Travel refunds: Carolyn Parsons, Maureen Dobb to repay Helloworld agent

Travel agents facing legal disputes over trips kiboshed by Covid-19 have been advised to cite a new tribunal decision that’s gone against a NSW mother and daughter.

Consumers hoping for a full refund on trip cancellations have suffered a blow, with travel agents claiming to have established a legal precedent limiting how much has to be returned.

But the NSW Civil and Administrative Tribunal decision is “exactly why” travel sector reform is needed, the nation’s leading consumer group said.

Maureen Dobb (left) with her daughter Carolyn Parsons on a 2016 trip to Shanghai.

The NCAT appeal panel ruling earlier this month compels a Central Coast mother and daughter to give back some of the money the tribunal had earlier ordered their travel agent to refund.

Under the original decision, in November last year, Helloworld Gosford’s Wendy Kiss had to repay more than $9000 to mother and daughter Maureen Dobb and Carolyn Parsons.

That was everything Ms Kiss had received.

The agent did as NCAT ordered, despite having paid $6000 to Air Canada and $3000 to Canadian tour specialist Momento Travel — as well as warning Ms Parsons and Ms Dobb at the time of booking, in 2019, that their flights, accommodation and tours were non-refundable.

Ms Kiss then appealed — twice.

Helloworld Gosford owner Wendy Kiss. Picture: The Daily Telegraph

The first was funded by the Australian Federation of Travel Agents. In the second, AFTA provided support from former Australian Competition and Consumer Commission (ACCC) chief executive Hank Spier.

In the second appeal, finalised earlier this month, NCAT found Ms Parsons and Ms Dobb “must have been aware” Ms Kiss was “only acting as agent in making the travel reservations” and was not “providing the airline services personally nor the accommodation and excursions”.

“The booking terms and conditions … conveyed that information,” the panel said.

“It follows … that the appellant is not liable to the respondents. Their redress, if any, is against the travel provider in each case, namely Air Canada and Momento Travel.”

But because Air Canada recently refunded Ms Kiss in full, and Momento had repaid $1300, the appeal panel ordered that Ms Parsons and Ms Dobb only had to pay back $1700 of the $9000 they got from the agent under the initial NCAT decision.

Choice head of policy Alison Elliott.

Ms Kiss told The Daily Telegraph the appeal panel’s determination had set a precedent.

“When people are using a travel agent, we are merely a broker,” Ms Kiss said.

Ms Parsons told The Telegraph she was “very disappointed” in the final decision.

“Why would anybody in the Australian travelling public now use a travel agent,” she said.

AFTA chairman Tom Manwaring said if agents found themselves in “the unfortunate position of facing a tribunal hearing, make sure you cite Kiss v Parsons if appropriate.”

Consumer group Choice’s policy head Alison Elliott said: “this case shows how confusing consumer rights are when travel is cancelled (and) is exactly why Choice is calling for reform to the travel sector. Consumers and industry need a clear set of rules.”

Federal Assistant Treasurer Michael Sukkar said “if a consumer is having difficulty understanding their rights or dealing with a business, they should speak with their state or territory consumer affairs regulator or the ACCC,” Mr Sukkar said.