As it says in the Habbo History, word filtering could be switched off...

[dannyboymed]

roomatic_hway=Hotel guests are expected to follow the Habbo Way even if word filtering is switched off.

That's in the Habbo External Texts, there was a point when you could turn the filter off when making a room.

[Jamie]

Disabled it since people swore x]

[dannyboymed]

Seems a bit easy to figure :)