Motel 6 is forking over $7.6 million to settle a class-action lawsuit claiming the hotel chain provided guest lists to U.S. Immigration and Customs Enforcement (ICE) agents.
The settlement terms, which were disclosed in a Friday filing in a Phoenix federal court, require Motel 6 to pay money to guests whose information had been shared with ICE agents. The agreement is awaiting approval from a federal judge.
The hotel chain reached a tentative settlement in July, but the details of the settlement had been kept under wraps until November 2.
The Mexican American Legal Defense and Educational Fund (MALDEF) filed a lawsuit after a Phoenix New Times report from September 2017 revealed that ICE agents arrested 20 people at various Motel 6 locations across the country over six months, and obtained information from hotel guest lists to go after people based on their national origin.
Up to $5.6 million of the money will go to Motel 6 guests who were flagged for deportation after the hotel shared their personal information with immigration authorities. Each guest affected is eligible for at least $7,500.
Another $1 million will go to guests who had been questioned by immigration authorities but had not been deported. These guests are eligible to receive $1,000 each.
The remaining $1 million of the settlement would go to guests whose personal information was shared with immigration authorities between February 1, 2017, and November 2, 2018, but did not face any further repercussions. Each of these guests would receive $50.
Motel 6 will also pay an additional $1.3 million on top of the settlement towards the plaintiffs’ legal and administrative fees.
The hotel chain also agreed not to share guest information with ICE unless guests have a warrant for their arrest, a court subpoena, or if they threaten to harm others or commit serious crimes. While Motel 6 admitted they were liable for sharing the information, the chain did not admit to unlawful activity.
“Motel 6 fully recognizes the seriousness of the situation and accepts full responsibility for both compensating those who were harmed and taking the necessary steps to ensure that we protect the privacy of our guests,” Motel 6 and MALDEF said in a joint statement.