Travel Agencies established in the European Union: Legal Requirements for Operating in Portugal

In Portugal, only travel agencies registered with the National Register of Travel and Tourism Agencies (“RNAVT”) are legally authorised to provide tourism services.

The Portuguese tourism sector is strictly regulated, and travel agencies are entitled to perform a wide range of activities, including:

1. Organisation and marketing of package travel.
2. Representation of other travel agencies.
3. Booking of services in accommodation establishments and tourist complexes.
4. Sale of transport tickets.
5. Provision of comprehensive assistance to travellers.

In addition, agencies may carry out ancillary activities, such as the organisation of events, sale of tickets for shows, vehicle rental, currency exchange, and the marketing of travel insurance, among other services related to the reception and transportation of tourists.

The access to and exercise of these activities are regulated by Decree-Law No. 17/2018 of 8 March, which transposes Directive (EU) 2015/2302 of the European Parliament and of the Council, concerning package travel and linked travel arrangements. This legislation establishes consumer protection standards and administrative supervision, ensuring that registered agencies provide services in compliance with applicable legal requirements:

1. Direct marketing of services by tourist establishments, local accommodations, transport providers, or vehicle rental companies;
2. Transport of clients using own means by hotels, local accommodations, or tourist animation agents;
3. Sales of transport services are carried out by agents of transport operators or pursuant to agreements between transport operators;
4. Provision of services where the intermediary does not receive direct payment from the traveler;
5. Mere intermediation in the booking or sale of individual services requested by clients.

This legal framework ensures that exclusive activities of travel agencies are performed under regulatory supervision, while other tourism-related operations may be conducted outside the regulated scope.

EU and EEA Travel Agencies in Portugal

Travel agencies established in another European Union (EU) or European Economic Area (EEA) member state may operate in Portugal under the freedom to provide services, provided that such activity is occasional and sporadic, subject to compliance with two key requirements:

1. Subscription to the Travel and Tourism Guarantee Fund (FGVT)

Agencies must establish a fund, through a one-off contribution of €2,500 upon registration with the RNAVT, which provides joint liability for:

1. 1. Refund payments made by travellers where services contracted are not provided due to agency insolvency;
   2. Refund of amounts paid by travellers arising from non-performance or defective performance of contracts entered with the agency;
   3. Reimbursement of additional expenses incurred by clients because of non-provision or defective provision of the contracted services.

2. Civil Liability Insurance

Agencies are required to obtain civil liability insurance covering risks arising from their activities, ensuring compensation for both pecuniary and non-pecuniary damages caused to clients or third parties because of acts or omissions by the agency or its representatives.
The minimum coverage per claim is €75,000.

Belzuz Abogados, S.L.P. – Branch in Portugal has extensive experience in the travel and tourism sector and provides comprehensive legal advice to EU and EEA agencies seeking to operate in Portugal in full compliance with the law.