Commonwealth_ In a landmark decision, the Quebec Court of Appeal has ordered Air Canada to pay more than $10 million in damages to passengers following a long-standing class-action lawsuit. The case centered around allegations that the airline charged customers amounts significantly higher than the advertised ticket prices, violating Quebec’s Consumer Protection Act.
The ruling, delivered on Tuesday by Justice Judith Harvie, overturned a previous decision by a lower court that acknowledged Air Canada’s legal breach but dismissed the need for punitive damages due to a lack of demonstrable harm. Justice Harvie, however, criticized the airline’s conduct as marked by “ignorance and laxity” and held that Air Canada acted improperly in assuming it was exempt from key consumer protection provisions.
The class-action suit, which has been ongoing for 15 years, was initiated by a consumer rights group along with a Montreal resident. The plaintiff claimed that the first stage of Air Canada’s online booking process charged him $124 more than the ticket price. The plaintiff attributed this discrepancy to additional taxes, fees, and surcharges not clearly disclosed at the outset of the transaction.
Plaintiffs in the lawsuit contended that Air Canada’s pricing practices misled customers by presenting incomplete information, thereby compromising their ability to make informed purchasing decisions. They argued that any amounts charged above the initially advertised price should be refunded, as the airline failed to provide adequate disclosure about the true cost of tickets.
The Quebec Court of Appeal agreed with these claims, ruling that the airline must not only reimburse the excess amounts but also pay punitive damages. The judgment emphasized that Air Canada’s behavior flouted consumer rights and failed to adhere to the transparency required by law.
This ruling comes at a time of growing public and governmental scrutiny over airline pricing practices. Many consumers and advocates argue that the increasing complexity of airline fees and fare structures has given rise to so-called “junk fees” charges that are added after the initial price has been presented, making it harder for customers to assess the true cost of travel.
While airlines, including Air Canada, have defended the practice as offering travelers more choice through unbundled pricing models, critics claim that such strategies obscure real costs and hinder comparison shopping. The appeal court’s decision now sets a significant precedent that reinforces the necessity of transparent and upfront pricing in the airline industry.
Legal experts note that the case could prompt similar actions across other provinces or encourage class-action suits against different carriers, especially if customers continue to face hidden or unclear charges during the booking process.
Despite the court’s strong stance, Air Canada has not yet issued a public statement in response to the ruling. It remains to be seen whether the airline will appeal the decision to the Supreme Court of Canada or comply with the payout order.
Consumer advocates have welcomed the decision as a win for transparency and accountability in the travel sector. They say it affirms the principle that companies must provide clear and honest information to their customers, especially when it comes to financial transactions that directly impact household budgets.
The judgment delivers justice to the affected passengers and reinforces the broader importance of consumer rights. It serves as a reminder to corporations operating in highly regulated industries that compliance with consumer protection laws is not optional and that failure to do so can result in substantial financial and reputational consequences.
