Tour operators sue state over cruise ship initiative

[Jason]

Tour operators sue state over cruise ship initiative

By: Associated Press

A group of Southeast Alaska tour operators has gone to court over the cruise ship initiative passed last year. The businesses claim the initiative and its disclosure provision violates their rights.

The disclosure provision requires that a cruise ship company disclose the commission it receives, or the percentage of the total sale, when the cruise line promotes a tour. Some businesses claim the disclosure would reveal their wholesale costs.

Sitka Superior Court Judge Larry Zervos on Saturday granted a temporary restraining order halting the law. He also scheduled a hearing for Friday morning to hear testimony regarding an extension of his order. The businesses filing the lawsuit say the temporary restraining order will provide an opportunity for a legislative solution.

The disclosure section of the initiative was designed in part to grant passengers access to tour operators not associated with cruise lines. The state House Monday was scheduled to consider a bill by Anchorage Democrat Lindsey Holmes that would force commissions to be disclosed only if they were more than ten percent of the cost of the total sale. The measure also would require cruise lines to declare that other onshore tours were available and to provide contact information for visitors centers.