POST Online Media Lite Edition


Ryanair to sue Hertz for terminating car hire supply agreement

Staff writer |
Ryanair confirmed a notice from Hertz purporting to terminate Hertz’s exclusive car hire supply agreement with Ryanair with effect from 12:00hrs July 2.

Article continues below

Hertz allege that Ryanair’s agreement with GDS distribution companies represents a breach of contract, a claim which Ryanair disputes given that Ryanair has been distributing through GDSs since April 2014 (a period of over 15 months) with Hertz’s knowledge and support.

Ryanair believes this termination is in breach of its long term exclusive contract with Hertz, which was recently extended for a 5 year period to 2020.

Ryanair will now pursue Hertz for breach of contract and damages. In the interim however Ryanair will be unable to offer its customers car hire services through the website for a period of approximately 3 months while Ryanair seeks a suitable replacement supplier.

Separately Ryanair will issue a request for proposals (R.F.P.) for the provision of car hire services to Ryanair’s 100m annual customer base. Ryanair would expect to have a replacement supplier linked to the website by October 2015 which will coincide with the launch of Ryanair’s new and radically improved personalised website and mobile app.

What to read next

Hertz Global enters rental car agreement with Uber and Lyft
Ryanair places order for up to 200 Boeing jets
Ryanair to hire thousands of new workers