Hotels in southern Gran Canaria, one of the archipelago's main tourism hubs, are falling victim to contractual conditions imposed by large European tour operators that can be considered abusive and, in many cases, jeopardize the establishments' profitability. This is the warning from José Antonio Fernández de Alarcón Roca, a lawyer and founding partner of the Monlex firm specializing in tourism law. He warns that contracts imposing "highly disproportionate" conditions on accommodations, especially those independent or not part of large chains, are becoming more common.
Among the most questioned practices, Fernández de Alarcón highlights: unilateral cancellations without penalty, which allow tour operators to cancel reservations without assuming financial consequences, leaving the hotel with the loss; blocking of quotas without guarantee of occupancy, which can translate into zero income for rooms reserved for nothing; limitations on pricing policies, which reduce the flexibility of establishments to adapt to demand; or reference to non-negotiated general conditions, a mechanism that, according to the lawyer, "hides unbalanced and highly damaging indemnity clauses."
"Many hotels accept these conditions out of necessity or fear of losing their sales channel," notes Fernández de Alarcón, who highlights the power imbalance between international tour operators and small, local hoteliers. The situation is not new, but it is worsening in a context of post-COVID tourism recovery and high occupancy, where previously signed contracts are once again showing their flaws. "It is now that many of these clauses are beginning to cause real damage. There are hotels that have accumulated millions in claims due to contracts signed hastily," the lawyer emphasizes.
Southern Gran Canaria, with thousands of accommodation beds in San Bartolomé de Tirajana and Mogán, thus becomes one of the areas most exposed to these dynamics. What can hoteliers do? Monlex recommends that hoteliers carefully review contracts, including annexes and external conditions, seek specialized legal advice before signing, document all communications with tour operators, and explore judicial or administrative avenues to challenge unfair terms.
"Hoteliers have the right to balanced contracts. And although Directive 93/13/EEC is designed to protect consumers, its principles can be applied in business relationships when there is a clear imbalance," the jurist points out. Fernández de Alarcón also calls for collective action. "Perhaps we should stop waiting for each hotel to act on its own. Business associations should take on this challenge, because we are talking about a structural threat to the destination's competitiveness." In the meantime, the recommendation is clear: read the fine print and negotiate firmly. Because in an increasingly competitive market, what's at stake is not just a good season but the viability of the Canary Islands hotel model in the medium term.
