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Legal Environment
Legal Environment of SLT Report

SU MAN
MSc SLT
ETU20100211
ESC RENNES

1. The Legal Differences
There are approximately 80.000enterprises related to Travel agents and tour operators in Europe with 450,000 employees. Package holiday becomes a popular and convenient travelling form attracting more people. Until 2007, 190 million package holidays have been sold. Meanwhile, 29.000 IATA accredited agency have already settled in travel agency. According to the statistics, there were $1.6 billion IATA tickets being sold in 2009, even a $280 billion total turnover of the industry by the year 2009. (Fact Sheet: IATA- international Air Transport Association)

A travel contract signed by travel agent, tour operators and clients is an important part in the process if a customer wants to travel with a travel agency. However, there are some differences between a travel agent and a tour operator, as customers we should know which can ensure the right of us, we should understand.

Package travel directive has one condition to practice as organizer: “the need for a financial guarantee to the benefit of consumers.”(Directive 90/314/EEC[adoption: cooperationSYN/1988/0122]) Package travel instruction aimed at the unity of the European members in laws, regulations and administrative provisions of package travel, package holidays and package tour. By determining the minimal acceptable standards, package travel instruction is planed to establish a minimum level of protection of community members.

1.1 Travel Agent
“A travel agency is a middleman—a business or person selling the travel industry’s individual parts or a combination of the parts to the consumer.”(Charles R. Goeldner, J.R. Brent R, Robert W. and Mcintosh, pp193). Travel agent, working as a middleman, does their work like communicating with suppliers like hotels, tour buses, or tour operators, receiving commission from suppliers.

From legal aspect, travel agency represent the principal, it must be a

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