Agency bonding bill rewrite in works

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HARRISBURG, Pa. -- A planned rewrite of a pending agency bonding law seems likely to eliminate much, if not all, of the language that had triggered retailers and tour operators opposition.

After a hearing in May, Rep. Robert Godshall (R-Pa.), the bills sponsor and chairman of the House Tourism and Recreational Development Committee, made it clear he wants a compromise. Allen Taylor, executive director for the committee, said he later asked ASTA and other interested parties for comments on a revised draft.

Several of the most objectionable passages found in the original were eliminated from the latest draft, as follows:

  • A requirement that sellers of travel obtain a bond equal to 10% of the previous years gross sales, with no maximum. (The draft contains a $25,000 cap.)
  • Language requiring travel sellers to provide full refunds if travel is canceled or not delivered by suppliers, without regard to their ability to recover.
  • A rule requiring agencies selling vacation packages to file descriptions of packages and related promotional materials.
  • To contact the reporter who wrote this article, send e-mail to Nadine Godwin at [email protected].

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