OPC Travel Counsellor: Security bond and FICAV compensation

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1. After a supplier default, what living and lodging costs may the president refund?

   1. A flat $100 per family, whatever the stay
   2. All costs incurred, with no limit at all
   3. None, only the ticket price itself
   4. Reasonable costs, up to a daily cap
   Show answer and explanation

   Correct answer: Reasonable costs, up to a daily cap

   The Regulation allows reasonable living and lodging costs to be refunded up to a daily maximum per person set and indexed by regulation.

   Based on: RAV art. 43.8, 43.10; official source in French checked 2026-10-24

   Official reference ↗

2. How is the s. 43.3 overall per-event ceiling calculated, without confusing it with a guaranteed minimum payment?

   1. $5,000 per traveller per event
   2. 100% of the Fund's accumulated surplus
   3. $10M per event, whatever the surplus
   4. The greater of 60% of the previous surplus and $30M
   Show answer and explanation

   Correct answer: The greater of 60% of the previous surplus and $30M

   This is a collective per-event ceiling based on the preceding March 31 surplus, with a $30M floor for that ceiling. It does not promise at least $30M in actual payments or an amount for each traveller.

   Based on: RAV art. 43.3; official source in French checked 2026-10-24

   Official reference ↗

3. The agency closes before its customers leave. What can its security be used for?

   1. Funding a new agency opened by the Office
   2. Paying the agency's debts to its owner
   3. Refunding money paid for services not provided
   4. Paying severance to the agency's employees
   Show answer and explanation

   Correct answer: Refunding money paid for services not provided

   Section 28(b) concerns paid services not yet provided on business cessation. The claim must be liquidated and accepted as compliant by the president or provisional administrator; this is not automatic payment of every demand.

   Based on: RAV art. 28(b); official source in French checked 2026-10-24

   Official reference ↗

4. Who must provide the individual security required with a general licence?

   1. The travel agent
   2. The travel counsellor
   3. The customer, with the deposit
   4. The supplying tour operator
   Show answer and explanation

   Correct answer: The travel agent

   The security (bond) must accompany the general licence; the travel agent provides it.

   Based on: RAV art. 28–29; official source in French checked 2026-10-24

   Official reference ↗

5. How does the president assess costs claimed from the Fund?

   1. By whether they are reasonable
   2. Only costs paid in cash count
   3. By the customer's family income
   4. Always pays the amount claimed
   Show answer and explanation

   Correct answer: By whether they are reasonable

   The president considers that the claimant may not be unjustly enriched and must minimize the damage.

   Based on: RAV art. 43.14; official source in French checked 2026-10-24

   Official reference ↗

6. A customer holds a final judgment, not one by acquiescence, concerning the agency mandate. What does s. 28(a) exclude from security coverage?

   1. Punitive damages
   2. The interest awarded
   3. The capital awarded
   4. The legal costs awarded
   Show answer and explanation

   Correct answer: Punitive damages

   Within its conditions, s. 28(a) covers capital, interest and costs but excludes punitive damages. Not every judgment is automatically payable: finality, basis, mandate and other requirements still matter.

   Based on: RAV art. 28(a); official source in French checked 2026-10-24

   Official reference ↗

7. When does the FICAV step in for an agency that has ceased business?

   1. When the individual security is insufficient
   2. Only if the agency had more than 10 employees
   3. Before the security is even used
   4. Never, the FICAV covers suppliers only
   Show answer and explanation

   Correct answer: When the individual security is insufficient

   The FICAV compensates or refunds customers, or pays for their departure or repatriation, if the agent's individual security is insufficient.

   Based on: RAV art. 28 dernier alinéa; LAV art. 30.1; official source in French checked 2026-10-24

   Official reference ↗

8. An airline goes bankrupt after the customer paid the agency in full. Can the FICAV step in even though the agency is solvent?

   1. No, the customer must sue the airline
   2. Yes, but only for domestic flights
   3. No, only if the agency closes
   4. Yes, for a supplier's default
   Show answer and explanation

   Correct answer: Yes, for a supplier's default

   A supplier default may engage the Fund even if the agency is solvent. Act s. 30.4 includes compliant transfer of funds and distinguishes recovery of paid sums from compensation for harm. Regulatory conditions and evidence still apply.

   Based on: LAV art. 30.4; RAV art. 43.7–43.8; official source in French checked 2026-10-24

   Official reference ↗

9. After the purchase, the Government of Canada issues an official advisory to avoid all travel to the destination. How does the Regulation classify this?

   1. A mere customer preference
   2. The customer's own fault or choice
   3. A cause beyond the customer's control
   4. A default by the travel agency
   Show answer and explanation

   Correct answer: A cause beyond the customer's control

   An official advisory from a Canadian authority to avoid all travel, or all non-essential travel, issued after the purchase is a cause beyond the customer's control that may lead to a refund from the Fund.

   Based on: RAV art. 43.9(b); official source in French checked 2026-10-24

   Official reference ↗

10. A supplier default prevents use of four nights of a paid seven-night related service. Under s. 43.7(b), how is that related service’s refund assessed?

    1. The full stay price, regardless of nights used
    2. A flat $500 per traveller
    3. No refund, part of it was used
    4. In proportion to the unused nights
    Show answer and explanation

    Correct answer: In proportion to the unused nights

    For the partly used related service, s. 43.7(b) provides a refund proportional to the unused part, subject to the applicable conditions. It does not promise a full refund for services already used.

    Based on: RAV art. 43.7(b); official source in French checked 2026-10-24

    Official reference ↗

11. Customers are stranded at their destination after a supplier defaults. What can the president do?

    1. Nothing until they are back in Québec
    2. Ask the police to organize their return
    3. Make them pay their own way, with no recourse
    4. Hire an agent or supplier to bring them home
    Show answer and explanation

    Correct answer: Hire an agent or supplier to bring them home

    The president can mandate a travel agent or supplier and pay it directly the reasonable cost of the departure or repatriation the circumstances require.

    Based on: RAV art. 43.12; official source in French checked 2026-10-24

    Official reference ↗

12. An agency refunds its customers itself after a tour operator defaults. Can the Fund reimburse the agency?

    1. No, only customers may claim
    2. Yes, plus a 10% bonus
    3. Yes, with proof, if not otherwise paid
    4. No, unless it had a restricted licence
    Show answer and explanation

    Correct answer: Yes, with proof, if not otherwise paid

    The president may reimburse the agent for reasonable amounts refunded or spent for its customer, with proof, provided it is not otherwise paid or reimbursed.

    Based on: RAV art. 43.11; official source in French checked 2026-10-24

    Official reference ↗