Do the CMA regulations apply to Booking.com (registered in the Netherlands)?

Savvy_Sue

Hello, wondering if I am going to get anywhere with this one. 

We were due to be in Amsterdam 19th-26th March. Non-refundable hotel, through Booking.com - I'd made a couple of refundable bookings while I dithered about best location, then locked this one in. Then it became clear we wouldn't be going anywhere so I cancelled quite late and asked for a refund. 

Initial response from Booking.com when I cancelled was 'sorry, hotel says no' - even though we knew by the time we were due to leave there would be no restaurants, cafes, museums or shops other than supermarkets open in the Netherlands. I pushed it, I'd have cheerfully accepted a voucher for a future stay if they'd offered it then (not so keen now) but no, hotel says no. 

Fair enough, I tried to claim on our travel insurance. They said to try on our credit card. Credit card said no. Went back to insurance. They said "The current advice from the government is that the CMA (Competition and Markets Authority) expect a consumer to be offered a full refund for any of the following situations:

• A business has cancelled a contract without providing any of the promised goods or services;
• No service is provided by a business, for example because this is prevented by Government public health measures;
• A consumer cancels, or is prevented from receiving any services, because Government public health measures mean they are not allowed to use the services."

So I went back to Booking.com, and they are now offering to let us change dates to later this year. Which is pretty useless as long as the two weeks quarantine on return to the UK applies, and it doesn't even seem to be a voucher they are offering, just a 'we'll let you change your dates' option. 

I'd have said it was clear cut, we were due a refund - BUT both the hotel and Booking.com are based in the Netherlands. So does the CMA expectation apply? If it does, how do I persuade them it does? And if it doesn't, do I go back to my insurer? 

I have had a look round for similar situations, but not seen that particular question asked. If I missed it, I'm sure someone will point it out. 

Savvy_Sue

I pushed back at Booking.com and they still say "change your dates, no refund." So doesn't seem they care about the CMA. 

Thrugelmir

If the Hotel is unwilling to refund you. Where does Booking.Com obtain the money from? 

phillw

Thrugelmir said:

If the Hotel is unwilling to refund you. Where does Booking.Com obtain the money from? 

Their profits?
Googling for: booking.com cma finds news articles that indicate the CMA have taken action against booking.com in the past.
Although CMA's expectation may not translate into a legally enforceable power to make it happen.

Savvy_Sue

phillw said:

Googling for: booking.com cma finds news articles that indicate the CMA have taken action against booking.com in the past.
Although CMA's expectation may not translate into a legally enforceable power to make it happen.

Yes, there's the rub. 

I'm just being given the run-around now. Travel insurance - that's what you have it for, right? - says credit card company. They say no, understandable I feel. Go back to travel insurance - CMA says you should be paid a refund. But booking.com says voucher only. 

Savvy_Sue

And booking.com has come back again to say voucher only: "Your booking does not qualify for our forced circumstance procedure and the accommodation informed us that it's not possible to cancel your booking for free, so cancellation fees apply according to their policies. Now I'm sorry, but this still doesn't meet the requirements of the CMA, which expects a refund to be made. Please let us know if you will be interested, in the credit voucher to stay at their property at different date." This was after raising it through Resolver, but they've replied direct. According to Resolver I can escalate to CEO in 17 days. Just not sure how hard to push: Amsterdam is likely to be our next trip abroad, although how soon we'll feel confident about taking that trip is unclear. And they have not explained why the CMA requirements don't apply to them.

Thrugelmir

The Hotel may well not have the money to refund you. The Hotel will operate under Dutch law. Book.com aren't in a financial position to step in and bail them out. As sets a precedent for an avalanche of claims. Going to be a huge fall out in the tourism sector the longer the crisis goes on for. 

Savvy_Sue

Thrugelmir said:

The Hotel may well not have the money to refund you. The Hotel will operate under Dutch law. Book.com aren't in a financial position to step in and bail them out. As sets a precedent for an avalanche of claims. Going to be a huge fall out in the tourism sector the longer the crisis goes on for. 

All true. And indeed this is part of my concern: if I accept the voucher, but then can't use it because the hotel are no longer operating, I'm stuffed. And also stuffed if the voucher is valid for, say, 6 months, and we're not able to travel within that period. 

I'm surprised there aren't more of us asking questions about booking.com and their lack of refunds, or maybe they are and I've missed it ... 

Savvy_Sue

Just to update: I'm still pushing back at Booking.com. My insurers contacted me after I asked them to confirm that the CMA advice should apply in this situation: they've sent me something confirming that it does (at least in their opinion). 

Booking.com have asked me to give more details to take back to the hotel, which means I need to write a fairly detailed email: I'm trying to get my head round that. Because my bottom line is, I don't know about the hotel, but I DO believe booking.com should be giving me a refund. 

Insurers have confirmed that if I DON'T get anything back, I can go back to them. There's an excess of £50 per person, so that's a last resort ... 

blindman

Savvy_Sue said:

Thrugelmir said:

The Hotel may well not have the money to refund you. The Hotel will operate under Dutch law. Book.com aren't in a financial position to step in and bail them out. As sets a precedent for an avalanche of claims. Going to be a huge fall out in the tourism sector the longer the crisis goes on for. 

All true. And indeed this is part of my concern: if I accept the voucher, but then can't use it because the hotel are no longer operating, I'm stuffed. And also stuffed if the voucher is valid for, say, 6 months, and we're not able to travel within that period. 

I'm surprised there aren't more of us asking questions about booking.com and their lack of refunds, or maybe they are and I've missed it ... 

So if I've read this correctly.
You booked NON refundable hotel throughBooking.com

YOU cancelled it early March

And you think you are "entitled" to a refund??
How does that work then???

The hotel was open and you could use their services (bed, board etc).  YOU cancelled because the other amenities would not be open

".....even though we knew by the time we were due to leave there would be no restaurants, cafes, museums or shops other than supermarkets open in the Netherlands"

Booking.com (AFAIK) don't have to offer you anything but they've offered to rebook you at a later date Which you say is no good?




I wish you luck...

bagand96

Savvy_Sue said:

Just to update: I'm still pushing back at Booking.com. My insurers contacted me after I asked them to confirm that the CMA advice should apply in this situation: they've sent me something confirming that it does (at least in their opinion). 

The insurers taking the opinion that someone else should payout so they don't have to! Funny old thing?!