Lollapalooza Attendees Battle Hidden Hotel Fees for Refund

The Hidden Fees Dilemma at Lollapalooza

After booking a hotel for Lollapalooza, some festivalgoers encountered unexpected and confusing fees. This situation led to months of frustration as they tried to cancel their reservations and secure refunds, culminating in an unusual twist this week.

Daniel Schaffer from Ohio shared his experience, noting that the excitement surrounding the festival was overshadowed by financial concerns. "They have been so excited," he said, "and then to have this hanging over their heads has just really kind of put a damper."

Schaffer's husband and a friend booked a five-night stay at the Ambassador Hotel in the Gold Coast through TicketsatWork, an employee benefit portal. The reservation came with a $931.66 charge, along with a statement about a "resort fee of $138.43 per night." However, when they called the hotel to confirm these costs, they were surprised to learn that the total could be nearly $700, eventually reaching $1,369.96.

Festivalgoers attempted to cancel through multiple channels, including the hotel, their credit card company, and TicketsatWork. They even hired an attorney to send a letter requesting reimbursement, citing "hidden fees" and "deceptive conduct." The response they received was both shocking and bizarre.

The attorney’s letter was returned with a handwritten note on the back, which read: "Kindly wipe your a** with this letter next time you need toilet paper!" The note was signed with a name that appeared to be associated with the hotel.

Initially, the Ambassador Hotel denied any connection to the message, stating that it was not an authentic communication from their organization. They claimed the document was fraudulent and that the reservation was made through a third-party platform, which they had no contractual relationship with.

However, when informed that the letter was mailed to their address and returned with a Chicago area postmark, the hotel acknowledged the possibility that it might have been intercepted by an unauthorized party. They also stated that if the letter was genuine, they would be willing to process a refund upon receiving a formal request from the third-party site.

Peter Greenberg, CBS News Travel Editor, noted that TicketsatWork functions as an online travel agent (OTA) or broker. He suggested that the lawyer's letter should have been directed at TicketsatWork instead. Greenberg emphasized the importance of verifying information when dealing with third-party platforms.

When CBS News Chicago tried to contact TicketsatWork, the provided email address bounced back, and a request for information remained unanswered after 24 hours. Greenberg stressed that both the hotel and the OTA have responsibilities in this situation and that the customers should not be out of pocket.

He also mentioned that there are laws protecting credit card purchases in cases where services are not delivered or hidden fees are involved. This case could potentially qualify for small claims court.

The Ambassador Hotel’s staff expressed willingness to work on a refund if contacted by TicketsatWork. As for the customer, they reported being on the phone and exchanging emails throughout the day, expressing hope that progress is being made.