Holidays 4 U and Aegean Flights go bust

Wake Smith Solicitors 10 August 2011

With the news last week that Holidays 4 UK Ltd (the tour operator behind the brands Holidays 4 U and Aegean Flights) has gone into administration, where does this leave consumers who are either already abroad on a holiday purchased from Holidays 4 UK Ltd, or who have booked and paid for a future trip with that organisation?

  • If you book a package holiday through a UK travel agent or tour operator then the holiday will be 'bonded' via schemes run by ATOL or ABTA. They will make arrangements for your flight home or, if you are yet to go on your holiday, the money you have paid for the holiday will be refunded. See the Civil Aviation Authority website which is updated regularly with flight information

  • If your flight was not booked as part of a package and is not 'bonded' via a travel agent, then you will have to make your own arrangements and pay for a flight home. Many airlines offer discounted 'repatriation' fares for individuals stranded through no fault of their own, and such fares are usually available for up to a couple of weeks after the failure.

  • If you are not covered by the bonded scheme then it is worth checking your travel insurance to see whether it covers 'scheduled airline failure', although many standard travel policies do not provide such coverage.

  • If you paid for your holiday or flight by credit card, and the cost was in excess of £100, then you may be able to claim that money back from the credit card company under section 75 of the Consumer Credit Act 1974.

  • If you paid by debit card then it is more difficult to claim your money back, but it is worth checking whether your bank uses the 'Chargeback' scheme. If it does then you can ask your card provider to reverse a card transaction if there is a problem with the goods you have purchased. However, not all banks operate this scheme.

For further information or advice, please contact Nick Lambert on [email protected] or call 0114 266 6660.



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