Big Sky Resort parent company to pay nearly $25 million in settlement
Boyne USA, the parent company of Big Sky Resort, has agreed to pay nearly $25 million to settle a class-action lawsuit brought by condominium owners at three Big Sky properties.
The lawsuit challenged Boyne’s mandatory rental management program and the requirement that condo rentals be exclusively managed through the company, according to court documents.
Chief U.S. District Judge Brian Morris approved the preliminary settlement agreement on Feb. 27, shortly before the case was scheduled for trial. The agreement requires final approval at a June hearing.
The plaintiffs and class members include approximately 377 current and former owners of condo units in the Shoshone Condominium Hotel, the Summit Hotel and the Village Center Condominium who participated in Boyne’s rental management program.
Under the settlement, Boyne must pay $18.79 million by April 1 to establish a settlement fund for plaintiffs and class members. The company will also pay $6.2 million to the three homeowners associations in two equal installments due in April 2026 and April 2027.
“We are very pleased with the proposed agreement,” said Ben Alke, a Bozeman lawyer representing the plaintiffs.
The original complaint alleged that Boyne’s mandatory management program violated state and federal laws, and that the company’s 50% fee was “far above the typical management rate for properties at similar resorts.” The lawsuit also cited concerns about maintenance fees, revenue reporting and required complimentary stays for Boyne business partners.
The settlement removes the stipulation that Boyne must be the exclusive rental management company, stating that “exclusivity is unenforceable as written under Montana law as construed by the court.”
Some class members could receive “tens of thousands of dollars” in settlements, according to Alke. Payments will be calculated based on a court-approved formula proportional to past transactions with Boyne.
Named plaintiffs in the lawsuit may request up to $10,000 in service fees for representing class members.
Stacie Harris, a Boyne spokesperson, told Montana Free Press the proposed resolution “reflects our shared commitment to maintaining Big Sky Resort’s exceptional guest experience and standards.”
The settlement emphasized that Boyne does not admit to the allegations in the lawsuit. The company agreed to the settlement “to avoid the further expense, inconvenience, and distraction of burdensome and protracted litigation,” according to the agreement.
Any objections to the settlement must be filed before May 2. A hearing to consider objections will be held at the Butte courthouse on June 12, after which a judge will finalize the agreement and payments will be distributed.