Global Hospitality & Leisure Newsletter February 2017

Brexit. Trump. Disruptors. Cybersecurity. Terrorism. Merger Mania.

Brand consolidation. Brand confusion….any other Brexcuses to spoil the mood of the Hotel industry?

At least the Hotel sector contributes to the well being of so many around the globe with affordable luxury, comfort, retreats, a time and place to escape and chillax.

Meanwhile, a word or two from your lawyers to chill you with warnings and encouragements? Welcome to Mayer Brown’s Hospitality and Leisure Spring Newsletter!

• GDPR – another acronym to learn. Charles-Albert Helleputte and Oliver Yaros from our Brussels and London offices help to explain the implications of the new General Data Protection Regulation (GDPR) which will come into force on 25 May 2018. Given its extraterritorial reach there are significant implications for the hotel industry.
• A regulatory response to Disruptors – Andrew Armfelt from our Paris office notes how regulatory responses are seeking to tame the impact of Airbnb type operations. How can this be “fairbnb”? Many jurisdictions are responding with different regulatory approaches. Andrew will identify some of these. Meanwhile, some hotel chains are responding by simply becoming core investors in the disruptors.
• Regulating the Mainland Chinese investor – Daring, ambitious and some might say aggressive acquisitions by foreign investors have helped to fuel price increases…blessing many a vendor. Governments respond by raising “national security flags”, taxes or prohibitions on such foreign acquirers. Meanwhile, the Government of China has other policy objectives and considerations to address which have recently led to regulatory changes imposed on certain Mainland investors seeking to acquire significant investments overseas. Andy Yeo from our Shanghai office will update you on the latest regulatory hurdles recently imposed. A temporary slowdown in this investment sector is therefore expected to follow as the “strong slowdown signal” has been given.

A complex regulatory environment. Hopefully, we can make it easier to navigate.