Air Canada Loses Class Action Lawsuit Over Hidden Ticket Fees

Air Canada has been ordered to pay over $10 million in damages after losing a class action lawsuit over hidden ticket fees. The Quebec Court of Appeal ruled that the airline violated the Consumer Protection Act by charging more than the advertised price during online bookings. At the center of the case is a long-running dispute about price transparency, and whether airlines like Air Canada mislead passengers by hiding fees until checkout.

The decision marks a major win for passengers and adds fuel to the larger conversation about airline pricing practices and so-called junk fees.

What Happened?

The case began in 2010 when Michael Silas, a Montreal resident, noticed he was charged $124 more than the ticket price shown during the initial booking stage on Air Canada’s website. His case, supported by the Union des consommateurs, alleged that extra charges like fuel surcharges and fees were not properly disclosed upfront.

Air Canada initially claimed it was exempt from the provincial law because air travel falls under federal jurisdiction. However, the Court of Appeal rejected that argument, stating that the airline showed “ignorance and laxity” toward consumer protections.

The Court’s Decision

Justice Judith Harvie emphasized that Air Canada prioritized its commercial interests over transparency. She called the airline’s behavior serious and deliberate, affecting thousands of customers. The court also highlighted that the issue was not just a technicality, but a violation with real consumer impact.

The court awarded $14.45 per ticket to affected passengers who bought tickets between June 30, 2010, and February 8, 2012.

Bigger Picture: Are These Junk Fees?

This ruling adds to the ongoing public debate about airline pricing transparency. Many critics argue that “junk fees” — charges that appear late in the booking process — undermine consumer trust. These include fees for checked bags, snacks, and even Wi-Fi.

In fact, Air Canada recently started charging basic fare customers for carry-on bags, a move that drew even more criticism. The court made it clear: transparency from the first click is not just good practice — it’s the law.

What’s Next for Air Canada?

Air Canada has acknowledged it breached the law and is now reviewing whether to appeal. They argue the law has since been clarified, and that the issues occurred before February 2012.

Meanwhile, the Union des consommateurs is considering an appeal of its own — hoping to secure full refunds for all unlawfully charged fees, not just partial compensation.

Do you think all airline fees should be shown upfront when booking tickets online? Let us know your thoughts in the comments.

More…

• https://www.cbc.ca/news/canada/montreal/air-canada-class-action-ruling-1.7516556
• https://www.theglobeandmail.com/business/article-quebec-judge-orders-air-canada-to-pay-passengers-10-million-in-damages
• https://www.msn.com/en-ca/money/topstories/judge-orders-air-canada-to-pay-passengers-10m-in-damages-after-class-action/ar-AA1DtNeF