Lawsuit Investigation into Air Canada Cancellation Refund Policy
Last Updated on May 1, 2020
Investigation Complete
Attorneys working with ClassAction.org have finished their investigation into this matter.
Check back for any potential updates and take a look at our open investigations here. The information on this page is for reference only.
Case Update
- November 26, 2019 – Investigation Closed
- Attorneys working with ClassAction.org have decided not to pursue this matter and have therefore closed this investigation. If you would like to see a current list of open investigations, please visit our lawsuit list page. Please note that the information below was posted when this investigation started and is now for reference only. If you still have questions about your rights in regard to a refund from Air Canada, contact an attorney in your area.
At A Glance
- This Alert Affects:
- Anyone who purchased a ticket with Air Canada and canceled their flight – but never used the credit they received following the cancellation.
- What’s Going On?
- Attorneys working with ClassAction.org would like to speak to these individuals to help determine whether a class action lawsuit can be filed over the way Air Canada refunds its customers.
- What’s the Catch?
- There is none! Attorneys are looking into whether Air Canada is breaking its contracts with customers and want to help people get their money back if they were improperly refunded.
Attorneys working with ClassAction.org would like to hear from anyone who purchased an airline ticket with Air Canada and canceled their flight, but never ended up using the credit they received following the cancellation.
What’s Going On?
Attorneys are looking into whether Air Canada is breaking its contracts when it comes to refunding canceled flights – and that, as a result, consumers are losing money that they shouldn’t be.
Hmm, Continue…
Allegedly, the airline’s contracts state that they will refund taxes and fees in accordance with the law, but never actually do. Instead, attorneys suspect the taxes and fees may be lumped into the credit issued to the consumer and not actually refunded to the customer’s original form of payment.
OK. Give Me an Example.
Assume you purchased a ticket to New York for $400 and ended up paying $56 in taxes and fees. You cancel the trip, and are given a credit for the money you paid out – that is, $456 (less a penalty fee) – and never end up using it toward another flight.
Attorneys believe that you should have been refunded the $56 you paid out in taxes and fees rather than have it lumped into a credit that may or may not be used.
They suspect this alleged practice harms consumers and benefits Air Canada because the airline knows that many of the credits it issues are never used. Taxes and fees can range anywhere from $50 to $80 per flight, and when multiple credits go unused, this amount can add up.
How Could a Class Action Lawsuit Help?
If a class action lawsuit is filed and is successful, customers may be able to get back the money they paid out in taxes and fees that were added to credits that they never used. Furthermore, the court could order Air Canada to either change its refund policy or change its contracts.
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