A legal analysis and improvements of force majéure clause in package holiday contracts: between travel agents and holidaymakers / Ahmad Afiq Hasan
Package holiday contract is projected into an uncertain future where even the best laid plans can go awry. Given the intangible nature of package holiday, and its complexity, reliance on the English doctrine of frustration of contract, in some circumstances, could be impracticable and inequitable...
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Format: | Thesis |
Language: | English |
Published: |
2017
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Online Access: | http://ir.uitm.edu.my/id/eprint/19511/ http://ir.uitm.edu.my/id/eprint/19511/2/TM_AHMAD%20AFIQ%20HASAN%20LW%2017_5.pdf |
Summary: | Package holiday contract is projected into an uncertain future where even the best laid
plans can go awry. Given the intangible nature of package holiday, and its complexity,
reliance on the English doctrine of frustration of contract, in some circumstances,
could be impracticable and inequitable to both outbound and inbound holidaymakers
and travel agents. To secure the economic interest of both parties, industry practice is
to pray in aid of the flexibility accorded by force majéure clause in the event of
inevitable cancellation of package holiday and variation of terms in package holiday
contracts. However, regulated force majéure clause in standard form outbound holiday
contracts resulted to unfair circumstances which must be faced by both the outbound
holidaymakers and travel agents in many aspects. On the other hand, inbound travel
agents freely construct force majéure clause to be too broad to cover many types of
events and the resulting consequences of the events are, sometimes, unfair to
holidaymakers. By employing qualitative research method, the research analysed the
shortcomings of the out-dated Tourism Industry (Tour Operating Business and Travel
Agency Business) Regulations 1992, the Consumer Protection Act 1999, the
unregulated inbound practices of force majéure clause and the proactive approaches
adopted by the European Union member states, the United States, the United
Kingdom, Australia, Canada, New Zealand and Hong Kong. The primary objective of
the research is to propose an improved framework on the application of force majéure
clause in holiday package contracts in view of the legal complications of the regulated
outbound package holiday contracts and the unregulated inbound package holiday
contracts. Based on the theory of good faith, the proposed framework for force
majéure clause provides greater consumer protection of holidaymakers while securing
sustainable travel agency business in Malaysia. |
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