against them,\u201d Berman said.<\/p>\n<h2 style=\"margin-top: 0in; background: white;\"><span style=\"font-family: 'Helvetica Neue',serif; color: #171616;\">How the Alleged Collusion Works<\/span><\/h2>\n<p>The plaintiffs\u2019 lawsuit blames Rainmaker, which employs 90% of Strip hotels. It claims that Rainmaker\u2019s proprietary software, Guestrev, analyzes real-time pricing and room supply information, then artificially suppresses supply, maximizing resort profits in violation of the Sherman Antitrust Act.<\/p>\n<p>In a competitive market, hotel operators price rooms independently, filling as many rooms as possible.<\/p>\n<p><strong>According to the plaintiff\u2019s lawsuit, information shared and algorithms set through Rainmaker \u201cdisplace normal competitive pricing and lead to increased room prices.\u201d<\/strong><\/p>\n<p>Antitrust academics \u201croundly criticize this type of price and supply exchange as anti-competitive,\u201d Hagens Berman stated in a press release.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Four major Las Vegas Strip resort operators asked a US court last week to dismiss a lawsuit accusing them of price-fixing. The class action lawsuit filed in January accuses Caesars Entertainment, MGM Resorts International, Wynn Resorts Holdings, and Treasure Island of illegally sharing data with each other via revenue management software to artificially inflate the [&hellip;]<\/p>\n","protected":false},"author":78,"featured_media":267452,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[62,10,81886,60],"tags":[82705,85723,84887,23,82012,85724,85722,85725,81941],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v23.1 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Las Vegas Strip Resorts File Motion to Dismiss Price Collusion Suit - Casino.org<\/title>\n<meta name=\"description\" content=\"Four major Las Vegas Strip resort operators asked a US court last week to dismiss a lawsuit accusing them of price-fixing. The class action lawsuit filed\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.casino.org\/news\/las-vegas-strip-resorts-file-motion-to-dismiss-price-collusion-suit\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Las Vegas Strip Resorts File Motion to Dismiss Price Collusion Suit - Casino.org\" \/>\n<meta property=\"og:description\" content=\"Four major Las Vegas Strip resort operators asked a US court last week to dismiss a lawsuit accusing them of price-fixing. The class action lawsuit filed\" \/>\n<meta property=\"og:url\" content=\"https:\/\/www.casino.org\/news\/las-vegas-strip-resorts-file-motion-to-dismiss-price-collusion-suit\/\" \/>\n<meta property=\"og:site_name\" content=\"Casino.org\" \/>\n<meta property=\"article:publisher\" content=\"https:\/\/www.facebook.com\/Casino.OrgNews\" \/>\n<meta property=\"article:published_time\" content=\"2023-04-04T17:23:50+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2023-04-04T19:39:52+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/www.casino.org\/news\/wp-content\/uploads\/2023\/04\/las-vegas-strip-stock-image.jpg\" \/>\n\t<meta property=\"og:image:width\" content=\"1000\" \/>\n\t<meta property=\"og:image:height\" content=\"555\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/jpeg\" \/>\n<meta name=\"author\" content=\"Corey Levitan\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:creator\" content=\"@Casino_Org\" \/>\n<meta name=\"twitter:site\" content=\"@Casino_Org\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Corey Levitan\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"2 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"WebPage\",\"@id\":\"https:\/\/www.casino.org\/news\/las-vegas-strip-resorts-file-motion-to-dismiss-price-collusion-suit\/\",\"url\":\"https:\/\/www.casino.org\/news\/las-vegas-strip-resorts-file-motion-to-dismiss-price-collusion-suit\/\",\"name\":\"Las Vegas Strip Resorts File Motion to Dismiss Price Collusion Suit - Casino.org\",\"isPartOf\":{\"@id\":\"https:\/\/www.casino.org\/news\/#website\"},\"primaryImageOfPage\":{\"@id\":\"https:\/\/www.casino.org\/news\/las-vegas-strip-resorts-file-motion-to-dismiss-price-collusion-suit\/#primaryimage\"},\"image\":{\"@id\":\"https:\/\/www.casino.org\/news\/las-vegas-strip-resorts-file-motion-to-dismiss-price-collusion-suit\/#primaryimage\"},\"thumbnailUrl\":\"https:\/\/www.casino.org\/news\/wp-content\/uploads\/2023\/04\/las-vegas-strip-stock-image.jpg\",\"datePublished\":\"2023-04-04T17:23:50+00:00\",\"dateModified\":\"2023-04-04T19:39:52+00:00\",\"author\":{\"@id\":\"https:\/\/www.casino.org\/news\/#\/schema\/person\/281fd7b5480c9afb75e84ffb75039f09\"},\"description\":\"Four major Las Vegas Strip resort operators asked a US court last week to dismiss a lawsuit accusing them of price-fixing. 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