Overview
- This week Langham Hotels Pacific Corporation agreed to a stipulated judgment that requires $320,000 in payments to Los Angeles County and the refunding of all eligible guests who were charged more than California’s legal limit.
- Prosecutors say the complaint alleges the hotel raised room rates by more than 10% after Gov. Gavin Newsom declared a state of emergency for the Palisades and Eaton fires on Jan. 7, 2025, which triggers the state’s anti‑price‑gouging cap.
- Under the judgment Langham must pay $300,000 in civil penalties, $20,000 in investigation costs and has begun issuing refunds with parties calculating at least $216,794.86 owed for part of the covered period.
- The settlement requires the hotel to immediately impose price caps during declared emergencies, modify automated or algorithmic pricing systems, appoint staff to monitor emergency declarations, train personnel, hire an independent auditor and file a compliance report.
- Local prosecutors say the case fits a wider enforcement push that seeks restitution for displaced residents and system fixes to prevent automated rate spikes from taking advantage of evacuees after major wildfires.