Do I need to be a registered seller of travel ifI am selling hotel vouchers?

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Do I need to be a registered seller of travel ifI am selling hotel vouchers?

I am launching a new website where I will be selling hotel vouchers. These vouchers will offer a discount to normal pricing, and will be good for a specified period of time; typically about a year. I sell the voucher, but the customer must book the reservation with the hotel following the purchase. I know that there are specific seller of travel laws in the US- specifically FL, CA and IA seem to be the most stringent. I noticed one website doing something similar to what I am doing. They don’t appear to be registered as a seller of travel anywhere.

Asked on March 21, 2011 under Business Law, Massachusetts

Answers:

MD, Member, California Bar / FreeAdvice Contributing Attorney

Answered 11 years ago | Contributor

First of all, you need to verify as a provider of such vouchers, if you are contracting with the consumer only for the voucher or could the consumer consider you to be an agent of this hotel or all the hotels and therefore, place you in direct harm if anything should go wrong (from as simple as a lost reservation to injuries on the premises). Every state is different and some do require you to not only be registered with the Secretary of State in that state to do business with those state's consumers but you may need additional licensure as a travel agent. Some states don't require such licensure for travel agents. Some states have a registration system for such work. Check into any insurance you may need or would be helpful to have and consider at least consulting with a business attorney about setting up your business to protect you from personal liability and of course to help write the disclaimers needed and contracts needed for your business.


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