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Hotel owner suing Circuit of the Americas over hotel bookings


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People called us liars & much more way back when we broke the COTA hotel booking scheme story. They were wrong.
"Hotel owner sues Circuit of the Americas over hotel rooms" (for about $59,000).
We'll look up the petition & see what else we can discover...

 

The owner and operator of a North Austin hotel is suing Circuit of the Americas, claiming circuit officials didn’t prepay for hotel rooms that had been canceled before November’s Formula One race.

The lawsuit, which claims breach of contract, was filed in February in a district court in Travis County. A&D Hotel LLC, which owns the Orangewood Inn and Suites at 9121 N. Interstate 35, is seeking about $59,000, the price of 68 rooms, a 15 percent occupancy tax and legal fees.

Circuit officials declined to comment on the lawsuit. A message to A&D Hotel’s attorneys has not been returned.

According to the lawsuit, A&D Hotel in August agreed to hold 80 rooms at $180 per night from Nov. 10 to Nov. 14 through a partnership between the circuit and Austin-based nonprofit Hotels for Hope. Circuit officials later requested that the rate be reduced to $160 and then canceled all but 12 rooms on Nov. 7, according to the lawsuit.

The contract, signed by the hotel’s Director of Sales Betty Anderson and former circuit Executive Vice President Bruce Knox, included a 30-day cancelation policy. “If less than 30 days non-refundable. Full prepayment required and no changes,” a copy of the contract included in the lawsuit said.

In a filing dated March 7, circuit officials denied the claims made in the lawsuit.

Circuit officials say they have raised more than $150,000 for local charities since 2012 through the partnership with Hotels for Hope, a nonprofit hotel broker that contributes $2 from every room stay to charity.

 

 

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From the petition:

 

"In November 2013, Plaintiff contacted COTA to request payment for the canceled rooms and COTA responded that it would not pay the amounts owed and that COTA had "lawyers in tall buildings" to fight it.
I wish I could say I was surprised at COTA's response. I'm not.
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That hotel lost a bunch of money due to the failure of COTA to live up to their contract. COTA is becoming quite famous for not honoring their contracts it seems.

 

I personally refuse to attend ANY COTA events due to (what I perceive to be) their disregard for basic honesty in dealing with others. Their model seems to be to agree to a deal then after they have obtained their benefit from the deal, to not honor their end of the contract - and then hope the judge lets them off the hook when the dishonored party takes them to court.

 

You order a car from a car dealer. You pay the price and the dealer doesn't deliver the car. You go go court and the judge awards you a bicycle. Dealer wins. You loose.

 

Nick

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