As evacuees looked for places to stay during the Los Angeles wildfires, prosecutors say a prominent Pasadena luxury hotel unlawfully pushed room prices higher — and now it will have to pay.
Under the deal, The Langham Huntington, Pasadena must pay $320,000 and return at least $216,795 to affected guests.
What happened?
According to Patch, Langham Hotels Pacific Corporation settled claims that during the January 2025 wildfire emergency, it charged certain guests more than California law allows. The lawsuit was filed by the Los Angeles County District Attorney's Office and the County Counsel's Office.
Authorities allege that once emergency protections began on Jan. 7, 2025, the hotel increased some room prices to more than 10% above its standard rates while fires spread across Los Angeles County and forced thousands from their homes.
As part of the settlement, the company will pay $300,000 in civil penalties plus $20,000 to cover investigative costs. It must also reimburse eligible guests for amounts charged above the legal limit on stays between Jan. 7, 2025, and March 29, 2026. Officials said overcharges from January through April 2025 alone totaled $216,795.
Why does it matter?
When families are forced to evacuate with little warning, they often have no choice but to book whatever room is available, even if the price is far higher than normal.
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The case also shows how automated pricing systems can drive up rates during emergencies if they are not adjusted.
California's anti-price-gouging law is meant to prevent illegal price increases during emergencies.
What's being done?
Eligible guests are supposed to receive refunds, and if reasonable efforts to locate some of them fail, the remaining funds must go to L.A. County's Department of Consumer and Business Affairs, according to Patch.
Patch also said Langham is required to change any automated or algorithmic pricing tools so they do not trigger unlawful increases during future emergencies.
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Los Angeles County officials have extended hotel price-gouging protections through March 29, 2026.
Los Angeles County District Attorney Nathan Hochman said: "It is reprehensible to overcharge and take advantage of wildfire victims who were in desperate need of housing as they fled their homes." Patch reported that Langham cooperated with investigators and did not admit liability.
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