SEATTLE — Thousands of Washingtonians who unknowingly paid a hidden fee on food and drinks at Climate Pledge Arena will soon receive refunds, plus an additional $10, following an investigation by Attorney General Bob Ferguson. The arena will pay a total of $477,917 in penalties and refunds after it was revealed they charged a 3% fee on purchases without properly informing customers.
The hidden fee was added to food and beverage transactions between February 27 and July 22, 2023, during 37 events at the arena. In total, the arena collected $162,917.16 through approximately 183,000 transactions. The fee was not disclosed at kiosks or in digital payment processes, and customers were only made aware of it if they requested a receipt. This lack of transparency was a clear violation of Washington’s Consumer Protection Act, which mandates that businesses fully disclose all fees before a transaction takes place.
The investigation, launched by the Attorney General’s Office after a KIRO news report exposed the practice, resulted in a court-ordered settlement. Under the terms of the agreement, Climate Pledge Arena must issue full refunds to all affected customers and pay an additional $10 to anyone who files a claim. Additionally, the arena must cover $315,000 in legal costs, which includes funds for future enforcement actions and possible additional payments to claimants if the $162,917.16 collected through the fees proves insufficient to cover all claims.
“Washington law is simple: If you charge a fee, you must clearly disclose that fee before someone pays it,” Ferguson said in a statement. “Climate Pledge was not doing that. Now they are paying the price. If you believe a company is charging hidden fees in Washington, contact my office.”
The arena has since stopped charging the 3% fee, and the Attorney General’s Office has confirmed that the practice is no longer in place. Moving forward, the court order ensures that Climate Pledge Arena must clearly disclose any fees it charges to customers. Should the arena fail to do so in the future, the Attorney General’s Office retains the right to take further legal action.
The case was managed by Assistant Attorney General Dan Davies and is part of Ferguson’s larger Honest Fees Initiative, which seeks to hold companies accountable for hidden fees and deceptive pricing practices. The initiative has already led to more than $9.6 million in settlements from companies found to be violating Washington’s transparency laws. Ferguson urged Washington residents to remain vigilant about hidden fees and to report any suspicious charges to his office.
Customers affected by the Climate Pledge Arena fees can participate in the claims process, pending court approval, to receive their full refund and additional $10 compensation.
In light of the investigation, Ferguson’s office also offered guidance for consumers on how to spot hidden fees. He advised Washingtonians to carefully review their bills for any unexpected charges and compare the final amount with the advertised price. If fees were added without disclosure, consumers are encouraged to report the issue to the Attorney General’s Office.