NCJ Number
48258
Journal
Syracuse Law Review Volume: 28 Issue: 4 Dated: (FALL 1977) Pages: 847-873
Date Published
1977
Length
27 pages
Annotation
CONSUMER FRAUD IN THE TRAVEL INDUSTRY AND THE UTILITY OF CLASS ACTION SUITS AS A REMEDY FOR THE CONSUMER OF TRAVEL SERVICES ARE EXAMINED.
Abstract
THE TRAVEL INDUSTRY OPERATES IN AN AGGRESSIVE MARKETING ENVIRONMENT THAT IS NEITHER REGULATED, LICENSED, NOR SUPERVISED. AS A RESULT, THE TRAVEL CONSUMER HAS BEEN SUBJECTED TO ANNOYANCES AND EXPENSIVE ABUSES. THE THREE PROBLEMS THAT GENERATE THE MAJORITY OF CONSUMER COMPLAINTS DIRECTED TO THE TRAVEL INDUSTRY ARE AIRLINE OVERBOOKING, LOST BAGGAGE, AND HOTEL OVERBOOKING (WHICH MAY INVOLVE THE SUBSTITUTION OF INFERIOR SERVICES AND FACILITIES FOR THOSE THAT HAVE BEEN PROMISED, OR SIMPLY THE NONDELIVERY OF PROMISED SERVICES). THE DAMAGES GENERATED IN MOST INSTANCES ARE TOO SMALL TO WARRANT THE EXPENSE OF INDIVIDUAL LITIGATION. THE CONSUMER'S PURSUIT OF A REMEDY OFTEN IS FURTHER HAMPERED BY THE DISCOVERY THAT THE TARGET DEFENDANT IS INSOLVENT OR BANKRUPT. THE CLASS ACTION DEVICE PERMITS A NUMBER OF CONSUMERS TO AGGREGATE THEIR SMALL CLAIMS INTO ONE CLAIM OF SUBSTANTIAL SIZE. DESPITE SOME PRACTICAL DRAWBACKS, THE CLASS ACTION SUIT MAY PROVE TO BE A VALUABLE TOOL IN CURBING CONSUMER FRAUD AND ABUSE IN THE TRAVEL INDUSTRY. (AUTHOR ABSTRACT MODIFIED--LKM)