Hotel reservation with prepayment: room not provided and refund claims

If a hotel does not provide confirmed accommodation despite prepayment, the booking and the financial consequences must be reassessed. The key issues are the agreed service, the reason for non-provision, any alternative offered and the actual refund or loss that remains outstanding.

For an individual accommodation reservation, the first assessment is based mainly on the contract and the general rules of the ABGB. A prepayment does not automatically become a cancellation fee. Package travel rules apply only where the booking combines travel services as a package.

A booking confirmation may define the accommodation, period, room category, price and additional services. Information about meals, accessibility, parking or a particular location may also form part of the contract if it was included in the offer and confirmation.

The assessment follows the process from offer to payment. Save the platform display, confirmation, rate name, terms and later messages. Calling the booking a request or the payment a prepayment does not by itself determine whether a contract was formed.

The accommodation contract glossary entry explains the connection between accommodation and additional services. The accommodation and guest admission topic covers the related duties in more detail.

The prepayment shows that money was paid for the agreed service. If the room is unavailable on the agreed date, the service and the payment must be assessed together. The hotel cannot justify retaining the money merely by referring to its occupancy.

Under section 918 ABGB, defective performance of a paid contract may lead, depending on the circumstances, to performance, withdrawal or damages. If the specific performance has become impossible, section 920 ABGB may be relevant. The appropriate remedy depends on the alternative offer, timing and booking terms.

A refund must be distinguished from other loss items. The value of an alternative service, additional nights, transport and other expenditure each require their own explanation. A blanket total without credit for services already received is as unreliable as a blanket retention.

A different bed does not automatically provide the same service. Compare category, size, location, facilities, meals, accessibility, period and the purpose of the trip. A substantial distance may create additional travel or change the plan of the stay.

If the guest must decide immediately on arrival, document the necessity and all remaining differences. Accepting an alternative to limit the loss does not necessarily waive every further claim. A clear reservation of rights avoids later uncertainty.

A guest who rejects a reasonable solution without a comprehensible reason and thereby creates higher costs may face difficulties in the loss assessment. This is not a duty to accept every room. Comparability, available time and reasonableness remain case-specific.

If the agreed accommodation is not provided and suitable remedy is unavailable, withdrawal under the conditions of section 918 ABGB may be considered. Section 920 ABGB may have separate significance where performance is impossible. Section 921 ABGB requires restitution and any damages to be assessed separately after withdrawal.

For the refund, first identify the part of the payment allocated to the failed service. If some service was provided or alternative accommodation arranged, its value must be reflected in the account. A credit, upgrade or paid invoice should be assigned to a specific item.

Request repayment in writing and in a transparent form. State the booking number, service period, payment, missing service and a secure payment route. Do not invent a statutory or contractual deadline. For later enforcement, proof that the request was received matters.

Necessary additional costs for alternative accommodation, a transfer or another immediate solution may qualify as loss if they were caused by the contractual deviation, required in the situation and supported by evidence. The lowest imaginable price is not automatically decisive, but an arbitrary comfort upgrade is not automatically recoverable either.

Section 1295 ABGB generally requires a caused loss and the other legal requirements for damages. Link each amount to its reason, date, invoice, payment and connection with the missing accommodation. General disappointment cannot simply be converted into a monetary claim.

Contributory responsibility may also matter under section 1304 ABGB. A guest who chooses a substantially more expensive option without explanation, although an adequate alternative was available, must be able to justify that choice. In an acute situation, necessary accommodation remains the priority.

Terms about prepayment, cancellation and retention must be available and understandable in the booking flow. In a consumer transaction, section 6 KSchG is particularly relevant to the transparency of unclear contractual terms. The clause must be read together with the rate, booking page and confirmation.

A heading such as non-refundable does not answer every issue. Review the service period, reason for the failure, scope of the term and whether the hotel itself could not perform. A rule for a guest cancellation does not automatically permit retention when the hotel failed to provide the service.

The hotel should explain the contractual basis, alternative and accounting when accommodation is not provided. Guests should save the terms as they appeared at booking because platform text can change. For a cross-border booking, applicable law and jurisdiction require a separate review.

Arrange the material in a short chronology: booking, prepayment, confirmed service, arrival, hotel message, alternative offer, response and refund request. Add screenshots, emails, call times, photographs, invoices and payment records.

Ask the hotel for a written account. It should identify the missing accommodation, reason, proposed solution, cost allocation and refund separately. Summarise phone promises by email and request confirmation.

The initial consultation checklist helps arrange the material. The tourism contracts and liability topic provides further guidance on contractual deviations, loss and responsibility.

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