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Circa faces class-action lawsuit over loyalty program

Updated December 1, 2023 - 3:20 pm

A class-action lawsuit filed against Circa Hospitality Group and subsidiaries accuses the downtown Las Vegas resort operator of failing to disclose fees and taxes required on comps offered through its loyalty program.

Several members of Circa’s “Club One” loyalty program claim in the lawsuit filed in Clark County District Court that they were assessed fictitious fees or taxes whenever they attempted to use complimentary points to purchase food and other offerings at three affiliated hotels — Circa, Golden Gate and D.

The lawsuit states the class action could involve more than 10,000 people, including those who visited the resorts and signed up for the Club One program.

Circa officials on Friday did not respond to requests for comment about the lawsuit, which estimates damages of $3.75 million for the four years the comp program has been in place.

Attorneys Robert Eglet, Robert Adams, Artemus Ham and Michael Kind filed the lawsuit on Monday on behalf of area residents David Chitwood, Robert Deken, Tracy Edgeston and Matthew Stokes and Texas resident Richard Throop. The lawsuit names Circa Hospitality Group, the Golden Gate, D and Circa resorts along with unnamed subsidiaries and resort employees.

Additionally, the lawsuit claims the “defendants routinely decreased the amount of comps that they promised to plaintiffs by deceptively applying false fees and charges.”

In one instance cited in the lawsuit, Stokes said on Aug. 21, he purchased a lunch meal at Saginaw’s Deli at Circa for $23.

“Mr. Stokes was surprised to see that, in addition to the $23, defendant’s point-of-sale system assessed an additional $1.93 of ‘add on tax’ that was deducted from his earned comps balance,” the lawsuit said, with a copy of the receipt duplicated on the court document.

The six-count lawsuit alleges breach of contract, breach of implied covenant, deceptive trade practices, conversion, negligence and misrepresentation.

The lawsuit seeks certification as a class action, an order requiring Circa to “cease any and all forms of unlawful conduct,” a declaration that Circa should not reduce consumers’ earned comps by fictitious fees and that “defendant engaged in deceptive trade practices,” as well as unspecified actual, consequential and punitive damages to be determined at trial.

A trial date has yet to be set.

Contact Richard N. Velotta at rvelotta@reviewjournal.com or 702-477-3893. Follow @RickVelotta on X.

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