Overbooking in hotels and holiday rentals: what the law says and what to do if it happens (2026)

Updated: 10 November 2026

A guest arrives with a booking and you have no room: it usually happens when you sell on several channels without a synced calendar. We read the Andalusian Tourism Act, Decree-Law 13/2020, the Portuguese tourist accommodation decree, the 2025 Greek regulation and the official Booking.com and Airbnb help pages (links at the end). Where we could not confirm something we say so. This is not legal advice: check with your adviser.

What overbooking is

Confirming more bookings than you have places for the same dates.
Sometimes it is a strategy; usually it is a mistake: two channels sell the last room at the same time.
It is not only a legal issue: the guest is left without a bed and the review comes anyway.

Andalusia: banned, with a duty to relocate

Andalusian Tourism Act 13/2011, art. 25 (consolidated text, BOE):

You may not contract places you cannot provide on the agreed terms.
If it happens, you must house the guest in another property in the same area, of equal or higher category and on similar terms.
Transport costs and the price difference are paid by the overbooked property (it can pass them on to the business that caused it).
If the new accommodation is cheaper, you refund the difference.

Andalusia: offence and fines

Same act, penalties:

Art. 70.8: minor if you accept excess bookings but relocate the guest as art. 25.2 requires.
Art. 71.17: serious if you do not provide that accommodation.
Art. 78: minor, a warning or a fine of up to EUR 2,000; serious, EUR 2,001 to 18,000.
Decree-Law 13/2020, art. 24, for hotels: relocation to a nearby property of the same group, type and category or higher, with transport and price difference at your cost.
Holiday rentals (viviendas con fines turísticos): the text does not mention them in connection with overbooking; we have not confirmed whether it applies. Ask your adviser.

Portugal

In Decree-Law 39/2008 (as republished in 2009) we found no specific rule on overbooking or relocation. We did not read later versions or the local accommodation (alojamento local) rules, so we do not treat this as settled.

Italy

We found no official national rule on overbooking in accommodation, and we did not review each region's laws. If it happens, follow good practice: relocation of equal or better standard at your cost, and ask your adviser.

Greece: the 2025 regulation

Ministerial Decision 4109/2025 (Government Gazette B 1546/01-04-2025), on relations between tourist accommodation providers and guests:

Art. 4.3: you may not contract without availability.
Art. 4.4: if you cannot house the guest, you secure another property of at least the same category, in the same area, with at least the same facilities.
You pay transport and any price difference.
Art. 15.1: administrative penalty of EUR 300 to 5,000 per breach.
Short-term rentals: we have not confirmed whether this regulation applies.

Booking.com: relocation at your cost

Official Booking.com help for properties:

First, offer another of your rooms of the same or better standard, at no extra cost to the guest.
If you have none, it is your responsibility to find nearby accommodation of the same or better standard and pay for it; you may also have to pay to relocate the guest.
Contact Customer Service (24 hours, via the extranet inbox) to mark the reservation as a double booking.
No commission on the double booking if you have been on Booking.com for fewer than 30 days or have had no more than four in 12 months; otherwise you are charged for the reservation.

Airbnb: cancellation penalties

Official Airbnb help on host cancellations:

Minimum fee of USD 50.
50% of the amount for nights not stayed if you cancel 48 hours or less before check-in (or after); 25% between 48 hours and 30 days; 10% more than 30 days out.
No payout for the booking; Airbnb may block those dates and, without a valid reason, suspend the listing or remove Superhost status.
A double booking counts as the host's responsibility.
Fees are waived only for major disruptive events or documented valid reasons.

How to avoid it: one calendar

Use a channel manager that updates every channel at once, or sync calendars (export/import, iCal) and check them often.
Include your own website and AI assistants: if they sell the same room, they must read the same availability.
After every manual booking (phone, email, front desk), close the date on all channels.
Agree in advance with a nearby hotel for emergency relocations.

What to do if it has already happened

Tell the guest as early as possible, not on arrival.
Find accommodation of equal or higher category in the area and pay transport and the difference.
If the booking came from a platform, contact it before cancelling.
Keep a written record of what you offered and what the guest accepted.

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Frequently asked questions

Is overbooking illegal in Andalusia?

Yes: you may not contract places you cannot provide (Act 13/2011, art. 25). If you relocate the guest it is a minor offence; if not, a serious one, fined EUR 2,001 to 18,000.

Who pays for the other hotel?

In Andalusia and Greece, the property that overbooked pays transport and the price difference. Booking.com also says you pay.

How much does Airbnb charge if I cancel because of a double booking?

From 10% to 50% of the reservation amount depending on notice, with a USD 50 minimum, plus other consequences.

Sources

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