I 
116TH CONGRESS 
1ST SESSION H. R. 3956 
To protect consumers from deceptive practices with respect to online booking 
of hotel reservations, and for other purposes. 
IN THE HOUSE OF REPRESENTATIVES 
JULY 24, 2019 
Mr. WELCH (for himself, Mr. BILIRAKIS, and Ms. FRANKEL) introduced the 
following bill; which was referred to the Committee on Energy and Commerce 
A BILL 
To protect consumers from deceptive practices with respect 
to online booking of hotel reservations, and for other 
purposes. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. SHORT TITLE. 
This Act may be cited as the ‘‘Stop Online Booking 
Scams Act of 2019’’. 
SEC. 2. DEFINITIONS. 
In this Act: 
(1) AFFILIATION CONTRACT.—The term ‘‘affili-
ation contract’’ means, with respect to a hotel, a 
contract with the owner of the hotel, the entity that 
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manages the hotel, or the franchisor of the hotel to 
provide online hotel reservation services for the 
hotel. 
(2) COMMISSION.—The term ‘‘Commission’’ 
means the Federal Trade Commission. 
(3) EXHIBITION ORGANIZER OR MEETING PLAN-
NER.—The term ‘‘exhibition organizer or meeting 
planner’’ means the person responsible for all as-
pects of planning, promoting, and producing a meet-
ing, conference, event, or exhibition, including over-
seeing and arranging all hotel reservation plans and 
contracts for the meeting, conference, event, or exhi-
bition. 
(4) OFFICIAL
HOUSING
BUREAU.—The term 
‘‘official housing bureau’’ means the organization 
designated by an exhibition organizer or meeting 
planner to provide hotel reservation services for 
meetings, conferences, events, or exhibitions. 
(5) PARTY DIRECTLY AFFILIATED.—The term 
‘‘party directly affiliated’’ means, with respect to a 
hotel, a person who has entered into an affiliation 
contract with the hotel. 
(6) THIRD PARTY ONLINE HOTEL RESERVATION 
SELLER.—The term ‘‘third party online hotel res-
ervation seller’’ means any person that— 
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(A) sells any good or service with respect 
to a hotel in a transaction effected on the inter-
net; and 
(B) is not— 
(i) a party directly affiliated with the 
hotel; or 
(ii) an exhibition organizer or meeting 
planner or the official housing bureau for 
a meeting, conference, event, or exhibition 
held at the hotel. 
SEC. 3. REQUIREMENTS FOR THIRD PARTY ONLINE HOTEL 
RESERVATION SELLERS. 
(a) REQUIREMENT.—It shall be unlawful for a third 
party online hotel reservation seller to advertise, market, 
or promote the sale of a hotel room reservation or charge 
or attempt to charge any consumer’s credit card, debit 
card, bank account, or other financial account for any 
good or service sold in a transaction effected on the inter-
net, if the third party online hotel reservation seller states 
or implies that it is, or is affiliated with, the person who 
owns the hotel or provides the hotel services or accom-
modations. 
(b) ENFORCEMENT BY COMMISSION.— 
(1) UNFAIR
OR
DECEPTIVE
ACTS
OR
PRAC-
TICES.—A violation of subsection (a) by a person 
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subject to such subsection shall be treated as a viola-
tion of a rule defining an unfair or deceptive act or 
practice prescribed under section 18(a)(1)(B) of the 
Federal 
Trade 
Commission 
Act 
(15 
U.S.C. 
57a(a)(1)(B)). 
(2) POWERS OF COMMISSION.— 
(A) IN GENERAL.—The Commission shall 
enforce this section in the same manner, by the 
same means, and with the same jurisdiction, 
powers, and duties as though all applicable 
terms and provisions of the Federal Trade 
Commission Act (15 U.S.C. 41 et seq.) were in-
corporated into and made a part of this Act. 
(B) PRIVILEGES
AND
IMMUNITIES.—Any 
person who violates this section shall be subject 
to the penalties and entitled to the privileges 
and immunities provided in the Federal Trade 
Commission Act (15 U.S.C. 41 et seq.). 
(C) RULEMAKING.— 
(i) IN
GENERAL.—The Commission 
may promulgate such rules as the Commis-
sion considers appropriate to enforce this 
section. 
(ii) PROCEDURES.—The Commission 
shall carry out any rulemaking under 
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clause (i) in accordance with section 553 of 
title 5, United States Code. 
(c) ENFORCEMENT BY STATES.— 
(1) IN GENERAL.—In any case in which the at-
torney general of a State has reason to believe that 
an interest of the residents of the State has been or 
is being threatened or adversely affected by the en-
gagement of any person subject to subsection (a) in 
a practice that violates such subsection, the attorney 
general of the State may, as parens patriae, bring 
a civil action on behalf of the residents of the State 
in an appropriate district court of the United States 
to obtain appropriate relief. 
(2) RIGHTS
OF
FEDERAL
TRADE
COMMIS-
SION.— 
(A) NOTICE TO FEDERAL TRADE COMMIS-
SION.— 
(i) IN GENERAL.—Except as provided 
in clause (iii), the attorney general of a 
State shall notify the Commission in writ-
ing that the attorney general intends to 
bring a civil action under paragraph (1) 
before initiating any civil action against a 
person subject to subsection (a). 
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(ii) CONTENTS.—The notification re-
quired under clause (i) with respect to a 
civil action shall include a copy of the com-
plaint to be filed to initiate the civil action. 
(iii) EXCEPTION.—If it is not feasible 
for the attorney general of a State to pro-
vide the notification required by clause (i) 
before initiating a civil action under para-
graph (1), the attorney general shall notify 
the Commission immediately upon insti-
tuting the civil action. 
(B) INTERVENTION
BY
FEDERAL
TRADE 
COMMISSION.—The Commission may— 
(i) intervene in any civil action 
brought by the attorney general of a State 
under paragraph (1); and 
(ii) upon intervening— 
(I) be heard on all matters aris-
ing in the civil action; and 
(II) file petitions for appeal of a 
decision in the civil action. 
(3) INVESTIGATORY POWERS.—Nothing in this 
subsection may be construed to prevent the attorney 
general of a State from exercising the powers con-
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ferred on the attorney general by the laws of the 
State— 
(A) to conduct investigations; 
(B) to administer oaths or affirmations; or 
(C) to compel the attendance of witnesses 
or the production of documentary or other evi-
dence. 
(4) STATE
COORDINATION
WITH
FEDERAL 
TRADE COMMISSION.—If the Commission institutes a 
civil action or an administrative action with respect 
to a violation of subsection (a), the attorney general 
of a State shall coordinate with the Commission be-
fore bringing a civil action under paragraph (1) 
against any defendant named in the complaint of the 
Commission for the violation with respect to which 
the Commission instituted such action. 
(5) VENUE; SERVICE OF PROCESS.— 
(A) VENUE.—Any action brought under 
paragraph (1) may be brought in— 
(i) the district court of the United 
States that meets applicable requirements 
relating to venue under section 1391 of 
title 28, United States Code; or 
(ii) another court of competent juris-
diction. 
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(B) SERVICE OF PROCESS.—In an action 
brought under paragraph (1), process may be 
served in any district in which the defendant— 
(i) is an inhabitant; or 
(ii) may be found. 
(6) ACTIONS BY OTHER STATE OFFICIALS.— 
(A) IN GENERAL.—In addition to civil ac-
tions brought by attorneys general under para-
graph (1), any other officer of a State who is 
authorized by the State to do so may bring a 
civil action under paragraph (1), subject to the 
same requirements and limitations that apply 
under this subsection to civil actions brought by 
attorneys general. 
(B) SAVINGS PROVISION.—Nothing in this 
subsection may be construed to prohibit an au-
thorized official of a State from initiating or 
continuing any proceeding in a court of the 
State for a violation of any civil or criminal law 
of the State. 
Æ 
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