Latest news with #HouseBill90
Yahoo
7 days ago
- Business
- Yahoo
Online restaurant reservation trading nears closing time in Louisiana
Getty Images Louisiana is set to outlaw a new, lucrative industry that deals in the online buying and selling of restaurant reservations. The state Senate unanimously approved House Bill 90 by Rep. Troy Hebert, R-Lafayette, without discussion Thursday. The proposal would ban companies such as Appointment Trader, Dorsia and ResX from arranging reservations through their platforms if they do not have explicit contracts with restaurants. Hebert's bill is expected to become law with Gov. Jeff Landry's signature, having received unanimous approval in every committee hearing and floor vote in both chambers, Reservation trading platforms allow diners with hard-to-get table reservations to sell them online in auction-style transactions similar to eBay. Prospective buyers can also use the platforms as a concierge service, offering a flat fee to anyone who can secure them a table at a particular establishment. SUBSCRIBE: GET THE MORNING HEADLINES DELIVERED TO YOUR INBOX While the practice of paying for restaurant reservations is more common in places such as New York and Miami, the trading platforms have come under scrutiny in Louisiana since the Illuminator reported on high-dollar trades in New Orleans during Super Bowl weekend. The transactions included a $2,138 reservation for a table of four at Antoine's. In a previous interview, Hebert said some local eateries reported confusion over complaints from diners who bought reservations without realizing the restaurants weren't the ones selling them. 'We're not talking about Chick-fil-A here,' Hebert said. 'It's a select group of restaurants they're doing this to … They're profiting off of a restaurant's brand, and the restaurants don't even know about it.' Backed by the National Restaurant Association, versions of the legislation began popping up in state capitols last year. Reached after Hebert's bill advanced Thursday, Appointment Trader founder Jonas Frey said his small business is facing seemingly insurmountable odds. Only a few years old, his startup logged more than $6 million in trades over the past 12 months. 'I'm weighing my options, but it certainly feels like a David versus Goliath situation,' Frey said. At the center of the debate is a market space currently dominated by the booking platforms OpenTable and Resy, which operate under a very different revenue model than the nascent trading platforms. OpenTable makes money by charging restaurants a fee every time someone reserves a table through its app, while the trading apps charge diners a percentage of the winning bid price for each trade. If the newer trading platforms can secure partnerships with restaurants, they would pose a serious threat to the well-established booking apps. Restaurants would no longer have to pay the third-party booking platforms whenever diners make reservations and would actually make money every time someone books through a trading platform. Frey said he offers contracts to restaurants giving them an equal share of the winning bids for every reservation. It would give dining businesses a new revenue stream from something that currently costs them money, he said. However, Louisiana lawmakers don't believe it's a viable industry and see reservation trading as an opportunistic industry that is artificially inflating demand just to cash in on wealthy tourists. Hebert and his colleagues have argued that tables would be easy and free to reserve if software bots weren't snapping them up from OpenTable and then listing them for sale on the trading apps. Frey disagreed with that assessment and said he doesn't think technology could even do that. Large booking sites have several security layers, such as requiring personal phone numbers with text message verification, in order to make a reservation. The trading apps had no lobbyists or advocates speaking on their behalf against Hebert's bill, so lawmakers have only heard one side of the argument. Hebert said his intent is not to end the practice of reservation trading but to simply give the restaurants back their right to control their own bookings. If the trading apps continue to operate in current form after the new law takes effect, they could face fines of up to $1,000 per trade. SUPPORT: YOU MAKE OUR WORK POSSIBLE
Yahoo
24-04-2025
- Business
- Yahoo
Louisiana House passes bill that aims to stop reservation reselling without restaurant consent
BATON ROUGE, La. (Louisiana First) — A proposed bill that would crack down on companies that book and resell restaurant reservations without the restaurant's permission was passed by the Louisiana House unanimously Thursday. House Bill 90, sponsored by Rep. Troy Hebert (R-Lafayette), would prohibit third-party platforms from listing or selling restaurant reservations unless they have a written agreement with the food service establishment. Hebert told lawmakers during the April 15 House Commerce Committee meeting that the bill was created after complaints from restaurants about AI-powered bots and booking services getting high-demand reservations and reselling them for a high price. Under the bill, the Louisiana Attorney General would have the authority to fine violators up to $1,000 per violation, per day. All fines collected would go into the state's consumer protection fund. The bill now heads to the Louisiana Senate. If passed, the law would add a new section titled the 'Restaurant Reservation Anti-Piracy' provision to the state's consumer protection statutes. Michelin Guide expands to Southern US, includes Louisiana Republicans plan to focus on tax cuts when they return from break Phones, wallets and a Viking horn: Uber shares which items were left behind in 2025 Trump store is selling 'Trump 2028' hats BRPD searching for man accused in deadly home invasion Louisiana House passes bill that aims to stop reservation reselling without restaurant consent Copyright 2025 Nexstar Media, Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.
Yahoo
24-04-2025
- Business
- Yahoo
Doors could close soon on high-end restaurant reservation trading in Louisiana
Carol Bebelle, retired executive director of Ashe' Cultural Arts Center stands behind Sybil Morial May 3 as the unveiling of the first marker for the Louisiana Civil Rights Trail outside Dooky Chase's Restaurant in New Orleans. (Photo provided by Louisiana Office of Tourism) A nascent industry for buying and selling restaurant reservations could meet its end soon in Louisiana. State lawmakers unanimously advanced a bill Thursday that forces such trading platforms to officially partner with the restaurants whose tables are going to the highest bidder. So far, the trading has taken place without any input or involvement from the dining establishments. House Bill 90, sponsored by Rep. Troy Hebert, R-Lafayette, cleared the Louisiana House of Representatives in an 89-0 vote without debate. It seeks to ban companies such as Appointment Trader, Dorsia and ResX from arranging reservations through their platforms if they do not have explicit contracts with the restaurants. Hebert said he doesn't want to ban the trading apps' existence; he just wants them to get the restaurants' permission before operating in Louisiana. Reservation trading platforms allow diners with hard-to-get table reservations to sell them online in auction-style transactions similar to eBay. Prospective buyers can also use the platforms as a concierge service, offering a flat fee to anyone who can secure them a table at a particular establishment. While the practice of paying for restaurant reservations is more common in places such as New York and Miami, the trading platforms came under scrutiny in Louisiana after the Illuminator reported on the high-dollar trades in the New Orleans market during Super Bowl weekend. They included a $2,138 reservation for a table of four at Antoine's. Hebert amended his bill on the floor, adding a provision that would allow the Louisiana attorney general to seek restitution on behalf of anyone who purchases an unlawfully sold reservation. Some diners are buying reservations without realizing the restaurants are not actually selling them, he said. Someone paid $2,138 for a reservation at a French Quarter restaurant. Should this be outlawed? 'We're not talking about Chik-fil-A here,' Hebert said in an interview after his bill was approved. 'It's a select group of restaurants they're doing this to …They're profiting off of a restaurant's brand, and the restaurants don't even know about it.' The bill originated from a dispute between online restaurant booking platforms — such as OpenTable and Resy — and the newer reservation trading platforms. Hebert sponsored the legislation on behalf of the Louisiana Restaurant Association, which modeled it after a state law New York adopted last year with the backing of booking sites. If trading platforms can secure partnerships with restaurants, they would pose a threat to the established booking apps. The trading apps make money by taking a percentage of the winning bid price for each trade, whereas OpenTable and the other booking platforms make their money by charging restaurants a fee every time someone reserves a table through their sites. Appointment Trader founder Jonas Frey said he is currently offering contracts to restaurants that will give them an equal share of the winning bids for every reservation. It would give dining businesses a new revenue stream from something that currently costs them money, he said. The viability of the reservation trading business model depends on whether there is genuine demand for seats at a particular restaurant or whether that demand is artificially inflated just to cash in on wealthy tourists. Hebert told his colleagues he believes the trading platforms use software bots to snap up reservations on OpenTable and Resy and then list them for sale on their sites. Hebert's bill heads next to the Senate for consideration. SUPPORT: YOU MAKE OUR WORK POSSIBLE
Yahoo
22-04-2025
- Business
- Yahoo
Louisiana lawmakers look to end restaurant reservation trading
(Canva image) A proposal to restrict buying and selling of restaurant reservations online is sailing easily through the Louisiana Legislature and could pass the House this week, though lawmakers have yet to hear both sides of the issue. House Bill 90, sponsored by Rep. Troy Hebert, R-Lafayette, seeks to ban companies such as Appointment Trader, Dorsia and ResX from arranging reservations through their platforms without explicit contracts with restaurants. 'I'm not preventing the business model from existing,' Hebert said in a phone interview Monday. You just have to have the restaurant's permission.' His bill cleared the House Commerce Committee last Wednesday with the unanimous approval of 17 lawmakers, and Hebert said it could come up for a full House vote as early as this week. No one spoke in opposition to the bill at the hearing, and several lawmakers said they're opposed to the idea of paying for reservations. Appointment Trader founder Jonas Frey, who lives in Miami, said he intends to speak with lawmakers before the bill goes up for a final vote. Founded in 2021, Appointment Trader lets sellers set their own prices for reservations, and bidders can make offers at any price. Additionally, prospective buyers can use the platform as a concierge service, offering a flat fee to anyone who can secure them a reservation at a particular establishment. Someone paid $2,138 for a reservation at a French Quarter restaurant. Should this be outlawed? Though still relatively new to Louisiana, the Appointment Trader drew attention after the Illuminator reported on its sale of hard-to-get bookings in the New Orleans market during Super Bowl weekend — including a $2,138 reservation at Antoine's. Hebert said he sponsored the legislation at the request of the Louisiana Restaurant Association, which argues the sale of reservations without restaurant consent can lead to empty tables, missed opportunities for real customers and diminished service. The LRA modeled Hebert's bill after legislation New York adopted last year with the backing of major online restaurant booking platforms OpenTable and Resy. Booking sites let diners reserve tables for free and make money by charging restaurants a fee every time someone books through their apps. Louisiana Restaurant Association president Stan Harris told lawmakers Hebert's bill would not affect those booking apps 'other than actually probably helping protect their business model a little bit.' Hebert's bill calls on the Louisiana attorney general to impose a $1,000 fine against a trading platform for each day a table reservation is offered without a restaurant's consent. Appointment Trader is actively trying to partner with restaurants, its founder Frey said, offering them half of the final bid proceeds for each reservation. If the bill clears the House floor, it will next head to the Senate for consideration. SUBSCRIBE: GET THE MORNING HEADLINES DELIVERED TO YOUR INBOX
Yahoo
21-04-2025
- Business
- Yahoo
Louisiana bill aims to stop reservation reselling without restaurant consent
BATON ROUGE, La. (Louisiana First) — A Louisiana lawmaker wants to crack down on companies that book and resell restaurant reservations without the restaurant's permission. House Bill 90, sponsored by Rep. Troy Hebert (R-Lafayette), would prohibit third-party platforms from listing or selling restaurant reservations unless they have a written agreement with the food service establishment. The bill was approved unanimously by the House Commerce Committee and now heads to the full House for consideration. The legislation was prompted by complaints from Louisiana restaurants about AI-powered bots and booking services that snap up high-demand reservations and resell them for hundreds or even thousands of dollars online. Hebert pointed to one instance during Super Bowl weekend in New Orleans when a four-top table at a fine dining restaurant was resold for more than $2,000. 'We're not trying to prevent anyone from operating this kind of business,' Hebert said during the April 15 committee meeting. 'All we're saying is, if you're going to do it, you need to have the written authorization of the restaurant owner.' Michelin Guide expands to Southern US, includes Louisiana The Louisiana Restaurant Association supports the bill, citing confusion and frustration from diners who unwittingly purchased reservations through unauthorized resellers. LRA President Stan Harris said complaints first surfaced at Commander's Palace when guests began asking about fees they had paid to third-party sites. Under the bill, the Louisiana Attorney General would have the authority to fine violators up to $1,000 per violation, per day. All fines collected would go into the state's consumer protection fund. A 'third-party restaurant reservation platform' is defined in the bill as any website, app, or online service that facilitates reservations at restaurants but is not operated by the restaurant itself. Exceptions are made for platforms that have a contractual relationship with the restaurant. If passed, the law would add a new section titled the 'Restaurant Reservation Anti-Piracy' provision to the state's consumer protection statutes. Trump targets ticket scalpers and high live event fees: 'Price-gouging' Long journey to the NFL draft is only the beginning for college prospects aiming to make the pros Stocks and the dollar tumble as investors retreat from the US Kristi Noem's belongings stolen while she was at dinner in DC Louisiana bill aims to stop reservation reselling without restaurant consent FTC files suit accusing Uber of deceptive practices Copyright 2025 Nexstar Media, Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.
