HOUSE BILL REPORT

SSB 5219

As Reported by House Committee On:

Commerce & Labor

Title:  An act relating to sellers of travel‑related benefits.

Brief Description:  Modifying contracts for the sale of travel‑related benefits.

Sponsors:  By Senate Committee on Labor, Commerce & Financial Institutions (originally sponsored by Senators Eide, Prentice, Swecker, Rasmussen and Hochstatter).

Brief History:

Committee Activity:

Commerce & Labor:  3/21/01 [DP].

Brief Summary of Substitute Bill

$The term ?seller of travel@ is expanded to include the sale of travel-related benefits.

HOUSE COMMITTEE ON COMMERCE & LABOR

Majority Report:  Do pass. Signed by 8 members: Representatives Clements, Republican Co‑Chair; Conway, Democratic Co‑Chair; B. Chandler, Republican Vice Chair; Wood, Democratic Vice Chair; Hunt, Kenney, Lisk and McMorris.

Staff:  Sydney Forrester (786‑7120).

Background:

The Department of Licensing regulates the business of selling travel services.  Travel services include transportation, lodging, package tours, and vouchers to be redeemed for future travel or accommodation.  Travel club memberships and other travel-related services that are not defined at the time of purchase with respect to dates, price, or location usually do not qualify as travel services for purposes of regulation.

Summary of  Bill:

The term ?travel-related benefits@ is added to the statute and refers to the sale of travel services not identified at the time of the sale with respect to dates, price, or location.  Travel-related benefits include travel club memberships, vacation certificates, and travel industry member benefits.   

A contract for the sale of travel-related benefits must contain a disclosure statement informing the consumer of the right to cancel the contract and describing the cancellation procedures and deadlines.  A consumer may cancel a contract for the purchase of travel-related benefits by sending a notice of cancellation to the seller within seven days of signing the contact, or within seven days of receiving the membership materials, whichever is later.

A seller of travel includes a person who sells travel-related benefits.  The sale of travel-related benefits requires the same registration with the Department of Licencing as does the sale of travel services.  The sale of travel-related benefits without the required registration is subject to injunction, and civil and criminal penalty.

Appropriation:  None.

Fiscal Note:  Available.

Effective Date:  Ninety days after adjournment of session in which bill is passed.

Testimony For:  None.

Testimony Against:  None.

Testified:  None.