To enter litigation/arbitration to exit the Bonvoy program altogether means they are either ignorant of (or find inadequate the ability to) utilize several program management tools available to them that could mitigate the financial impact of the reduced compensation they receive from Marriott for room nights occupied on points reservations.
For example (from the program terms re: No Blackout Date Policy): i. Participating Properties from the following Brands may cap the number of standard rooms available for redemption on a limited number of days: The Ritz-Carlton®, EDITION®, JW Marriott®, Marriott Hotels®, Delta Hotels®, Autograph Collection® Hotels, Renaissance® Hotels, Gaylord Hotels®, Courtyard®, SpringHill Suites®, Protea Hotels®, Fairfield by Marriott®, AC Hotels®, Moxy® Hotels, Residence Inn®, TownePlace Suites®.
- So, properties participating in the 'No Blackout Date Policy' have wiggle-room to limit when rooms can be reserved on points. Not sure how low the cap can be set at (1 points room per day?) and/or how many days of the year it can be imposed (364?) This ability to limit rooms for points reservations enables them to keep more rooms free for cash stays.
An even more restrictive step the J.W. Marriott Phuket could take would be to join other properties who already chose to 'opt-out' of the 'No Blackout Date Policy' altogether:
Seems to me they have taken the 'nuclear option' by trying to exit Bonvoy altogether. Is it still a Marriott if it gives no benefits? As a traveler, talk about getting the 'Big Bonvoy'... Ouch.