Schools were both entitled to full refund of ski trip deposits under Package Travel and Linked Travel Arrangements Regulations, judge rules

A Circuit Judge has ruled that an international school trip was covered by the Package Travel and Linked Travel Arrangements Regulations 2018, which entitled two schools to terminate their contracts with a travel provider during the Covid Pandemic.

The claimant (Team4) was a provider of organised ski trips for British schools in Austria.

The defendants were the governing bodies of two Lancashire schools which had contracted with Team4 to provide ski trips for their pupils.

The claim by Team4 was for cancellation fees arising out of the termination of the contracts during the Covid-19 pandemic.

Both schools defended the claims and counterclaimed for repayment of the deposits already paid to Team4 prior to cancellation.

In Team4 Travel v St John Fisher School & Holy Cross School, Her Honour Judge Beech said: “It is the schools’ case that the contracts were governed by the Package Travel and Linked Travel Arrangements Regulations 2018 (“the PTRs”) which entitled them to terminate the contracts under Regulation 12(7) of the PTRs and/or in the alternative, that Team4’s contractual terms requiring payment of cancellation fees amounted to penalty charges and/or in the alternative, the contracts were frustrated by the COVID pandemic.”

The court was satisfied that both schools terminated their contracts under Regulation 12(7) of the PTRs and that they were “entitled to do so at the relevant times”.

The judge said: “As a result, they were both entitled to a full refund of deposits paid within fourteen days of termination.

“In the circumstances, the Claimant’s claims against both schools must fail and the counterclaims succeed in the sum of £7,175 plus interest in the case of HC [Holy Cross Catholic High School] and in the sum of £12,775 plus interest in the case of SJF [St John Fisher & Thomas More RC High School].”

Louis Browne KC of Exchange Chambers was instructed by Lancashire County Council for the defendants.

Louis Browne KC said: “This decision makes it clear that schools and other educational establishments that embark upon international activity trips with overnight stays are in principle protected by the Package Travel and Linked Travel Arrangements Regulations 2018.

“As far as I am aware, it is also the first decision at Circuit Judge level addressing these issues. It therefore provides helpful and potentially authoritative guidance on the interpretation of the Package Travel and Linked Travel Arrangements Regulations in the education sector - although every case will turn on its own facts.”

Ivan Gaughan, Headteacher at Holy Cross Catholic High School said: “This is a crucial ruling for schools. Without the assurances provided by the Package Travel and Linked Travel Arrangements Regulations 2018, schools are placed in a position where they could incur financial losses through no fault of their own. This ruling effectively enables schools to confidently run trips abroad which are of significant benefit to children."

Lottie Winson