Hopper agrees to pay $35 million to settle FTC deceptive-fees charges
US-facing travel booking and checkout operators must display total prices inclusive of all fees and cannot pre-select optional charges without express consent
Change
On 2 July 2026 the Federal Trade Commission (FTC) filed a stipulated proposed order in the U.S. District Court for the District of Massachusetts requiring Hopper Inc. and Hopper (USA) Inc. to pay $35 million for consumer redress and barring misrepresentation of fees, alleging violations of the FTC Act and, for short-term lodging bookings since 12 May 2025, the FTC's Unfair and Deceptive Fees Rule for hidden, pre-selected Tip and VIP Support charges.
Why it matters
The stipulated order requires Hopper to clearly and conspicuously disclose all fees, charges, and the total and final price, and prohibits pre-selected optional fees charged without express informed consent. The complaint grounds liability in the FTC Act and, for short-term lodging bookings on or after 12 May 2025, the FTC's Unfair and Deceptive Fees Rule — establishing an enforcement precedent that any US-facing booking or checkout operator using pre-selected optional fees or hidden charges now measures against. Stipulated orders carry the force of law once signed by the District Court judge.
Implications
- — Applies if you operate a US-facing online booking or checkout flow charging optional add-on fees: product, checkout and billing teams must present the all-in total price up front and leave optional fees unselected by default with express informed consent captured — the FTC's Unfair and Deceptive Fees Rule (in force for short-term lodging since 12 May 2025) and the FTC Act are the enforcement basis this order applies, and pre-selected or hidden fees are the specific conduct penalised.
- — Marketing and compliance teams at travel and booking operators must substantiate service-benefit claims (guaranteed response times, price-hold protections) or remove them and disclose the exact limitations — the order treats unsubstantiated VIP-support and price-freeze representations as deceptive under the FTC Act.
- — Hopper Inc. and Hopper (USA) Inc. are bound by the stipulated order to pay $35 million in redress, stop misrepresenting fees, and disclose all fees, charges and total prices clearly and conspicuously — non-compliance is court-enforceable once the order is signed.
Who is affected
- — Product, checkout and billing teams at US-facing online booking and travel operators charging optional add-on fees
- — Marketing and compliance teams at travel and booking operators making service-benefit claims
- — Hopper Inc. and Hopper (USA) Inc.
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