Travel Law: Cancellation and Service Changes

Issues with Cancellation and Service Changes

Cancellation of the Trip by the Client

Responsibility: the client.

In all cases, if the client has insurance and the reasons for cancellation are covered by it, they may expect a more or less substantial refund depending on the circumstances. However, without insurance, any amounts already paid are lost, along with any penalties as defined in the sales contract, particularly if cancellation occurs fewer than 30 days before departure.

Cancellation Due to "Risky Destination" by the Client

Responsibility: the client or the agency.

This is the scenario where the chosen destination becomes newsworthy due to unrest or more or less evident risks, leading the client to wish to cancel or postpone their trip.

In practice, if the client has insurance covering this reason, they may expect a refund. Otherwise, everything depends on the notion of "risk"; specifically, whether the country or region is officially advised against by the Ministry of Foreign Affairs. If this is not the case—and without insurance—the client is theoretically entitled to nothing.

Transfer of the Trip to a Third Party by the Client

Responsibility: the client or the agency.

Under Article R.211-7 of the Tourism Code, the buyer may now transfer their (travel) contract to someone who meets the same conditions as they do. The agency must be informed at least 7 days before departure (15 days for a cruise) by registered letter with acknowledgment of receipt. That said, the original client remains jointly liable to the seller.

Cancellation of the Trip or Significant Prior Modification by the Tour Operator

Responsibility: the agency.

In all cases, the client may request a full refund without fees (and even with a penalty for the seller in the event of total cancellation fewer than 21 days before departure, except in cases of force majeure), a discount corresponding to the modifications, and may even claim certain damages.

Generally, after purchase, the client is under no obligation to accept any modifications the seller may make to their initial offer.

Shortened Tour or Stay Due to an Air Travel Issue

Responsibility: the agency except in cases of force majeure.

The seller is always responsible for the smooth running of the trip as stipulated in the contract, including if the failure lies with an intermediary such as a carrier (to whom they may seek recourse), except in cases of force majeure as defined by the Montreal Convention.

This constitutes a failure to respect the services promised by the organizer, with the obligation for the latter to compensate or refund the client as necessary.

Failure to Deliver Promised Services On-Site

Responsibility: the agency except in cases of force majeure.

The tour operator who sells a package or set of services is responsible to their client for the proper execution of these services as defined in the contract binding the two parties at the time of purchase. Generally, these services may be provided by the professional who sold the package or by one of their subcontractors.

Thus, the seller is always legally responsible for the proper execution of the planned program, except in cases of force majeure (natural disaster, war, or even strikes or unforeseeable closures during visits or excursions) or proven fault of the client. In the event of failure to meet their obligations, the agency may therefore be required to fully or partially refund the affected client.

Price Revision by the Tour Operator Before Departure

Responsibility: the client or the agency.

In fact, it always depends on what is mentioned in the sales conditions and the contract between the two parties. Generally, the seller always includes a price revision clause based on transport costs, taxes, and exchange rates applicable to the trip in question.

In practice, the seller must inform the client at least 30 days before departure, giving them the option to cancel the contract and receive a refund without penalties or to accept the modification. If the increase is "significant" (generally more than 5%), the rule also applies even after the 30-day period.

Additional Costs Requested On-Site for a Service Originally Included

Responsibility: the agency.

As with the delivery of promised services, the agency is contractually responsible, once the trip has begun, for the costs of these same services paid by the client. Therefore, they cannot in any case request supplements or additional charges (e.g., for accommodation), unless this possibility was clearly mentioned in the contract binding the two parties (e.g., a "chargeable entry fee for a visit").

Bankruptcy of the Tour Operator

Responsibility: the tour operator.

Financial guarantees exist (theoretically) for agencies and tour operators. These are in place, among other things, to cover refunds or ensure the repatriation of clients if bankruptcy occurs during their stay. Additionally, passengers are in principle also protected against the bankruptcy of airlines thanks to a new special fund created by IATA (the airlines) and ECTAA (the European Association of Travel Agents).