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Thomson applies for judicial review over ‘favoured clause’


THOMSON has applied to stage a judicial review into the Government’s decision to ban operators’ ‘most favoured clause’ with travel agents.



The practice, which locks agents into an agreement with an operator not to offer better discounts with any other product, was outlawed after the Monopolies and Mergers Commission investigation in 1997.



Thomson claims the order was illegal but has already had one appeal rejected.



“We have put our case to the Court of Appeal and expect a decision by Christmas or the new year,” a spokeswoman said. The Government said the practice keeps prices artificially high because agents are prevented from passing on higher discounts to consumers.


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