TICO Travel Industry Act, 2002 4 — Questions and Answers
Question 1: Under the Travel Industry Act, 2002, what must a registered travel agent do if they are unable to provide a travel service that has been paid for?
- Offer a credit toward future travel only
- Provide a full refund to the consumer (Correct answer)
- Transfer the booking to another agency without notice
- Retain the funds until the service becomes available
Correct answer: Provide a full refund to the consumer
Registered travel agents are required to provide a full refund to the consumer if they cannot deliver a paid travel service.
Question 2: Which government ministry is responsible for administering the Travel Industry Act, 2002 in Ontario?
- Ministry of Finance
- Ministry of Transportation
- Ministry of Public and Business Service Delivery (Correct answer)
- Ministry of Tourism, Culture and Sport
Correct answer: Ministry of Public and Business Service Delivery
The Ministry of Public and Business Service Delivery (formerly Consumer Services) oversees administration of the Travel Industry Act, 2002.
Question 3: What is the maximum number of days a travel agent has to provide a written contract to a consumer after a travel service is purchased?
- 7 days
- 10 days
- 14 days (Correct answer)
- 21 days
Correct answer: 14 days
Under the Act's regulations, travel agents must provide a written contract within 14 days of the purchase of travel services.
Question 4: A travel wholesaler sells vacation packages exclusively to registered travel agents, not directly to the public. Under the Travel Industry Act, 2002, must this wholesaler be registered?
- No, because they do not deal with the public directly
- Yes, all wholesalers must be registered regardless of who they sell to (Correct answer)
- Only if annual sales exceed $1 million
- Only if they sell international packages
Correct answer: Yes, all wholesalers must be registered regardless of who they sell to
Travel wholesalers must be registered under the Act regardless of whether they sell to the public or only to registered agents.
Question 5: Under the Travel Industry Act, 2002, which of the following is a registrant's obligation regarding advertising?
- Advertisements must include the TICO registration number (Correct answer)
- Advertisements must be approved by TICO before publication
- Advertisements must list all applicable fees upfront
- All of the above
Correct answer: Advertisements must include the TICO registration number
Registrants must include their TICO registration number in advertisements to allow consumers to verify their legitimacy.
Question 6: If a travel agent's registration is suspended, what are they permitted to do during the suspension period?
- Continue operating under a temporary permit issued by TICO
- Accept new bookings but not process payments
- Wind down existing bookings only, with no new business (Correct answer)
- Operate normally until the suspension is formally upheld
Correct answer: Wind down existing bookings only, with no new business
During a suspension, the registrant may only complete obligations for existing clients and cannot accept new business.
Question 7: Under the Travel Industry Act, 2002, what information must be included in a travel agent's written contract with a consumer?
- Only the destination and departure date
- The total price, cancellation terms, and a description of services (Correct answer)
- The agent's personal contact information only
- Only the TICO registration number and total price
Correct answer: The total price, cancellation terms, and a description of services
The written contract must include the total price, cancellation and refund terms, and a full description of the travel services being purchased.
Under the Travel Industry Act, 2002, what must a registered travel agent do if they are unable to provide a travel service that has been paid for?