Car hire firm Hertz has ended its relationship with Ryanair over an alleged breach of contract.
Hertz and Ryanair had until now had an exclusive hire supply agreement, which allowed the airline’s customers to book Hertz vehicles through its website.
However Hertz has alleged that Ryanair’s recent decision to offer its flights through certain third party websites is in breach of this agreement, and has stopped supplying its service with immediate effect.
Ryanair said it would pursue Hertz for breach of contract and damages as a result of its decision, which came “at a time that will cause maximum inconvenience to our customers during the peak travel period”.
It said that car hire bookings already made through Ryanair.com will be honoured, while modifications to existing policies will still be possible online.
However Ryanair said its customers would now not be able to hire cars through its website until October, at which point it hopes to have agreed a deal with another supplier.
In a statement Hertz said it had made the decision after lengthy discussions with Ryanair over a "significant contractual dispute".
The company's group president, Michel Taride, also said they were confident in their legal position and "intend to pursue this matter vigorously through the courts".
Ryanair chief executive Michael O'Leary apologised to customers for the inconvenience coming from the dispute.
"We have had a long and successful partnership with Hertz, and it’s a pity that this has ended in such an unfortunate and untimely manner," he said.
Mr O'Leary also said that the airline expects that any losses incurred by the lack of a car hire service in the weeks ahead would be recovered from its legal action against Hertz, and as a result would not have a material impact on its earnings.
Ryanair passenger numbers up 14% in June
Separately Ryanair said the number of passengers it carried in June increased by 14% to reach a total of 9.5 million customers, up from 8.3 million the same time last year.
The airline also said its load factor rose by 5% to 93% in June from 88%.
Ryanair said the increased passenger numbers were as a result of its stronger forward bookings, low fares and the success of its "Always Getting Better" improvement programme.
