Issues & Trends – October 2010
Two weeks for agents to claim $26 million share of unpaid commissions
TRAVEL agents have till November 15 to make a claim against Qantas in the wake of their win in the multi-million dollar fuel surcharge commissions class action.
The final act in the protracted legal drama over the agents’ claims was played out last month in the High Court. The court refused a Qantas application to overturn the Federal Court ruling against the airline.
The Federal Court has found that Qantas failed to include fuel surcharges when calculating the commission paid to agents on international ticket sales.
The airline has estimated it will cost up to $26 million just to cover the additional commissions owed to travel agents between 2004 and 2007, according to a statement issued by Slater and Gordon whose senior partner Steven Lewis ran the class action.
“The Federal Court of Australia has now given travel agents until November 15 to register to make a claim from Qantas for the unpaid commissions on fuel surcharges collected on international published fares,” the Slater and Gordon statement said.
Lewis, said “mums and dads” agents includ-ing franchisees from Harvey World Travel, Jetset, Travelworld and Travelscene have joined the claim.
“The order from the Federal Court is an important step forward in the travel agents being paid what they are owed by Qantas,” he said. “For almost four years travel agents have been involved in a David and Goliath legal battle against one of Australia’s biggest companies.
“Now, after a historic win that will reverberate around the airline industry, they will start to receive what they are owed.”
Travel agents are part of the class action and able to make a claim against Qantas if, between May 11, 2004 and May 9, 2007, they:
• Were incorporated and their principal place of business was in Australia;
• Were a party to the IATA Passenger Sales Agency Agreement;
• Sold international published fares on behalf of Qantas, British Airways and Air New Zealand; and
• Have not lodged an Opt Out Notice with the Federal Court.
To make a claim travel agents should contact Slater and Gordon or the Federal Court, New South Wales Registry.
Similar claims against the other airlines including British Airways, Air New Zealand, Singapore Airlines and Cathay Pacific will be heard after the completion of the Qantas proceedings, the Slater and Gordon statement said.