EUjet debacle . . . . .

can the government not 'bond' airlines before licencing them the same way that Travel Agencies have to. A buddy got caught in Portugal and she had to come home via Gatwick (Euro62) and from Heathrow to Cork (Stg150). While an e-mail was issued to all paid passengers telling them of operatiions ceasing, most people I imagine don't check e-mails while on holidays. Would travel insurance cover this cost or is there any way of recouping or is it down to experience? After JetMagic I thought that there was some changes in the licencing of new carriers.

Any information appreciated. Thanks

Tour operators are obliged to have a travel bond because they are selling flights and accommodation to customers as a package. Where a travel agent goes out of business, the customer will have no idea as to whether or not the airline or the accommodation provider has been paid by the tour operator. This is where the tour operator's bond comes into effect. Your contract you see, is between you and the tour operator when you buy a package tour/holiday - not you and the actual service provider.

If you buy a package holiday and the airline goes out of business, it's still up to the tour operator to put the matter right.

Booking direct with an airline that goes out of business are a different matter. If you book direct with the airline - your contract exists with them alone. Airlines that operate in Ireland are licensed for business by the Commission for Aviation Regulation. Before a licence is issued they must submit detailed sets of accounts, budgets, business plans to the Commission, together with projected turnover, etc.

Furthermore, air carriers using aircraft registered in Ireland are also checked by the Irish Aviation Authority and separately, the Department of Transport.

Long-answer to short-question, airlines are not required to have any sort of a bond in place to cover customer travel in event they go out of business.

If you've booked those flights yourself, then you may seek redress of monies spent, through to the Small Claims Court, provided the cost is less than 1270 euro. If flight values are greater than this, you case goes to the Circuit Court. Given the airline you specify have gone into liquidation however, you may have to join the queue to get your money back.

I'd always advise anyone to obtain private travel insurance (either annual or single trip) before travelling anywhere. There are many policies available for a reasonable cost.

Hope this helps.

tks for that, I know she has travel insurance so I expect it's down to reading the small print.

not the first time the cowboy who ran this airline tried his hand at it. seem to recall transaer and translift were two of his previous attempts. I think CMCR'Sadvice about having travel insurance is a good idea especially now that yearly insurance is affordable.

If she paid for the flights using her credit card, she might be better claiming from the credit card company. The travel insurance may contain a policy excess. Check out both options.

Marion

CMCR said:

If you've booked those flights yourself, then you may seek redress of monies spent, through to the Small Claims Court, provided the cost is less than 1270 euro. If flight values are greater than this, you case goes to the Circuit Court.

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Not true. If the flights cost over €1270 and less than €6350 its the district court that has jurisdiction. The difference is that you will need to serve a civil summons on the accused and hire a lawyer. The circuit courts only get involved for amounts over €6350 or appeals from the small claims/district court.

one of the sunday papers more or less said that it wasn't entirely his fault that he went belly up three times. Something to do with expansion in american being the first one, then the balkan conflict and finally ryanair thumping the lard out of him at shannon and the owners of manston airport insisting he use their airport as his main uk base. apparantely its more than 2 hours from london. also said that it was 'unlikely' that passengers would get anything back.

No joy with travel insurance, no cover when airline ceases operations due to financial reasons, however, got half (the unflown part) of the fare refunded to credit card account today. The 'debacle' cost €170 which compared to many who were stranded isn't to bad.