German Hotel Cancelation Policies
 

I had planned 3 days stay at a tourist location in Germany. Through a website advertisement, I managed to get some contact of a vacation rental facility. I contacted the house owner, enquired the availability and booked the rental apartment for a 3 days stay. All the communication was through email only.
2 days before the travel date, I had to cancel my travel plan due to health reasons. I further immediately wrote an email to the rental apartment owner to cancel my booking.
After my request to cancel the apartment stay, the apartment owner refused to cancel my booking and asked me to pay the rental amount.
The apartment owner did not mention any cancelation terms and conditions at the time of giving me the booking confirmation. Citing this reason I have refused to pay him the request amount.
Today I received a notice from his legal advisors asking me to pay this amount.
Are there any laws which discuss this situation? And if it does, whom does it favour?

As of now my understanding is that rental apartment is just like a hotel without a "cancelation policy" or a "cancelation terms and conditions". Hence I should be free to cancel my stay anytime without any bindings. Is is right?

Laws vary from country to country. In Germany if you book any accommodations, and permission to cancel is not detailed out in advance, you are obligated by law to pay for your stay if you cancel. The apartment owner is not responsible for advising you on standard accommodations laws.

Do you have access to a translation website? This page addresses cancellations for hotels, pensions and vacation apartments - they're treated the same - and spells it out under "Rücktritt":

" Rücktritt
Haben Sie einen Mietvertrag abgeschlossen, so sind sie eigentlich schon mit der Abgabe des Vertragangebotes hieran gebunden. Dabei muss der Vertrag nicht einmal schriftlich abgeschlossen worden sein. Ein Rücktritt vom Beherbergungsvertrag oder vom Mietvertrag ist daher nur möglich, wenn dies im Vertrag ausdrücklich vereinbart wurde. Selbiges wird selten der Fall sein. Ein Recht zur "Stornierung" ergibt sich hier also nur, wenn es ausdrücklich vereinbart war. "

suraj_satya: >>Citing this reason I have refused to pay him the request amount. <<

Welcome to Fodors. You seem to think it is unfair the owner won't refund your money. Try looking at it from his point of view. You booked his apartment (not a room in a large hotel but an apartment). Then at the very last minute you cancel. He will be out a LOT of money because he most likely cannot re-rent it at such short notice.

Maybe having to cancel is one VERY good reason to have travel insurance.

IMO you really are being unfair to the owner

A self contained vacation rental apartment is a LOT different than a room in a hotel. Sorry but I don't personally think you have a leg to stand on.

Are you asking about hotel cancellation policies (per your post title) or apartment cancellation policies? Very confusing and they are not the same thing. Generally, apartments have a more strict cancel policy as the owner/agent is unlikely to be able to rent with only 2 days notice.

Any time I've rented apartments and did not see a cancellation policy on the web site I've emailed and asked. You do owe the money for the rental.

Absolutely you owe the money for all the reasons already cited. If you have travel insurance then claim the loss. If you don't, then it's a tough lesson learned. Perhaps you'll know better next time.

Try turning the roles around and see if you still feel the same way.

<i>As of now my understanding is that rental apartment is just like a hotel without a "cancelation policy" or a "cancelation terms and conditions". Hence I should be free to cancel my stay anytime without any bindings. Is is right? </i>

How do you figure?

You owe him money. Pay up and next time pick a place that allows free cancellations 24 hours before your stay.

All rentals - no matter if hotels or apartments - have terms and conditions which include the rules for cancellation set by the owner or agency. They must be stated somewhere in the fine print and it is your task as a customer to check them ; usually you have to confirm that you agree with them by ticking a box during the booking process. The booking is then a binding contract. Like it or not, but you have to pay.

this is what insurance is for, pay the man.

Apartment rentals and hotel bookings are governed by the same law as the rental of your (permanent) apartment or house.
"Cancellation policies" are a voluntary diversion from the law by the landlord/ hotel owner. Just as the "return policy" is a voluntary service of a store.
Only when in addition to the hotel/apartment you also book a "package", i.e. with other activities, excursions etc., the special "travel law" gets in effect.
Even if the apartment in question had a cancellation policy it would be normal to charge 100% of the rental amount if the accomodation was cancelled only two days in advance.