Australia's competiton watchdog takes Webjet to court on false flight price claims (updated)

Webjet

27/11/2024 23:59

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       Nov 28 (Reuters) - Australia's competition regulator said on Thursday it has started
court proceedings against Webjet's  WJL.AX  online travel unit, alleging that the firm misled
consumers about flight prices and bookings. 
    The Australian Competition and Consumer Commission (ACCC) said that Webjet Marketing Pty Ltd
breached the consumer law when it omitted details about compulsory fees from the minimum airfare
prices it advertised on its website, social media and in emails between 2018 and 2023.
    Webjet's statements included "flights from $x" when the price quoted excluded its compulsory
"Webjet servicing fee" and "booking price guarantee" fee, which ranged from A$34.90 to A$54.90
per booking, according to the ACCC. 
    "During this time of cost pressures, many consumers are carefully considering travel
arrangements and seeking to save money. A statement about the lowest price must be a true
minimum price, not a price subject to further fees and charges before a booking can be made,"
the ACCC Chair Gina Cass-Gottlieb said.
    The regulator is seeking pecuniary penalties, injunctions, consumer redress, costs and other
orders from the Federal Court.
    In a separate statement, Webjet said its unit cooperated with the ACCC prior to the court
proceedings and has already undertaken steps to further improve its pricing and fees disclosure.
    

 (Reporting by Rajasik Mukherjee; Editing by Alan Barona)
 ((Rajasik.Mukherjee@thomsonreuters.com))