Ryanair demands £4M from Expedia over deal row

Ryanair will sue Expedia for £4 million – or around Euro 5 million – if it is successful in the courts following the acrimonious end to the pair’s hotel content partnership.

Documents obtained by Travolution from the hearing on October 10 revealed the Euro 5 million figure was agreed by both parties – with Ryanair acting as the claimant – as a “ball park figure” for the case.

As part of the administrative process triggered by the row, a presiding judge is required to specify the amount of money involved.

The exact amount of the current claim is for Euro 4.8 million, including Euro 1 million of interest, although the figure can be changed during the proceedings.

No other details about the nature of the contractual dispute were revealed in the legally obtained documents.

A trial date was set for 11 November 2009 during the hearing.

The October 10 hearing took place a few days before Ryanair went public and announced its intention to terminate its hotel supply deal with Expedia Inc’s wholly-owned Travelscape, claiming failure to honour payment terms.

Expedia responded by saying that Ryanair had “no right” to can the contract and that the carrier was in breach of its obligations.

Last week, Ryanair delivered on its threat and dropped Expedia from its website.

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