The Legal Impacts of COVID-19 in the Travel, Tourism and Hospitality Industry

78 LEGAL IMPACTS OF COVID-19 IN THE TOURISM INDUSTRY State aid rules, market distortions cannot be avoided, and here the proverb kicks in: larger the amount, larger the distortion. This is why the amounts available per Member State under the Recovery and Resilience Facility differs significantly. This leads to our next conclusion as recent developments highlighted. The final balance of the crisis management, and the role of State aid rules and practice within it, can only be assessed once all information about the public money used are published and all related lawsuits are closed. Obviously, market distortion means that undertakings not receiving aid are in a less favourable situation than their competitors receiving aid. Under the present circumstances, they might even have to close the business, therefore those who gain time gain life. This is why it is vital to provide these aid measures in a lawful and the least distortive manner. On the other hand, the first two judgments related to the complaints of Ryanair show us that the General Court does not want to interfere and require Member States to revoke their decisions and recover the giant sums granted for instance for airline companies. However, the effects of this crisis will remain with us in the form of high public debt ratios for a while173, even after the ongoing court procedures are closed. 173 On 3 March 2021, the Commission has proposed to suspend the EU’s budgetary rules also for 2022. Source: https://ec.europa.eu/commission/presscorner/detail/en/ip_21_884 (accessed on 10 March 2021).

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