ARC seeks court confirmation of arbitration award against agency

Airlines Reporting Corporation v. Versailles, LLC (E.D. Va. Nov. 26, 2007).  ARC has filed a petition seeking the confirmation of an arbitration award in its favor against Versailles, LLC, a travel agency that does business as Business Travel International and is located in Irvine, California.

According to ARC’s petition, the agency had filed an appeal with the Travel Agent Arbiter after an ARC audit revealed that the agency had violated the Agent Reporting Agreement.  The Arbiter dismissed the appeal, noting in his ruling that “there is clearly the appearance of fraud constituting a clear and present danger of substantial loss to ARC and/or the carriers.”  The Arbiter also ordered that the agency surrender all airline identification plates and traffic documents to ARC and pay $206,400 to ARC, but the agency has failed to comply with such order, according to ARC.  ARC alleges that $192,475 of the amount owed by the agency is from chargebacks by credit card holders claiming that their cards were charged fraudulently.

Update:  On January 25, 2008, the court entered an order confirming the Travel Agent Arbiter’s order.

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