Consumer notice regarding airline terms and conditions
Last Updated: 18/12/2018 05:55 AM
Jetstar provides Undertaking to ACCC and
agrees to resolve proceedings
On 20 December 2017, the ACCC published its Airlines: Terms and Conditions Report. In the Report, the ACCC
noted that between 1 January 2016 and 14 December 2017, it had received
complaints about airlines including in relation to 'no refund' statements and
issues relating to consumer guarantees.
In
December 2018, the ACCC instituted proceedings against Jetstar in the Federal
Court of Australia. The ACCC and Jetstar have agreed to resolve the proceedings
by consent, with Jetstar making admissions that, between at least 10 April 2017
and 13 March 2018, it made representations to consumers in respect of domestic
Australian flight services and international flight services to and from
Australia operated by Jetstar (Flight Services) that:
(a) its 'Economy Starter' fares and 'Plus
Bundle' fares were not refundable, and that customers were only entitled to
refunds on fares if they purchased a flight bundle at additional costs;
(b) the Flight Services were not subject to any statutory guarantees or
warranties (including those in the Australian Consumer Law); and
(c) to the extent the consumer guarantees in the Australian Consumer Law
applied to the Flight Services, Jetstar's liability was limited to either
supplying the services again or paying the cost of having the services supplied
again, at its discretion;
and
thereby, in trade or commerce, engaged in misleading and deceptive conduct
and/or made false or misleading representations, in contravention of sections
18 and 29(1)(m) of the Australian Consumer Law.
Jetstar
and the ACCC have agreed to make joint submissions to the Court in support of a
proposed agreed penalty and declarations. Jetstar has also agreed to make a
contribution to the ACCC's costs.
Jetstar
has addressed the ACCC's concerns by:
·
cooperating with and
responding to the ACCC's inquiries;
·
amending its Website,
including its Fare Rules, Conditions of Carriage and Compensation and Refunds
page; and
·
providing the ACCC a
court enforceable undertaking under section 87B of the Competition and Consumer
Act 2010 which includes a review of past complaints and the potential offer of
remedies.
More information about your consumer guarantee rights
under the ACL where Jetstar has delayed or cancelled your flight can be found
at https://www.jetstar.com/au/en/help/articles/australian-consumer-law-information