The Legislature is considering a measure that would crack down on companies misrepresenting the costs of live events and hotel lodging: when, during checkout, the total cost has significantly increased from the advertised price due to added fees.
State Department of Commerce and Consumer Affairs Executive Director Mana Moriarty explained it would align the state with a 2025 rule from the Federal Trade Commission.
"This bill itself is important because we are mapping a federal rule onto state law. Why is that important? Because it unlocks for us the enforcement possibility," he said.
"The state of Hawaiʻi can be vigilant in detecting these violations, particularly those that harm our consumers disproportionately. And we can bring enforcement actions in state court and obtain state remedies, state law remedies to address the violations."
The House Consumer Protection and Commerce Committee accepted an amendment request by the American Hotel and Lodging Association that would exempt short-term lodgings from the state’s law if it complies with federal law.
Moriarty explained that this change may make it difficult for consumers in Hawaiʻi to be made whole if a hotel is violating the law because the Federal Trade Commission cannot seek monetary restitution from companies engaged in deceptive practices.
The measure passed out of the committee and will next be heard by the full House.