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Hotel, Restaurant, and Travel Law



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Delmar Cengage Learning
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This is the 7th edition with a publication date of 6/27/2007.

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  • Hotel, Restaurant, and Travel Law
    Hotel, Restaurant, and Travel Law


For students and practicing professionals in hospitality, travel and tourism as well as specialized paralegal work, Hotel, Restaurant and Travel Law: A Preventative Approach, 7th Edition, addresses legal issues confronted by managers in the hotel, restaurant, travel and casino industries. The emphasis is on prevention of legal violations. By reading the book, managers can appreciate and identify what actions and precautions are necessary to avoid, or at least minimize, the number of lawsuits. The book uses the case method, long recognized as a helpful approach to learning the often-complicated discipline of law. Readers will study decisions from actual cases in which hospitality establishments were sued, as well as what legal precedents were cited.

Table of Contents

Table of Casesp. xv
Prefacep. xix
About the Authorsp. xxi
Legal Fundamentals for the Hospitality Industryp. 1
Introduction to Contemporary Hospitality Lawp. 3
Introductionp. 3
What is Law?p. 4
Principles of Hospitality Lawp. 4
Balancing Rights and Dutiesp. 4
History of Hospitality Lawp. 4
Sources of Lawp. 5
Constitutional Lawp. 5
Statutory Lawp. 6
Common Lawp. 6
Administrative Lawp. 8
Attributes of Lawp. 9
The Role of the Judgep. 9
Civil and Criminal Lawp. 9
Examples of Civil Lawp. 10
Remedies in Civil Casesp. 10
Examples of Crimesp. 11
Penalties and Remedies in Criminal Casesp. 11
How to Read a Casep. 11
Summaryp. 13
Legal Procedures: Journey of a Case through the Courtsp. 17
Introductionp. 17
The Parties and Proofp. 18
Commencing the Lawsuitp. 18
The Complaintp. 18
The Summonsp. 22
Service of Processp. 22
Responses to the Complaintp. 22
Responses to the Answerp. 24
Summary Judgmentp. 25
Pretrial Procedurep. 25
Discoveryp. 25
Pretrial Conferencep. 25
The Trialp. 26
Types of Trials-Jury and Benchp. 26
Jury Selectionp. 27
Opening Statementsp. 28
The Case-in-Chiefp. 28
The Plaintiff's Rebuttal Casep. 28
Summationp. 28
Charging the Juryp. 29
Jury Deliberationsp. 29
The Verdictp. 29
The Judgmentp. 29
Appealp. 30
Grounds for Appealp. 30
Appellate Courtsp. 30
Alternative Dispute Resolutionp. 31
Interpreting a Case Citationp. 31
Summaryp. 32
Civil Rights and Hospitality Businessesp. 37
Introductionp. 37
The Civil Rights Act of 1964p. 39
Scope of the Civil Rights Act of 1964p. 39
Lodging for Transientsp. 40
Dining Facilitiesp. 40
Places of Entertainmentp. 41
Jurisdiction through Interstate Commercep. 41
Reliefp. 43
Enforcing the Actp. 43
Establishing Jurisdictionp. 43
Racial Discriminationp. 45
Language Discriminationp. 49
Religious Discriminationp. 51
Broad Enforcement through the Unitary Rulep. 51
Exempt Establishmentsp. 52
"Mrs. Murphy's Boarding House"p. 52
Private Clubsp. 52
Assailing "Private-in Name-Only" Clubsp. 53
Scrutinizing Admission Policiesp. 55
Extending Civil Rights Protectionp. 59
State Civil Rights Lawsp. 59
The Americans with Disabilities Actp. 60
Age Discriminationp. 70
Gender Discriminationp. 71
Rights of Proprietorsp. 73
Permissible to Remove a Disorderly Personp. 74
Reasonable Rules of an Establishmentp. 75
Retaliatory Exclusionp. 77
Ejection of Objectionable Persons and Trespassp. 77
Summaryp. 78
Contract Law and the Hospitality Industryp. 83
Introductionp. 83
The Elements of a Contractp. 84
Capacity to Contractp. 84
Mutuality: Offer and Acceptancep. 85
Legalityp. 87
Considerationp. 87
Illusory Contracts (Written, Oral)p. 88
Proper Formp. 90
Genuine Assentp. 94
Ambiguous Terms/Trade Usagep. 97
Conditionsp. 100
Contracts Formed on the Internetp. 101
Breach of Contractp. 103
Compensatory Damagesp. 103
Punitive Damagesp. 109
Specific Performancep. 110
Contracting for a Roomp. 110
Overbooking and Breach of Reservation Contractp. 110
Damages Allowed for Overbookingp. 111
Damage to Goodwillp. 115
Breach by a Guestp. 119
Intentional Interference with Contractual Relationsp. 125
Catering and Convention Contractsp. 127
Summaryp. 130
Negligencep. 137
Principles of Negligencep. 139
Introductionp. 139
Negligencep. 140
Elements of a Negligence Casep. 140
Reasonable Person Standardp. 143
Summary of the Elements of Negligencep. 148
Legal Status of Plaintiffp. 148
Duty Owed to Inviteesp. 148
Open and Obvious Exceptionp. 150
Duty Owed to Licenseesp. 152
Duty Owed to Trespassersp. 154
Minority Positionp. 155
No Special Duty Owed to Othersp. 156
No Duty Owed on Property Not Owned or Maintained by the Hospitality Facilityp. 157
Negligence Doctrines Generally Favoring the Plaintiffp. 157
Res Ipsa Loquiturp. 157
Children and the Reasonable Person Testp. 161
Attractive Nuisance Doctrinep. 164
Negligence Per Se Doctrinep. 165
Obligations beyond Regulationp. 168
Strict or Absolute Liabilityp. 168
Strict Products Liabilityp. 169
Respondeat Superiorp. 170
Nondelegable Dutiesp. 173
Duty to Aid a Person in Distressp. 174
Duty of Business Owners to Aid Invitees in Dangerp. 174
Negligence Doctrines Generally Favoring the Defendantp. 180
Contributory Negligence and Comparative Negligencep. 180
Assumption of Riskp. 183
Comparative Negligence and Assumption of Riskp. 186
Summaryp. 188
Negligence and Hospitality Practicesp. 195
Introductionp. 195
Duty Owed Guests in Hotel Roomsp. 196
Cleanliness of Hotel Roomsp. 196
Beds, Chairs, and Other Seatsp. 196
Windows, Window Fixtures, and Screensp. 198
Electrical and Heating Hazardsp. 199
Animals and Insectsp. 199
Bathroom Appliances and Hot Shower Waterp. 203
Duty Owed Guests and Others in Public Areasp. 206
Lobbyp. 207
Elevatorsp. 207
Doorsp. 209
Hallwaysp. 212
Stairways, Steps, and Their Coveringsp. 213
Duty Owed Guests in Restaurants and Dining Roomsp. 216
Slippery Floorsp. 216
Foreign Substances on the Floorp. 217
Constructive Noticep. 219
Importance of Enforcing a Policy of Frequent Floor Cleaningp. 221
Hanging Mirrors in Dining Roomsp. 224
Ceilingsp. 224
Menu Boards on Ledgesp. 225
Hanging Televisionsp. 225
Serving Flambe Foodsp. 225
Serving Hot Liquidsp. 227
Duty Owed Guests Outsidep. 228
Outside Door Servicep. 229
Groundsp. 229
Outdoor Sporting Facilitiesp. 232
Outdoor Lighting Requirementsp. 235
Duties Owed to Guests in Swimming Areasp. 236
Exercise Reasonable Carep. 236
Remove Hazardsp. 238
Comply with Statutory Requirementsp. 239
Maintain Safety Equipmentp. 239
Control Boisterous Conduct of Guestsp. 240
Inspect for Glass in Pool Areap. 240
Oceanfront Propertiesp. 241
Restrict Use or Warn of Hazards in the Waterp. 243
Inspect Lake Bottoms for Hazardsp. 243
Special Dutiesp. 244
Injuries Caused by Firep. 244
Securityp. 247
Medical Carep. 255
Summaryp. 257
Relationships with Guests and Other Patronsp. 265
Guests and Other Patronsp. 267
Introductionp. 267
Who Qualifies as a Guest?p. 268
Intent of Partiesp. 269
Registrationp. 269
Delivery of Propertyp. 271
Checking Outp. 274
Guests' Illegal Actsp. 274
Termination of a Guest-Innkeeper Relationshipp. 275
Landlord-Tenant Relationshipp. 275
Summaryp. 277
Protecting Patrons' Propertyp. 281
Introductionp. 281
Risks to Property in the Hotelp. 282
Hotel Theftp. 282
Keycards and Keysp. 282
Guests' Insurancep. 283
Absolute Liability for Guests' Goodsp. 283
Exceptions to the Absolute Liability Rulep. 283
Prima Facie Liability Rule-Minority Viewp. 283
Limited Liability-Modern Limitations on the Absolute Liability Rulep. 284
Providing a Safep. 285
Posting Notice of Availability of Safep. 261
Posting Notice of Hotel's Limited Liabilityp. 290
What Property Belongs in the Safe?p. 291
Theft during Check-Outp. 292
Hotel Guest in Hotel Restaurantp. 292
Door Locks and Window Fasteningsp. 292
Clothes and Other Personal Propertyp. 292
Checkroomsp. 293
Baggage Roomp. 293
Merchandise Samplesp. 293
Property in Transitp. 295
Property Not Covered by Limiting Liability Statutesp. 295
Firep. 295
Estoppel: Loss of Limited Liabilityp. 295
Implying Greater Liabilityp. 296
Misrepresenting Riskp. 296
Hotel's Negligencep. 298
Comparative Negligencep. 299
Nevada's Limiting Statutep. 300
Liability during Check-In and Check-Outp. 300
Guest Statusp. 300
Liability at Check-inp. 301
Liability after Check-Outp. 302
Bailmentp. 304
Effect of Bailment on Liabilityp. 305
Bailment for the Sole Benefit of the Bailorp. 307
Bailment for the Sole Benefit of the Baileep. 307
Mutual-Benefit Bailmentp. 307
Proof of Negligence in Bailment Casesp. 309
Items inside Bailed Propertyp. 313
Rules Particular to Bailment of Carsp. 314
Liability for a Patron's Property in a Restaurant, Bar, or Cloakroomp. 317
Checkroomsp. 320
Concessionairesp. 321
Summaryp. 322
Rights of Innkeepersp. 327
Introductionp. 327
Right to Exclude Nonguestsp. 328
Refusing Lodging to a Would-be Guestp. 330
The Consequences of Wrongful Refusalp. 331
Agep. 331
Selecting Accommodations for a Guestp. 331
Changing a Guest's Accommodationsp. 332
Entering a Guest's Roomp. 333
Evicting a Guestp. 333
Failure to Pay the Hotel Billp. 334
Overstayingp. 334
Persons of Ill Reputep. 335
Intoxication and Disorderly Conductp. 336
Disorderly Conductp. 337
Contagiously Ill Guestsp. 337
Breaking House Rulesp. 338
Persons without Baggagep. 340
Business Competitorsp. 340
The Process of Evictionp. 341
Evicting a Hotel Tenantp. 345
Refusing a Dinerp. 345
Statutory Protection for the Hotelkeeperp. 348
The Innkeeper's Lienp. 348
Defrauding the Hotelkeeper or Restaurateurp. 350
Fraudulent Paymentp. 353
False Arrestp. 354
Summaryp. 355
Guests' Rightsp. 361
Introductionp. 361
Right to Occupy Assigned Roomp. 362
Right to Privacy in Guest Roomp. 362
Protection against Illegal Searchesp. 366
Report by Innkeeper of Illegal Activityp. 366
Search Warrantp. 367
Warrant Exception-Consent to Searchp. 368
Effect of Termination of Occupancy on Privacy Rightsp. 368
Warrant Exception-Disturbing the Peacep. 370
Emergency Situationp. 371
Room Registered to Anotherp. 372
Search of Items Mislaid by Guestsp. 372
Unclaimed Lost Propertyp. 374
Protection against Insultsp. 374
Protection against False Arrestp. 376
Protection against Credit Card Fraudp. 379
Rights Concerning Rates and Feesp. 379
Right to Advance Noticep. 379
Right to No Extraneous Feesp. 380
Telephone Chargesp. 381
Proper Handling of Mail, Packages and Facsimile Correspondencep. 381
Summaryp. 384
Special Topicsp. 389
Liability and the Sale of Foodp. 391
Introductionp. 391
Adulterated Foodp. 392
Warranty of Merchantabilityp. 392
Merchantable Foodp. 392
Objects in Foodp. 392
Trend toward the Reasonable Expectation Testp. 396
Raw Shellfishp. 398
Other Grounds for Breach of Warranty of Merchantabilityp. 400
Class Actionp. 400
Hot Beveragesp. 401
Foodborne Illnessesp. 403
Proof Problems Establishing Causationp. 404
Privity of Contractp. 406
Strict Products Liabilityp. 407
Statutory Violationsp. 408
Negligencep. 408
Choice of Actionp. 408
Customers with Allergiesp. 409
False Food Claimsp. 411
Truth-in-Menu Lawsp. 411
Obesity and Accuracy in Advertisingp. 412
Trans Fatsp. 413
Food Labelingp. 413
Kosher Foodsp. 415
Relationships between Fast-Food Operations and Hotelsp. 415
Smoking Restrictionsp. 416
Safety Concerns Particular to Food Preparationp. 418
Food Preparationp. 418
Risks Associated with Donated Foodsp. 418
Summaryp. 419
Liability and the Sale of Alcoholp. 423
Introductionp. 423
Alcoholic Beverages and the Hospitality Industryp. 424
License to Sell Liquorp. 424
Illegal Salesp. 424
Sales to Underage Patronsp. 425
Sales to People Who Are Visibly Intoxicatedp. 426
Proving Visible Intoxicationp. 427
Sales to Known Habitual Drunkardsp. 428
Alcohol Vendors' Liability under Common Lawp. 428
Alcohol Vendors' Liability Greatly Increases under Dram Shop Actsp. 429
Alcohol Vendor's Liability to the Patronp. 430
Alcohol Vendor's Liability to Third Partiesp. 432
Alcohol Vendor's Liability to Passengers in Patron's Carp. 434
Two Licensees Serving One Patronp. 436
Apportionment of Liability among Defendantsp. 436
Apportionment of Liability Where Plaintiff Is Negligentp. 436
States without Dram Shop Actsp. 437
Liquor Liability Insurancep. 437
Dram Shop Liability on Some Employers for Office Partiesp. 437
Strategies to Avoid Liabilityp. 438
Alcohol Sales in Hotel Guest Roomsp. 440
Miscellaneous Liquor Regulationsp. 440
Age of Alcohol Serversp. 440
Restrictions on Alcohol Sales on Sundayp. 440
Warnings to Pregnant Womenp. 440
Prohibition of Illegal Gamblingp. 440
Prohibition of Disorderly Conductp. 441
Maintenance of Prescribed Recordsp. 441
Restrictions on the Type of Alcohol Soldp. 441
Limitations on Sales Promotionsp. 441
Prohibition on Celebrity Endorsementsp. 442
Proximity to School or Churchp. 442
Alcohol-Free Teen Eventsp. 442
Sexually Explicit Entertainmentp. 442
Summaryp. 443
Travel Agents and Airlines-Rights and Liabilitiesp. 449
Introductionp. 449
The Makeup of the Travel Industryp. 450
Agency Lawp. 450
Tariffsp. 453
Remedies for Small Damagesp. 454
Small Claims Courtp. 454
Class Action Suitsp. 454
The Rights of the Travelerp. 455
Baggage Claims-Domestic and Internationalp. 455
Airplane Securityp. 464
Regulation Forbids Interference with Screening Processp. 466
Traveling with Animalsp. 467
Personal Injury On-Board International Flightsp. 468
Refunds on Ticketsp. 468
E-Ticketsp. 469
Rights of Travelers with Disabilitiesp. 470
Travel Insurancep. 474
Special Rights of Airlinesp. 474
Right of Airlines to Cancel Scheduled Flightsp. 474
Rights of Airline Captainsp. 476
Overbookingp. 481
Rights of Would-be Passengersp. 481
Priority Rules for Seatingp. 482
Punitive Damages for Overbookingp. 484
Overbooking on International Flightsp. 485
Proposed Air Traveller's Bill of Rightsp. 486
Punitive Damages on International Flightsp. 486
Additional Legal Issues Involving Airlinesp. 486
Lack of Documentation for International Travelp. 487
Liability for Negligencep. 488
Liabilities of Travel Agents and Charter Tour Companiesp. 489
Liability for Own Actionsp. 489
Duty to Investigate Third-Party Suppliersp. 491
Recommending Travel Insurancep. 494
Liability for Breach of Contract by Third-Party Service Suppliersp. 497
No Liability for Third-Party Suppliers' Negligencep. 500
Disclaimers by the Travel Agentp. 502
Errors and Omissions Insurance for Travel Agentsp. 502
Credit Card Fraudp. 503
Rental Carsp. 503
Overbookingp. 503
Accidents in Rental Carsp. 504
Rental of a Car Known to Be Defectivep. 506
Unauthorized Driversp. 506
Age Discrimination with Car Rentalsp. 509
Summaryp. 509
Employmentp. 515
Introductionp. 515
Fair Labor Standards Actp. 516
Minimum Wagep. 516
Overtime Payp. 518
Time Workedp. 520
Split and Partial Shiftsp. 520
Equal Pay for Equal Workp. 520
Retaliatory Dischargep. 521
Restrictions on Child Labor - Hoursp. 521
Restrictions on Child Labor - Tasksp. 522
Enforcement of the FLSAp. 522
Family and Medical Leave Actp. 522
At-Will Employmentp. 523
Illegal Job Discriminationp. 524
Title VII of the Civil Rights Act of 1964p. 524
Filing a Complaintp. 525
Remediesp. 526
Defense of Bona Fide Occupational Qualificationp. 528
Defense of Business Necessityp. 528
Prohibited and Permitted Interview Questionsp. 529
Racep. 531
Reverse Discriminationp. 536
National Originp. 538
National Origin and Accent Discriminationp. 541
Religionp. 542
Reasonable Accommodationsp. 542
Hostile Work Environmentp. 546
Genderp. 546
Gender-Differentiated Grooming Standardsp. 548
Sexual Harassmentp. 551
Pregnancyp. 561
Agep. 563
Retaliatory Dischargep. 566
Mixed Types of Discriminationp. 567
Americans with Disabilities Actp. 571
Essential Functionsp. 571
Reasonable Accommodationp. 572
Undue Hardshipp. 573
Preference Not Requiredp. 573
ADA Impacts on Application Processp. 574
Drugs and Illnessesp. 574
Past Disabilities and Caregiversp. 575
Pursuing an ADA Casep. 575
Inability to Perform Essential Elementsp. 576
Mandatory Verification of Employment Statusp. 577
Immigration Reform and Control Actp. 577
Resume Fraudp. 580
Occupational Safety and Health Administrationp. 581
Unionsp. 581
National Labor Relations Actp. 582
National Labor Relations Boardp. 582
Emerging Issues in Employment Lawp. 582
Negligent Hiringp. 582
Employee Bloggingp. 583
Handling Employee Personal Datap. 583
Summaryp. 583
Regulation and Licensingp. 591
Introductionp. 591
Regulation of the Marketplacep. 592
Trademarks and Service Marksp. 592
Copyrights Basicsp. 603
Illegal Satellite Receptionp. 604
Music Performancesp. 606
Artworkp. 610
Antitrust Problemsp. 611
Franchisingp. 617
Nature of the Franchise Relationshipp. 618
Benefits to the Franchiseep. 619
Benefits to the Franchisorp. 619
Fraud and Breach of Contract by the Franchisorp. 620
Tying Arrangements in Franchises as an Antitrust Issuep. 621
Termination of a Franchisep. 624
Regulation of Hotel and Restaurant Internal Affairsp. 625
Guest Registerp. 625
Ratesp. 626
Mandatory Recyclingp. 628
Licensing and Zoningp. 628
Licensingp. 628
Principles for Granting Licenses and Permitsp. 629
License Feesp. 634
Consequences of Operating without a Licensep. 635
Revocation or Suspension of a Licensep. 635
Zoningp. 639
Variancep. 641
Summaryp. 643
Specialized Destinations-Casinos, Theme Parks, Spas, and Condominium Hotelsp. 649
Introductionp. 649
A Short History of Gamblingp. 650
Gambling Todayp. 651
Gaming Issuesp. 651
Resolution of Gaming Issuesp. 652
Casino Owes No Duty to Inform Patrons of Laws Relevant to Gamblingp. 652
Exclusion of Card Counters Permissiblep. 652
Slot Machinesp. 653
Contracts and Gambling Debtsp. 654
Compulsive/Problem Gamblersp. 656
Torts Involving Casinosp. 657
Negligencep. 657
Strict Liabilityp. 661
Criminal Activity at Casinosp. 661
False Imprisonmentp. 663
Trademark Infringementp. 664
Copyright Infringementp. 665
Casinos and Dram Shop Actp. 665
Riverboat Casinos and the Jones Actp. 667
The Jones Actp. 667
Casinos on Native American Reservationsp. 669
Sovereign Authorityp. 669
Lawsuits against Native American Tribesp. 669
Lawsuits against Casino Employeesp. 671
Indian Gaming Regulatory Actp. 673
Internet Gamblingp. 674
Theme Parksp. 674
Introductionp. 674
Crowd Controlp. 674
Amusement Ridesp. 675
Other Attractionsp. 677
Admission Discountsp. 678
Season Passesp. 678
Hotel Spasp. 679
Licensingp. 679
Sanitation and Nailsp. 679
Wet and Slippery Floorsp. 680
Effect of Liability Waiversp. 680
Property Stolen from Lockersp. 681
Massagesp. 682
Tanning Boothsp. 682
Condominium Hotelsp. 682
Common Areasp. 682
Amenitiesp. 683
Unit Rentalsp. 683
Advantagesp. 683
Contractsp. 683
Futurep. 684
Summaryp. 684
Limiting Liability Statutesp. 691
Guidelines on Discrimination Based on Genderp. 693
The Americans with Disabilities Actp. 695
Immigration Reform and Control Actp. 705
Family and Medical Leave Actp. 708
Minimum Wage Law in the United Statesp. 710
The Cardiac Arrest Survival Act 42 U.S.C 238p&qp. 713
Foods Containing Artificial Trans Fatp. 716
Glossaryp. 719
Indexp. 731
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