In a Surprising Ruling, ECJ Demands Airline Refunds for Full Amount on Flight Cancellation
Flight cancellation necessitates airline's refund of mediation fee, as per ECHR decision. - Airline is obligated to cover mediation fee when flight is canceled, as decided by The European Union's Court of Justice.
Here's a lowdown on a recent ECJ ruling that's causing a stir in the travel industry. The European Court of Justice (ECJ) has made it clear that airlines like KLM must not only refund the ticket price but also the booking fees on ticket cancellations, even if the airline didn't directly collect the fee.
The case centers on flights with KLM, where passengers purchased tickets via Opodo and paid around 2053 euros. KLM cancelled the flight and refunded passengers only around 1958 euros. Themissing amount was the commission Opodo charged. The Austrian Association for Consumer Information took the matter to court on behalf of the passengers.
KLM argued that there was no agreement between them and Opodo about the commission; they hadn't approved it, nor knew its exact amount. But the ECJ's Advocate General Norkus stated that the EU Air Passenger Rights Regulation of 2004 should be interpreted in such a way that a refund in case of cancellation includes the booking fee, regardless of the airline's awareness of the fee's height.
However, Norkus also pointed out that KLM had been working with Opodo for "at least a decade" and had a contract with them, providing bonus amounts based on the number of tickets sold. This sustained relationship implies the airline's knowledge of at least some fees, thereby implying their implicit approval.
In short, the ECJ ruling makes it clear that if a flight is cancelled, the airline must refund the full amount paid by the passenger, whether it was all collected by the airline or by an intermediary like Opodo.
- cancellation
- airline
- ECJ
- booking fee
- Opodo
- KLM
- flight
The European Court of Justice (ECJ) has ruled that KLM, in the event of flight cancellation, must refund the full amount paid by the passenger, which includes the booking fee, even if the fee was collected by an intermediary like Opodo. The ECJ's ruling is significant as it deems that airlines are aware of at least some fees when they engage in long-term business relationships with intermediaries like Opodo.
