Legal Advice needed

[rattlesnake]

Does anyone have any kind of a legal understanding of the law under the Consumer Protection Act governing deposits paid to service providers?

 

I booked accomodation for December 2012 2 months back and have unfortunately had to cancel. I have thus given the guest house 7 months advance notice.

 

The guesthouse is refusing to refund the deposit. It is not a huge amount of money (R1800), but the principal here just seems wrong. Besides R1800 can buy a bunch of cycling goodies

 

I see under the CPA that a guesthouse etc is allowed to charge a reasonable cancellation fee based on certain factors; one of which is the duration of the notice period given.

 

I would think that if this guesthouse was unable to find a replacement in 7 months then it isnt a viable business to start with and is trading under false pretences.

 

Any comments / suggestions from those of you in the know?

[Mojoman]

Not sure of the exact laws but as someone who works in the hospitality industry it seems a little excessive to hold the full deposit. Usually deposits are forfeited when you cancel anywhere from 4-6 weeks prior to the arrival date. 7 Months is more than enough time for any venue to find other bookings.

[Smolly]

Firstly I think you should name and shame so no fellow hubbers fall into the trap

[rattlesnake]

Not sure of the exact laws but as someone who works in the hospitality industry it seems a little excessive to hold the full deposit. Usually deposits are forfeited when you cancel anywhere from 4-6 weeks prior to the arrival date. 7 Months is more than enough time for any venue to find other bookings.

 

Thats what I think. I am just wondering if it is worthwhile, and if I have legal grounds to consult a lawyer here. Consulting a lawyer is a very costly exercise and I am unsure whether to let this go or pursue it further.

[rattlesnake]

Firstly I think you should name and shame so no fellow hubbers fall into the trap

 

Would I get in trouble for this???

[reteid]

do they have an official refund policy on their website or is this just the owner making his yearly turnover?

[Mojoman]

do they have an official refund policy on their website or is this just the owner making his yearly turnover?

I was about to ask what did it say on their reservations/confirmation form? Are they graded or part of any official tourism body?

[Nettie R]

I would think that if this guesthouse was unable to find a replacement in 7 months then it isnt a viable business to start with and is trading under false pretences.

 

Any comments / suggestions from those of you in the know?

Whether the business is successful or not, is not in question. Check their booking policy and see if there's any mention of their cancellation policy. Every business should have one.

[Smolly]

 

 

Would I get in trouble for this???

 

The rule of thumb is that you first try resolve with the company in question and when/if this fails, **** em!

[rattlesnake]

I was about to ask what did it say on their reservations/confirmation form? Are they graded or part of any official tourism body?

 

There is no offical policy on their website. He did mention that there is a clause in a 3rd party website that I used to make the booking (sa-venues.co.za), but this website is generic and looks the same for all guesthouses / hotels.

 

No mention was made of the deposit being non refundable in any of our dealings via email, and I still have all the correspondence. He also in this correspondance referred me to their website which makes no mention of this fact. I have printed out copies of the website pages in case he decides to alter it now after the fact.

 

The guesthouse doesnt appear to be graded or part of an official tourism body. They do however sport the SA Flag.

[Mojoman]

SA Venues (I think anyway) just list venues with contact details, you will have made the booking direct with the venue?

[Mojoman]

According to SA venues:

 

Accreditation

Accommodation Establishments:

We require ALL Accommodation Establishments to be members of, affiliated with or accredited by one of the Regional or National Tourism Bureau, Tourism Associations or Accommodation Associations. (See our list of accepted accreditations in our FAQ - Accepted Accreditations.)

[ChUkKy]

Sounds like they being a bit scaly to me... Sorry I dont have any advice but Id be pretty pi$$ed off as well

[Mojoman]

Personally I would try and take this up with SA Venues and if they are unable/unwilling to assist I would mention the post above and ask which tourism body the venue is accredited with. However I know a lot of venues that are so called 'accredited' and it accounts for very little!

Edited May 7, 2012 by Mojoman

[rattlesnake]

SA Venues (I think anyway) just list venues with contact details, you will have made the booking direct with the venue?

 

Yes I did make the booking directly with the venue. I found and contacted them via SA Venues.

If this is a requirement (accredited), then I suppose they are accredited. Does this make a difference in any way on this particular set of circumstances?

[Mojoman]

Yes I did make the booking directly with the venue. I found and contacted them via SA Venues.

If this is a requirement (accredited), then I suppose they are accredited. Does this make a difference in any way on this particular set of circumstances?

It may or may not make any difference. As mentioned I know of some venues that are accredited and I will not list them on my site as they are certainly not up to standard, be it in a physical sense or the manner in which they will deal with my clients (I can tell you some real Fawlty Tower stories!). However it can give you some leverage if you can contact the relevant tourism body and see if they are able to offer any assistance or negotiate on your behalf (Which at the end of the day is why we have them , to help protect us the service providers and venues as well as yourself, the client).