Not what many will want to hear in this thread of the many threads about flight cancellations, but companies are not
legally required to provide a refund if border closures prevent them providing the service.
Morally is another debate entirely.
The ACCC deputy commissioner Delia Rickard was interviewed on ABC Radio Brisbane this morning and confirmed that if an airline (or other travel provider) can not provide the service due to Government imposed restrictions (closed borders) then normal Consumer Rights and Guarantees under consumer law do not apply.
She further confirmed that vouchers or credit for future travel is generally the best you can hope for.
Other key points include:
- if the provider goes bust you join the list of creditors, a long way down the list. Effectively your money will be gone.
- ACCC has no power over post-COVID pricing. If supply and demand means the cost of the flight is double, the consumer has no option but to pay the higher price.
- companies are required to waive change fees.
- Companies can not retrospectively change the terms of a contract, so in some circumstances you may be better off paying a small penalty to cancel under the contract, rather than having the provider cancel. YMMV
If you'd like to hear it yourself there's some talkback calls raising concerns about airline flights, followed by the Rickard interview here:
ABC Radio Brisbane Skip through to at 1:07.00
