Johnson v. Priceline.com, Inc.

Johnson and Kelly (plaintiffs) used Priceline's (defendant) "Name Your Own Price" tool, bidding a price without choosing a specific hotel; Priceline would accept the bid only if it found a room cheaper than the bid in its inventory, then book the room, charge the customer the bid price, pay the hotel the lower price, and keep the difference, revealing the hotel's name only afterward. The plaintiffs sued, claiming Priceline's secret profit-keeping breached a fiduciary duty of disclosure owed as their agent; the trial court dismissed, finding no such duty, and the plaintiffs appealed.