UFTAA CONTINUES TO CHALLENGE THE LUFTHANSA RESERVATION FEE INITIATIVE
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UFTAA recognize that each airline is free to choose its commercial strategy and modus operandi. However, UFTAA seriously question the legitimacy to use the transportation document (STD) or the IATA BSP system for their commercial benefit.
1. A ticket (STD) is an agreement between the customer and the airline.
2. A Reservation or cancellation fee is a matter between the airline andthe Travel Agent, separate from the transportation and ticketing.
It is totally improper to mix two distinctly separate commercial activities. It is in our opinion in conflict with current IATA Resolutions as would any other similar practice be which is not directly related to the transportation.
Equally UFTAA is of the opinion that billing for the reservation fee through the IATA BSP is not an acceptable avenue. The IATA Resolution (850m) clearly states that ADMs should not be raised for collection of administration fees but only be used to collect amounts or make adjustments to agent transactions in respect of the issuance and use of Traffic Documents (STD/MCO)
UFTAA thus strongly opposes any attempt to circumvent the current IATA Resolutions and Ticketing rules by introducing elements which are not in conformity with agreed industry practices.