Webjet sued for misleading buyers on prices, bookings

Webjet has been taken to court for allegedly advertising deals without disclosing extra fees. (Dan Himbrechts/AAP PHOTOS)

Consumers were tricked into believing they were getting a better deal than was possible on Webjet's platform, a lawsuit against the online booking giant claims.

The consumer watchdog on Thursday alleged that Webjet advertised flight deals over a period of five years without telling consumers they'd also be slugged compulsory service and booking fees of up to $54.90.

The statements advertising "flights from" prices were made on its app, in marketing emails on social media and on its website.

Information about the extra fees was included in the app, website and most promotional emails but typically required scrolling and was "not sufficiently clear or prominent", the Australian Competition and Consumer Commission said.

"During this time of cost pressures, many consumers are carefully considering travel arrangements and seeking to save money," commission chair Gina Cass-Gottlieb said.

"A statement about the lowest price must be a true minimum price, not a price subject to further fees and charges before a booking can be made."

In a second tranche of allegations, Webjet is accused of taking payment and "confirming" bookings when it had not booked the flight with the airline.

In these cases, Webjet later allegedly sought additional payment from the consumers to complete the booking or offered the consumer a refund for the flight despite having earlier confirmed the booking.

Some consumers might have paid for other travel arrangements on the basis of the confirmation, forcing them to choose between paying more money or cancelling other arrangements at a potential loss, the commission said.

The 382 related bookings were made between November 2018 and June 2024.

"We are very concerned about this alleged conduct by Webjet, which represented to consumers that their flight booking had been confirmed and left some consumers in the position of having to pay more to later complete the booking," Ms Cass-Gottlieb said.

The case alleging false and misleading representations was filed in Federal Court on Thursday.

Webjet said it had fully cooperated with the commission and it did not believe the issues related to its current pricing and disclosure practices.

"(The company) has already voluntarily and proactively undertaken a number of steps to further improve its disclosure of pricing and fees," it said in a statement.

Millions of customers had booked flights with Webjet over the relevant five-year period but complaints about fees had been very rare, the company added.

The case was taken against Webjet Marketing Pty Ltd, a subsidiary of the ASX-listed Webjet Group.

License this article

What is AAPNews?

For the first time, Australian Associated Press is delivering news straight to the consumer.

No ads. No spin. News straight-up.

Not only do you get to enjoy high-quality news delivered straight to your desktop or device, you do so in the knowledge you are supporting media diversity in Australia.

AAP Is Australia’s only independent newswire service, free from political and commercial influence, producing fact-based public interest journalism across a range of topics including politics, courts, sport, finance and entertainment.

What is AAPNews?
The Morning Wire

Wake up to AAPNews’ morning news bulletin delivered straight to your inbox or mobile device, bringing you up to speed with all that has happened overnight at home and abroad, as well as setting you up what the day has in store.

AAPNews Morning Wire
AAPNews Breaking News
Breaking News

Be the first to know when major breaking news happens.


Notifications will be sent to your device whenever a big story breaks, ensuring you are never in the dark when the talking points happen.

Focused Content

Enjoy the best of AAP’s specialised Topics in Focus. AAP has reporters dedicated to bringing you hard news and feature content across a range of specialised topics including Environment, Agriculture, Future Economies, Arts and Refugee Issues.

AAPNews Focussed Content
Subscription Plans

Choose the plan that best fits your needs. AAPNews offers two basic subscriptions, all billed monthly.

Once you sign up, you will have seven days to test out the service before being billed.

AAPNews Full Access Plan
Full Access
AU$10
  • Enjoy all that AAPNews has to offer
  • Access to breaking news notifications and bulletins
  • Includes access to all AAPNews’ specialised topics
Join Now
AAPNews Student Access Plan
Student Access
AU$5
  • Gain access via a verified student email account
  • Enjoy all the benefits of the ‘Full Access’ plan at a reduced rate
  • Subscription renews each month
Join Now
AAPNews Annual Access Plan
Annual Access
AU$99
  • All the benefits of the 'Full Access' subscription at a discounted rate
  • Subscription automatically renews after 12 months
Join Now

AAPNews also offers enterprise deals for businesses so you can provide an AAPNews account for your team, organisation or customers. Click here to contact AAP to sign-up your business today.

SEVEN DAYS FREE
Download the app
Download AAPNews on the App StoreDownload AAPNews on the Google Play Store