ACL set for refund review

ACL set for refund review

CONSUMER protection regulators across Australia and NZ have agreed to “review the effectiveness of the Australian Consumer Law” (ACL) in providing protection for travellers seeking refunds and credits, with terms of reference for a wide-ranging probe currently being considered.

The move was revealed in an update from NT Attorney-General Selena Uibo to consumer advocate Adam Glezer, with Uibo noting the significant impact of the pandemic on the travel industry for both travel providers and consumers, “particularly in relation to refunds, cancellations and other ancillary costs”.

Close collaboration between Commissioners for fair trading and consumer protection has “highlighted a number of consumer issues within the travel industry” due to COVID-19, with the letter confirming expectations the review will take place in 2021.

Glezer, who runs several Facebook groups calling for refunds and reform of the travel sector, has proposed a range of legislative changes covering cancellations beyond customers’ control, including providing full refunds in a set timeframe without cancellation fees.

He’s also urging the adoption of mandatory trust accounts for travel agencies and suppliers, protection against insolvency and easing of the Reserve Bank of Australia chargeback measures implemented in the early days of the pandemic (TD 23 Apr).

It’s unclear how the overall review will proceed at this stage, with the existing Consumer Affairs Forum (CAF) which sees the relevant ministers from across the country meet once a year, having just been disbanded.

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Source: traveldaily