Motel 6 must pay to $7.6 million to Hispanic guests to settle a proposed class-action lawsuit. The lawsuit claims that the company violated the guests privacy by repeatedly providing guest lists to U.S. Immigration and Customs Enforcement (ICE) agents.
In a Nov. 2 filing with the federal court in Phoenix, terms of the preliminary settlement were disclosed stating that there are eight Hispanic plaintiffs, seven of which are from Arizona, one from the state of Washington. Motel 6 did not admit liability, and denied engaging in unlawful conduct.
Motel 6 has agreed to a two-year consent decree, barring it from sharing guest data with immigration authorities absent subpoenas, warrants, or threats of serious crime.
The Mexican American Legal Defense and Educational Fund (MALDEF) filed the lawsuit after the Phoenix New Times reported that ICE agents used guest lists to target people by national origin to arrest 20 people over the course of six months at Arizona Motel 6s.
Up to $5.6 million will go to Motel 6 guests whose personal information was shared and who faced immigration removal proceedings. They are eligible to receive at least $7,500 each.
Another $1 million will be used for guests who were questioned or interrogated by immigration authorities, with each guest receiving $1,000.
The remaining $1 million will go to guests whose information was turned over to immigration authorities from Feb. 1, 2017 to Nov. 2, 2018. They will receive $50 each.
Motel 6 is also responsible to pay up to $1.3 million for the plaintiffs’ legal fees and administrative expensesa. Motel 6 had no immediate comment on Tuesday.
In September, Motel 6’s management company, G6 Hospitality, has ordered there 1,400 U.S. and Canadian locations to stop voluntarily giving guest lists to ICE agents.