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Consumer Rights.

Dáil Éireann Debate, Tuesday - 15 June 2004

Tuesday, 15 June 2004

Questions (76)

Gay Mitchell

Question:

126 Mr. G. Mitchell asked the Tánaiste and Minister for Enterprise, Trade and Employment if she will examine the case of a person (details supplied) in Dublin 24; if this person’s rights can be vindicated here; and if she will make a statement on the matter. [17394/04]

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Written answers

My Department has been in contact with both the Office of the Director of Consumer Affairs, which is the independent statutory office responsible for providing advice and information to consumers and enforcing a wide range of consumer protection laws, and the European Consumer Centre, Dublin, ECC, which is an independent company providing free information and advice on consumer rights in the EU and co-funded by the European Commission and the Office of the Director of Consumer Affairs, on this matter and both bodies had corresponded with the person concerned.

The ODCA has responsibility for enforcing the Package Holiday and Travel Trade Act 1995. However, the Act governs travel agents-organisers who sell package travel within Ireland and who have an office within the State. I am informed by the ODCA that the company concerned has no registered office in Ireland and that all its business is conducted in and from the UK. The ODCA further advises that the possibility of reviewing this contract under the Unfair Terms in Consumer Contracts Regulations 1995 is also thwarted by the location of the relevant company's offices. Under the circumstances, the ODCA has indicated that there is little it can do about complaints like these other than to advise consumers to purchase their holidays from tour operators who are licensed and bonded in this country by the Commission for Aviation Regulation. In fact, this advice is number one on the ODCA's top tips for an enjoyable holiday which can be found on that office's website at www.ocdca.ie.

The European Consumer Centre, ECC, Dublin has advised that it has dealt with 70 cases, and many more information requests, to date regarding complaints against the company concerned in the context of its work in assisting consumers with cross-border disputes. The ECC has been in constant contact with the company to achieve an amicable solution for Irish consumers and has been informed by its managing director that his company was withdrawing from the Irish market and that refunds would be issued to Irish complainants. The ECC is not aware of consumers having received refunds at this stage. The ECC has kept the ODCA and the UK Office of Fair Trading informed of its concerns and developments at all times.

The ECC advises that if an amicable solution is not achieved, the consumer's rights cannot be vindicated in the small claims court in Ireland as the company is based in the UK. Under the terms of the Rome Convention, the consumer can sue the company from Ireland but the practical reality is that this would mean incurring costs far in excess of the amount lost. On an individual basis, the consumer could take a case to the small claims court in the UK, but this would involve the expense of travel and accommodation to attend that court.

The possibility of the ODCA taking action under the EU injunctions directive, 98/27/EC, to protect consumer interests in relation to future activities by holiday promotion firms has also been raised by the ECC and I have requested the ODCA to explore this further.

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