Sarah Prager, Competition Law - OTAs and airlines

Many other travel companies, such as Loveholidays, incurred extensive brand damage because their trust funds simply did not have enough money in them to refund customers if Ryanair did not refund them. Hence, my view is that although OTB is fghting an independent battle against Ryanair, success will lead to an avalanche of damages claims. Customers buying a package holiday primarily buy based on the holiday destination and hotel ofered, usually considering the fight as a ‘bus service’ purchased based on a combination of lowest price and best fight times. OTAs ofer the widest range of options because, unlike low-cost carriers’ internal holiday companies, they ofer all airlines and the ability to mix and match inbound/outbounds between diferent airlines. In doing so, they provide a range and value that customers beneft from and is something the courts are likely to seek to protect. Therefore, I think our judicial system will fnd in favour of OTB and conclude that Ryanair is indeed abusing a dominant market position, even though the UK government – via either the CAA or CMA – has failed to bring them inline to date. Whatever happens, the trade should be applauding OTB for fghting the case and highlighting an issue that has afected hundreds of UK travel companies and continues to do so.” Of course, only time will tell whether Mr Endacott is correct in his prediction that the English courts are likely to side with Ryanair; but the battle lines are now drawn in what promises to be an extremely informative legal saga which will shape industry practice in future, not just in England and Wales, but throughout Europe as well.

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