Homeaway / Porta Holiday Deposit Nightmare

Shearer27

Where do I start? 
We booked a villa through Homeaway in early February (before Covid-19) to Algaida, Majorca. So far we have paid €785.58 as a deposit securing the dates of 2.08.2020 - 12.08.2020. Since then obviously the Covid-19 pandemic has happened and our Ryanair flights have been cancelled. We therefore have been trying to cancel our villa reservation but with no success. The final balance needs to be paid by the 23.06.2020 but Porta Holidays are saying that if we cancel the villa we need to pay 50% of the cost. I have Nationwide Travel insurance so would this be covered? Obviously we knew nothing about Covid-19 when we booked and would now like to cancel as this is not going to be the holiday that we expected it to be. FCO advise us not to travel unless essential so do we pay the 50% they are demanding and hope to claim it back through our insurance or do we pay the whole balance and risk losing all of it if the claim fails and they refuse to refund? It said on their website that they offer 'Free cancellation until 60 days before check-in' and I emailed them asking to cancel the booking on the 3.06.2020 which was exactly 60 days until we are due to arrive but they are now saying that this only applies to bookings made after the Covid-19 breakout but nowhere does it state this clearly? Please help us as we don't know what to do or say... thank you.

macman

What do the terms of your holiday insurance say? Unfortunately you've found out the risk of booking flights and accommodation separately, as the accommodation remains available to you. Have you looked for alternative methods of travel? Things may be very different by early August.  

Shearer27

Thanks macman. We haven't looked at alternatives as we have made a decision not to travel abroad this year. My children are not keen to travel under the current restrictions and to be honest neither is my wife or myself for that matter. I do not want to put our health at risk and don't think that holidaying will be as relaxed as it used to be given the current Covid-19 situation. Will we be able to eat out, drink in bars, relax on the beach without having someone sit too close to us etc.? It really is not going to be the holiday we booked for back in February. In my opinion as long as people are still contracting and dying of this awful disease then I can't see things being much different in August - it's only two months away. Finally, we will probably need to quarantine for 14 days on our return and I cannot see how I will be able to get time off work additional to the ten days I would have had prior? 

[Deleted User]

What were the terms and conditions of your villa booking at the time you booked?   They should have stated that clearly at the time no matter what they are saying now.  This will be your contract and the amount you should lose if you cancel yourself.

Shearer27

I have copied and pasted points 4 and 5 from Porta Holidays own T&C's. Can someone make sense of them and let me know if we are entitled to a full or part refund? The contact at Porta Holidays is demanding a 50% contribution of the full price from us if we cancel now. 

4. Alternative Holiday Guest, Withdrawal before Commencement of Letting / Cancellation Charges

a.
Until the commencement of the contractually agreed letting period, the Holiday Guest has the right to demand of the Lessor, through Porta Holiday, that another individual specified by him and with his agreement, may take over the rights and obligations of the letting agreement. This shall not however apply where the individual designated by the Holiday Guest does not meet the necessary requirements of the letting agreement or where the use of the holiday property by this other individual is not possible on statutory grounds or by reason of official directive. Where another individual takes over the letting agreement, that individual and the Holiday Guest shall jointly and severally be liable to the Lessor for payment of the agreed price.

b. Prior to the commencement of the contractually agreed letting period, the Holiday Guest may withdraw from the letting agreement at any time. Declaration of such withdrawal shall be effective in relation to the Lessor on receipt of the corresponding declaration by Porta Holiday. For purposes of verification it is recommended that any withdrawal be made in writing. An e-mail is sufficient.

Where the Holiday Guest withdraws before the contractually agreed commencement of the letting period, the Lessor shall lose his right to payment of the agreed price. The Lessor may then demand suitable compensation (cancellation charge) the amount of which shall be based on the agreed price minus the costs saved by the Lessor and minus the revenue that the Lessor can earn by letting the Holiday Property to some other party. This shall not apply where the Holiday Guest withdraws from the letting agreement on the grounds of force majeure or on grounds for which the Lessor or Porta Holiday are responsible.

To fulfil his claim for compensation, the Lessor shall be entitled to apply the following flatrate charges which are based on the interval between withdrawal and the commencement of the contractually agreed letting and represent a percentage of the agreed price:

- up to 90 days before the letting is due to start: 30 % of the price;
- 89 – 60 days before the letting is due to start: 50 % of the price;
- 59 – 30 days before the letting is due to start: 75 % of the price;
- 29 days – 1 day before the letting is due to start: 90 % of the price.

The Holiday Guest has the right to demonstrate that the Lessor has incurred a lesser or no loss. The Lessor remains entitled to demonstrate that owing to the cancellation he has incurred losses – which must be itemised and verified by the Lessor – that exceed the aforementioned flatrate charges.

d.
Porta Holiday recommends that travel cancellation insurance be taken out, with adequate cover to meet the costs of the abovementioned cancellation charges.

5. Termination of letting agreement by the Holiday Guest on grounds of force majeure
a.
Apart from the right of withdrawal as set out at 4. above, the Holiday Guest may terminate the letting agreement without notice to the Lessor before or after the commencement of letting where the use of the holiday property is made significantly more difficult, dangerous or restricted owing to force majeure which could not have been foreseen at the time the letting agreement was concluded.

b.
Where the Holiday Guest has terminated the letting agreement prior to the start of the letting on grounds of force majeure, the Lessor shall refund any payments made on the agreed price. Any further claims are excluded. Where the Holiday Guest terminates the letting agreement on grounds of force majeure after the start of the letting, the Lessor shall reimburse to him a part of the agreed price corresponding with the pro rata temporis price for the rental period that was not used. Any further claims are excluded.

Shearer27

And this message was from Home away regarding the Covid-19 pandemic and there policy/changes made in respect of the unforeseeable disruptions:

A message from our president, Jeff Hurst

Dear traveller,

We understand the hesitation to travel in light of COVID-19. Family is our number-one priority, and that certainly includes yours. We want you to make the best decisions for your family’s safety and well-being, and know that we’ll be here when you’re ready to reconnect and decompress on a getaway together.

Homeowners and property managers who list homes on HomeAway have been encouraged to adopt more flexible cancellation policies in light of COVID-19 and offer full refunds to those who wish to cancel for concerns for their family's well-being.

Everyone deserves something to look forward to, and will need a break to reconnect with one another when this stress recedes. There are fully refundable holiday options around the world, and we hope HomeAway can play a role in your family’s next great holiday, whenever that may be.

Here are some tips for handling current or future reservations:

Tips for updating holidays you already booked

Adjust your holiday from your traveller account From your account, open your upcoming reservation to adjust or cancel your dates. If you are making changes outside the cancellation policy window, please contact the owner for refund options. Reach out to the owner Homeowners and property managers who list their homes on HomeAway set and enforce their own cancellation policies. We are finding new ways to reward their flexibility and understanding during this time, and we encourage you to try to work out exceptions to their policies with them first. Visit the HomeAway Help Page for current policies The help page has policies and what they extend to. This page will be updated as new information becomes available. Contact Customer Support As always, our customer support team is here to help with questions about your traveler service fee or instructions for changing or cancelling a reservation.

Flight1782

I had a similar dilemma though Vidavillas rather than Home away. Lots of nice words until you want something. Our booking was mid July and they point blank refused to allow us to change, cancel etc - " standard terms apply" which included paying a £7k balance. MSE and other websites advice is you're stuffed unless Spain reintroduces restrictions on accommodation which is very unlikely.
We decided to cancel and try to get our £3k deposit back somehow but we've had no joy so far.
I asked MSE and other sites but no-one has come up with a solution if the villa company play hardball. I just hope people looking to book will be disinclined to book with Vidavillas and the like in future.

Shearer27

Flight 1782 that's terrible. I hope you get back all you are entitled to. Yes it certainly puts you off booking with these companies again.

macman

I understand your concerns, but if the accommodation is still available and you are able to enter Spain freely on 2/8, as you will be (restrictions are being lifted on 1/7), then the non-availability of flights and the requirement to quarantine back in the UK do not void your contract for the villa. 
It is quite likely that the quarantine will be lifted before 12/8, and flights may be reinstated (if not, other flights may be available to a popular destination such as Majorca). But, if you don't want to travel, then your only options are to see if you can negotiate a change of dates or a voucher (but I doubt it, since this is just a villa booking agency). check with your Nationwide policy to see if you have a claim, or forfeit your deposit.

[Deleted User]

Well actually Shearer 27 the t's and c's DO state that you agreed to pay 50% on cancellation 60 days prior to travel.
" 89 – 60 days before the letting is due to start: 50 % of the price;"    You said you cancelled exactly 60 days before?

Have you contacted the owners as suggested in their letter?  You may be able to come to some arrangement in view of the circumstances.

[Deleted User]

Flight1782 said:

I had a similar dilemma though Vidavillas rather than Home away. Lots of nice words until you want something. Our booking was mid July and they point blank refused to allow us to change, cancel etc - " standard terms apply" which included paying a £7k balance. MSE and other websites advice is you're stuffed unless Spain reintroduces restrictions on accommodation which is very unlikely.
We decided to cancel and try to get our £3k deposit back somehow but we've had no joy so far.
I asked MSE and other sites but no-one has come up with a solution if the villa company play hardball. I just hope people looking to book will be disinclined to book with Vidavillas and the like in future.

Unfortunately Flight1782 as you and previous have discovered if you cancel yourself prior to it being cancelled for you because of restrictions then the terms and conditions you agreed to at the time of booking do stand.    Did you ask for advice before you cancelled?    Nobody knows what will happen and when.  Personally I think mid July might be too optimistic for Spain as although they are looking at opening up on 1st July they are not including the UK immediately.   Obviously this doesn't help you and I feel so sorry for people in your situation.