LAS VEGAS (KTNV) — A motion has been filed to dismiss the lawsuit against several Las Vegas Strip hotel operators that alleges the companies engaged in a price-fixing scheme.
The lawsuit filed by Hagens Bergman alleges that a revenue management platform known as Rainmaker has been using "real-time pricing and supply information" to help hotel operators maximize profits in violation of antitrust laws.
The motion, which was filed by Attorneys representing MGM Resorts, said the plaintiffs are alleging "conspiracy," which they "failed to prove" is happening.
The motion says the plaintiffs have failed to prove that any Rainmaker software was being used at any of the ten hotels in Las Vegas that MGM is alleged to operate. These hotels include the Bellagio, Aria, Park MGM, New York-New York, MGM Grand, Excalibur, Luxor, Mandalay Bay, Four Seasons and VDARA at Aria.
"...They have failed to allege that these hotels even receive such pricing recommendations," the motion states.
The defendants note that the original class-action lawsuit named the Borgata, which is an MGM property operated in New Jersey, but claim the reference is "irrelevant to the lawsuit."
Attorneys for MGM even cited previous anti-trust litigation, which states, "A complaint alleging an anti-trust conspiracy must allege that each individual defendant joined the conspiracy and played some role in it..."
The lawsuit claims the Rainmaker program advertises "15% revenue growth" as well as testimonials from its parent company, Cendyn, describing "implausible performance" for clients during the COVID-19 pandemic.
The plaintiffs in the lawsuit have until June 12 to respond.
