{December 19, 2006} VICTORIA BC – The Business Practices and Consumer Protection Authority (BPCPA) has determined that claims for unreturned damage deposits on short term vacation rentals are not eligible for compensation from the travel assurance fund. 

Victoria based 5 Star Vacation Accommodations and Holiday Home Rentals (5 Star) ceased operating as a licensed BC travel agent on November 1, 2006.  The closure left many consumers who booked short term vacations rentals through the travel agency unable to collect damage deposits owed to them.

All travel agencies in British Columbia are required to be licensed with the BPCPA and contribute to the travel assurance fund (the “fund”).  Consumers may apply to the fund in the event that they have suffered a loss after paying a BC licensed travel agent for travel services that were not received.   The definition of travel services is limited to “transportation, accommodation or other service for the use or benefit of a traveler, tourist or sightseer.”  Consumers who booked with 5 Star and received their accommodation did receive their travel services and have therefore not suffered an eligible loss.  All consumers who paid their damage deposits on their credit card are encouraged to contact their credit card company for compensation. 

The amount of compensation paid from the fund is limited to the original amount paid to the travel agent for travel services that were not received.  Claims based on losses due to a force majeure, unused credit or unused gift certificates are also not eligible for compensation.

For specific information about the Travel Assurance Fund, please visit the BPCPA Travel Assurance Fund Webpage or contact the BPCPA Inquiry Line toll free at 1-888-564-9963. 

To determine if a travel agency is licensed by the BPCPA, please visit the BPCPA Agency Search Webpage to search licensees or contact the BPCPA licensing department toll free at 1-888-777-4393.