Commerce Commission chair John Small says it is a reminder for customers to double check the terms and conditions of their booking. (Screenshot of Bachcare website.) Photo: Screenshot / bachcare.co.nz
Holiday home website Bachcare is facing court action from the Commerce Commission over claims of unfair contract terms.
The commission filed the civil proceedings under the Fair Trading Act, taking issue with some Bachcare's terms for booking properties.
It said under the current terms, Bachcare's customers could lose up to 100 percent of the amount paid for their accommodation if they cancelled their booking, regardless of how far in advance they had cancelled and the company would keep the service fee regardless of whether the accommodation was cancelled by Bachcare or the guest.
The customer could also lose all of the money they had put down on a Bachcare reservation if their booking was cancelled for a reason outside either party's control, such as an extreme weather event, and rebooking accommodation was not possible.
It is the second time the commission has taken the company to court. In 2019, Bachcare was fined $117,000 for editing and in some cases not publishing reviews posted by users.
Commerce Commission chair John Small said it was a reminder for customers to double check the terms and conditions of their booking, or risk losing money.
"Know what you're signing up to before you make a booking," Small said.
"We also expect that businesses have contracts that do not put consumers at an unfair disadvantage."
If the commission's case is successful, Bachcare will be required to remove the current terms from its bookings.
