New on IFTTA News

• USA: DHS report says X-ray scanners at airports are safe;
  
• ECJ Advocate General: air ticket pricing rules regarding ‘optional price supplements’ also apply to a cancellation insurance;
  
• USA: Appelate court affirms foreign nationals' standing to challenge a "no-fly list" inclusion;
  
• European Union: Parliamentary Transport and Tourism Committee calls for improved air passenger rights;
  
• ECJ to hear cases challenging its "Sturgeon" judgement;
  
• European Union: Public consultation of stakeholders on the "European Charter for Sustainable and Responsible Tourism";
  
• European Court of Justice: insolvency protection also applies in case of a package organiser’s fraudulent conduct;
  
• "Reviews you can trust" - UK Advertising Standards Authority finds TripAdvisor ads misleading;
  
• USA: Appelate court confirms limitation of liability clauses in airline's "Conditions of Carriage";
  
• Germany: new reference for ECJ preliminary ruling regarding Reg. 261/2004;
  
• EU Transport Commissioner receives commitment from Cruise industry to fully engage in review of passenger ship safety rules;
  
• Canada: body height is not a disability;
  
• UNESCO: cruise ships should steer clear of Venice lagoon;
  

Most recent postings on IFTTA News

• USA: airlines ask DOT for another delay in new rules;
• USA: no private right of action pursuant to Air Carrier Access Act;
• UNESCO recognizes Aceh’s Saman Dance as Intangible World Heritage
• Scotland: Human Trafficking Report;
• EU: Commission requests Italy to comply with new safety rules for passenger ships;
• Taiwan: Hong Kong Dragon Airlines accused of discrimination;
• European Commission updates airline black list;
• New EU-US agreement on PNR;
• USA: DOT fines Spirit Airlines for deceptive price advertising;
• European Union: new rules on the use of security scanners at European airports;
• European Union: new Directive on Consumer Rights published in Official Journal;
• IFTTA Europe Workshop Website Online;
• Cruise conference - May 21-23, 2012;
• UK: OFT takes next procedural step in airline fuel surcharges case;
• USA: DOT issues first fine for tarmac delay rule violations;
• India: tiger reserves may ban tourists;
• Court of Cassation (FR) on Deep vein thrombosis;
• UNWTO: European tourism grows above expectations;
• European Consumer Centre Network launches Air Passengers Rights Report 2011;
• USA: DOT fines Caribbean Airlines for improperly limiting reimbursements for delayed baggage;

Update on IFTTA news

The following news have recently been posted to the IFTTA Website:

• USA: DOT fines Orbitz for violating price advertising rules
• ECJ Advocate General delivers opinion on EU Emissions Trading Scheme
• Irish High Court confirms exclusivity of Montreal Convention with respect to international air carriage
• Scottish Legislation to Tackle Football Sectarianism
• Germany: yet another reference for preliminary ruling challenging "Sturgeon"
• European Court of Justice: "Cancellation" also covers discontinuation of a flight
• Kenya: tourism minister issues open letter regarding piracy
• UK: Office of Fair Trading received super-complaint about travel money
• European Commission publishes results of the Online ticket Sales Sweep
• Seychelles: Sustainable Tourism Label announced
• USA: DOT fines Virgin Atlantic for deceptive online advertising
• USA: Travel Association and ATA support new Visa legislation
• World Travel & Tourism Council addresses governments on World Tourism Day
• France to impose new tax on luxury hotel rooms
• USA: DOT to require airlines to make their websites and kiosks accessible to disabled travelers
• Conference: EU Passenger Law – Towards 2020, Leuven
• Interesting case! Preliminary Ruling: ECJ C-410/11
• Austrian Supreme Court: hotel liable for theft from safe in hotel room

Canada: class action against Air Canada over price disclosure

A motion filed on July 16, 2010 by Union des consommateurs du Québec against Air Canada (proposing that the action cover all residents of the province of Québec who have purchased tickets directly from Air Canada since June 30), alleges that Air Canada failed to disclose the complete price of its tickets in its paper and electronic advertisements as well as on its website.; in particular additional charges such as airport improvement fees and 9/11 security charges were added to the advertised prices.

The motion claims for reimbursement of all fees and charges paid beyond the advertised price and the payment of $100 in punitive damages for each affected consumer.

Source: Union des consommateurs du Québec (French)

USA: DOT Proposes Additional Consumer Protections for Air Travelers

U.S. Transportation Secretary Ray LaHood today proposed new consumer protections for air travelers, building on the Department of Transportation’s recent rule banning carriers from subjecting passengers to long tarmac delays and other deceptive practices.

Specifically, the new proposed rule would:

• increase compensation for passengers involuntarily bumped from flights
• allow passengers to make and cancel reservations within 24 hours without penalty
• require full and prominently displayed disclosure of baggage fees as well as refunds and expense reimbursement when bags are not delivered on time
• require fair price advertising
• prohibit price increases after a ticket is purchased
• mandate timely notice of flight status changes
  

Comments on the proposal are due in 60 days. The text of the proposed rule and comments are available on the Internet at www.regulations.gov, docket DOT-OST-2010-0140.

Source: DOT press release of June 2, 2010; find full text here>>.

USA: DOT fines AirTran and Delta for price advertising rule violations

The U.S. Department of Transportation (DOT) assessed civil penalties against AirTran Airways and Delta Air Lines for violating rules that require airline price advertisements to disclose the full price consumers must pay for air transportation. The action against AirTran resulted from it advertising a fare that was not available, the action against Delta involved the carrier’s failure to provide adequate notice of taxes and fees that were not included in certain base fares at the first point they were advertised on its website. AirTran was fined $20,000 and Delta $40,000.

Source: travelpulse; find article here>>.

Australia: Federal Court rules agains Qantas in fuel surcharge case

Australian Federal Court today ruled the fuel surcharge the airline charges passengers is not a tax, but simply part of the fare. Qantas will therefore be made to repay years of disputed commission fees to travel agents of tens of millions of dollars at least.

The court upheld an appeal by Leonie's Travel, forcing airlines to include the fuel surcharge in their base figure for calculating commissions paid to agents. The case will now return to the original judge to determine how much Qantas owes the agents.

Source: The Sidney Morning Herald; find article here>>.

Full text of Fedreral Court Judgement Leonie's Travel Pty Ltd v Qantas Airways Limited

[2010] FCAFC 37 available here>>.

German Supreme Court: flexible pricing in travel brochures admissible

A German association combatting unfair competition sued TUI for not publishing final prices in travel brochures. TUI had published prices with the reservation of a revision of EUR 50 up or down applying to each flight route. The association saw an infringement of pricing rules requiring indication of a binding price.

German Supreme Court (BGH) in judgement I ZR 23/08 - Costa del Sol, of April 29, 2010, however, deemed the reservation to be admissible because of the limitations in range and reasons of potential revision as well as because of a clear reference to potential price changes until conclusion of the contract. Such reservation would allow tour operators a certain fexibility in printed brochures which was a matter of course in internet trading.

Source: BGH press release 92/2010 of April 29. 2010; full text available in German here>>.

Obviously BGH saw no cause to file a reference for preliminary ruling with regard to the interpretation of Art. 3 para 2 PTD.

German Supreme Court decides on cross-ticketing

German Supreme Court (BGH) in today's judgment Xa ZR 5/09 decided that airlines must not declare a ticket void if the flight coupons are not used in their correct order. Such provisions are widely used in general conditions of contract of several airlines to prevent passengers from booking flight segments which they actually don't want to use in order to benefit from a lower price.

In the particular case the German Federal Consumer Protection Association (Bundesverband der Verbraucherzentralen) had sued British Airways and Lufthansa to cease and desist from using such provisions.

BGH acknowledged a legitimate interest of the airlines to avoid evasions of their tariff systems; this purpose, however, could also be achieved by milder means as for instance a surcharge for not having used a coupon for a flight segment. To completely ban the passenger from further contractual services would be disproportionate and against the principle of good faith as the provisions at stake made no distinction on whether the passenger deliberately booked more segments than required or left coupons unused for justified reasons.

Source: BGH press release 91/2010; full text available in German here>>.

USA: new legislation requires disclosure of airline fees

The Federal Aviation Administration reauthorization bill, passed by the Senate earlier this week, contains a new provision that would require airlines and online travel agencies to clearly disclose all fees associated with the cost of a ticket, including holiday surcharges, baggage fees and seat assignments.

The bill also includes the Passenger Bill of Rights, which mandates that aircraft cannot remain delayed on the tarmac for longer than 3 hours before having to return to the gate. Alternatively, the rule allows the airline to send buses to take passengers off the plane so the aircraft doesn't lose its place in line to take off.

In response to recent plane crashes, the bill also

• tightens pilot hiring, testing, training, and rest requirements for large and small airlines
• bans the use of personal electronic devices in the cockpit

The F.A.A. reauthorization bill now has to go into conference committee and be reconciled with the House version of the same bill.

Sources: New York Times "In Transit" Blog; find article here>>.
eTurboNews; find article here>>.

USA: DOT fines US Airways for fare ad violation

The U.S. Department of Transportation (DOT) has assessed a $40,000 civil penalty against US Airways for violating rules that require airline price advertisements to disclose the full price consumers must pay for air transportation.

The DOT's Aviation Enforcement Office found that when consumers searched US Airways' website for one-way flights sorted by schedule, the airline provided a set of fares that did not include additional applicable taxes and fees or any notice on that page that the additional charges would be required. Under DOT’s requirements for Internet advertising displays, the full fare must either be listed on the first screen that provides fare quotes, or the existence of additional government-imposed per-passenger charges must be prominently disclosed along with a hyperlink that takes consumers to a page that describes the additional charges.

The consent order is available on the Internet at www.regulations.gov, docket DOT-OST-2010-0005.

Source: DOT press release 44-10 of March 8, 2010

ITB World Travel Trends Report predicts worldwide increase in airline ticket prices

According to the ITB World Travel Trends Report, commissioned by the world’s leading travel trade show and compiled by the consultancy IPK International, a short- to mid-term rise in the price of airline tickets is to be expected worldwide. The ITB World Travel Trends Report states that in order to become profitable again, airlines will have to significantly adjust their ticket prices. The findings are based on the assessments of 60 tourism experts from 30 countries.

Source: ForImmediateRelease.net; find article here>>.

ITB World Travel Trends Report 2009 available for download as pdf here>>.

USA: DOT ruling against airline pricing mistakes

British Airways last month published an unusually low fare from the United States to India. The base was $40 round trip. Although BA doesn't include its $370 fuel surcharge in that amount but passes it on as a "tax" rather than as part of the ticket price, and the actual taxes were an additional $150, the total $560 was still several hundred dollars less than a regular advance-purchase fare to India.

The fare stayed on the market only for one day, but that was enough time for hundreds of tickets to be purchased. Three days later, BA unilaterally canceled all those tickets because a mistake had been made.

The U.S. Department of Transportation (DOT) said it conducted a full investigation over the cause, magnitude and consequences of this incident and determined that BA's unilateral cancellation had caused financial harm to a large number of consumers.

The Department ruled that British Airways should compensate affected consumers - which BA agreed to do - but refused to force British Airways to restore the canceled tickets.

Sources: The Washington Times; DOT press release 183-09