Supreme Court to Hear Airlines' Appeal on Air Passenger Rights Compensation in Canada

2023-08-18 12:00:03

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Supreme Court to Hear Appeal from Airlines on Air Passenger Rights Compensation

The Supreme Court of Canada has agreed to hear an appeal from a group of airlines aiming to overturn rules that increase compensation for passengers in cases of delayed flights or damaged luggage. The airlines, including Air Canada and Porter Airlines, argue that Canada's passenger rights charter violates global standards and should not apply to international flights. In December, the Federal Court of Appeal dismissed most of the airlines' case but upheld one regulation regarding the temporary loss of baggage.

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Airlines Argue Violation of Global Standards

The Canadian Transportation Agency and attorney general counter the airlines' claim, asserting that there is no conflict between the passenger rights charter and the Montreal Convention, a multilateral treaty. Under the federal rules, passengers are entitled to up to $2,400 compensation for being denied boarding due to overbooking. Compensation of up to $1,000 is provided for flight cancellations and other delays. Passengers can receive up to about $2,350 for lost or damaged baggage.

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Potential Government Response

Air passenger rights advocate Gabor Lukacs suggests that the government could address the airlines' concerns by passing legislation that affirms the applicability and enforceability of the regulations, regardless of the Montreal Convention. However, Lukacs notes that there has been limited enforcement of the rules and expresses concern that airlines may exploit the ongoing court case to delay or evade compensation payments.

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Airlines Seek Clarification of Established Treaty Obligations

The International Air Transport Association, the lead party in the appeal, has declined to comment on the proceedings. Porter Airlines has expressed support for the regulations' objectives but is joining other parties in seeking clarification of potential inconsistencies with established treaty obligations for international travel. Air Canada has not yet provided a statement on the matter.

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The Supreme Court of Canada grants approximately 80 out of more than 600 applications for leave to appeal each year. The outcome of this case will have significant implications for air passenger rights in Canada.

Source: The Canadian Press

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