1.7. 2020, iDNES.cz, Pavla Freiwaldová (Vojtěch Steininger)
When we book a trip with a tour operator, we expect them to take care of everything so that we don’t have to worry about a thing. Yet, as the story of a reader of iDNES.cz shows, a seemingly simple booking can quickly turn into a major and costly problem. Lawyer Vojtěch Steininger answers the most common questions on the subject of holidays.
Visiting the Maldives was Mrs. Milena’s lifelong dream. To ensure everything ran smoothly and she had as little to worry about as possible, she opted for a package holiday with a tour operator. The booking was made online via the provider’s web form, and shortly afterwards she received the standard contract by email. The Maldives, one week in April 2020, total amount CZK 95,850. She agreed and confirmed the contract.
The contract listed the tour operator as the organiser of the trip, but to complicate matters, it also acted as the travel agency. The contract also included the following note: “The customer agrees to the terms and conditions of the We pay the deposit product in accordance with the travel agency’s terms and conditions.”
However, Mrs. Milena did not notice this seemingly innocuous note in the small print. She was very much looking forward to the holiday, but when the Covid-19 pandemic spread and travelling abroad was no longer possible, she terminated the contract in sufficient time.
The travel agency, however, demanded payment of CZK 23,959 from her. This amount had allegedly been paid by the tour operator as a deposit for her trip, and the withdrawal from the contract only concerned the relationship with the tour operator. The agency therefore allegedly did not need to concern itself with the matter.
In Mrs. Milena’s case, the question arises: is the travel agency’s approach lawful?
Some tour operators, albeit somewhat paradoxically, also act as a travel agency – that is, a travel intermediary – in the travel contract. As in Mrs. Milena’s case, the agency allegedly pays the deposit for the trip to the tour operator so that the customer can pay later. At first glance, this appears to be an advantageous solution for customers, but only until the customer withdraws from the contract. The agency acts as if the cancellation is irrelevant to them and demands payment of the deposit, without having to prove that it was actually passed on to the tour operator. Mrs, Milena is a consumer and is protected by law against such practices. If the agency has actually made the payment to the tour operator, it can reclaim the amount from the operator, but not from Ms Milena.
What should you look out for when signing a travel contract?
It is important to read the contract carefully and examine the terms and conditions thoroughly, as they may contain provisions that are disadvantageous to the customer, some of which may border on illegality or even cross that line.
Upon conclusion of the contract, you will receive a so-called travel confirmation. Its mandatory components are prescribed by law. Among the most important are details of the trip, such as the location, dates and type of accommodation, transport, meals and excursions, as well as information about the tour operator and the price of the trip. It must also include information on the possibility of withdrawing from the contract in return for payment of reasonable compensation. Information on how to make a claim for travel defects, as well as details on the handling of complaints or alternative dispute resolution procedures, is also required.
The tour operator should also provide proof of insolvency insurance. Among other things, this ensures that you can return home safely from abroad in the event of the tour operator’s insolvency.
If a travel price is specified in the contract, can the tour operator increase it?
In principle, the tour operator may only increase the tour price if this has been expressly agreed between the parties and the legal requirements are met. Typically, this involves price increases due to fuel costs, rising accommodation taxes or other local charges, or changes in the exchange rate of the krona. The tour operator must send notification of the price increase no later than 21 days before the start of the trip. If this is done later, the price increase is legally invalid.
What about complaints? Suppose you have booked a hotel room with a sea view, but on arrival you find that you only have a view of the courtyard. Is this a travel defect and how do you lodge a complaint?
The customer may complain to the tour operator about any travel defect that deviates from the contractually agreed services. If the contract expressly states that you will be accommodated in a hotel room with a sea view, but you only have a view of a car park, you may complain about this deviation to the tour operator.
You must notify the tour operator of the travel defect immediately upon becoming aware of it. If the defect is not rectified, for example by providing a room with a sea view, you can demand a price reduction for the trip. If the defect is significant, you also have the right to withdraw from the contract without incurring any compensation.
Many people are currently cancelling their trips due to the Covid-19 pandemic. Can the tour operator charge cancellation fees in this case?
The consumer may withdraw from the travel contract at any time before the start of the trip. If the destination is affected by the Covid-19 pandemic, the tour operator must refund all payments made.
The contract may stipulate compensation if you withdraw from the contract, for example for personal reasons. The amount must be reasonable. It is recommended that you always ask the tour operator for a justification for the amount of compensation.
A new law known as the ‘Lex Voucher’ has recently come into force, designed to mitigate the impact of the pandemic on the tourism sector. It applies to trips that were due to take place between the 20th of February 2020 and the 31st of August 2020. The tour operator may invoke a so-called grace period for these trips and defer the refund of payments made by the customer due to withdrawal from the contract if the reason is an unavoidable and exceptional situation at the destination or if the tour operator cancels the trip for the same reason.
How must a voucher be structured to meet the requirements of the ‘lex Voucher’?
The mandatory elements of the voucher are prescribed by law. In particular, it must be issued for a monetary amount corresponding to at least the total of all payments made. The voucher is valid until the 31st August 2021.
Tour operators sometimes issue their own vouchers for customers that offer special benefits, such as a longer validity period or a higher value. In such a case, this may constitute a settlement of the original obligation, whereby the customer essentially enters into a new contract with the tour operator.
Can I refuse the voucher?
Those who may refuse a voucher include, for example, a jobseeker registered with the Job centre, a pregnant woman, a person on maternity or parental leave, a single parent, people over 65, people with a severe disability certificate, or an employee whose salary is partly funded by the government’s pandemic-related special payment under the Antivirus programme.
I have a replacement voucher and will essentially be rebooking the holiday. Do I need to sign a new travel contract for this?
Yes. During the protection period, contact the tour operator and inform them that you are interested in a replacement trip. The tour operator then has 30 days to offer you a comparable trip. If such a trip cannot be provided and you refuse another trip at a higher price, the tour operator must refund your money.
What happens if I don’t want to use the voucher for the next season?
In this case, the tour operator must refund your money by September 14th 2021 at the latest.
I have a voucher and would like to take my holiday next year, if possible, on the same dates, in the same place and at the same hotel. What happens if travel prices rise? Do I have to pay the difference?
The customer has the right to request a holiday of the same or higher quality from the tour operator for the following season. This means that the tour operator may not charge any additional fees if the same hotel in the same location is chosen for the same dates. However, an additional payment may be required if you refuse a different holiday of the same quality, for example if no rooms are available at your preferred accommodation.