Feds avoid scrutiny for 'misinforming' fliers owed billions for cancelled pandemic flights
The Canadian Transportation Agency advised over three million ticket holders, owed $8.5 billion for cancelled flights during the pandemic, to accept 'vouchers or credits for future travel' instead of cash refunds.
The Canadian Transportation Agency (CTA) avoided judicial scrutiny over a notice that discouraged travellers from collecting billions in compensation for cancelled pandemic flights when a federal judge claimed it did not 'misinform' fliers.
The agency, in a March 25, 2020 website notice headlined, "Important Information For Travelers During Covid-19," advised travellers to settle for "vouchers or credits for future travel" instead of pressing legal claims for cash refunds.
The consumer group Air Passenger Rights had asked the Federal Court of Appeal to review the notice as inappropriate, reported Blacklock’s Reporter. However, the Court dismissed the case.
"The statement contained only general guidance," wrote Justice Elizabeth Walker. "This was a period of air travel chaos and uncertainty for travellers and airlines alike," she added.
"The statement contains non-binding guidance only. It does not affect legal rights, impose legal obligations or cause prejudicial effects."
A WestJet Airlines passenger denied boarding due to a mask mandate has lost a bid for damages. The Canadian Transportation Agency yesterday said WestJet had no choice though it meant the cancer survivor had to drive 740 kilometres in a rental car to keep a doctor’s appointment…
— Sheila Gunn Reid (@SheilaGunnReid) August 7, 2024
The group claimed the notice stifled credit card chargebacks and "misled air passengers regarding their refund rights" despite Air Passenger Protection Regulations introduced in 2019 mandated compensation for boarding denial.
Christopher Basaraba, a cancer patient travelling with WestJet Airlines in 2022, could not board a plane headed for Calgary as it refused his medical mask exemption. He did not receive compensation for damages incurred.
More than three million ticket holders were owed $8.5 billion for flights cancelled during the pandemic.
Justice Walker said there was no evidence it "misinformed the public about their refund rights." She contends the statement was written in "simple language" and "conveyed a possible way forward."
.@CTA_gc avoids Court scrutiny over notice discouraging travelers from rightfully claiming lawful compensation for Covid-cancelled flights: "This was a period of air travel chaos." https://t.co/A4YvI481oQ @AirPassRightsCa pic.twitter.com/9xgCqugkip
— Blacklock's Reporter (@mindingottawa) August 15, 2024
Scott Streiner, then-CEO of the Transportation Agency, earlier testified at the Commons transport committee, claiming the regulation’s wording was "a question of legal interpretation."
Air Transportation Regulations mandated "refunds for services purchased but not used, whether in whole or in part, either as a result of the client’s unwillingness or inability to continue, or the air carrier’s inability to provide the service for any reason."
MPs ridiculed his testimony. "I think we are playing with words here," said Bloc Québécois MP Xavier Barsalou-Duval.
"You’re putting citizens in a situation where they are essentially involuntary or unwilling creditors to these huge corporations," New Democrat MP Taylor Bachrach told the transport committee. "I wonder how you can possibly construe this as a fair situation."
Streiner, in confidential communications with airline lobbyists, proposed minimizing the number of complaints during the pandemic. "I recognize how challenging and unprecedented this period is," he wrote.
Pandemic-related complaints produced 71,000 claims for compensation, with wait times averaging two years.
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