Caesars Entertainment Inc, MGM Resorts International and other casino-hotel operators in Atlantic City, New Jersey, have been sued by consumers in a proposed class action accusing them of artificially boosting room rental rates in violation of U.S. antitrust law.
The 109-page lawsuit filed on Tuesday also named Hard Rock International Inc as a defendant, in addition to Florida-based hospitality technology company Cendyn Group LLC, which sells the shared pricing algorithm platform at the center of the alleged conspiracy. Two New Jersey residents filed the case.
The complaint alleges that the corporate defendants and their respective hotels, including Harrah’s Atlantic City, Bally’s Atlantic City and Borgata, used Cendyn’s platform to set room rates higher than they otherwise would have been able to in a competitive market.
