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Published on : Monday, July 6, 2015
Ryanair, Europe’s favourite airline, confirmed that they have this morning received a notice from Hertz purporting to terminate Hertz’s exclusive car hire supply agreement with Ryanair with effect from 12:00hrs 2 July. Hertz allege that Ryanair’s agreement with GDS distribution companies represents a breach of contract, a claim which Ryanair disputes given that Ryanair has been distributing through GDSs since April 2014 (a period of over 15 months) with Hertz’s knowledge and support.
Hertz have confirmed in their notice that all existing bookings will be honoured and customers will still be able to modify their bookings on the microsite following its decommissioning at 12:00hrs today. Ryanair believes this termination is in breach of its long term exclusive contract with Hertz, which was recently extended for a 5 year period to 2020.
Ryanair will now pursue Hertz for breach of contract and damages. In the interim however Ryanair will be unable to offer its customers car hire services through the Ryanair.com website for a period of approx. 3 months while Ryanair seeks a suitable replacement supplier.
Separately Ryanair will, by close of play today, issue a request for proposals (R.F.P.) for the provision of car hire services to Ryanair’s 100m annual customer base. Ryanair would expect to have a replacement supplier linked to the Ryanair.com website by October 2015 which will coincide with the launch of Ryanair’s new and radically improved personalised website and mobile app.