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Consumer forum directs Goibibo to refund consumer who could not board flight after Jet Airways shut down

The main issue at hand in the case was whether any online travel agency was liable to refund the fare received in case of a failure on the part of the airline to operate the flight.

Jet Airways GoibiboIn its submissions, Goibibo had said that it was merely a “facilitator” between the consumer and the service provider, Jet Airways in this case. (File)

In 2019, Amrit Pal Jaiwal and his family booked a Jet Airways flight to travel from New Delhi to Edmonton, Canada. In all, the family paid Rs 1.83 lakh for the tickets. But before they could embark on the trip, Jet Airways went bankrupt and closed its business.

Five years later, on August 7, the National Consumer Disputes Redressal Commission (NCDRC) ruled in the family’s favour, directing Goibibo, the platform through which the tickets were booked, to refund the Jaiwals.

The main issue at hand in the case was whether any online travel agency was liable to refund the fare received in case of a failure on the part of the airline to operate the flight.

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In its submissions, Goibibo had said that it was merely a “facilitator” between the consumer and the service provider, Jet Airways in this case. It also said that their user agreement explicitly states that the company will have no liability for non-operational flights at the end of the service provider concerned, which is the airline in this case.

The company argued that once the ticket is issued to the customer, it is discharged from its duties.

The NCDRC, however, sided with the consumer and held the travel agency liable to pay a refund to the consumers.

In August last year, the Punjab Consumer Commission had also sided with the consumer, following which Goibibo had approached the NCDRC.

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The Punjab commission had noted that as per the agency’s own guidelines, it will be responsible for managing the refund of the tickets “which are not being utilised”. The NCDRC also relied on this observation of the state commission while holding the agency responsible for paying a refund to Jaiwal and his family.

“(Punjab) State Commission has given a well-reasoned order and we are in agreement with its observations and findings,” said Dr Inder Jit Singh, Presiding Member, NCDRC in the order dated August 7.

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