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Do Travel Agents still get commissions when trip is cancelled?


GeezerCouple
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6 minutes ago, pinotlover said:

I can see where all this can swiftly go. 

 

If I cancel during the 100% cancellation period, does my TA get paid, therefore should I get my rebate check from my TA

 

If one’s rebate check is greater than their travel insurance it can become a money making deal!

 

I’ll leave these policies and discussions alone!

 

Yikes.

 

I guess we just don't have the right kind of imagination!

(Hmmm... what else have we "missed out on" in the past!? 😱 )

 

This does add an interesting wrinkle, I suppose.

I'm not familiar enough with all of the percentages (cost of insurance, especially the cheaper forms, TA commissions, and rebates) to know how likely this would be.

 

(At least it gives SOME sort of rationale.  But as for labeling the 100% fee a "penalty" rather than a "fare", not so much...)

 

Thanks.

 

GC

 

 

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The compensation structure would be clearly defined in the contract between Oceania and the travel agency. The agency isn't forced to sign the contract. The compensation structure, in this case commission, between the travel agency and the travel agent would be described in their incentive plan. If the agent is paid on commission, you can bet they know the incentive plan better than anyone else. The travel agent isn't forced to work for the travel agency.

 

That's the life of a career in sales. It is what it is.

 

 

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33 minutes ago, commodore2010 said:

Its a contractual agreement between the Agency and the Cruise line.   The passenger has no standing.  If your agent has a problem, tell them to take it up with the agency owner. 

 

I would imagine that its treated as cancellation penalty, not sailed revenue , so no commission.  Lots of things are non-commissionable on a cruise. (ie excursions, drink packages)  Even thought the agent may have persuaded you to purchase. 

 

As I posted before I would like to see this this tested in court.  Sounds like O is ripping us or the T/A off.  It is the same money in their pockets no matter how they show it on their books.  And if they re sell the cabin they are ripping us off also.  Would be interesting.  

Edited by RJB
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If I ask my TA to book airline tickets for me she gets no commission. She therefore tells me the service fee is $X for doing so.

 

Nothing stopping your TA from having an Agreement with you, the one they’ve done the work for, that $X service fee from you is required in case of cancellation.

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2 hours ago, RJB said:

As I posted before I would like to see this this tested in court.  Sounds like O is ripping us or the T/A off.  It is the same money in their pockets no matter how they show it on their books.  And if they re sell the cabin they are ripping us off also.  Would be interesting.  

This may be a new concept to you but before ANY money changes hands Travel Agents are required to sign payment contracts with the Cruise Lines which spell out every breath of the commission structure in exhaustive detail.  Both parties are WELL AWARE of what the rules are for every contingency.  

 

The fees paid come from  Oceanias' coffers, so you as a passenger don't have a dog in the race and cannot be ripped off. 

 

Their marbles, their rules.   

 

 

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13 hours ago, StanandJim said:

This may be a new concept to you but before ANY money changes hands Travel Agents are required to sign payment contracts with the Cruise Lines which spell out every breath of the commission structure in exhaustive detail.  Both parties are WELL AWARE of what the rules are for every contingency.  

 

The fees paid come from  Oceania's coffers, so you as a passenger don't have a dog in the race and cannot be ripped off. 

 

Their marbles, their rules.   

 

 

Not always.  Sometimes the courts will have the final say in what is legal and what is not.  Would like to see it tested there especially with reguard to a ship re selling a cabin that has already been  paid for and keeping all the money.  Time for the T/A 's to stand up and fight for themselves.  If they stop selling the cruise lines that are not being fair to them it could be a problem.  From what I hear most cruises are sold by agency's and if the went on strike it would impact the lines greatly.  Walk softly but carry a big stick.  

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1 hour ago, RJB said:

Not always.  Sometimes the courts will have the final say in what is legal and what is not.  Would like to see it tested there especially with reguard to a ship re selling a cabin that has already been  paid for and keeping all the money.  Time for the T/A 's to stand up and fight for themselves.  If they stop selling the cruise lines that are not being fair to them it could be a problem.  From what I hear most cruises are sold by agency's and if the went on strike it would impact the lines greatly.  Walk softly but carry a big stick.  

 

If you feel so strongly, go seek an opinion from an attorney.  Or better yet, go talk to an Agency owner.   

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1 hour ago, RJB said:

Not always.  Sometimes the courts will have the final say in what is legal and what is not.  Would like to see it tested there especially with reguard to a ship re selling a cabin that has already been  paid for and keeping all the money.  Time for the T/A 's to stand up and fight for themselves.  If they stop selling the cruise lines that are not being fair to them it could be a problem.  From what I hear most cruises are sold by agency's and if the went on strike it would impact the lines greatly.  Walk softly but carry a big stick.  

I had the same knee jerk reaction when I learned  that travel sellers could legally  change their prices based on how the client approached them.  Imagine Macys being able to adjust their prices based on which door a customer entered the store through.

Turns out,  I was wrong, wrong, wrong.

Legally, It all goes back to the fact that Travel is a very different animal where the product loses all value and actually becomes a liability the moment after the conveyance departs.  

Judges are very sympathetic to that reality.  

 

 

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6 minutes ago, commodore2010 said:

 

If you feel so strongly, go seek an opinion from an attorney.  Or better yet, go talk to an Agency owner.   

 

Speaking with an attorney isn't likely to be helpful for passengers who are concerned about this, at least in the USA. 

 

I seriously doubt that we would 'have standing", as the contract concerning commissions is between travel agents/agencies and cruise lines (in this case).

Spending money to get a serious legal opinion wouldn't make sense for someone who couldn't follow through if desired.  And it would only be that, an opinion from one attorney, anyway, at this point.

 

I have no idea how any of this would work in other countries.

 

GC

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20 minutes ago, GeezerCouple said:

 

Speaking with an attorney isn't likely to be helpful for passengers who are concerned about this, at least in the USA. 

 

I seriously doubt that we would 'have standing", as the contract concerning commissions is between travel agents/agencies and cruise lines (in this case).

Spending money to get a serious legal opinion wouldn't make sense for someone who couldn't follow through if desired.  And it would only be that, an opinion from one attorney, anyway, at this point.

 

I have no idea how any of this would work in other countries.

 

GC

 

There is a real need for a sarcasm emoji.  Many times sarcasm just doesn't come across in text. Its more of a tonal thing. My prior post was supposed to be sarcastic, sorry. 

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22 minutes ago, commodore2010 said:

 

There is a real need for a sarcasm emoji.  Many times sarcasm just doesn't come across in text. Its more of a tonal thing. My prior post was supposed to be sarcastic, sorry. 

 

Ah, sorry.

Agree, something like a sarcasm "indicator" would help.  A "wink" doesn't always convey the same thing, and could be seen as too light-hearted in some such cases, I guess.

 

This is when "real life interaction" seriously beats the Internet/etc.

Here, we miss not only the tone of voice, but a smile/frown/etc., frown lines in forehead vs. twinkle in eyes, etc.

I totally misunderstood what you meant (obviously).

 

Thanks for clarifying.

 

GC

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22 hours ago, StanandJim said:

In any broker/client relationship, the client (which is Oceania, not us) has the right to determine what constitutes a consummated "deal".  

From their point of view, when the Cruise is cancelled that late the money paid is no longer a fare, they are collecting a penalty.   

The questions about the Agent go to continuity of service and the relationships which Oceania tries to build with Agents.  

That logic makes as much sense as the brochure fares they post and then try to convince us we're getting two or one fares because they're only charging a going rate. It's just WRONG not to pay a commission to a TA who has done the work once they have received full payment. Calling it a penalty is a steer's excrement.

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2 hours ago, wripro said:

That logic makes as much sense as the brochure fares they post and then try to convince us we're getting two or one fares because they're only charging a going rate. It's just WRONG not to pay a commission to a TA who has done the work once they have received full payment. Calling it a penalty is a steer's excrement.

Exactly....   and it is also wrong to keep your money when they re sell your cabin.  Just very GREEDY.   

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I think your TA should make you sign a contract demanding a service fee, if one cancels their cruise, for service rendered. Problem solved.

 

I hope posters here aren’t buying plane tickets! What happens when you try to cancel those? 

 

I wonder what the laws of the Marshall Islands say about these practices? I’m willing to bet that all those Agency Agreements are written pursuant to MI Laws not CA, NY, et al. All those local State courts would have zero jurisdiction! 

 

I always laugh when I hear Americans claim Americans with Disabilities violations while in foreign countries! Oh, that squatter toilet isn’t handicap accessible! Jurisdiction trumps all! 

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I would not worry about the laws of the Marshall Islands.  See Clause 27 of your Oceania Ticket Contract for Oceania’s forums and venues of choice. Miami is conveniently close to the corporate headquarters.  I assume there are similar terms in its contracts with agents.  No, I no longer am a corporate attorney; I am a very content “recovering attorney!”

Edited by CintiPam
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Maybe I'm a real dummy here, probably something I don't understand.

If I become disabled after I make final payment and I have travel insurance (with pre-existing covered just in case) won't I eventually recover my cruise cost? It generally includes immediate family members I thought. And then I can pay my travel agent their commission?

Edited by Petoonya
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56 minutes ago, Petoonya said:

Maybe I'm a real dummy here, probably something I don't understand.

If I become disabled after I make final payment and I have travel insurance (with pre-existing covered just in case) won't I eventually recover my cruise cost? It generally includes immediate family members I thought. And then I can pay my travel agent their commission?

If the cruise ship has gotten their money than they should pay the T/A their commission.  They are just being greedy to keep it all.  

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I agree but it it what it is. Thinking of a way under the current agreement between the cruise line and travel agents/agencies to be sure agents get their rightful cut. A lot less painful to give the agent their percentage when you know you'll be recovering your cost minus what you pay to the agent.

I know it's not right or fair to anyone but the cruise line the way it is. But I'd feel better knowing that the agent got their cut even if I have to pay out of pocket for it.

Edited by Petoonya
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4 hours ago, Fayecruises said:

If a cruise is cancelled once the guest goes into 100 % penalty the agent is paid    -- depending on the cruise it is usually 14 days before departure    

 

Could you give us the source of your information, please?

 

Everyone else seems to think/believe that the agent would NOT be paid, even though 100% of the money has been received by Oceania (and they are giving none of it back).

 

Further, our contract with Oceania very clearly states that it is 100% penalty "30 days or less prior departure".

 

So how/where are you getting your info?

 

GC

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13 minutes ago, Fayecruises said:

I have been a cruise agent for over  16 years with my own company

 

So we should ignore the terms written in the Oceania contract and we should think we are NOT liable for 100% because it was less than a month, but sill MORE than 14 days out?

 

Should we tell Oceania that someone with an Internet screen name of "Fayecruises" said we should get some of our money back because we gave Oceania at least 14 days notice?  (And tell our insurer that they only have to pay us part of what the Oceania contract says we owe them, because the Oceania contract is, er, "wrong"?)

 

Really?

 

NO cruise we have taken has ever had 100% penalty start less than 30 days .out

 

GC

Edited by GeezerCouple
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N one is denying the terms in Oceania's contract. It's the fact that they are immoral and unfair that is the issue here, not that they exist. Other cruise lines pay full commission once someone is in 100% penalty phase and cancels. But other cruise lines also don't charge outrageous prices for shore excursions and cancel  ports and shorten port times at the drop of a hat. 

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sorry  slow day here & in CC withdrawal 😉

 

 

My TA says NO they are not paid a commission if cancelled  before the cruise

I feel bad because a couple of years ago we had to cancel the day before   a B2B

I like others just assumed  they would still get paid by Oceania

JMO

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