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

80 LEGAL IMPACTS OF COVID-19 IN THE TOURISM INDUSTRY This article tries to give an overview on relevant legal principles and analyse their potential application in different situations. 2. TERMINATION OF THE PACKAGE TRAVEL CONTRACT 2.1. Termination by the traveller The PTD 2015 provides two different approaches to free termination of the contract by the traveller, which may be relevant in Corona-related constellations. According to Article 12(2), the traveller can terminate the contract in case of unavoidable circumstances, at the place of destination or its immediate vicinity, which significantly affect the performance of the package or the carriage of passengers to the destination. While it remains unclear which particular area is covered by the term “immediate vicinity” it seems quite obvious that this kind of right to termination will potentially apply in various Corona-related situations like a high risk of infection at the destination, a hotel and/or restaurant operation ban at the destination, a landing ban for flights departing from the destination country and others more. In addition, Article 11(2) provides for a right to free contract termination by the traveller in case of a significant alteration of any of the main characteristics of the travel services included in the package. If therefore the organiser is forced to significantly change one or more of these services because of restrictions imposed on services of these kinds the alteration may give rise to a termination right of the traveller. In this context, we might think of examples like a change of the means of transport because of a flight ban, an alteration of the meal plan included in the package because of a restaurant operation ban, a change of the hotel because of a quarantine imposed on the hotel booked and many other similar situations. In summary, therefore, the Directive grants quite far-reaching protection to travellers, allowing them to terminate the contract at no cost if the provision of services is affected or jeopardised by the pandemic and its consequences. 2.2. Termination by the organiser As a counterpart to the traveller’s termination rights, Article 12(3) provides for a right of the organiser to terminate the contract if he is prevented from preforming the contract because of unavoidable and extraordinary

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