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French authorities investigate the practices of OTAs

The Minister of the Economy, Industry and the Digital sector, Emmanuel Macron has seized the Competition Authority, in order to share with it and with Laurent Fabius, Minister of Foreign Affairs and International Development, his opinion regarding the nature of contractual relations between hoteliers and online reservation centers.

The joint press release from the Minister of the Economy and Minister of Foreign Affairs and International Development, in charge of Tourism, explains: 

"Announced by Laurent Fabius at the end of the closing ceremonies of the Tourism Conference last June, this  submission claims to clarify current practices. The Competition Authority will examine the demand of hotel players, aiming to oblige reservation centers to operate only with a mandate contract, which would prevent them from changing public prices and contribute to transparency in terms of pricing.

This demand will be examined in light of the pricing policies authorized by the law of the European Union. The ministers also wanted the Competition Authority to to provide all the recommendations that it considers useful for improving the competitive functioning of the market .

With this referral to the Ministers, the Government pursues its effort to guarantee, regardless of the sectors, the balance of commercial practices between economic players."

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