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Saying a hotel was “filthy and bug-infested" is different from saying "I think it was filthy and bug-infested."
Note the very subtle difference?
I think the problem here is that social media instills a sort of "duty" to warn others of terrible services (or in this case, hotels). I believe that those bloggers were fully within their rights to say what they said. If the claims are false, then the hotel companies would easily be able to invite a few unbiased members of the public (or media) to check out hotel conditions, and get proof that the blogger was over-reacting.
The fact that they're going to court with this would seem to suggest otherwise, and whether or not they win the lawsuit, I reckon people are going to think twice when they hear their name. They're doing themselves more damage than a blog post ever could.
The web means that consumers can communicate opinions on poor products but just as likely, they can stimulate interest in a product with a positive review.
Nobody ever complains when they get a great review and enjoy hundreds of visitors and enquiries!