SB416: SB416 "Stop Online Booking Scams Act"; enact

26 LC 59 0212 Senate Bill 416 By: Senators Halpern of the 39th, Anavitarte of the 31st, Echols of the 49th, Jones II of the 22nd, Sims of the 12th and others A BILL TO BE ENTITLED AN ACT To amend Part 2 of Article 15 of Chapter 1 of Title 10 of the O fficial Code of Georgia1 Annotated, relating to the "Fair Business Practices Act of 1975," so as to prohibit third-party2 hotel booking websites from misrepresenting their affiliations with hotels; to designate such3 misrepresentation as an unlawful, unfair, and deceptive trade p ractice; to provide for4 definitions; to provide for statutory construction; to provide for a short title; to provide for5 related matters; to repeal conflicting laws; and for other purposes.6 BE IT ENACTED BY THE GENERAL ASSEMBLY OF GEORGIA:7 SECTION 1.8 This Act shall be known and may be cited as the "Stop Online Booking Scams Act."9 SECTION 2.10 Part 2 of Article 15 of Chapter 1 of Title 10 of the Official C ode of Georgia Annotated,11 relating to the "Fair Business Practices Act of 1975," is amended in subsection (b) of Code12 Section 10-1-393, relating to unfair or deceptive practices in consumer transactions unlawful13 and examples, by deleting "and" at the end of paragraph (36), by replacing the period with14 "; and" at the end of paragraph (37), and by adding a new paragraph to read as follows:15 S. B. 416 - 1 - 26 LC 59 0212 "(38) Failure to comply with the provisions of Code Section 10-1-393.22."16 SECTION 3.17 Said part is further amended by adding a new Code section to read as follows:18 "10-1-393.22.19 (a) As used in this Code section, the term:20 (1) 'Affiliation contract' means a contract between an online platform and the owner of21 the physical accommodation, the entity that operates the physical accommodation, or the22 franchisor of the physical accommodation to provide online reservation services for the23 physical accommodation.24 (2) 'Exhibition organizer or meeting planner' means the person responsible for all aspects25 of planning, promoting, and producing a meeting, conference, ev ent, or exhibition,26 including overseeing and arranging all physical accommodation r eservation plans and27 contracts for the meeting, conference, event, or exhibition.28 (3) 'Physical accommodation' shall have the same meaning ascribed to the term 'hotel'29 in Code Section 3-9-10.30 (4) 'Shared hotel brand' means an identifying trademark under which a hotel operator is31 expressly licensed to operate in accordance with the terms of a hotel franchise or32 management agreement.33 (5) 'Third-party hotel booking website' or 'website' means an online platform, website,34 phone or mobile application, call center, or service that facil itates the reservation or35 booking of accommodations in this state for consumers but is not directly affiliated with36 the physical accommodation being booked. Such term shall not include:37 (A) An online platform, website, phone or mobile application, call center, or service38 that is operated under a shared hotel brand;39 (B) An online platform that facilitates the reservation or booking of accommodations40 by connecting consumers to operators and owners of rental properties, hotels, motels,41 S. B. 416 - 2 - 26 LC 59 0212 or other short-term accommodations, provided that the online platform has an affiliation42 contract with the owner, operator, or franchisor of the physica l accommodation for43 which they are facilitating bookings; or44 (C) An exhibition organizer or meeting planner or the official housing bureau for a45 meeting, conference, event, or exhibition held at the physical accommodation.46 (b) Without otherwise limiting the definition of unfair or deceptive acts or practices under47 this part, it shall be unlawful for a third-party hotel booking website to facilitate the48 booking or reservation of accommodations in this state without clearly and conspicuously49 disclosing to the consumer that:50 (1) The website is a third-party booking service and not direc tly affiliated with the51 physical accommodation; and52 (2) The consumer is not directly booking with the accommodation itself, and the website53 functions as an unaffiliated intermediary for the transaction.54 (c) The disclosure required under subsection (b) of this Code section shall be displayed in55 a clear and conspicuous manner on the webpage or interface where the consumer selects56 accommodations for booking and shall appear first in any search results. A disclosure is57 not clear and conspicuous if a consumer must take any action, s uch as clicking on a58 hyperlink or hovering over an icon, to see it. The disclosure shall appear prior to the entry59 of any personal data and shall be separate from any general terms and conditions or legal60 disclaimers. In any oral communication with a consumer, the di sclosure shall be61 communicated before any offer or information regarding the acco mmodation. The62 disclosure shall not be included solely in the third-party hote l booking website's general63 terms and conditions or in any other section that requires the consumer to click through64 multiple links or read extensive legal text."65 SECTION 4.66 All laws and parts of laws in conflict with this Act are repealed.67 S. B. 416 - 3 -