The Canadian Transportation Agency has released more stringent rules aimed to protect passengers impacted by delays of three hours or more or cancellations, whether or not the disruptions were within the airline's control.
New regulations effective September 8 will require carriers to offer a confirmed reservation on the next available flight operated by them or a partner airline, leaving within 48 hours of the departure time on the passenger's original ticket. If the airline cannot provide this, it will be required to refund or rebook the passenger, at the passenger's choice.
Previously, passenger rights regulations only required refunds for flight disruptions that were within the airline's control, which excluded situations including weather, unscheduled mechanical issues or a pandemic.
"As the Canadian aviation industry continues to recover from the COVID-19 pandemic, and more and more Canadians are choosing to travel by air, it's especially important that travellers are treated with fairness and respect," said Minister of Transport Omar Alghabra.
I am pleased to see that the Canadian Transportation Agency's new Regulations Amending the Air Passenger Protection Regulations are now finalized. These regulations require that refunds be provided for cancelled flights or lengthy delays in all types of situations outside an air carrier's control and regardless of the type of ticket that was purchased."
The new regulations amend Canada's existing Air Passenger Protection Regulations. According to the government, they will "provide clarity around timing, cost coverage, method of payment, and deadlines to refund travellers in such situations."
Alghabra added: "They were developed in a manner that is fair and reasonable to passengers, with the goal of not imposing an undue financial burden on air carriers that could result in higher travel costs."
The government says the COVID-19 pandemic revealed a gap in Canada's air passenger protection framework -- the absence of a requirement for airlines to refund tickets when flights are cancelled, or where there is a lengthy delay, for reasons outside airline control and it is not possible for the airline to ensure that the passenger's itinerary is completed within a reasonable time.
The new rules will apply to all flights to, from and within Canada, including connecting flights, taking place after the coming into force of the regulations.
Specifically, the new rules identify:
-- What costs must be refunded (the unused portion of the ticket, which includes any unused add-on services paid for);
-- The method to be used for refunds (same as the original payment, e.g., a return on the person's credit card).
Refunds will be required to be paid within 30 days.
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