Air Canada has been ordered to pay over $10 million in compensation for violating consumer rights. The Quebec Court of Appeal ruled that Air Canada misled customers with deceptive pricing practices during ticket sales, violating consumer protection laws.
The decision, made in a class-action lawsuit, revealed that the airline had violated the consumer protection law. The ruling emphasized that Air Canada's assumption of exemption from relevant provisions of the Quebec Consumer Protection Act was a "serious example of ignorance and negligence."
A previous court ruling acknowledged Air Canada's legal violation but argued that it did not result in damage, and thus no compensation was required. However, the appeal court overturned this decision and ruled that the airline must pay compensation to passengers.
The lawsuit was filed 15 years ago by a consumer rights group and a citizen from Montreal. The plaintiffs pointed out a $124 difference between the price shown during the initial ticket purchase process and the fee charged at the payment stage. They requested the refund of extra taxes, fees, and additional charges.
The plaintiffs argued that Air Canada's opaque pricing policy undermined passengers' rights to make informed choices. The court agreed with this defense, ruling for the return of overcharged fees and compensation.
This decision comes at a time when the airline industry is debating whether additional fees are "hidden costs" or legitimate options offered to passengers.
Air Canada has not yet commented on the court's ruling.
