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Category: Consumer

For consumers, three is a magic number

19 October, 201119 October, 2011
| No Comments
| Consumer
Consumer Protection Cartoon

Like the old joke about buses, you wait for ages, then three come along at once. So it is with consumer protection initiatives. There have been three in the past week. First, the EU Commission last week proposed a new Directive on Consumer Rights, which would merge various existing Directives and update and modernise EU consumer protection rules (hot on the heels of a slightly broader proposed Common European Sales Law). Second, the Minister for Jobs, Enterprise and Innovation yesterday announced the enactment of a comprehensive Consumer Rights Act, implementing the Report (pdf) of the Sales Law Review Group. As with the new Directive, the new Act will also merge various existing Irish pieces of legislation, and then update and strengthen Irish consumer protection law. Third, the Central Bank of Ireland today published a revised Consumer Protection Code (pdf), to ensure that consumers are adequately protected in their dealings with financial institutions. This is all very welcome, and I look forward to when these three initiatives come into force.…

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Can you recover taxes and charges from airlines when you don’t travel?

16 November, 201015 November, 2010
| 1 Comment
| Airline charges, Consumer, Contract, Restitution

Small palm tree, via Steve Hedley's restitution siteYes, you can. If you book to travel with an airline, and pay their fee plus government taxes and airport charges, but if you then don’t travel, so that the taxes are not due and the charges are not incurred, you are entitled to recover those taxes and charges from the airline. If the contract between you and the airline contains a clause either making them irrecoverable or imposing disproportionately high administration fees to recover them, that clause is unenforceable (on foot of the European Communities (Unfair Terms in Consumer Contracts) Regulations, 1995 (SI No 27 of 1995). I have already discussed this matter here, here, and here. Those posts discuss the ongoing campaign by the National Consumer Agency against airlines which refuse to refund such taxes and charges, or which impose disproportionately high administration fees when non-travelling passengers seek to recover them. In the Irish Times recently, Ciarán Hancock reported on the next stage of that campaign:

Airlines retain €28m in taxes and charges on unfilled flight seats

The National Consumer Agency (NCA) is seeking to clip the wings of Irish airlines who pocket taxes and airport charges paid by passengers who do not travel on flights they have booked.

…

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Vouching for Consumers

3 September, 200820 December, 2008
| No Comments
| advertising, Consumer, Contract, Irish Society

NCA logo, via their siteThe Consumer Protection Act, 2007 (also here), though it is the latest in a long line of piecemeal legislative forays into the area, nevertheless bids fair to provide substantial protection for consumers, provided both that the National Consumer Agency established under it is vigilant and active in that goal, and that it is allowed to be (for example, it may not survive in its current form calls (for example, by Fine Gael) for its abolition as part of the government’s cost-cutting desire to merge various statutory agencies). One important step was taken yesterday with the publication of draft guidelines for the retail sector. …

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What are websites for?

9 March, 200815 November, 2010
| 1 Comment
| Airline charges, Consumer, Contract, Defamation

There were interesting stories in the media recently, but I have been unable to find any traces of them on the websites of the relevant organisations. Their websites are rather good, and both organisations are media-savvy and tech-savvy, so the continuing absence of any trace of the stories is, to say the least, quite puzzling.

Update (12 March 2008): The National Consumer Agency (NCA), and National Newspapers of Ireland (NNI), for it is they, have still not added these developments to their website. Below the fold, find details of the tricks they are missing.…

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Airlines are facing legal challenge over refunds

30 October, 200715 November, 2010
| 3 Comments
| Airline charges, Consumer, Irish Law, Restitution

Small palm tree, via Steve Hedley's restitution siteUnder the above headline, Paul Cullen has an excellent piece (sub req’d) on the front page of today’s Irish Times, to the effect that the newly created National Consumer Agency (NCA) is planning a legal challenge aimed at forcing airlines to pay refunds to customers and to display their prices more clearly. The NCA has various airline practices firmly in its sights (and anyone who has been on a plane recently knows exactly what they are), but one line in the article particularly caught my attention:

The airlines are to be asked why … the taxes and charges they collect on behalf of airports are not refunded if a passenger does not fly.

Irish airlines are hardly unique in being slow to refund unincurred taxes and charges (see, for example, the UK’s Air Transport Users Council (AUC) report (pdf) on the issue, and some US stories here and here). One recent online report discussed Ryanair’s less than helpful practices in this area.

Nevertheless, as I have said on this blog before, in my view, as a matter of law, taxes collected but not due must be refunded. In my view, therefore, the NCA has solid legal grounds for this aspect at least of its actions against airlines, and I look forward to further developments in this story!…

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Refunding unincurred airport taxes and charges

26 March, 200715 November, 2010
| 8 Comments
| Airline charges, Consumer, Contract, Restitution

Small palm tree, via Steve Hedley's restitution siteA payment made on a basis which fails can be recovered. So, if I pay for cigarettes, and the price includes an amount for a tax which is subsequently found unconstitutional, the basis for that excess amount has failed, and I can recover the tax amount that wasn’t due (see Roxborough v Rothmans of Pall Mall Australia Limited (2001) 208 CLR 516; [2001] HCA 68 (6 December 2001)). It follows that if I book to travel with an airline, and pay their fee plus taxes and charges, but if I then don’t travel, so that the charges are not incurred and the taxes are not due, the basis for those taxes and charges has failed, and I ought to be able to recover them. If the contract between me and the airline contains clauses making them irrecoverable, (or, what amounts to the same thing, imposing disproportionately high administration fees) such clauses are almost certainly unenforceable (on foot of the European Communities (Unfair Terms in Consumer Contracts) Regulations, 1995 (S.I. No. 27 of 1995), the English equivalent of which have recently been applied by the Office of Fair Trading (OFT) against an airline’s terms and conditions).

These musings are prompted by the following story in the Price Watch column in today’s Irish Times (sub req’d):

No guaranteed refund if you don’t take your Ryanair flight

…

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Hi there! Thanks for dropping by. I’m Eoin O’Dell, and this is my blog: Cearta.ie – the Irish for rights.


“Cearta” really is the Irish word for rights, so the title provides a good sense of the scope of this blog.

In general, I write here about private law, free speech, and cyber law; and, in particular, I write about Irish law and education policy.


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