News Coronavirus and booking cancellation

Information point
Order of March 25, 2020 allowing reimbursement by a credit note

The Council of Ministers adopted the order allowing professionals to issue a credit, instead of reimbursement, corresponding to the total amount paid by the client when the trip or stay cannot be provided due to the measures taken into account the epidemic of Coronavirus, (ex: air service impossible, quarantine of customers, ban on access to the territory for travelers, traffic ban etc.).

Which services canceled due to Covid 19 can be the subject of a credit?

• Tourist packages (including dynamic packages, school trips and group hosting for minors)

• Travel services sold alone relating to a hotel, vehicle rental or tourist service

What exactly does this ordinance provide for?

The order provides for the possibility for a travel operator to reimburse his client by providing a credit when the stay has been made impossible due to measures taken due to the coronavirus crisis. The customer is required to accept the Credit by way of derogation from the provisions of article 211-14- II and III of the tourism code allowing the traveler to demand a cash refund in the event of a stay canceled due to exceptional circumstances: these provisions are therefore suspended due to the unprecedented situation caused by the Covid-19 until September 15, 2020

When do these measures come into effect?

This device makes it possible to offer a credit to the customer for any trip canceled between March 1, 2020 and September 15, 2020 due to the Covid-19

Do these measures apply if I have decided to cancel my stay when the operator was able to provide the services?

No. If one of your customers has canceled their stay themselves when it was feasible, the cancellation fees remain due. You are therefore not required to issue in your favor a credit in the amount of the deposits you have received. In the event of a dispute, you must be able to prove that you were able to provide the stay when it was supposed to take place.

Further information :

The credit is divisible: it can be used to purchase a less expensive stay. In this case, the balance of the unused credit may be used when purchasing a second stay. It cannot be subject to an early repayment.
The client may wish to choose another stay of a higher category. In this case, he will have to pay the price difference.

David CARRE

CEO, KOSY appart’hôtels