Consumer Protection Service: Package Holiday Cancellations Allowed Without Charge

Travellers may cancel package holidays free of charge when extraordinary circumstances affect the destination, the Consumer Protection Service says, citing developments in the Middle East.

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Travellers have the right to cancel a package travel contract without charge before the start of the trip if unavoidable and extraordinary circumstances at the destination, or in its immediate vicinity, significantly affect the travel or transport arrangements, according to the Consumer Protection Service.

In an announcement issued in light of the current situation in the Middle East, the authority informed travellers and tour organisers about the rights and obligations arising from the applicable legislation, noting that some package holidays may be affected by recent developments in the region.

What qualifies as a package holiday

The Consumer Protection Service explained that a package holiday is defined as a combination of at least two different travel services, such as transport, accommodation, car rental or excursions, sold together for the same trip by a trader, usually under a single contract or at an overall price.

Right to cancel in extraordinary circumstances

According to the Service, travellers may terminate a package travel contract without paying cancellation fees when unavoidable and extraordinary circumstances occur. These may include war, serious security problems, significant public health risks or natural disasters.

In such cases, travellers are entitled to a full refund of all payments made, without additional compensation.

The organiser may also terminate the package travel contract if it is unable to perform it due to such circumstances, in which case all payments must also be refunded.

Vouchers and postponed travel

Organisers may propose postponing the trip to a later date where feasible, including through the issuance of vouchers.

However, the Consumer Protection Service stressed that accepting a voucher remains entirely at the traveller’s discretion and does not affect their legal right to receive a full refund.

Travellers who accept a voucher are advised to request written confirmation that they retain the right to a full refund if the voucher is not used. Organisers must also ensure that such vouchers are covered by the required insolvency protection.

Obligations toward travellers already abroad

For travellers who are already on a package holiday and cannot return due to unavoidable and extraordinary circumstances, organisers are required to cover the cost of necessary accommodation of an equivalent category for up to three nights per traveller.

A longer period may apply if passenger rights legislation provides for extended assistance.

Organisers must also provide appropriate assistance without undue delay to travellers facing difficulties during their trip. This includes information on health services, local authorities and consular assistance, as well as help with communication and alternative travel arrangements.

The Consumer Protection Service also urged travellers to follow official announcements by competent authorities and consult travel advisories issued by the Ministry of Foreign Affairs of the Republic of Cyprus.

For further information, travellers and organisers can contact the Consumer Protection Service at 1429.

Source: CNA

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