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CITY OF SAN ANTONIO, TEXAS v. HOTELS.COM, L.P.

No. 16-50479.

876 F.3d 717 (2017)

CITY OF SAN ANTONIO, TEXAS, On Behalf Of Itself And All Other Similarly Situated Texas Municipalities, Plaintiff-Appellee Cross-Appellant v. HOTELS.COM, L.P.; Hotwire, Incorporated; Trip Network, Incorporated, doing business as Cheaptickets.com; Expedia, Incorporated; Internetwork Publishing Corporation, doing business as Lodging.com; Orbitz, L.L.C.; Priceline.com, Incorporated; Site59.com, L.L.C.; Travelocity.com, L.P.; Travelweb, L.L.C.; Travelnow.com, Incorporated, Defendants-Appellants Cross-Appellees.

United States Court of Appeals, Fifth Circuit.

November 29, 2017.

Attorney(s) appearing for the Case

Steven D. Wolens , Gary Cruciani , Rosemary Tyson Snider , Senior Litigation Counsel, McKool Smith , P.C., Dallas, TX, Deborah Lynne Klein , City Attorney's Office for the City of San Antonio, San Antonio, TX, Thomas M. Sims , Baron & Budd, P.C., Dallas, TX, for Plaintiff-Appellee Cross-Appellant.

David E. Keltner, Esq. , Marianne Marsh Auld , Derek Montgomery , Brian Scott Stagner , Kelly, Hart & Hallman, L.L.P., Fort Worth, TX, Deborah Savarese Sloan , Jones Day, Dallas, TX, for Defendants-Appellants Cross-Appellees Hotels.com, L.P., Hotwire, Incorporated, Trip Network, Incorporated, Internetwork Publishing Corporation, Orbitz, L.L.C. and Travelnow.com.

David E. Keltner, Esq. , Marianne Marsh Auld , Derek Montgomery , Brian Scott Stagner , Kelly, Hart & Hallman, L.L.P., Fort Worth, TX, Stacy Rene Horth-Neubert , Skadden, Arps, Slate, Meagher & Flom, L.L.P., Los Angeles, CA, Jennifer J. McGahey , Anne Marie Seibel, Esq. , Bradley Arant Boult Cummings, L.L.P., Birmingham, AL, for Defendants-Appellants Cross-Appellee Priceline.com, Incorporated and Travelweb, L.L.C.

David E. Keltner, Esq. , Marianne Marsh Auld , Derek Montgomery , Brian Scott Stagner , Kelly, Hart & Hallman, L.L.P., Fort Worth, TX, for Defendants-Appellants Cross-Appellees Site59.com, L.L.C. and Travelocity.com, L.P.

Before BARKSDALE, DENNIS, and CLEMENT, Circuit Judges.

In this class action pursued by 173 Texas municipalities, primarily at issue is whether the service fee an online travel company (OTC) charges for facilitating a hotel reservation is included in the "cost of occupancy", and, therefore, subject to the municipalities' hotel occupancy tax ordinances. The district...

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