Booking.com Under Fire: Dutch Consumer Groups Allege Overpriced Rooms, Prepare Collective Lawsuit

Two Dutch consumer groups announced on Thursday that they are seeking consumers affected by alleged inflated hotel room prices by Booking.com, one of the world's largest travel booking sites, since 2013.

According to a Reuters report, the Consumer Competition Claims Foundation (CCC) and the Consumers' Association stated that Booking.com's high and unfair charges have resulted in "hundreds of millions of euros in damage to Dutch consumers."

"We have done research and it shows that Booking has been violating competition rules and consumer law since January 2013," CCC Chairman Bert Heikens said, according to the report, which added that the groups are preparing a legal case against the company.

The move had little effect on Booking Holdings’ U.S.-listed shares, which closed nearly 4% higher on Thursday amid a market rally. On Stocktwits, the retail sentiment held in the 'neutral' territory.

The development comes after Europe's top court ruled last year that Booking.com's policy of restricting hotels from offering lower rates on their websites or rival sites could reduce competition but was not against the region's competition law.

Known as parity clauses and inserted into contracts between online booking sites and hotels, the practice has triggered complaints by competitors and scrutiny from regulators across Europe, concerned about fewer choices for consumers. Germany's antitrust watchdog has banned such clauses.

Tech platforms today face a host of new conditions to operate in Europe due to the sweeping Digital Markets Act that came into force in 2023.

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