JC Master Updates | JC Master Lawyers Analyze Legal Risks in the Tourism Industry, Supporting Enterprises in Achieving Compliance

On the afternoon of June 26, Attorney Xu Tao, a partner at JC Master Law Office, conducted a specialized training session for Jiangsu Shuntian Overseas Tourism Co., Ltd., thoroughly analyzing legal risks and corresponding mitigation strategies throughout the entire tourism business process, thereby providing professional support for the industry’s compliant development.

In the tourism‑agency recruitment phase, false advertising, third‑party solicitation, and unreasonably low‑price tour packages are particularly problematic. One travel agency was ordered to pay triple damages for falsely promoting a “five‑star hotel,” while another was fined RMB 20,000 for entrusting customer acquisition to an unqualified entity. The law explicitly mandates truthful advertising, requires written consent from tourists for any delegation of solicitation, and mandates rigorous qualification reviews, thereby preventing “vague wording” and “zero‑ or negative‑fee tours.”
 

Furthermore, during the contract-signing process, deficiencies in qualifications, pitfalls in standard-form clauses, and risks associated with proxy signing are particularly pronounced. One company was fined RMB 14,600 for operating a travel agency without the requisite license; moreover, boilerplate provisions in its itineraries—such as “the travel agency reserves the right to modify the itinerary”—were ruled invalid. It is essential to ensure that all contracting parties are duly authorized, to provide clear warnings regarding exemption clauses, and to eliminate loopholes that permit unauthorized proxy signing.

Finally, during the execution of the travel contract, unauthorized changes to the itinerary, inadequate safety measures, and insufficient insurance coverage have given rise to numerous disputes. One travel agency reduced the itinerary for African attractions and paid compensation of RMB 5,000; meanwhile, a senior‑citizen tour group failed to comply with the “Safety Standards,” resulting in a 20% liability for a fall‑related injury. The law stipulates that any changes to the itinerary must be agreed upon through consultation and that providers are required to fulfill obligations to provide safety information, emergency assistance, and insurance advisories.

This specialized training session provided tourism industry professionals with valuable legal knowledge and risk‑mitigation expertise, helping to enhance the legality and compliance of tourism operations and fostering the sector’s sound development.