Tourists will be able to recover their money if the Competition Council’s investigation proves that major tour operators conspired to practice high prices, stated the President of the Competition Council, Bogdan Chirițoiu.
“We suspect there is an agreement between major tour operators to limit the discounts and rate reductions that reseller agencies—the smaller agencies through which they sell their holiday packages to clients—can offer. Therefore, each tour operator has an interest in keeping prices as high as possible, and we suspect an agreement between various large companies to prevent smaller reseller agencies from offering very large discounts, thereby limiting price reductions for end customers,” Chirițoiu explained.
The investigation began in 2016, and a result will be possible at the end of this year or the beginning of next year.
Chirițoiu stated that if it is found that the law was violated, fines of up to 10% of the turnover from the year prior to the sanction will be applied.
Asked if a client would be able to recover money even for vacations purchased a year ago, Chirițoiu replied: “If what we suspect indeed happened, we will also see for what duration it occurred; so for those respective periods, yes.”
Chirițoiu pointed out that this will be possible once a European directive is incorporated into Romanian legislation, which allows customers of certain companies to use the Competition Council’s decisions in court to recover damages caused by violations of legislation in this sector.
This directive will be transposed into national legislation by the end of this year or, at the latest, the beginning of 2017.
Source: Capital
Frequently Asked Questions
What is the investigation about?
The Competition Council is investigating major tour operators for allegedly fixing prices and limiting discounts offered by smaller reseller agencies.
How can tourists recover their money?
Once an EU directive is transposed into Romanian law, consumers can use the Council’s final decisions as evidence in court to claim damages for losses incurred.
What are the potential penalties for companies?
Companies found guilty of anti-competitive behavior face fines of up to 10% of their annual turnover from the year preceding the sanction.