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Issue:

On May 28, a case with potentially significant implications for the travel industry was decided by the Supreme Court of Colorado. The case, captioned Town of Breckenridge v. Egencia, LLC, et al., concerned the issue of whether Breckenridge's tax code requires OTAs to collect the town's accommodations tax from their customers. Although only OTAs were named as defendants in Breckenridge, the town's arguments could be logically extended to cover hotel bookings made by traditional travel advisors utilizing the so-called "merchant model," wherein the agency appears as the merchant of record on the purchaser's credit card statement. Read more in our members-only analysis of the case prepared by ASTA's General Counsel Peter Lobasso.


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