18. Read and translate the text about the contractual relationship between hotels and travel companies.

In hospitality industry, a contract is an agreement or promise made between two or more parties that the courts will enforce. In other words, it is a set of rules governing the relationship, content and validity of an agreement between two or more persons. Normally, it is related to the sale of goods and provision of services. A valid contract can be considered as the moment that the offer is accepted. In general, a valid contract may be established either in writing or verbally. That means it can be a verbal form of contract, and it also can be a written form of contract.

It has been felt that hotels and tour operators should have a set of standard norms and procedures for working with each other. Although individual units and companies have the freedom to decide on their operating procedures and norms for relationships with other trading partners, there is a practice of setting a Code of Practice for both sides by their respective Associations. Internationally, such an agreement which is called Code of Practice on Hoteliers/Travel Agents relations was signed between International Hotel & Restaurant Association (IH&RA) and Universal Federation of Travel Agents Associations (UFTAA) on July 3rd, 1991.

In the absence of a contract and when non-contractual terms are under dispute, the Code of Practice seeks to provide useful guidance to hoteliers and travel agents with a view to promoting harmonious relations and avoiding possible misunderstandings or disputes. It includes general principles together with a list of definitions, a check-list for individual client and group contracts, arbitration rules, an individual and group cancellation chart, and an explanatory chart for cancellation policy for groups.

18. Read the text again and find the words or expressions that correspond to these definitions.

1. a set of rules governing the relationship, content and validity of an agreement between two or more persons

2. the moment when the contracting party’s offer is accepted by the party

3. a set of standard norms and procedures for relationships with trading partners

18. Read the articles of the Code of Practice and answer the questions.

Code of Practice on the Relations between Hoteliers and Travel Agents

Signatories

The signatories are: The International Hotel & Restaurant Association (IH&RA) and The Universal Federation of Travel Agents’ Associations (UFTAA).

Scope of the Code of Practice

The Code of Practice is intended to govern contracts known as "hotel contracts" between travel agents and hoteliers. If any article of the Code of Practice conflicts with national law or international law, the signatories acknowledge that such articles would not apply.

Definition of the Hotel Contract

The "hotel contract" is a contract by which a hotelier agrees with a travel agent to provide hotel services, at a specified price, to a traveller or a group of travellers who are client(s) of the travel agent.

Reservation

Hotel contracts shall be initiated by a reservation request from the travel agent to the hotelier. Verbal reservation requests shall be confirmed immediately in writing (letter, telegram, fax, e-mail, etc.) to the hotelier. Reservation requests shall specify the services to be supplied.

Confirmation

Upon receipt of the reservation request from the travel agent, the hotelier shall confirm the reservation in writing, stipulating in particular the price of the services ordered by the issuance of a reservation number referring to the request. The hotelier shall refrain from accepting reservations which he cannot honour.

Upon receipt of the hotelier's confirmation or within a time-limit fixed by the latter, the travel agent must notify, in writing, his/her acceptance of the hotelier’s conditions.