Contract Legislation in Travel and Tourism

Contract Legislation in relation to travel and
tourism customers
Contract refers to legal relationship which is made between two or more people
regarding exchange of goods and services for some consideration and it is also
enforced by law. Travel and tourism companies makes binding contract with its
customers and sets out important details regarding services and payment. The
holiday tour package contracts are governed under the Package Holidays and
Package Tours Regulations, 1992. Travel and tourism contracts have specific
terms and conditions which are attached to the contact, for eg. Destination place,
time of arrival and departure, time duration, accommodation and costs. If travel
and tour agency or company fails to communicate conditions, consumer can
withdraw contract any time. Following are given some standard elements of
contract:
Offer: This is a statement which informs that offer is ready for acceptance by the
offeree. The Offer statement includes two parties, offeror and offeree. The
offeror make the offer statement to offeree and the offer is accepted by the
offeree. The statement is realted to travela nd tourist services which is raedy to be
accepted.
Acceptance: The offeree accepts the offer statement made by the offeror. The
offerree purchases and accepts the tour package services and bacomes the offeree.
Travel agents discuss every detail of travel and tour packages with customers or
offeree.
Consideration: The valid contract has some amount as consideration value for the
services offered by travel and tour operators. A contract without any
consideration is referred as agreement and it cannot be enforced by law. For eg.
TUI Group charging specific sum of money for services and goods offered is
considered as consideration.
Capacity: This is referred to as capability for entering into a legal and valid
contract. The contract regulation and legislation defines specific capacity of a
person such as one should be of valid age, mind soundness, free intention for
being capable according to legislation. For eg. TUI Group makes valid and legal
contract with customers declaring the age 18 years or above.
Certainty: The rules and regulations of valid contract needs to be clear with both
the parties involved such as customers and travel agents, unless contract will
considered as invalid. For eg. Miscommunication regarding accommodation or
staying at hotel will lead to make invalid contract. Therefore, TUI Group ensures
that contract includes the following details:
• Agreement between parties
• Travel and tour package details
• Consumer's preferences
• Customers regulations
• Agreed terms and conditions by both the parties
• Destination
• Details of accommodation
• Stay Duration
• Consideration amount
Holiday contract regarding supply of products and services refers that
consumers expects reasonable state for services and goods and it is also provided
with care. The standards of health, safety and cleanliness needs to be maintained
Consumer Protection Legislation in relation to travel and tourism
customers
The legislation and regulations regarding consumer protection focuses on protecting rights and interest of customers and
tourists from getting violated because of travel and tour agents. These regulations aims that travel and tourism sector
organisations protects and encourages tourism in industry. The travel and tour operators needs to provide competitive
pricing and also needs to facilitate participation of customers. TUI Group ensures to provide quality services to customers
and also prevents happening of inappropriate practices and operations. There is critical relationship between tourists,
suppliers and travel operators that needs to be maintained by effectively protecting the interest of the parties at each step.
Trade Description Act 1968: This act aims at prohibiting the misleading and false indicators regarding price of products,
services, accommodation and other services related to holiday packages. This act also sets out responsibilities according to
Trading Standard Officers for checking:
• Any application of misleading or false description related to trade.
• Offer of supply or actual supply which is based on false description of trade.
• False or misleading statement regarding service provision or accommodation facilities.
Consumer Protection Act, 1987: This act lays down consumer's rights and also provides duties and responsibilities to tour
operators. For eg. Manufacturing party has provided with the responsibility for mentioning important and relevant
information regarding product as per the health and safety legislation of country. The act makes provisions regarding
different issues such as, unfair practices and operations of business, fraud or liability of products and services. Various
regulations and legislation helps to:
• Establish and define liability of products.
• Abolish supply of sub standard or poor quality products and services.
• Legal authorities establishments and regulations.
• Prohibition and restriction of unlawful and illegal indication of price.
Consumer Protection from Unfair Trading Regulations 2008: This act aims at safeguarding and protecting rights of
consumers. TUI Group ensures that it protects and safeguards the rights and interest of tourists and customers. The
regulations provides following controls:
• Authentic charges and prices of services
• Application of right and correct surcharge
• Price of room which are made available
• Price disclosure at bars
• Mini-bar prices and charges
• Other information for preference of routes, gyms, swimming pools and other material things and services.
Package Travel Regulations 1992: This act aims at correction of miscommunication and needs to be corrected by service
provider and also making arrangements which are necessary. The act explicitly renders minimum requirements regarding
contract to be be a contract of holiday. The valid holiday contract needs to have two or more facilities for eg. Transport,
tourists services or accommodation. TUI Group ensures that making valid contracts of holiday to customers and provide
quality services and products related to travel.
Warsaw Convention 1929: This convention aims at supports and protects the rights of passenger's for making claim against
any damage or injury happening during the time of travel. Security relating to goods and luggage is bounded for protection
by carrier, and if it is breached the carrier may be sued.
Hague protocol, 1955: This protocol is determined for providing regulated transportation mode to passengers who are
taking air travel. The carrier is responsible for any damage, loss or injury happening during the time of travel.
Aviation Travel Organizer's License: Organizer of air travel needs to have Aviation Travel Organizer's License in which
customers and tourists are financially protected through bonding, trade account or insurance.
TASK 3- CONTRACT LEGISLATION