travel agency dispute

StarTribune

Travel troubleshooter: here's why filing a credit card dispute too soon can foul up your travel refund.

Q: Last year, I booked a trip to Las Vegas through a site called Traveluro. My airline canceled the flight, and I could not get another flight. So, I had to cancel my hotel reservation.

I contacted Traveluro, and a representative agreed to cancel my reservation and give me a full refund. But the refund showed up in my account as "pending" and then completely dropped off. It was never fully processed.

I filed a credit card dispute with my bank, but my bank denied my request. Traveluro is extremely hard to get in touch with. I call, and it rings once, then hangs up on me. I've been trying for months!

The one other time I got through, a representative said they would escalate the situation and that somebody would call me within 24 to 48 hours. That never happened. Please help me get my $444 back!

A: If Traveluro promised you a refund, it should have delivered one.

First of all, you might be wondering what Traveluro is. It's an online travel agency operated by Holisto, a company based in the United States and Israel. Traveluro offers support in several European languages, which is perhaps where the "uro" part comes from.

So, why didn't Traveluro refund your hotel? First, online agencies don't control refunds on nonrefundable rooms. They would have to ask the hotel in Las Vegas for a waiver, which would take some time. It looks as if Traveluro tried to get your money back — hence the "pending" refund. But it ran out of time when you decided to file a credit card dispute.

A credit card dispute means you are asking your bank to reverse a transaction because it's fraudulent, or you didn't receive the product or service you ordered.

So, what went wrong? It turns out the company was able to secure a full refund for your hotel, according to Elad Shmilovich, Holisto's chief operating officer. "However, in parallel, the customer submitted a chargeback, which prevented the refund from being fully processed," he says. "That's why the customer saw a pending notification, which disappeared."

"Not to worry," Shmilovich added. "I've asked my ops team to issue a new refund, which should already be in her account."

Ah, I love a happy ending! But there's an important lesson here. When a company promises a refund, you have to give it time. Sometimes a refund to your credit card can take up to two billing cycles. If you lose patience and file a credit card dispute, it doesn't just stop the refund process. It can actually reverse it, ensuring that you never end up getting your money.

Christopher Elliott is the founder of Elliott Advocacy, a nonprofit that helps consumers. Contact him at [email protected] or elliottadvocacy.org/help .

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Complaints about travel

If you have a complaint about travel by air, land, or sea, find out where to share your complaint to get the problem resolved.

Complaints about an airline or TSA

The kind of complaint you have about an airline or an airport experience with the Transportation Security Administration (TSA) determines where to go with your complaint.

• Airline service or discrimination - First, attempt to resolve your complaint with the airline. If the airline does not fix the problem, file a complaint with the U.S. Department of Transportation (DOT) . 
• Airline safety - Contact the Federal Aviation Administration (FAA) hotline .
• Airline security - Contact the TSA through their security issue web form.
• Airport experience with TSA - Contact the TSA through their complaint web form.

Learn about your consumer rights as an air traveler and how to avoid problems.

Vacation rental scams

Vacation rental scammers may try to take your money by offering a vacation property that does not exist or that they do not have the right to rent to you.

Learn from the Federal Trade Commission (FTC) about vacation rental scams , including:

• How they work
• How to avoid them

If you have encountered a vacation rental scam, report it to:

• The website where you saw the listing
• The credit card or other service you used if you paid the scammer
• Your local law enforcement

Complaints about a hotel or motel 

• Begin by sharing your complaint with the front desk, manager, or customer service line.
• If you feel your issue was not resolved, contact the regional manager or another senior executive if the hotel or motel is part of a chain.
• Depending on the type of complaint, if it is not resolved, you may also contact the local health department or the state consumer protection office .

Complaints about travel agents and travel agencies

Begin by complaining to a local travel agency’s manager. If you are using an online booking service, complain to their customer service department. If your complaint is not resolved, you can contact:

• The state consumer protection office where you live or where the travel company is located
• Your local Better Business Bureau

Complaints about cruises

• If you have a complaint while you are on a cruise, contact the ship’s guest services office.
• To complain before or after a cruise, contact the cruise line’s customer service department.

If the problem is not resolved, contact the Federal Maritime Commission by email at [email protected] or download, fill out, and mail or fax their cruise dispute services request form .

Car rental complaints

If you have a complaint about a rental vehicle, try contacting the rental agency’s customer service department first. If you cannot get your complaint resolved with the rental agency, contact:

• Your state consumer protection office
• The Federal Trade Commission

LAST UPDATED: December 7, 2023

Have a question?

Ask a real person any government-related question for free. They will get you the answer or let you know where to find it.

How to Get a Refund from or Complain to Any Travel Company: Which Government Agency Oversees What

By William J. McGee

February 27, 2024

Whether it’s a bankrupt cruise line, a canceled flight, a missing car rental reservation, or a hotel “walking” you due to overbookings, there are times when you need to complain to a higher authority.

But just who are those authorities in the U.S. travel industry? Well… it’s complicated.

The most important thing to do is always book travel with a credit card (rather than check, cash, or money transfer). In the case of a cancellation or shutdown, paying with a credit card gives you the right to invoke The Fair Credit Billing Act , overseen by the Federal Trade Commission (FTC). It ensures you are entitled to credit refunds for products that “weren’t delivered as agreed,” no matter where the company that charged you is based. 

Which government agency oversees travel companies?

Complaints about cruise lines

Recourse can be challenging when you’re dealing with cruises, since nearly all the largest lines are flagged and headquartered outside the United States. The February 2024 bankruptcy of American Queen Voyages (AQV) was a rarity in that it was an American company, and information on its shutdown—including details about filing for refunds—can be found on AQV’s site . 

The Federal Maritime Commission (FMC) weighed in on AQV’s bankruptcy, suggesting consumers file claims with their card issuers. 

As for complaints against the vast majority of cruise lines embarking from U.S. ports, the FMC states: “There is no federal government agency that regulates cruise customer service issues (e.g., itinerary changes, passenger cancellations, cabin concerns, etc.). Moreover, the Commission has limited jurisdiction over cruise lines…in the U.S.”

So you can see why it's so important to pay for cruises with a credit card, because that leaves passengers with recourse from their own credit card issuer.

FMC’s site offers advice on how to pursue complaints .

In addition, the U.S. State Department offers advice for U.S. citizens traveling on cruise ships in international waters.

Complaints about airlines

After 20-plus years as an airline passenger advocate, I can’t tell you how many times I’ve heard disgruntled flyers threaten to sue their carrier. 

Good luck with that. I wrote here about the failures of airline deregulation , and one of those failures is a legal loophole known as federal preemption . Simply put, it means that state legislatures, state attorneys general, and even state courts have virtually no authority over airlines, so your rights are greatly curtailed.

However, even loopholes have loopholes. You can still file suit against domestic airlines in small claims court. The dollar limits vary by state (free legal advice website Nolo maintains a list of every state's maximum dollar amount ) and range from $2,500 (Kentucky) to $25,000 (Delaware and Tennessee). 

Regardless of where you live, as long as your flight started or ended on land controlled by the United States, you can also file complaints with the U.S. Department of Transportation online, by phone, or by mail. DOT processes complaints for consumer, disability, and discrimination issues. 

On the same page , the DOT also provides links for filing safety complaints via the Federal Aviation Administration and security complaints via the Transportation Security Administration.  

Complaints about car rentals

The FTC offers advice on renting a car, as well as tips on charges, fees, and coverage options. Consumers who encounter problems with rental firms can file complaints with the FTC’s office that processes reports on “ fraud, scams, and bad business practices .”

Additionally, filing a rental complaint with a state attorney general can be very effective. A good place to start is National Association of Attorneys General, which has a map, including contact information for where to start in every state.

In fact, some states, such as New York, offer detailed advice and details  of their own on consumer protections.

Complaints about hotels and vacation rentals

The advice for addressing problems and complaints related to accommodations is similar to troubleshooting car rental issues.

USA.gov has its own list of whom to engage for complaints about travel, and it also recommends contacting state consumer protection offices ( it even tells you whom to write ) and the FTC.

The FTC also offers specific advice on vacation rental scams , which are now widespread.

Getting help for general problems

For bankruptcy filings

When U.S.-based companies file bankruptcy, either as Chapter 11 reorganizations or Chapter 7 liquidations, consumers have rights to claims . But you may wind up in line behind many other creditors.

You can keep abreast of developments if the travel company maintains a website. If it doesn’t, you’ll need to file claims through the court.

But what happens if your foreign airline or travel supplier (one that isn’t based in the United States) goes bankrupt? Obviously, laws vary by nation, as the DOT states : “Other countries may have bankruptcy laws that apply to foreign carriers and foreign ticket agents.”  

As for the U.S. State Department, the agency details what it can and cannot do for you in a crisis .

Unfortunately, in many cases Americans are exempt from foreign protections for shutdowns, such as in the U.K. and European Union. 

Not surprisingly, travel insurance companies advise you to purchase policies as added protection in such cases. If you do buy travel insurance, it’s wise to buy it from a third party and not from the company that sold you the travel product to begin with. Here's a list of reputable insurance providers , including a few marketplace websites where multiple insurers vie to sell you policies in one place.

For complaints that don’t involve legal filings

While it is not a government agency, the Better Business Bureau (BBB) may still assist you in resolving disputes and allows you to alert others about bad corporate behavior. Companies don’t like it when they’re given a bad rating by the BBB, so they may be willing so work with you to avoid it. Ratings cover a broad variety of travel companies and are sorted by the location of the business.

Remember that it always makes sense to file detailed claims directly with your travel company either before or while you also contact government agencies. 

Also remember that some travel companies, particularly hotels and car renters, may be franchisees of larger brands, so make sure to send copies of your complaint to their corporate headquarters.

And keep good records! Along with using a credit card—it’s the first rule of paying for travel products—this can be crucial to getting your money back. Your claims and complaints will have much more power if you include dates, times, names, and other pertinent details, such as flight numbers, room numbers, berths, vehicle descriptions, and so on. Photographs may help, too.

William J. McGee is the Senior Fellow for Aviation & Travel at American Economic Liberties Project. An FAA-licensed aircraft dispatcher, he spent seven years in airline flight operations management and was Editor-in-Chief of Consumer Reports Travel Letter . He is the author of Attention All Passengers and teaches at Vaughn College of Aeronautics. There is more at www.economicliberties.us/william-mcgee/ .

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Understanding Travel Agent Liability

(This may not be the same place you live)

  Are Travel Agencies Subject to Specific Laws?

Yes, travel agencies and travel agents are subject to specific laws. A travel agency is a business that makes arrangements for individuals who are traveling, including booking airline tickets and hotel rooms.

Travel agencies and their agents are subject to travel law. Travel law regulates the travel industry. Travel law includes:

• Federal laws;
• State laws;
• Common law; and
• International laws.

Each state has consumer disclosure and fraud statutes as well as refund policy requirements for businesses that arrange and/or sell travel services. Some states have created specific laws for regulation, registration, and licensing for those who sell travel. The majority of states do not require travel agents to obtain a license. However, California and Florida require travel agents to register with the applicable state agency.

What are the Responsibilities of Travel Agents?

What are the legal duties and obligations of travel agents, what is travel insurance, is trip insurance required, can my travel agent be liable for problems i encounter on my trip, do travel agents need insurance, do i need a lawyer if i have a claim against my travel agent.

Travel agents have many responsibilities. A travel agent definition is someone who sells and arranges transportation, accommodations, tours, and/or trips for travelers. They are fiduciaries , or representatives, of their customers. They are responsible for general duties in arranging travel plans. A travel agent should:

• Make and confirm reservations, including itinerary changes and delivery of tickets;
• Disclose the identity of tour operator and/or the supplier responsible for the services;
• Vouch for the reliability of the supplier and/or provide a warranty for services;
• Investigate the availability of travel services, such as cancelled flights and/or overbooked hotels;
• Convey needed information and provide needed travel documentation;
• Provide information on health and safety hazards;
• Advise on the availability of travel insurance ; and
• Inform customers of any restrictions on transportation tickets.

According to the state courts, travel agents have a higher standard of care because they have a special relationship with their customers. This includes special duties and obligations owed to their customers. Travel agents duties and obligations include:

• A duty to warn the customer;
• A duty to investigate and disclose;
• A duty to inform;
• A duty to make reservations; and
• A duty to confirm reservations.

The duty to warn the customer includes a duty to reveal any negative information they have regarding the destination of the traveler. An example of this is if the traveler is going to a high crime area.

The duty to investigate and disclose includes a duty to investigate travel plans and be knowledgeable about the area to which the traveler is going. This includes knowing if there are certain conditions that would affect the consumers travel plans, such as a community event that may cause travel interference or delays.

The travel agent’s duty to inform means the agent has a duty to inform their clients about important travel information. They must inform clients about things such as:

• Limitations on ticket changes;
• Documents needed to travel;
• Whether certain countries have requirements; and
• The availability of travel insurance.

The travel agent has a duty to make reservations at the request of the customer. The travel agent also has a duty to confirm those reservations and make sure they are ready for the customer.

Travel insurance reimburses a traveler for costs related to events that may occur during their trip. It is designed to cover those who purchase coverage for financial implications of issues that may arise during their trip. It may include costs incurred prior to travel, such as non-refundable tickets or hotel stays and/or events that occur during a trip, including travel interruptions and medical expenses.

Travel insurance usually covers 5 main categories, including:

• Trip cancellations;
• Travel medical coverage;
• Major medical coverage;
• Emergency medical evacuation; and/or
• Accidental death/flight accident.

Travel insurance is an optional coverage that the traveler can purchase when they book their trip. Should they wish, a lawyer can review the terms and conditions of any travel insurance.

As noted above, trip or travel insurance is an optional coverage a traveler may purchase prior to taking a trip. In most cases, an individual’s homeowner’s insurance and/or health insurance policies will cover any medical costs or lost property, while at home or traveling. An individual’s life insurance policy will usually cover the individual and their family members while traveling. Additionally, airlines must reimburse a passenger if they lose their baggage.

A traveler can also purchase trip cancellation or trip interruption insurance, which will cover any losses that are not covered by other insurance. This can be helpful to protect the cost of the trip, especially if it must be cut short due to unforeseen circumstances.

Travel can be extremely expensive, especially abroad. Trip insurance may assist with costs of travel delay and/or lost or damaged luggage if the airline fails to fully compensate the traveler. It may also protect a traveler from costly medical bills in the event they are injured or become ill during their trip. Trip insurance may cover extreme unforeseen circumstances such as emergency medical evacuation, accidental death and/or flight accidents.

There are times when travel agents may be liable for problems a customer encounters. Travel agents may be liable to their customers for:

• Violations of general duties;
• Fraudulent misrepresentations; and/or
• Violations of applicable state regulations.

Some common issues travelers may encounter include:

• A cancellation;
• Discrimination;
• Lost, stolen and/or damaged baggage;
• A violation of consumer protection laws; and/or
• A deceptive port charge.

Sometimes, when an individual books a vacation, they may have to sign a travel agency contract. These contracts are signed at the time the traveler books their trip. They may include:

• Baggage fees;
• Travel agent obligations;
• Cancellations;
• Payment terms;
• Additional fees;
• Travel documents;
• Confirmations;
• Governing laws; and/or
• Any other necessary clauses.

Yes, similar to other commercial businesses, travel agents benefit from obtaining business insurance to protect them from liability. Travel agent or travel agency insurance often comes in 2 forms: professional liability insurance and general liability insurance.

Travel agent liability insurance, or professional liability insurance, protects a travel agent for any errors that occur in business activities. It also assists when the travel agent is sued by a customer for not providing the service that the customer was due to receive per their contract.

General liability insurance protects travel agents and travel agencies in their officers where they meet with clients. This is generally for protection in case a claim related to an injury, such as a slip and fall accident, occurs.

Yes, travel laws can be complex and vary by jurisdiction. An experienced business lawyer will be able to assist you with any aspects of travel law. Every state has specific regulations regarding travel sellers. Travel law includes domestic and international laws. For these reasons, it is important to obtain the services of a lawyer to help navigate any claims.

A lawyer can assist with reviewing any contracts and/or documentation and determine if a claim exists. A lawyer can also represent you during any court proceedings or alternative dispute resolution processes, if necessary. A lawyer can also assist you with any issues that arise from travel insurance.

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Jennifer Corbett

LegalMatch Legal Writer

Original Author

Jennifer joined LegalMatch in 2020 as a Legal Writer. She holds a J.D. from Cumberland School of Law and has been a member of the Alabama State Bar since 2012. She is a certified mediator and guardian ad litem. She holds a B.A. in Criminology and Criminal Justice and a B.A. in Spanish, both from Auburn University. Jennifer’s favorite part of legal work is research and writing. Jennifer enjoyed being a Law Clerk for a distinguished Circuit Judge in Alabama. She is a stay-at-home mom and homeschool teacher of three children. She enjoys reading and long evening walks with her husband. Read More

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Managing Editor

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Disputes we can and can't help with

Find out the types of disputes we can, and can’t help with.

Disputes we can and can’t help with

We are here to help customers of ABTA members, so you will need to check that your problem relates to a current  ABTA member . If your travel company is not a member, we will not be able to help with your dispute. 

If you have a dispute and you booked with a current ABTA member then we can offer information and potential solutions. This service is approved by Government as a Consumer ADR body under the Alternative Dispute Resolution for Consumer Disputes (Competent Authorities and Information) Regulations 2015.

Please note that airlines are not Members of ABTA. If you booked your flight directly with an airline, you will need to contact the airline if you are having any issues with receiving a refund.

What can ABTA help me with? 

• We can help you if you have a booking with a travel company that is a current member of ABTA.
• We can offer you an ADR (Alternative Dispute Resolution) scheme if you have a dispute with a current ABTA member. This has two stages: informal resolution, and more formal arbitration. We can guide you through our processes. 
• For more information on the ADR scheme please visit the resolving disputes page .
• We can provide information on any current Foreign Office advice.
• We can advise on whether your travel company is acting in line with our Code of Conduct . This covers issues such as changes to bookings, information and travel documents you should receive, cancellations, how ABTA members should deal with complaints and more. We can guide our members in following our code, and if we believe a breach of the code may have taken place we will look into it. 

What can’t ABTA help me with?

• ABTA isn’t an ombudsman or a Government body, and we can’t award compensation, or require our members to offer compensation in disputes.
• We can't offer free legal advice to customers. We’re not a legal body; we regulate through and advise on our Code of Conduct.
• We can’t assist you if your booking is not with a travel company that is a current member of ABTA.
• We can’t assist you if you have raised a chargeback with a bank or credit card company and it is still active. 
• We can’t assist you if your dispute is older than 18 months from the return journey or the intended return date.

Also in this section

Before and after travel Resolving disputes Register a dispute I have a problem raising a dispute I have a problem after registering a dispute

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Disputes with travel companies

How das law can help you.

Our experienced team of dispute resolution lawyers can provide you with practical legal advice and representation in the event of a dispute with a travel company.

These are some of the outcomes we can achieve for you:

• Compensation for loss of enjoyment of your holiday because of building works etc.
• Compensation for the holiday being cancelled or changed last minute.
• Compensation for injury caused by the hotel or operator.

Important things to consider

Here are some important things you should be aware of regarding your legal problem:

• The Package Travel Regulations only apply to a package holiday which is defined as a pre-arranged combination of at least two of; transport, accommodation, and other significant tourist services.
• The Regulations make the UK operator liable for any breach of contract by any provider of the holiday, such as a hotel, irrespective of whether the provider is based here or abroad, meaning a claim can be brought in the UK Courts even though the holiday was overseas.
• The Regulations, with a few minor exceptions, prevent the operator from increasing the price once the holiday has been booked.

How much will it cost?

If you would like DAS Law to help you with your legal dispute with a travel agency, there are a number of ways to fund your legal costs.

Legal expenses insurance (LEI)

If you have a commercial insurance policy this may include LEI cover. If so, your legal costs may be covered by that policy, subject to its terms and conditions. If you are unsure if your insurance policy includes LEI cover, we will check this with you.

"> Personal LEI

No legal expenses insurance

Unfortunately we are unable to take on private instructions at the moment, and can only work with customers who have legal expenses insurance.

What should I do next?

If you have legal expenses insurance with DAS, please call us on the number listed in your policy.

Senior Associate, Solicitor

Legislation known as the Package Travel Regulations gives protection to people purchasing package holidays. So if your trip qualifies as one of these, you could be entitled to compensation if your holiday didn’t turn out as planned.

William Ellerton, Dispute Management

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Credit card chargebacks can fix travel problems. But there are limits.

When Jeff Campbell checked in at the Austin airport for a spring break vacation, the last thing on his mind was a credit card chargeback. Instead, he was thinking about the fun he’d have with his three daughters at Universal Orlando Resort that week.

“Literally at the gate, my airline canceled the flight,” he says. “An agent said they would refund that specific flight, but then just handed me a business card to call and talk to someone about it.”

His only option was a pricey car rental and about a 17-hour drive to Orlando. He didn’t even bother asking his airline for a refund when he decided to drive home.

“I disputed the entire charge on my credit card,” he says.

Campbell, a personal finance expert who blogs at Middle Class Dad Money , joined the many other travelers who turn to credit card chargebacks when something goes wrong on a trip.

Under the Fair Credit Billing Act, consumers can dispute a credit card charge for goods and services they did not receive or accept. Your bank will investigate, and, if it sides with you, you will get a refund.

Monica Eaton-Cardone, chief operating officer of Chargebacks911 , a company that protects businesses from fraudulent chargebacks, says it has become more commonplace for consumers to actively dispute credit card payments and demand refunds from their banks. According to research by the company, the number of such disputes has risen by 25 percent since the start of the pandemic.

Experts thought things would return to normal after the pandemic triggered an initial round of disputes for canceled vacations . Then came another wave from travelers who didn’t want to accept airline vouchers or cruise credits. Now, industry watchers say chargebacks are increasingly seen as a preferred tool for getting refunds from travel companies.

Take Campbell’s case, for instance. As a personal finance expert, he knows how chargebacks work and the limits of the Fair Credit Billing Act. (I’ll get to those in a moment.) But he didn’t want to bother asking his airline for a refund. He just wanted his $2,300 back. Two months later, his bank returned the money.

The dispute process wasn’t harder than in the past, he says. “But it took much longer to get a resolution.”

How bad has it gotten? Stephen Fofanoff, general manager of Domaine Madeleine , a small inn in Port Angeles, Wash., says he has noticed a significant increase in credit card disputes since the pandemic started. They follow a similar pattern: Guests book the cheapest nonrefundable rooms, skip the travel insurance, then demand a refund when their plans change.

“If we don’t give them a refund, they threaten us with bad reviews and then file a chargeback with their credit card,” he says.

But a chargeback isn’t a panacea for travelers who want a refund. For starters, it only applies to credit cards. If you pay with cash, debit or wire transfer, you can’t get a chargeback.

The Fair Credit Billing Act protects purchases where the date is wrong. (For example, you booked an airline ticket for the 23rd of the month, but you received a ticket for the 25th.) It also applies to receiving the wrong number of goods or services (you booked one rental car but were charged for two) and math errors, such as a decimal-point mix-up that turns your $4 latte into a $4,000 cup of joe.

You have 60 days after receiving the first statement containing the disputed transaction to file a chargeback.

If you have a complaint about the quality of a travel product, as opposed to failure to provide a service, the threshold is even higher for credit card disputes. The law requires that the business must be in your home state or within 100 miles of your current billing address, and that the purchase must be for more than $50. You must also make a “good faith effort” to resolve the problem with the seller first.

A credit card chargeback is almost never the fastest or easiest way to get a refund. Even if you’re successful, a chargeback is long process, and the merchant could still send you to a collection agency or add you to its “Do Not Rent” list. It’s far better to work with the airline, car rental company or hotel to get your money back.

So when should you immediately file a chargeback? Only when a travel company charges you fraudulently. Be patient with any other dispute. If, for example, a company promises a refund and doesn’t send it, you should talk to your bank. (Don’t forget the 60-day limit.)

“Don’t use a chargeback as a weapon,” advises Y. Murat Ozguc, managing partner of Turkish tour operator Travel Atelier . He frequently deals with chargebacks from customers who don’t recognize the name of his company on their credit card bills. Instead of calling to ask about their bill, they file a chargeback. They don’t win the dispute, but it makes life complicated for everyone.

Read the fine print before you call your bank or credit card. Brandon Barron thought he could use a credit card dispute to get a refund from Aeroflot after the airline canceled his flight from Washington, D.C., to Kemerovo, Russia, this summer. But the airline couldn’t refund the money, because it was affected by U.S. sanctions. Then he realized he booked the tickets with a debit card.

“Rookie mistake,” says Barron, who works for a timeshare company in Charlotte. “I’m not very hopeful that I will ever see a penny back of what amounts to nearly $5,000.”

The takeaway: Credit card chargebacks can be a powerful tool for recovering your money from a travel company. But use them sparingly, and only after you’ve exhausted all other measures.

PLEASE NOTE

Potential travelers should take local and national public health directives regarding the pandemic into consideration before planning any trips. Travel health notice information can be found on the Centers for Disease Control and Prevention’s interactive map showing travel recommendations by destination and the CDC’s travel health notice webpage .

Travel Agency Group Doubles Down on Dispute With American Airlines

Selene Brophy , Skift

December 4th, 2023 at 9:12 AM EST

In an exclusive, the leading group of U.S. travel advisors responds to claims by American Airlines that they're Luddites. The group says the carrier's effort to force them to adopt its preferred technology for booking flights is too fast and that, essentially, it's a bully.

Selene Brophy

The American Society of Travel Advisors (ASTA) and American Airlines are going head-to-head in a complaint before the U.S. Department of Transport (DOT) . Skift reached out to ASTA for the group’s latest position following a response from American Airlines last month.

The debate hinges on whether the airline has been wrong to withhold a big chunk of ticket options from travel agencies that fail to adopt its preferred booking technology.

Here’s a quick recap on the latest twist in a decade-long saga about how agencies process tickets.

• Travel agents have used reservation desktop software based on the Edifact (the United Nations rules for Electronic Data Interchange for Administration, Commerce and Transport) programming language for decades.
• American Airlines believes the industry needs modern technology for distribution. A decade ago, it led a multi-airline effort to push travel agents to adopt new technology , known by the shorthand new distribution capability, or NDC .
• American Airlines has used carrots and sticks to get agents to adopt NDC. Earlier this year, it pulled about 40% of its fare inventory out of the old system.
• The largest travel management companies (TMCs) and online travel agencies have had the resources to adopt the new tech.
• However, many smaller travel agencies say the cost and training effort to learn the new workflows is overwhelming. They want a more gradual roll-out.
• Many of American’s cheapest fares are now only purchasable through NDC channels. That places smaller travel agencies at “a massive competitive disadvantage” to American’s direct booking website and the better capitalized online travel agencies, ASTA said.
• Small-to-midsized agencies say they need time to cope with the changes in how ticketing inventory is displayed and controlled. Today, they can’t efficiently service bookings (such as changing or canceling reservations), exchanging tickets, or booking certain itineraries).
• Duty of care is a legal requirement for employers to know the whereabouts of their employees and any potential risks involved in employee travel. Edifact systems support this, while NDC technologies do not, hindering TMCs from doing their work, says ASTA.
• In August, agency group ASTA filed its DOT complaint that American Airlines is essentially using its market dominance to bully them by limiting them from offering customers a broad comparison of flight options and prices.
• ASTA said NDC, in its current state of development, impairs service and efficiency for the nearly 50% of all travelers who book air tickets through a travel agency or TMC.
• American Airlines responded to the DOT complaint in November, accusing the association of stifling innovation.

Skift asked ASTA to reply to how American Airlines defended itself to regulators last month. ASTA did on Monday, exclusively, below. The response has been edited for brevity.

What proof do you have you’re losing access to the lowest fares?

In late July and at ASTA’s request, a respected third-party fare data aggregator compared Edifact and NDC-channel fares for 142 different domestic city pairs flown by American.  

For each route, the aggregator also compared fares across different cabin classes (main cabin, main cabin extra, business, and first-class), where fares in both channels were published. Across the board, and without exception, the average NDC channel fare was lower, in some cases, by more than 50% .

What is ASTA’s perspective on American Airlines’ claim that travel agents don’t want to change with the times?

In their DOT filing, AA intimates that NDC already includes robust functionality. This readiness is overstated.  

While the items listed in AA’s response regarding functionality are accurate, its [workflow] is also very limited in terms of functionality and only available as individual components and for new NDC reservations only.

What’s lacking from AA’s response is how atrocious the workflow is for new reservations.

We disagree with AA’s assertion that agencies are grasping onto the old ways of managing travel. Most travel agencies and TMCs lack the deep pockets of an airline or a major online travel agency to invest in proprietary solutions. We rely on third-party companies to enable our business.

How do you respond to American Airlines’ claim that ASTA’s complaint favors agencies over consumers?

The premise of the question — that the interests of consumers are in opposition to the interests of travel agencies and TMCs with respect to NDC — is simply false.

Nor is it accurate to characterize agencies as reluctant to adapt to new technologies.

Rather, it is about the ability of agencies and TMCs to provide the level of service the clients have come to expect without forcing them to choose between obtaining the lowest fare or forsaking … the duty of care obligations businesses owe to their employees when they travel on behalf of their employer.

American is using this claim to avoid taking responsibility for the very real duty of care problems [ Outlined in page 34 of the complaint PDF ] these changes are causing.  

How does ASTA counter the claim that travel agencies are reluctant to invest in new technologies, holding back the sector? 

Framing the issue this way misses the point, as it’s not a question of the superiority of one technology over another. Again, it’s about readiness.   

How does ASTA respond to American Airlines’ accusation that it opposes NDC, which is said to offer more options, lower prices, and is supported by other airlines and technology-forward agencies?

American’s answer mischaracterizes ASTA’s position on NDC and technology generally.

ASTA is not anti-NDC. We fully support the adoption of modern retailing methods when the necessary technologies are ready and in place. This requires collaboration between airlines, technology partners, and agencies.

We’re thankful for other airline partners who recognize that and have taken a more responsible approach.   

American Airlines claims to have comparable fare visibility in both the old and new workflows.

“Viewable and available for comparison” is not the same as transactable, and AA unequivocally admits in its answer [filed with the DOT] that it “does not allow all of its fares to be transactable using Edifact.”

AA has been working on its solution for 10 years and offered less than 12 months for TMCs to catch up. While the functionality continues to improve, we are all a long way from complete.  

The matter will ultimately be decided by the DOT.

American Airlines Accuses Travel Agents of Stifling Innovation for Self Interest

American Airlines has lashed out at U.S. travel agents in a scathing response to the complaint that the airline’s robust distribution strategy was unfair.

Have a confidential tip for Skift? Get in touch

Tags: airline distribution , american airlines , asta , complaints , direct booking , direct bookings , dot , gds. global distribution systems , ndc , online booking , travel advisors , travel agencies , travel agents

Photo credit: A travel agent completes a booking online. Andrew Neel, Unsplash / Andrew Neel, Unsplash

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Travel agency group doubles down on dispute with american airlines.

The American Society of Travel Advisors (ASTA) and American Airlines are going head-to-head in a complaint before the U.S. Department of Transport (DOT) . Skift reached out to ASTA for the group’s latest position following a response from American Airlines last month.

The debate hinges on whether the airline has been wrong to withhold a big chunk of ticket options from travel agencies that fail to adopt its preferred booking technology.

Here’s a quick recap on the latest twist in a decade-long saga about how agencies process tickets.

Travel agents have used reservation desktop software based on the Edifact (the United Nations rules for Electronic Data Interchange for Administration, Commerce and Transport) programming language for decades.

American Airlines believes the industry needs modern technology for distribution. A decade ago, it led a multi-airline effort to push travel agents to adopt new technology , known by the shorthand new distribution capability, or NDC .

American Airlines has used carrots and sticks to get agents to adopt NDC. Earlier this year, it pulled about 40% of its fare inventory out of the old system.

The largest travel management companies (TMCs) and online travel agencies have had the resources to adopt the new tech.

However, many smaller travel agencies say the cost and training effort to learn the new workflows is overwhelming. They want a more gradual roll-out.

Many of American’s cheapest fares are now only purchasable through NDC channels. That places smaller travel agencies at “a massive competitive disadvantage” to American’s direct booking website and the better capitalized online travel agencies, ASTA said.

Small-to-midsized agencies say they need time to cope with the changes in how ticketing inventory is displayed and controlled. Today, they can’t efficiently service bookings (such as changing or canceling reservations), exchanging tickets, or booking certain itineraries).

Duty of care is a legal requirement for employers to know the whereabouts of their employees and any potential risks involved in employee travel. Edifact systems support this, while NDC technologies do not, hindering TMCs from doing their work, says ASTA.

In August, agency group ASTA filed its DOT complaint that American Airlines is essentially using its market dominance to bully them by limiting them from offering customers a broad comparison of flight options and prices.

ASTA said NDC, in its current state of development, impairs service and efficiency for the nearly 50% of all travelers who book air tickets through a travel agency or TMC.

American Airlines responded to the DOT complaint in November, accusing the association of stifling innovation.

Skift asked ASTA to reply to how American Airlines defended itself to regulators last month. ASTA did on Monday, exclusively, below. The response has been edited for brevity.

What proof do you have you’re losing access to the lowest fares?

In late July and at ASTA’s request, a respected third-party fare data aggregator compared Edifact and NDC-channel fares for 142 different domestic city pairs flown by American.

For each route, the aggregator also compared fares across different cabin classes (main cabin, main cabin extra, business, and first-class), where fares in both channels were published. Across the board, and without exception, the average NDC channel fare was lower, in some cases, by more than 50% .

What is ASTA’s perspective on American Airlines’ claim that travel agents don’t want to change with the times?

In their DOT filing, AA intimates that NDC already includes robust functionality. This readiness is overstated.

While the items listed in AA’s response regarding functionality are accurate, its [workflow] is also very limited in terms of functionality and only available as individual components and for new NDC reservations only.

What’s lacking from AA’s response is how atrocious the workflow is for new reservations.

We disagree with AA’s assertion that agencies are grasping onto the old ways of managing travel. Most travel agencies and TMCs lack the deep pockets of an airline or a major online travel agency to invest in proprietary solutions. We rely on third-party companies to enable our business.

How do you respond to American Airlines’ claim that ASTA’s complaint favors agencies over consumers?

The premise of the question — that the interests of consumers are in opposition to the interests of travel agencies and TMCs with respect to NDC — is simply false.

Nor is it accurate to characterize agencies as reluctant to adapt to new technologies.

Rather, it is about the ability of agencies and TMCs to provide the level of service the clients have come to expect without forcing them to choose between obtaining the lowest fare or forsaking … the duty of care obligations businesses owe to their employees when they travel on behalf of their employer.

American is using this claim to avoid taking responsibility for the very real duty of care problems [ Outlined in page 34 of the complaint PDF ] these changes are causing.

How does ASTA counter the claim that travel agencies are reluctant to invest in new technologies, holding back the sector?

Framing the issue this way misses the point, as it’s not a question of the superiority of one technology over another. Again, it’s about readiness.

How does ASTA respond to American Airlines’ accusation that it opposes NDC, which is said to offer more options, lower prices, and is supported by other airlines and technology-forward agencies?

American’s answer mischaracterizes ASTA’s position on NDC and technology generally.

ASTA is not anti-NDC. We fully support the adoption of modern retailing methods when the necessary technologies are ready and in place. This requires collaboration between airlines, technology partners, and agencies.

We’re thankful for other airline partners who recognize that and have taken a more responsible approach.

American Airlines claims to have comparable fare visibility in both the old and new workflows.

“Viewable and available for comparison” is not the same as transactable, and AA unequivocally admits in its answer [filed with the DOT] that it “does not allow all of its fares to be transactable using Edifact.”

AA has been working on its solution for 10 years and offered less than 12 months for TMCs to catch up. While the functionality continues to improve, we are all a long way from complete.

The matter will ultimately be decided by the DOT.

American Airlines Accuses Travel Agents of Stifling Innovation for Self Interest

American Airlines has lashed out at U.S. travel agents in a scathing response to the complaint that the airline’s robust distribution strategy was unfair.

Get breaking travel news and exclusive hotel, airline, and tourism research and insights at Skift.com.

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File a Consumer Complaint

Before you contact DOT for help with an air travel problem, you should give the airline a chance to resolve it.  Airlines have trouble-shooters at the airports, usually called Customer Service Representatives, who can take care of many problems on the spot.  They may be able to arrange meals and hotel rooms for stranded passengers, write checks if you’re bumped from your flight, help with baggage issues, and settle other routine claims or complaints.

If you can’t resolve the problem at the airport, you may want to file a complaint with the airline.  DOT requires airlines to acknowledge consumer complaints within 30 days of receiving them and to send consumers written responses addressing these complaints within 60 days of receiving them.  DOT also requires airlines to let consumers know how to complain to them.

It’s often best to email or write to the airline’s consumer office at its corporate headquarters.  DOT requires airlines that fly to, from, or within the United States to state on their websites how and where complaints can be submitted.  There may be a form on the airline’s website for this purpose. 

If you feel that the airline does not resolve the issue to your satisfaction, you may want to file a complaint with DOT.  You may also file a complaint with DOT if you feel that you experienced unlawful discriminatory treatment in air travel by airline employees or the airline’s contractors on the basis of disability or on the basis of race, color, national origin, sex (including gender identity and sexual orientation), religion, or ancestry. 

Safety and Security Complaints

Please note that aviation safety and security complaints are not handled by DOT’s Aviation Consumer Protection Division.

• If you have a concern about airline safety (airline and airplane safety, emergency exit seating, low-flying aircraft, pilot licensing and related issues), please visit the Federal Aviation Administration's (FAA) website to  report a safety-related issue .  
• If you have a concern about aviation security (passenger screening, the “no-fly” list, the baggage screening process, and related issues), call the Transportation Security Administration (TSA) toll-free at 1-866-289-9673 or email TSA .  For additional information, visit the TSA website .  

Contact Us By Phone or Mail

If you wish to submit a complaint to DOT via written letter, please feel free to do so using the contact information below.  When mailing a letter, please include your full address and phone number as well as complete and accurate information about your trip and the problem you had or are having.

• Contact us by phone – You may contact DOT by phone at 202-366-2220.  Please know that in order for a case to be processed as a complaint, it must be submitted in writing.
• Office of Aviation Consumer Protection U.S. Department of Transportation 1200 New Jersey Avenue, SE Washington, DC  20590

How the Complaint Process Works

For disability and discrimination complaints.

• A Transportation Industry Analyst will forward your complaint to the airline, and the airline will be required to respond to you and the DOT.   
• Once the airline’s response is received, a DOT analyst will review your complaint and the airline’s response to determine if a violation occurred.  After the analyst reviews your case, it will be given to an attorney for review.  Once your case is reviewed by an attorney, an analysis with our findings will be mailed to you.  Please note that due to the volume of cases received, and the thoroughness of this process, it may take some time to fully process your case.

For All Other Complaints

• A Transportation Industry Analyst will forward your complaint to the airline and the airline will be required to provide you with a response.  The analyst will ask the airline to provide a copy of the response to DOT only if it falls under one of the areas DOT enforces.  The DOT analyst will then review the case to determine whether a violation occurred.  If your complaint does not appear to fall under any of the laws that we enforce, it will still be logged in our database.   
• Every month, DOT publishes its Air Travel Consumer Report , which contains information about the number of complaints we receive about each airline and what problems people are having.  This report is made available to the public so that consumers and air travel companies can compare the complaint records of individual airlines and tour operators.  In addition to complaints, the report also contains statistics that the airlines file with us on flight delays, cancellations, bumping, mishandled baggage, and other helpful information.

How Do Consumer Complaints Help DOT?

Complaints from consumers help DOT spot problem areas and trends in the airline industry.  Complaints can lead to enforcement action against an airline when a serious violation of the law has occurred.  Complaints may also be the basis for rulemaking actions.

Additional Resources

• Air Travel Consumer Reports

DOT Relaunches Air Consumer Website

Login with Social

• Dispute Resolution

Dispute Resolution Process

The National Association of Travel Agents Singapore (NATAS™) was established in 1979. Today, NATAS is one of the leading trade associations in Singapore representing over 400 licensed travel agents. NATAS members command some 80% of the market share whether it is in the Outbound, Inbound, Air Transport or Surface Transport sectors. 

The dispute resolution process between consumers and our members comprise of NATAS''s attempt to forge a settlement (1st stage) as well as escalation to a Regulatory / Dispute Handling Organisation by the consumers (final stage). 

Regrettably, NATAS™ is unable to resolve commercial disputes between you and your travel agent or dictate the travel agents to pay compensation to you. We are however, able to link and connect you to the Customer Service Personnel  in the various agencies. Unfortunately, not all travel agencies in Singapore are members of NATAS , therefore, we are unable to assist you in your dispute with non-NATAS members. In such cases, you may approach the Regulatory / Dispute Handling organisations directly for assistance. 

Below is a list of regulatory / complaint handling organisations listed on the website. You can find information about these organisations and/or escalate a complaint to them by clicking the organisation name highlighted.

List of Regulatory / Dispute Handling Organisations

(1) Settlement between Consumer & Travel Agent (applies to members of NATAS only):

When a complaint is first received, it is recorded in the NATAS case file and then forward to the  Customer Service Personnel  of the respective travel agency. The complainant and the travel agent are encouraged to resolve the claim/dispute in an amicable and fair manner.

How to file a complaint with NATAS?

•  Write in to [email protected]

•   If necessary , NATAS Feedback will request you to provide supporting documents, such as Booking Form, Receipts, Air Tickets, T&C and any documents which may be useful to the travel agent for their investigation. 

(2) Escalate to Regulatory / Dispute Handling Organisations (when all options are exhausted between you and your travel agent)

When a dispute cannot be settled by mediation, the complainant has the option to approach a Regulatory / Dispute Handling Organisation to handle his/her case against the travel agent.

Miami police investigate fraud claims involving local travel agency

The Miami, Oklahoma Police Department is alerting residents about a possible fraud case involving a local travel agency. 

Police said anyone who feels they are a victim of the case should email [email protected] with their name, phone number, and details about how much they lost, information about the transaction, dates, and where it happened. 

If available, copies of documentation should also be attached in the email, according to police. 

Officials said they are taking the complaints seriously, and a detective will work on responding to each victim. 

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