You are on their property. If you refuse, you’ll be forced to leave. Does that make what they did ethical, no, but it’s 100% within their legal rights. Same goes if I was a guest at your house, even if I was paying to stay there.
(I was stating my opinion, you are the one claiming I am factually wrong and not providing any proof, further a quick google search proves I was correct in my statement too based on reputable legal sites)
The original article was concerning Nevada I believe. Here is a link for Nevada. http://www.loving.lawyer/blog/2016/8/23/think-twice-before-k...
Again. This varies quite a bit by state.
Again, shady as hell ethically what they did and how they did it, but still very legal.