Collective Commentary about the New Package Travel Directive

546 COLLECTIVE COMMENTARY ABOUT THE NEW PACKAGE TRAVEL DIRECTIVE The Directive provides a high level of protection to travellers who buy packages. This includes, inter alia: money-back guarantee and repatriation when the organiser becomes insolvent; organiser’s liability for the performance of all travel services that are part of the package; clear information for travellers; price modifications allowed only in very specific circumstances. Contrary to the organiser of a package, traders facilitating a linked travel arrangement are liable only for their own travel service. They must provide a money-back guarantee for payments they receive from the traveller in case the travel service is not performed due to their insolvency. This guarantee shall cover also repatriation when the trader facilitating a linked travel arrangement is responsible for the carriage of passengers, e.g. an airline. Traders facilitating a linked travel arrangement are, however, not responsible for the performance (or possible insolvency) of any other service provider under the linked travel arrangement. In order for travellers to have a clear understanding of their more limited rights in case of a linked travel arrangement, the trader facilitating it must inform the travellers that the protection provided for packages does not apply to their situation and that they are only protected against insolvency of the trader facilitating the linked travel arrangement. If this trader does not inform the traveller about these limitations or fails to provide for insolvency protection, it is legally bound to assume largely the same responsibilities as a package organiser, including those related to the performance of the combined travel services. Today, most travellers book travel services online and it is the booking process which will determine whether the traveller has booked a package, a linked travel arrangement or merely stand-alone services. This is relevant for the legal obligations of traders and for the level of protection of travellers. For stand-alone travel services (e.g. flights only), no mandatory protection of travellers against insolvency of the provider exists at EU level. When the traveller books different travel services, e.g. a flight and accommodation, from the same website his/her rights depend on whether the travel services are offered, sold or charged at a total or inclusive price or whether the traveller has to pay or agree to pay for each of the travel services separately. In the first case it is a package, in the second case a linked travel arrangement. When the traveller books different travel services from different websites (different points of sale), but the bookings are related through links provided from website to website, this is considered a ‘click-through’ booking. However,

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