Sustainable Tourism Law

560 SUSTAINABLE TOURISM LAW In the Autonomous Community of Catalonia, the modification has been introduced by means of the Act 5/2017 on tax, administrative and financial measures 40 . By this act a new article, number 252-10, is introduced within the Act 22/2010, of 20 th July, on the Consumer Code of Catalonia. This provision considers the establishment of a compulsory guarantee by companies organizing or commercializing package travels. This requirement is also extended to the companies commercializing linked travel arrangements. In the event of insolvency, this guarantee shall be used to respond for the proper execution of the travel until its end. It is supposed to allow the reimbursement of all the payments made by the travellers. The Catalonian decree does not provide a definition of the legal business that shall be used to provide such a guarantee. It may adopt any form appropriate to the scope it serves. This regulation does impose on package travels sellers the duty to inform travellers about the contracting of this guarantee before the conclusion of the contract. To that extent, the decree requires handing the travellers the documentation of such guarantee along with all the pre-contractual information. This documentation shall include, at least, the name of the guarantor, contact details, geographic address and, if relevant, the name of the relevant incumbent authority and its contact details. The same information shall be handed in the moment of the conclusion of the package travel contract, considering also the means by which the guarantee shall be made available. The guarantee must be of enough quantity to cover the reimbursement of the deposited funds and the repatriation of the consumers. Moreover, the Catalonian lawmaker imposes on tourism companies the duty to provide a financial guarantee or an insurance or policy to cover an amount equivalent to, at least, five percent of the annual turnover outsourced from the commercialization or organization of travel packages, with a minimum amount of a hundred thousand euro. IV.3. The draft bill’s provisions about the guarantee that purchasers must provide to avoid insolvency As considered above, the draft bill has followed the principle of fidelity to the European Directive. However, when the very Directive allows it, the regulation has deviated from its provisions in some cases. 40 Act 5/2017, of 27th March, on tax, administrative, financial and public-sector measures and on the action and regulation of taxes on large commercial establishments, on tourist accommodation stays, on radioactive elements, on canned sugary drinks and on carbon dioxide, Official Journal no. 152, of 27 th June 2017.