Flight Centre changes cancellation cap amid class action threat

Melbourne, Australia: April 12, 2018: Street view of a Flight Centre shop window. Flight Centre is Australia’s largest travel agency selling international flights, holidays and tours. A man walks past.
By Alexandra Coulton


Flight Centre has changed the cap on its cancellation fees, following the threat of a class action.

Hundreds of people had reportedly put their hand up to participate in a class action against the travel giant over cancellation fees that saw some customers entire refund disappear, while some groups were given the option of paying thousands or transferring their booking to a travel credit.

Previously, Flight Centre’s cancellation fee cap was set at $300 per person on international trips and $50 per person on domestic trips.

Under the new policy, customers will be charged at a cap of $600 all up on international bookings and $100 per booking on domestic trips. If the client chooses to keep the money as a credit with Flight Centre, it will be valid until at least 31 December 2021.

According to Traveller, customers were also anxious about a 12-week delay for refund payments. However, the company told customers in a letter that airlines were to blame for the delay – not travel agents.

Travel Weekly has contacted Flight Centre for comment.

Meanwhile, a woman from the UK threatened to sit in her travel agent’s window in a swimsuit if she did not receive a refund.

The Oxford Mail reported that Lorraine Willmore had posted to Facebook threatening that if she has not received a refund by the time TUI in Witney reopened, she would sit in their shop window until she gets one.

She said she would also go into the store with cocktails and a CD player, wearing a sombrero and flip flops.

Willmore claims she has been waiting for a refund for several weeks.

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