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Buller warns: New package travel guidelines endanger online travel agencies!
Michael Buller criticizes the new EU package travel directive, which is putting a strain on the industry. Information about bankruptcy protection and refunds.
Buller warns: New package travel guidelines endanger online travel agencies!
Michael Buller, chairman of the Internet Travel Sales Association (VIR), expresses serious concerns about the current design of the EU package travel directive. He warns that instead of a clear legal situation for travelers and providers, the new law further complicates the situation. This could have negative consequences, particularly for online travel agencies (OTA), which are already facing challenges. His criticism is loudly supported by numerous tourism associations, which also consider the plans to be problematic. Buller highlights that the risk to consumers' lives is being unnecessarily shifted to the industry, which could represent a step backwards for the entire travel industry.
The EU Parliament has now adopted its position on the renewal of the package travel directive. The directive aims to strengthen consumer protection. Certain tour operators are obliged to guarantee security for the reimbursement of all payments in the event of insolvency. This is done in accordance with the Third Act to Amend Travel Regulations, which was implemented into German law on July 17, 2017 and has been applicable to corresponding contracts since July 1, 2018. Travelers are therefore entitled to a refund if travel services are canceled or canceled.
Regulations and protective measures
The Federal Office of Justice (BfJ), which can act as a central contact point in Germany, plays a central role here. The new regulation also includes the introduction of the category “connected travel services” and changes the term “travel contract” to “package travel contract”. A package travel contract must contain at least two different types of travel services. As a rule, travelers pay the entire travel price before the start of the trip.
The law stipulates that travelers should not suffer any disadvantage in the event of the tour operator becoming insolvent. The security measures apply to tour operators across the EU, as well as Norway, Iceland and Liechtenstein, who are obliged to ensure refunds. However, alternative models of insolvency protection can also be set up domestically.
Latest developments
In 2021, insolvency protection in Germany was newly regulated by the Travel Insurance Fund Act (RSG). This regulation came into force on November 1, 2021 and ensures that tour operators can be insured through contracts with a travel insurance fund, the German Travel Insurance Fund (DRSF). The fund assets into which the tour operators pay are used to satisfy travelers' claims in the event of insolvency.
In addition, tour operators with a turnover of less than 10 million euros can also insure themselves through insurers or credit institutions and must inform their customers about these insolvency protection measures. If you have questions about booking package holidays, consumer advice centers can provide valuable information, but the Federal Office of Justice makes it clear that it does not offer legal advice.
For further information on the package travel guidelines, please visit the website Federal judicial offices comprehensive resources available. The current commitment of Buller and other industry representatives could be crucial to achieving a clearer and fair settlement for all stakeholders involved.