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Supreme Court defends travel agency in classic covid dispute
The judgment is the result of a dispute in which we represent a travel agency and we reported on it last year. Read about the basis of the dispute here: Supreme Court defends travel agency in classic covid dispute | Holubová advokati s.r.o. (holubova.cz). As the client decided to appeal, the Supreme Court was also given the opportunity to comment on this crucial issue for travel agents. Of its conclusions, travel agents will be pleased with the following:
- The right to withdraw from a tour contract arises for the customer at the moment when it can be concluded with a significant degree of probability that extraordinary circumstances will persist and significantly affect the provision of the agreed services or the transport of persons to the destination of the journey or stay.
- In view of the variety of possible exceptional circumstances, it is not possible to determine, on a case-by-case basis, when such a moment has occurred before the start of the trip, i.e. whether it is a period of a week, a shorter period or a longer period; this period must be assessed on a case-by-case basis.
- It cannot be accepted that a customer can withdraw from a tour contract without compensation at a time when it is not yet clear whether the exceptional circumstances that have now arisen are realistically capable of jeopardising the tour on the agreed date. This interpretation does not harm the customer as a consumer, since it does not make it impossible to withdraw from the contract pursuant to section 2535 of the Civil Code, but merely postpones this possibility until a time when it is more than obvious that the tour cannot be carried out.
In addition, Law Firm Holubová advokáti s.r.o. are pleased that the Supreme Court relied in its conclusions on the commentary to the travel contract written by our partner Klara Dvořáková (§ 2535. Unavoidable and Extraordinary Circumstances. In: PETROV, J. EXTRACT, et al. Civil Code. 2nd updated edition. Prague: C. H. Beck, 2022), which cites.
Do you need help in a dispute with a client? Contact us.
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Jasper Brinkman
Jasper Brinkman
"Following a devastating hotel fire in Prague, the law firm Holubová advokáti, led by attorney Klara Dvorakova, successfully represented our extended family as a group of victims. The firm navigated complex international insurance and compensation laws to defend our rights.
I would like to acknowledge the extraordinary efforts the firm had to make to bring our case to a successful compensation under extremely difficult circumstances."
Stewarts
Stewarts
"A visit to her daughter in London turned Eva's life upside down when she says she stepped into a crossing on a green light but was hit by a car. Despite her remarkable bravery, she faced a long treatment due to fractures in her pelvis, and the associated limitations and pain are likely to persist for the rest of her life. Regular headaches and impaired concentration compound her challenges.
Eva contacted us through an organization temporarily helping her manage her difficult living situation. At that time, she was destitute, relying only on subsistence payments. We were able to assist her because we specialize in personal injury and have contacts with proven colleagues abroad.
We worked with Stewarts, a UK law firm, on this case. Attorneys Klára Dvořáková and Rebecca Huxford helped Eva with the documentation in her case, explaining her options and the differences between the Czech and British systems of healthcare and social benefits reimbursement. Within a few months, thanks to the professional cooperation between the two offices, an offer of compensation from the insurance company of approximately CZK seven million was achieved. The client accepted this settlement because she did not want to deal with courts in the United Kingdom.
Subsequently, we assisted the client with related tax issues and contacted Auditone, a tax consultancy firm, which arranged for the filing of a tax return. Compensation for lost income is taxable, unlike most personal injury compensation.
'No one has done as much for me as you,' Eva said.
The fact that we were able to help Eva gives our work meaning and brings us great joy. We are very happy that, thanks to our many years of active involvement in the international professional organization PEOPIL, we can cooperate on such cases."