p17 pink jan16 14/1/09 13:42 Page 17
ttglive.com
city & finance news
Comment
Case for package clarity
The CAA’s lawsuit against
Travel Republic should finally
clear up the issue of DIY sales
A
fter months of pronouncements and member of the association, having no doubt
liability, says Chris Photi
much posturing, the CAA has finally reviewed its trading practices, sales docu-
issued proceedings against a travel mentation and terms and conditions. supplier failure such as that of XL.
company under its interpretation of There is a lot riding on the case too, Another reason is the high cost
what constitutes a package. The unfortunate given the demise of XL. A number of of obtaining and maintaining
recipient is the market leader in the online “dynamic packaging” agents have had an Atol. Other agents will cite
dynamic packaging sector, Travel Republic. their customers make XL reimburse- the legal exposure of public
The CAA has twice before jousted with Abta in ment claims to the CAA, which the and products liability.
the courts over what constitutes a package, with authority has finally said it will pay. Finally, there is the marked
Abta “winning” the original judicial review and But it is also seeking reimburse- reluctance to pay Toms VAT.
the subsequent appeal. What a waste of time ment from these agents, who would Many business models in this
that all was. It appears we are now no further themselves face legal action if they sector will not work if such
forward three years on. refuse to pay up. The CAA’s view is a substantial proportion of
I believe the CAA wishes to have the issue that these agents really sold a pack- margin is paid to Her Majesty’s
finally resolved in this case, so that if they lose age and should therefore assume Revenue & Customs.
they can return to government and obtain the responsibility as a principal. There are This landmark case will
change in law they say they have been promised many millions of pounds in claims. finally clear up one of the biggest
if that eventuality arises. So why are these agents so reluctant anomalies in travel law.
I speak daily with the great and good of the to assume principal status? Incredibly, you
legal fraternity and there are serious doubts that will hear differing reasons. ■ Chris Photi is senior partner
the CAA will win this case. After all, Abta has The first reason, of course, is to avoid at accountancy company
continued to allow Travel Republic to remain a consumer exposure in relation to a large White Hart Associates
THE ALTERNATIVE
The alternative
to increasingly
expensive bonds,
which have
The most inspiring wedding venues
better merchant
Cyprus • Greece • Gozo • Mauritius
acquirer rates and
Civil & religious weddings • Local churches • Chapels at luxurious hotels
Garden settings • Beach & Yacht weddings
a new solution for
Religious blessings • Renewal of vows • Same-sex blessings
cashfl ow headaches
Flexible travel arrangements • Wedding Only option
Great reception venues • Lovely finishing touches • Gift vouchers
PROFESSIONAL HELP TO SET UP AND RUN
Visit our website to download a copy of our WEDDING BROCHURE
YOUR INDEPENDENT TRAVEL BUSINESS
www.planet-holidays.co.uk
0871 871 0405 Planet
Contact Matt Skilton on 01483 545 783
ABTA W6455 • ATOL 5998 • AGTA or email him at
matt.skilton@traveltrust.co.uk
Holidays
16.01.2009 17
Page 1 |
Page 2 |
Page 3 |
Page 4 |
Page 5 |
Page 6 |
Page 7 |
Page 8 |
Page 9 |
Page 10 |
Page 11 |
Page 12 |
Page 13 |
Page 14 |
Page 15 |
Page 16 |
Page 17 |
Page 18 |
Page 19 |
Page 20 |
Page 21 |
Page 22 |
Page 23 |
Page 24 |
Page 25 |
Page 26 |
Page 27 |
Page 28 |
Page 29 |
Page 30 |
Page 31 |
Page 32 |
Page 33 |
Page 34 |
Page 35 |
Page 36 |
Page 37 |
Page 38 |
Page 39 |
Page 40 |
Page 41 |
Page 42 |
Page 43 |
Page 44 |
Page 45 |
Page 46 |
Page 47 |
Page 48 |
Page 49 |
Page 50 |
Page 51 |
Page 52 |
Page 53 |
Page 54 |
Page 55 |
Page 56 |
Page 57 |
Page 58 |
Page 59 |
Page 60 |
Page 61 |
Page 62 |
Page 63 |
Page 64 |
Page 65 |
Page 66 |
Page 67 |
Page 68 |
Page 69 |
Page 70 |
Page 71 |
Page 72 |
Page 73 |
Page 74 |
Page 75 |
Page 76 |
Page 77 |
Page 78 |
Page 79 |
Page 80