Customers' Perspective on FTI's Bankruptcy Filing
The German travel company FTI Touristik has announced its bankruptcy, impacting thousands of vacationers. This leaves travelers wondering how to return home and what will happen to their previously booked but not yet taken trips.
How does this affect previously booked trips?
Since FTI Touristik might not operate or only partially operate from June 4th onwards, and no new trips can be booked, the flight plans will become invalid. This means all tickets and trips that were booked directly with the tour operator are no longer valid.
What about package tours?
If you booked a package tour through a travel agency or a tour operator, your tickets and trips might also be invalid. However, you should receive a replacement ticket because providers are required to provide compensation through travel insurance policies. If your trip fails, you'll get your money back. If you're already on vacation, you're entitled to stay at the hotel while return transportation is organized. If the tour operator becomes insolvent before the trip begins, the insurer will decide whether to carry out the trip or cancel it. It's up to you if you want to demand a refund; the insurer must pay you immediately.
Will customers get their money back?
When booking a package tour, ensure your travel confirmation includes a travel insurance certificate. This protects you in case of a tour operator's possible insolvency. According to the Schleswig-Holstein Bar Association, this rarely happens. The issuance of a travel insurance certificate is mandatory for package tours. You can find the travel insurance certificate on the back of your travel confirmation or attached separately to your travel documents. The contact details of the "insurer" are listed there, with whom you can assert your claims in the event of the insolvency of the tour operator. This insurance coverage applies only to package tours, not to the booking of individual services like a flight or accommodation.
What happens if there's no travel insurance certificate?
Without a travel insurance certificate, your payment for your vacation may be lost in case of the tour operator's insolvency. You could then try to use the chargeback procedure or cancel a direct debit to get your money back. The chargeback procedure allows Visa and Mastercard to return your money if a service paid for with a credit card was not provided. Package tours are not excluded from this.
What happens to stranded passengers?
FTI is making efforts to ensure that currently running trips can be completed without disruption. Affected travelers can contact FTI customer service at the phone number: 0040 89 71 04 51 498.
Which other brands are affected by the bankruptcy?
Currently, only FTI Touristik in Germany, Austria, and the Netherlands is affected. In the future, similar applications will be filed for other corporate entities, including "5vorFlug in Germany, the "BigXtra GmbH", as well as the car rental brands "DriveFTI" and "Cars and Camper". Customers of these operators should contact the respective operator for any questions regarding their trip.
Do customers have a right to compensation?
In theory, yes, but in practice, it looks complicated. In case of a travel agency's insolvency, customers must register their claims with the insolvency administrator. However, the chances of success are low for small creditors. If the travel agency announces its failure 14 days before the start of the trip, any compensation payment is canceled.
What if employees cannot come to work due to the travel agency's bankruptcy?
Adhering to the obligation of appearing punctually at work is a must. If you're delayed without your own fault, it won't have legal consequences. Inform your employer promptly. If you don't, you won't receive payment for the missed days. In the worst case, a violation of the information obligation can result in a warning or even dismissal.
Read also:
- In light of FTI Touristik's bankruptcy, consumers may need to seek help from a travel law advisor to understand their rights and options for getting their money back or completing previously booked but unaffected trips.
- The tour operator's insolvency could also impact consumers using credit cards for their vacation payments, as they may be able to utilize the chargeback procedure to recoup funds if services were not provided.
- Given the complexity of navigating travel law issues following a tour operator's bankruptcy, it's essential for consumers to be proactive and ensure they have travel insurance, as this can help protect them in case of insolvency.
- Although the bankruptcy of tour operators like FTI Touristik might not directly impact the tourism industry as a whole, it highlights the importance of understanding travel laws, seeking advice from travel law experts, and having comprehensive travel insurance for peace of mind during vacations.
