Under the Package Travel Regulations, a package holiday is defined as a pre-arranged holiday that lasts more than 24 hours or at least includes an overnight stay and two of the following: transport, accommodation and tourist service or activity not directly linked to transport or accommodation, such as an excursion.

When consumers opt to book such a holiday from an agency or tour operator, the latter is obliged to ensure that the information provided prior to a booked holiday is not false or misleading.

The information provided to the consumer should include the price of the package, including taxes and any compulsory charges, the type of accommodation, itinerary, meal plan, cancellation arrangements for the organiser where a minimum take-up is required for the package holiday to take place and the consumer, and also a detailed description of the excursions if these are purchased as part of the package holiday.

Any discrepancies from what is promised to the consumer at the time of purchase must be compensated. If a tour operator cancels a holiday or significantly alters an essential part of it, such as one of the destinations or type of accommodation, the operator must give the customer these options:

• a replacement holiday of equivalent or superior quality;

• a lower grade holiday with a refund of the difference in price; or

• a full refund.

The price of a package holiday cannot be increased within 20 days of the departure date. Before this time, prices may only increase if there is an increase in transport costs, including cost of fuel; level of taxes, fees and charges payable at airports and ports; and exchange rates.

This means that travel agencies cannot increase the price of a package holiday in any other area, such as the cost of hotel accommodation.

Consumers are legally allowed to transfer a package holiday on someone else’s name if they are unable to proceed with the holiday. It is, however, necessary that consumers get in touch with the organiser, giving him reasonable notice to carry out the transfer. Furthermore, any costs involved must be shouldered by the consumer.

Should a significant change take place after departure, consumers are entitled to suitable alternative arrangements and, where applicable, to compensation.

If the promised accommodation is of a lower standard than that promised by the travel agent, consumers would be entitled to the difference in value between the cost of the hotel paid for and the one where they actually stayed during the holiday.

Besides the proportionate compensation, consumers may also be entitled to seek refund of any extra expenses incurred as a direct result of the discrepancies with the agreed package holiday.

Financial compensation may also be claimed for moral damages – for the inconvenience or stress consumers go through due to the shortcomings encountered during the holiday.

If, however, the change in the package holiday was beyond the travel agency’s control, legally, no financial compensation can be claimed. For instance, the seller of the holiday cannot be held responsible for any change in plans or cancellations due to bad weather, strikes or unavoidable breakdowns.

Problems that crop up during a holiday must be reported immediately to the agency or its representative. The organiser must be given the opportunity to fix the problem at no extra cost to the consumer. If an immediate solution is not possible, then the complaint should be put in writing. It is also advisable to gather as much evidence as possible to support one’s case.

Once back in Malta, consumers should immediately file a complaint with the travel agency.

If the complaint is not dealt with in a satisfactory way, consumers may then file a complaint with the Office for Consumer Affairs so that mediation is carried out with the aim of reaching an amicable solution.

odette.vella@mccaa.org.mt

Odette Vella is senior information officer, Office for Consumer Affairs, Malta Competition and Consumer Affairs Authority.