Dáil Éireann Debate, Friday - 16 September 2016
1737. Deputy John Brady asked the Minister for Transport, Tourism and Sport the actions he intends to take to protect consumers from losing their money if a travel agents goes out of business such is the case with a company (details supplied); and if he will make a statement on the matter. [24462/16]
View answerThe Commission for Aviation Regulation was established under the Aviation Regulation Act 2001 to regulate certain aspects of the aviation and travel trade sectors in Ireland, and its functions include the licensing of tour operators and travel agents. Those functions include the receipt and disbursement of claims from customers affected by the closure of travel agents such as in the case of the company referred to by the Deputy.
Section 13 of the Transport (Tour Operators and Travel Agents) Act 1982 sets out the requirement for travel agents and tour operators, prior to the granting of their license, to provide a bond, a sum of money, which will provide the funds in the event of the closure of their business to:
a) Repatriate customers who are abroad at the time of the closure
b) Reimburse customers for reasonable expenses necessarily incurred while abroad arising from the failure of the travel agent to fulfil their contractual obligations and
c) Refund customers, as far as possible, of any payments made to the travel agent in respect of an overseas travel contract that could not be completed.
Section 15 of the Transport (Tour Operators and Travel Agents) Act 1982 established the fund known as The Travellers’ Protection Fund. Disbursements are made from the Fund, once all moneys payable under the bond are distributed, in the event that the value of the bond is insufficient to cover the cost of the claims arising.
In the case of customers affected by the closure of the company referred to by the Deputy, the Commission for Aviation Regulation has made information and claim forms available on its website to allow those customers claim refunds and reimbursements.
To be eligible to claim against the bond held by the Commission for Aviation Regulation, the services purchased must include an overseas travel element and the travel must have commenced in Ireland. The bond is not available for refund of accommodation only, or packages that do not include travel commencing in the state.
