The defendant travel company brought a motion for summary judgment in a certified class proceeding alleging breach of contract relating to hotel reservation charges.
The representative plaintiff claimed that the defendant mischaracterized and inadequately disclosed its “Tax Recovery Charge” and “Service Fees,” including allegedly charging taxes based on a wholesale rate and embedding undisclosed profits within service fees.
The court held that the website Terms of Use formed part of the reservation contract but, properly interpreted, did not contain promises requiring disclosure of the calculation methodology, a breakdown of the combined fees, or the absence of a profit element.
The language merely described the nature of the charges and did not create contractual obligations consistent with the plaintiff’s interpretation.
Finding no breach of the express contractual terms, the court concluded there was no genuine issue requiring a trial.