1. 21/07/2018
HOTEL PROPRIETORS ACT,
1956

2. 21/07/2018
OVERVIEW
The Act replaced the Innkeepers Liability Act 1863 and later amended to be called the Hotels Proprietors Act The Act of 1963 did not repeal or replace the 1956 Act.
The Act Applies to:
Sleeping Accommodation e.g. Hotels offering food, drink whether or not under special contract.
Guests who have engaged the sleeping accommodation and their belongings
Motor Vehicles received or parked on or within the premises of the accommodation

3. The Proprietors Duty
The proprietor of a hotel is under a duty to receive at the hotel as guests all persons who, whether or not under special contract, present themselves and require sleeping accommodation, food or drink and to provide them therewith, unless he has reasonable grounds of refusal.
Subject to the terms of any special contract, the proprietor is under a duty to provide such accommodation, food or drink at the charges for the time being current at the hotel.
Where a person is received as a guest at a hotel, whether or not under special contract, the proprietor of the hotel is under a duty to take reasonable care of the guest and to ensure that, for the purpose of personal use by the guest, the premises are as safe as reasonable care and skill can make them.
Where sleeping accommodation is engaged for a person as a guest at a hotel, whether or not under special contract, the proprietor is under a duty to receive any property brought to the hotel by or on behalf of that person for which the proprietor has suitable accommodation.

4. The Proprietors non-Liability
The proprietor is not liable to any traveller or any loss or damage to the property of such a traveller unless at the time of the loss or damage the sleeping accommodation at the hotel had been engaged for the traveller.
The proprietor is exempt from liability under this section to the extent that the damage, loss or destruction is due to an unforeseeable and irresistible act of nature or an act of war or is due to the negligence of the guest himself or to any person accompanying him or visiting him.

5. The Proprietors Liability
The loss or damage must occur during the period commencing with the midnight immediately preceding and ending with the midnight immediately following, a period for which the traveller was a guest at the hotel.
The Property of the guest must be received by the Proprietor or some other person on his behalf (staff)
The Property must be damaged, loss or destroyed
The damage, loss or destruction must occur during the time for which the sleeping accommodation is engaged or during a reasonable period before or after that time
Extends to any property of the guest of which the Proprietor takes charge, whether at the hotel or outside it, during that time or period.

6. Limitation of Liability
Sub-section 1
The liability is limited to £50.00 for any one article and a total of £ in the case of any one guest.
Under the London Local Authorities Act 2004, the limit is set at £ for any
one article and £ in the case of any one guest in the London Metropolitan
Area.
Except where
The property was damaged, lost, stolen or destroyed through the wrongful act, default or omission of the proprietor or his staff, or
The property was deposited by or on behalf of the guest expressly for safe custody with the proprietor or his staff in a container fastened or sealed by the depositor , or
The property was offered for deposit as aforesaid and the proprietor or his staff refused to accept it, or
The guest or some person acting on his behalf wished so to offer the property for deposit but, through the default of the proprietor or his staff was unable to do so

7. Point to Note
The limitation of liability under sub-section 1 from the previous slide does not apply to motor vehicles or any property left in them, or horses or other live animals, although the proprietor has a duty of reasonable care for them.
The proprietor is not entitled to the protection of sub-section 1 from the previous slide unless, at the time when the property was brought to the hotel, a copy of the notice set out in the First Schedule printed in plain type was conspicuously displayed in a place where it can be conveniently be read by his guest at or near the reception office or desk or where there is not a reception office or desk, at or near the main entrance to the hotel.
The wording of the notice must be as below

8. SCHEDULE NOTICE Loss of or Damage to Guests’ Property
Under the Hotel Proprietors Act 1956, a hotel proprietor may in certain circumstances be liable to make good any loss of or damage to a guest’s property even though it was not due to any fault of the proprietor or staff of the hotel.
This liability however—
(a)extends only to the property of guests who have engaged sleeping accommodation at the hotel;
(b)is limited to £750 for any one article and a total of £1500 in the case of any one guest, except in the case of property which has been deposited, or offered for deposit, for safe custody;
(c)does not cover motor-cars or other vehicles of any kind or any property left in them, or horses or other live animals.
This notice does not constitute an admission either that the Act applies to this hotel or that liability thereunder attaches to the proprietor of this hotel in any particular case.

9. Lien on and right to sell property (Right of Lien)
21/07/2018
Lien on and right to sell property (Right of Lien)
Section 8 of the Hotel Proprietors Act 1963 states that:
The proprietor of a hotel has a lien upon property, to whomsoever belonging, brought to the hotel by or on behalf of any guest for any debt due by the guest for sleeping accommodation, food or drink supplied by the proprietor at the hotel.
The lien extends to property which does not belong to the guest only if the proprietor was unaware of that fact when he received the property at the hotel.
The proprietor may sell by public auction any property to which his lien extends if, after six weeks, the debt remains unsatisfied.
The proprietor shall pay to the person by or on behalf of whom the property was brought to the hotel the surplus of the proceeds of sale remaining after deducting the amount of the debt together with the costs and expenses of sale.

10. Prohibition, Jurisdiction of District Court and Restriction
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Prohibition, Jurisdiction of District Court  and Restriction
The Proprietor is prohibited from contracting out any notice or agreement which purports to exclude or limit any liability under this Act and shall to that extent be void.
The District Court shall have jurisdiction to hear and determine claims for damages under this Act where the amount claimed does not exceed £100.
For the avoidance of doubt it is hereby declared that the Accidental Fires Act, 1943 , does not apply in relation to any claim for damages under this Act.
Where there is a breach of a duty imposed by this Act the proprietor of the hotel shall, without prejudice to his civil liability, be guilty of an offence and shall be liable on summary conviction to a fine not exceeding £100.

11. Avoiding Liability
Ensuring that the statutory notice is prominently displayed. Non compliance could amount to liability of the full cost of the guests property.
Ensuring that guest assume responsibility of securing their own property i.e. Room Safes
Ensuring limited access to master cards to guest rooms.
Ensuring that all locks on guest doors are regularly checked
Reviewing staff training to stop unauthorised guests entering rooms that are open for cleaning
Reviewing procedures for logging and storing items left behind by guests
Ensuring there is adequate numbers of CCTV and Security Personnel are on site

12. Key Notes
The Act applies to a guest who has a room in the hotel and checked-in. It does not apply to a non-registered guest who loses his phone in the hotel lobby
The proprietor is under a duty to receive any property brought to the hotel by the guest or on his behalf
The limit of liability is set at £ for any one article and £ in the case of any one guest in the London Metropolitan Area.
The limit of liability is not applicable where the lost occurred while the property was deposited by or on behalf of the guest expressly for safe custody
The limit of liability does not apply to motor vehicles or any property left in them, or horses or other live animals, although the proprietor has a duty of reasonable care for them.
The Schedule Notice must be conspicuously displayed at all times
The proprietor has the right to sell by public auction any property to which his lien extends if, after six weeks, the guest’s debt remains unsatisfied
Ensuring that guest assume responsibility of securing their own property, limiting access to master cards to guest rooms and ensuring adequate numbers of CCTV and Security Personnel are on site are ways to limit liability.

13. QUIZ Which areas does the Hotel Proprietors Act apply to?
Answer: The Act applies to hotels, guests who have engaged a room in the hotel and their belongings, Motor Vehicles received or parked on or within the premises of the hotel
The proprietor can choose whom to sell a room to. True/False
Answer: False. The proprietor can always say he is fully occupied. However, the proprietor is under a duty to receive at the hotel as guests all persons who, whether or not under special contract, present themselves and require sleeping accommodation, food or drink and to provide them therewith, unless he has reasonable grounds of refusal.
Mention any of the proprietors liabilities?
Answer: The Proprietors liability includes the loss or damage or destruction of guest property. Any property of the guest of which the Proprietor takes charge, whether at the hotel or outside it, during the time when the hotel was engaged by the guest.

14. Continue
A guest reported a missing gold watch in his room. How much is the limit on the liability for the hotel? And how much is the liability if the hotel failed to display the schedule notice at the time the guest arrived at the hotel?
Answer: The proprietor can always challenge claims made by guests for loss or damage to property in their room by proving negligence on the part of the guest especially when room safes are provided. However, the limit on liability on the gold watch is £ provided the scheduled notice was conspicuously displayed at the time the guest checked-in. Where the notice was not displayed, the liability will be the full cost of the gold watch.
Mention any one way the hotel can avoid liability?
Answer: The hotel can avoid liability by:
Ensuring that the statutory notice is prominently displayed. Non compliance could amount to liability of the full cost of the guests property.
Ensuring that guest assume responsibility of securing their own property i.e. Room Safes
Ensuring limited access to master cards to guest rooms.
Ensuring that all locks on guest doors are regularly checked
Reviewing staff training to stop unauthorised guests entering rooms that are open for cleaning
Reviewing procedures for logging and storing items left behind by guests
Ensuring there is adequate numbers of CCTV and Security Personnel are on site

15. Continue
A guest brought to the hotel royal salmon to be stored in the hotel’s fridge during his stay. Room service refused as the fridge had no room. The salmon went bad. How much is the liability on the hotel?
Answer: The proprietor is under a duty to receive any property brought to the hotel by or on behalf of that person for which the proprietor has suitable accommodation. Where the property was offered for deposit or storage and the proprietor or his staff refused to accept it and the property was damaged, lost or destroyed, the proprietor will be liable for the full cost of the item.
Under what circumstance can the hotel sell a property belonging to the guest’s friend and what is the process?
Answer: Where the guest has a debt due for sleeping accommodation, food or drink supplied by the proprietor at the hotel ,the proprietor has a right of lien and may sell by public auction any property to which his lien extends i.e. property which does not belong to the guest only if the proprietor was unaware of that fact when he received the property at the hotel if, after six weeks, the debt remains unsatisfied . The proprietor shall pay to the person by or on behalf of whom the property was brought to the hotel the surplus of the proceeds of sale remaining after deducting the amount of the debt together with the costs and expenses of sale.