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Chris The Lawyer
Chris The Lawyer, Lawyer
Category: New Zealand Law
Satisfied Customers: 23467
Experience:  New Zealand qualified lawyer with 38 years of experience.
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A third party agency booked a flight for me and then I

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A third party agency booked a flight for me and then I cancelled the flight, a mistake at the time of conversation with the agency as I meant to change the flight not cancel,, anyway they refunded part of the fare but took 500 pounds as they said this was the airline penalty,, no where in the itinery of the flight or rules of fare is 500 pounds mentioned as a penalty,, is this allowed to happen , the agency say they they don,t have any control over Air New Zealand policy,, it was the UK site that supposedly taken the fee ,,whats your advise on this unfair act.

Generally when you cancel a contract, the other party is entitled to take some of the money paid as damages for cancelling the contract. The Contractual Remedies Act says that when someone cancels a contract without good reason, then the other party is entitled to damages. In this case if it was the agency was partly at fault, then they should contribute to the compensation. But you do need to ask them to identify precisely where the penalty applies, and precisely where in the terms and conditions there is such a penalty. Certainly under New Zealand law you cannot have a penalty like this unless it is specifically identified as a potential consequence of cancelling. So you do need to go back to them to get better information and more precise references to the appropriate terms and conditions, and identify where they told you about these. Once you have these you may be in a better position to seek a refund of a greater amount

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