Jetstar spits the Unfair Terms dummy

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In July this year, Jetstar lost a case in the Victorian Civil and Administrative Tribunal concerning its terms and conditions of sale.  The case, Free v Jetstar Airways Pty Ltd [2007] VCAT 1405, involved a term of Jetstar's agreement:

JETSAVER FARE RULES
2.1 Subject to availability and payment of all applicable amounts, changes can be made to your Booking as follows. Changes to the origin and destination of travel are not permitted.
2.2 Your new fare will be at least the amount of the fare you originally purchased, and may be more. At the time your Booking is changed you must pay the difference (if any) between the fare you originally purchased and the fare available on the date of the change. This will apply to all date, time and name changes.
2.3 Date, time and Passenger name changes may be made by telephoning Jetstar Telephone Reservations ... A change fee* is payable for each change, for each passenger flight segment change ...
*Current Jetstar fees and a summary of fare types can be found at jetstar.com/faretypes.html.
The Applicant had booked two tickets to Honalulu for herself and her sister, for $437.39 per person return.  Afterwards, her sister became unable to travel and the applicant wanted to change her sister's ticket into her niece's name.  Jetstar would only do so if she paid a $75 change fee, plus the difference between what she originally paid for the tickets and what the tickets were currently selling for -- which was $600.93.  The Applicant paid under protest and brought proceedings in VCAT alleging the above terms, as applied to changes of name, were unfair terms within the meaning of the Fair Trading Act 1999 (Vic).  The Tribunal agreed and ordered a refund of the $600.93.

At the time, I predicted that Jetstar was likely to appeal, and to stop allowing name changes altogether.  I was right.  Not only is this a rather petulant act, it seemingly ignores the possibility that their new term:

Only date and time changes are permitted, subject to availability. Changes to the passenger name and changes to the origin or destination of travel are not permitted.
could very well be an unfair term as well.

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This page contains a single entry by Dale Clapperton published on August 25, 2007 9:22 AM.

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