Rep Margaret Croke introduces Restaurant Reservation Anti-Piracy Act in Illinois

On February 3, 2025, Illinois Representative Margaret Croke introduced House Bill 2456, known as the Restaurant Reservation Anti-Piracy Act, aimed at regulating third-party restaurant reservation services. The bill seeks to protect food service establishments from unauthorized listings and sales of their reservations by requiring a written agreement between these establishments and third-party services.

The key provisions of HB2456 stipulate that third-party reservation services cannot list, advertise, or sell reservations for a restaurant without explicit consent through a written agreement. Furthermore, any agreement that includes certain indemnifications would be deemed void and unenforceable. The bill also establishes civil penalties of up to $1,000 for each violation and grants a private right of action to affected establishments.

The introduction of this bill comes amid growing concerns from restaurant owners about the practices of third-party reservation platforms, which they argue often operate without their consent, leading to potential revenue loss and brand misrepresentation. The bill has sparked discussions among stakeholders in the restaurant industry, with proponents arguing it will empower local businesses and ensure fair practices, while opponents may raise concerns about the implications for consumer access and the operational flexibility of reservation services.

As the legislative process unfolds, experts suggest that the bill could have significant economic implications for both restaurants and third-party services. If passed, it may reshape the landscape of restaurant reservations in Illinois, potentially leading to a reevaluation of business models within the industry. The bill's future will depend on ongoing debates and potential amendments as it moves through the legislative process.