Dispute over non-refundable lodging products, renewed attention on the possibility of cancellation within 7 days
Dispute over refunds on online lodging platforms, reviewing the possibility of revoking even ‘non-refundable’ products Check the refund terms and supporting evidence before booking to reduce disputes and protect your rights
Disputes over ‘nonrefundable’ products sold on online accommodation platforms are on the rise. According to the Korea Consumer Agency, 6,224 applications for consumer redress related to accommodation contracts were filed over the past three years, and most of them involved online accommodation platform cases.
This article introduced cases in which consumers requested cancellation shortly after booking, or were denied refunds despite unavoidable circumstances such as heavy snowfall, flight cancellations, or illness. In particular, issues related to ‘contract rescission/termination’ and ‘nonrefundable products’ accounted for a large share of the overall disputes.
The ECommerce Act stipulates that consumers may withdraw an offer within seven days from the date of contract formation for services purchased on online platforms, but some business operators refuse this based on their terms and conditions, leading to longterm disputes. The Korea Consumer Agency advised consumers to carefully check refund terms before booking and keep their reservation details, and stated that platform operators need to strengthen related notices and refund guidance.