Lastminute wins legal action against Ryanair, which reacts

Lastminute has won a new legal battle against Ryanair in Switzerland: the federal court has upheld two judgments which authorise the Swiss online travel group to sell plane tickets on the flights of the Irish low-cost airline. Ryanair reacts by stating that the Swiss ruling has no effect under EU law.

This latest decision closes several appeals by Ryanair, which were all rejected, and puts an end to a legal battle of several years between the Lastminute group and the Irish low-cost in Switzerland. The federal court ruled that the tour operator did not violate any intellectual property rights or contractual commitments to Ryanair. The court also ordered Ryanair to pay 49,000 Swiss francs (50,000 euros) in legal costs to Lastminute.

“This decision indicates that the Lastminute group does not infringe any intellectual property rights or contractual obligations towards Ryanair by carrying out its activities as an online travel agency on the matter of flights of this airline”, underlines a press release of Lastminute.

Ryanair confirms Swiss ruling has no effect under EU law

Ryanair on 18 April noted a Swiss Court decision regarding a Lastminute.com case will have no practical impact on Ryanair since EU law entitles airlines to determine their own distribution models and to protect their websites by contractual terms of use.  Furthermore, the Irish Supreme Court has confirmed that the Terms of Use of the Ryanair website are governed by Irish law.  Accordingly, Ryanair confirms it will retain its direct-to-customers distribution model.

In May 2022, the Paris Court of Appeal vindicated Ryanair’s direct distribution model by ordering the immediate cessation by Lastminute of its unlawful selling of Ryanair flights and ordered Lastminute to pay damages to Ryanair for free-riding on Ryanair’s website.

Notwithstanding the wealth of jurisprudence confirming a business’ right to determine its own distribution model, Lastminute insists on reselling Ryanair’s flights without having any commercial agreement to do so.

Ryanair’s Dara Brady said: “Ryanair’s direct-to-customers distribution model provides our customers with the best choice, care, and lowest fares while allowing us to ensure that flight safety, security, and public health protocols are complied with.  We again urge consumers to avoid intermediaries and book directly on the Ryanair website, the only place to find the cheapest Ryanair fares.”

A new court case in view soon?