Balance Legal Capital backs £2 billion UK consumer claim against Booking.com

Chris Warner, a former Competition and Markets Authority lawyer and consumer protection specialist, is preparing to bring a proposed opt-out collective action against Booking.com on behalf of millions of UK consumers who allegedly overpaid for hotel and other travel accommodation.

The claim, backed by litigation funder Balance Legal Capital, will accuse Booking.com of using “price parity” clauses that restricted hotels, B&Bs and other accommodation providers from offering lower room prices through competing channels. Warner is expected to file the proposed collective proceedings in the Competition Appeal Tribunal shortly, with total damages estimated at more than £2 billion.

Warner said Booking.com had imposed price parity clauses on accommodation providers in the UK for many years, which he believes artificially inflated hotel prices in breach of competition law.

“I will be seeking to represent the many millions of UK consumers who have been harmed by these anti-competitive practices,” Warner said.

Warner has instructed Mishcon de Reya, with the team led by partner Wessen Jazrawi and managing associate Luke Horton-Grimes. The legal team also includes counsel from Blackstone Chambers and economists from BRG.

Jazrawi said Booking.com’s use of price parity clauses “stifled competition in the hotel and accommodation sector” and that the claim would seek damages for UK consumers who allegedly overpaid for hotel and other accommodation.

Balance Legal Capital managing partner Robert Rothkopf said the funder was pleased to support the action against alleged anti-competitive conduct.

“Without litigation funding and a predictable class action regime, there is no recourse for classes of consumers and businesses affected by anti-competitive conduct by dominant corporations,” Rothkopf said.