Tourists receive additional guarantees on anniversaries, vouchers, and bankruptcies

The European Union has adopted new rules for travel packages, which clarify passenger rights in case of force majeure, refunds, vouchers, and the insolvency of organizers, in an effort to strengthen consumer confidence in the tourism market.

The Council of the European Union has adopted the directive that revises the rules regarding travel packages, introducing additional guarantees for individuals purchasing a single package of travel services such as flights, transfers, accommodation, or excursions. The new provisions revise the definition of "travel package," extend the obligations to inform consumers, and clarify their rights when a trip is canceled or when the organizer goes into insolvency.

In short

1. The Council has definitively adopted the revised directive on travel packages.

2. The new rules simplify the definition of "package" and exclude associated travel arrangements from the scope of the legislation.

3. Consumers will receive clearer information before, during, and after travel, including about payment methods, passports, visas, accessibility, and cancellation fees.

4. In case of force majeure, travelers will not pay cancellation fees, and refunds must be made within 14 days.

5. Vouchers can be offered as an alternative to refunds only if they have equal or greater value, are valid for 12 months, and can be transferred only once.

6. In case of the organizer's insolvency, refunds must be made within six months, a deadline that can be extended under certain conditions.

7. Member states will have 28 months to transpose the rules after the directive comes into force.

The text adopted by the Council updates the directive on travel packages to address vulnerabilities that have become visible in recent years, especially during the bankruptcies of major operators and the disruptions caused by the COVID-19 pandemic. According to the Council, the new directive strengthens the protection of travelers purchasing combined travel services while also aiming to maintain the attractiveness of travel packages as a commercial product for agents, travel sites, and tour operators.

One of the central changes concerns the legal definition of the travel package. The Council states that the text simplifies this definition and excludes associated travel arrangements from the directive's scope. In practice, this delineation seeks to better clarify when a consumer benefits from the full protection provided by the directive and when the purchase of travel services remains outside this specific framework.

Another important change concerns the information that organizers must provide to travelers. The directive clarifies what must be communicated before, during, and after travel. Among the elements mentioned by the Council are payment methods, passport and visa requirements, accessibility, and cancellation fees. Additionally, the text strengthens transparency in case of insolvency and requires organizers to establish complaint management systems.

For consumers, one of the most relevant clarifications concerns the cancellation of travel in cases of force majeure. The Council specifies that, in such cases, travelers should not bear cancellation fees, and organizers must make refunds within 14 days. This wording is important as it explicitly establishes the relationship between extraordinary events and the obligation to return money, in an area where disputes regarding cancellations and refunds have increased during crisis periods.

The directive also introduces rules regarding vouchers offered instead of cash refunds. These can be used as an alternative only if they have a value equal to or greater than the original trip, if they are valid for 12 months, and if they can be transferred only once. The Council thus formulates a more precise framework for the use of vouchers, trying to avoid situations where they would practically reduce the financial rights of travelers.

In the case of the organizer's insolvency, the text stipulates that refunds must be made within six months, a deadline that can be extended under certain conditions. The directive also promises better protection, as well as clearer information regarding coverage in case of insolvency. This chapter is one of the most sensitive for the tourism market, as the insolvency of a major operator can leave consumers without a vacation and without money, especially when services have been paid for in advance.

The political message conveyed by the Council presidency emphasizes the relationship between consumer protection and market functioning. Michael Damianos, the Minister of Energy, Commerce, and Industry of the Republic of Cyprus, stated that "The success of our tourism industry depends on the trust of travelers. We want to ensure that by protecting travelers' rights, packages remain an attractive option for the travels of our citizens, as well as a very well-sold product for agents, travel sites, and tour operators."

After the Council's approval, the legislative act is considered adopted and will enter into force 20 days after its publication in the Official Journal of the European Union. From that moment, member states will have 28 months to transpose the new rules into national legislation. This relatively long period suggests that the new provisions involve significant legal and operational adjustments for both authorities and commercial actors in tourism.

From an economic perspective, the revision seeks to reduce legal uncertainty in an important segment of the tourism market. Travel packages remain popular in the EU, but their complexity makes it more difficult to recover costs in case of cancellation or bankruptcy. The Council explicitly links this reform to the bankruptcy of Thomas Cook and the impact of the COVID-19 crisis, two episodes that have shown the limits of existing rules and fueled the pressure for clearer and faster consumer protection.

The revised directive updates the European rules on travel packages previously adopted in 2015. According to the Council, the need for revision became clearer after the bankruptcy of several large tourism companies and after the disruptions caused by the COVID-19 pandemic, when many travelers faced cancellations, disputed vouchers, and unclear refund procedures.

The European Commission's proposal was presented in October 2023, with the aim of simplifying the rules and strengthening the protection of travelers. With the final adoption by the Council, the European Union closes the legislative stage and opens the national implementation phase of the new rules.

https://2eu.brussels/ro/stiri/turistii-primesc-garantii-suplimentare-la-anulari-vouchere-si-falimente