Tourism Law in Europe

FRANCE | LAURENCE JÉGOUZO 193 The purpose of the Association is to manage the professional guarantee fund intended to provide the adhering members with the financial guarantee provided for by Title I of Book II of the Tourism Code and its implementing decrees. Membership in this association, as a member, confers the guarantee provided for by law64: it results from a written commitment to provide a real guarantee issued by the association in the form of a membership certificate which only takes effect from the date of registration in the register provided for by Article L. 141-3 (a) of the Tourism Code. This guarantee is issued through the professional guarantee fund. Guarantee amount: The Order of 23 December 200965 specified the methods of the base calculated on the basis of the volume of business including all taxes concerning the operations and activities mentioned in Article L. 211-1 of the Tourism Code. However, this Order was however amended by a decree of 2 September 201566, which brings French law into conformity with European law in this matter. Indeed, the financial guarantee is now uncapped, i.e. the funds deposited by clients are 100% covered in the event of the tour operator's default, which was not the case before. The financial guarantee of travel agencies was generally limited to 200,000 €. However, the Court of Justice of the European Union in a particularly strong decision67 considered that this practice was not in conformity with European legislation. Article R. 211-26 of the Tourism Code was then amended and a new paragraph 5 specifies that: “the financial guarantee must be allocated to the reimbursement of all the funds received by the travel and tourism operator in respect of the commitments he has entered into with the final consumer for services in progress or to be provided”. These new provisions came into force on 1 October 2015 and, for contracts in progress at the time of publication, so it is possible to obtain a refund. Declaration: In order for the tour operator’s application to be complete and presented to the registration committee, it is essential that the certificates of financial guarantee and professional liability insurance must comply with the models established by Atout France which incorporate the provisions of the Law of 22 July 2009 on the subject. They reproduce the provisions of Articles L. 21118 and R. 211-26 to R. 211-24 of the Tourism Code regarding the financial guarantee. 64 Art. 1, statutes of the Professional Association of Tourism Solidarity approved by the AGE of 18 Feb. 2010. 65 Order of 23 Dec. 2009 relating to the conditions for fixing the financial guarantee for travel agents and other operators in the sale of trips and stays, OJ 27 Dec. 2009. 66 Decree no. 2015-1111 published in the OJFR of 4 September 2015. 67 CJUE, Order of 16 Jan. 2014, aff. C-430/13.

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