Ryanair to sue Hertz for terminating car hire supply agreement
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 Ryanair.com 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 Ryanair.com website by October 2015 which will coincide with the launch of Ryanair’s new and radically improved personalised website and mobile app. ■