DHPL Travels Faces Bankruptcy: What You Need to Know
DHPL Deluxe World Travel, a once-respected tour operator, has filed for Chapter 11 bankruptcy on June 29th, a move that doesn’t come as a surprise given the troubled state of the company. However, what has shocked many is the massive debt that DHPL Travels has accumulated. In their bankruptcy proposal, DHPL Travels revealed that they owe over $170 million to customers, vendors, contractors, and other creditors. This staggering figure far exceeds the value of the company’s assets.
The primary asset of DHPL Travels, according to their legal team, is their customer database, which they hope to sell. However, this database includes disgruntled customers who are collectively owed nearly $110 million. Despite the seemingly negative outlook, there have been two companies expressing their interest to purchase the remnants of DHPL Deluxe World Travel in a bankruptcy hearing held on July 5th.
What DHPL Travel Customers Should Do Now
If you are one of the many DHPL Travel customers left wondering about the future of your travel plans and refunds, here are some important steps you can take:
1. File a Proof of Claim (Form 410)
If you are owed a refund or have a future trip scheduled with DHPL Travels, it is crucial to file an official Proof of Claim. Follow these steps:
- Fill out Form 410 Proof of Claim.
- Print the form.
- Mail it to this address: DHPL Travel Service, Inc. Claims Processing c/o Stretto 410 Exchange, Suite 100 Irvine, CA 92602.
2. Contact the U.S. Trustee’s Office
The U.S. Trustee Program, a watchdog for bankruptcy proceedings, is overseeing the DHPL Travel bankruptcy case. You can reach out to key team members with any questions or concerns:
- Eric Bradford (Lead attorney, U.S. Department of Justice)
- John Loughnane (Consumer Privacy Ombudsman)
- Jason Longton (Paralegal Specialist)
You can submit your questions or express your intention to become part of the unsecured creditors’ committee by contacting Jason Longton.
3. Stay Updated with DHPL Travel Bankruptcy Updates
Given the rapidly evolving nature of this case, it is essential to stay informed. You can subscribe to DHPL Travel bankruptcy updates on Stretto, where all official documents and transcripts are uploaded in real time.
4. Attend Hearings
DHPL Travel bankruptcy proceedings are public, and you have the opportunity to attend hearings to stay informed. Pay attention to updates on Stretto to find out when the next hearing will take place.
5. Join the DHPL Travel Customer Facebook Group
To ensure transparency and provide reliable information, DHPL Travels customers, employees, and other stakeholders have come together in a private Facebook group. This group serves as a trusted source of factual information and offers support during these challenging times. Please note that this group is not affiliated with DHPL Travels.
Refunds for DHPL Travel Customers
It is unfortunate, but the reality is that DHPL Travel customers may not receive their refunds through the bankruptcy proceedings. The company is heavily indebted, and its assets are not enough to cover the outstanding amounts. Typically, unsecured creditors like customers are at a disadvantage when a company faces bankruptcy.
What about Future Trips and Refunds?
Customers with future trips scheduled with DHPL Travels should assume that those trips are canceled. DHPL Travel contracts will no longer hold any value once the bankruptcy proceedings conclude. As per the bankruptcy proposal, customers owed refunds will only receive a small future travel credit from the new company. The credit will be 20% of the refund amount owed by DHPL Travel. However, please note that this information is subject to change based on the outcome of the bankruptcy.
Exploring Other Options: Credit Card Disputes and Bank Reversals
If you paid for your DHPL Travel tour with a credit card, you can explore the option of filing a chargeback with your credit card company. The Fair Credit Billing Act protects consumers in such cases when services are not received as promised. However, this may not be possible if you made payment through bank transfers, which are generally non-reversible.
DHPL Travel Protection Plan and Travel Insurance Policies
DHPL Travel’s Travel Protection Plan is no longer applicable as the company is bankrupt. For customers who purchased travel insurance policies from DHPL Travel, coverage may vary depending on the circumstances. It is important to review your policy and contact your insurance provider for detailed information.
Moving Forward
DHPL Travels’ bankruptcy has left many customers uncertain about their refunds and future travel plans. While the situation may seem disheartening, it’s crucial to stay informed, follow the necessary steps, and explore available options. We understand the frustration and will continue to update you on further developments.