30-07-2025
Lollapalooza festivalgoers say they were charged hidden fees for Chicago hotel, fight for refund
After booking a hotel for Lollapalooza, some festivalgoers said they ran into hidden fees.
They have spent months trying to cancel their reservation and get a refund, before a bizarre twist this week.
"They have been so excited," said Daniel Schaffer of Ohio, "and then to have this hanging over the head has just really kind of put a damper."
Schaffer said he has been fighting for a refund since April after his husband and a friend ran into some fee confusion regarding their Lollapalooza reservation. They booked a five-night stay at the Ambassador Hotel in the Gold Coast through a third-party service — an employee benefit portal called TicketsatWork.
This resulted in a $931.66 charge on their credit card, and the site said there would be "additional resort fee of $138.43 per night."
But when the festivalgoers called to confirm the additional costs would equal nearly $700, the hotel gave them new numbers — nearly $1,369.96 still "to be paid."
The festivalgoers tried to cancel through the hotel, through their credit card, TicketsatWork, and the hotel. They even hired an attorney to send a letter to the Ambassador requesting reimbursement, citing "hidden fees" and "deceptive conduct," but the response they received surprised them.
"Your client booked through some obscure website that then routed their reservation through Expedia," Schaffer read the response to the attorney's letter.
Schaffer's attorney said the letter was returned with an unsigned, handwritten message on the back, declining the reimbursement — and ending with the remark, "Kindly wipe your a** with this letter next time you need toilet paper!"
The Ambassador Hotel initially denied that the handwritten response with the "toilet paper" remark came from them, releasing a statement reading in part:
"It has come to our attention that a document circulating online is being falsely attributed to The Chicago Hotel Collection. We wish to state unequivocally that this document is not an authentic communication from our organization and is fraudulent in nature.
"The individual who shared this document did not book directly with The Chicago Hotel Collection, and therefore, we have no record or authentication of any such correspondence. This is not representative of our business operations or standards. The reservation in question was made through a third-party booking platform with which we have no contractual relationship, meaning we are not privy to any reservation details nor do we have any control over how such unaffiliated platforms display pricing or fees."
But when told the letter was mailed to their address and returned with a Chicago area postmark, they acknowledged it could have been returned by an unauthorized party:
"Yes, if the letter is authentic, it was clearly intercepted and returned by an unauthorized party.
"Regarding the refund request, the reservation was not made directly with our hotel. As such, we are unable to process a cancellation or issue a refund, since payment was made to a third-party platform with whom we do not have a contractual relationship. However, if the guest contacts the third-party site and requests a cancellation, I would be happy to authorize a full refund upon receiving a formal request from that provider."
Meanwhile, CBS News Travel Editor Peter Greenberg said that third party, TicketsatWork, is acting as an online travel agent, or OTA — or even a broker — and the lawyer's letter likely should have been directed at TicketsatWork.
"I have no problem with any third-party website, but I do the old Gorbachev-Reagan routine," said CBS News Travel Editor Peter Greenberg, "I trust, but verify."
When CBS News Chicago tried to contact TicketsatWork, the email address provided by customer service bounced back. A request for information was still unanswered 24 hours later.
"So bottom line here is the hotel has got some explaining to do, the OTA has some explaining to do, and these people should not be out a dime," said Greenberg.
Greenberg said there are laws that protect credit card purchases if a customer doesn't receive a service or if there are hidden fees. He also said this case could be eligible for small claims court.
The Ambassador's staff said they are willing to work on a refund if contacted by TicketsatWork.
As for the customer, he said they have been on the phone and exchanging emails Tuesday, and he is hopeful they are making progress.
