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Online travel agency Vacaciones eDreams, S.L, trading as eDreams, has paid $59,400 in penalties after the ACCC issued it with three infringement notices for allegedly making misleading pricing claims about its subscription-based memberships and failing to prominently display the total cost of an annual subscription.
The ACCC has accepted a court-enforceable undertaking from eDreams in which it admits its conduct contravened or likely contravened the Australian Consumer Law (ACL). As part of the undertaking, eDreams has committed to providing refunds or credits to eligible consumers.
eDreams charged consumers subscription fees during the 'free' trial period
eDreams admitted that from at least November 2021 to July 2025, it told consumers at the checkout that the price of its Prime Subscription Service membership would cost "$0.00" and/or was "FREE" for a 15-day trial period without adequately stating that the free trial was only available to first-time subscribers.
By doing so, eDreams represented that the Prime Subscription Service was free during the trial period. However, from May 2024, eDreams conducted eligibility checks after the checkout process and immediately charged consumers identified as ineligible.
"Businesses should be clear about any eligibility criteria when offering consumers a free trial. Consumers may have been misled into subscribing to a membership they might not have signed up for, had they known they were ineligible for the free trial," ACCC Commissioner Luke Woodward said.
Failure to clearly display the total minimum cost of an annual subscription
eDreams also admitted that, from approximately 29 January 2025 to July 2025, it published monthly prices for its annual subscription service on its website without also prominently displaying the lowest total cost over 12 months, which was the minimum period consumers had to sign up for.
Under the ACL, businesses must not advertise a price for part of a subscription (e.g. a monthly price for an annual subscription) without also prominently displaying, as a single amount, the total minimum cost payable for the duration of the subscription.
"The law requires businesses to be upfront about the total price consumers have to pay for goods or services. Businesses must be clear about the minimum total amount consumers must pay for a subscription," Mr Woodward said.
eDreams will refund or credit eligible consumers
In the undertaking given to the ACCC, eDreams has committed to providing refunds or credits to eligible consumers who signed up from 1 November 2021 and were charged membership fees during the 'free' trial period.
Current eligible subscribers will be provided with a refund or receive a credit to be applied to their existing account. eDreams will email consumers who no longer have a subscription, directing them to a secure form on its website to provide their details for a refund. Consumers may also contact eDreams via its website.
eDreams has updated its website to address the concerning conduct and will also implement an ACL compliance program.
The undertaking is available at Vacaciones eDreams, S.L.
Background
eDreams is an online travel agency that has been operating in Australia since 2009. It is a subsidiary of eDreams ODIGEO S.A, an entity registered in Spain. It provides comparison, search and booking engine services for flights and hotels through the eDreams app and website.
Note
The ACCC can issue an infringement notice when it has reasonable grounds to believe a person or business has contravened certain consumer protection provisions in the ACL.
A person or business is not regarded has having contravened the ACL merely by paying the penalty specified in an infringement notice.
