WEEKLY TRAVEL NEWS | Travel Refunds during COVID-19
With the recent developments of COVID and our clients inquiries regarding their own travels and what rights they have in terms of refunds, we thought it would be a good idea to have a quick summary on what options you have if your bookings are cancelled or you wish to cancel.
The Canadian Transportation Agency (CTA) has been providing updates regarding the regulations of offering compensation and balancing both the airlines flexibility and passengers rights. Below we outline what is being offered to Canadian Passengers
Refunds Basics
You are 100% entitled to cash refunds for:
Flights to or from the United States (on ANY airline)
Return flights from the European Union (on ANY airline)
Flights to or from the European Union (on EU airlines)
If the airline is advising there are no refunds, above outlines what you are entitled to when it comes to cash efunds. It will be difficult to get your refund because for the airlines its a huge cost expense, but nonetheless if you are persistent and have the time, they will refund.
European Union published:
“Right to reimbursement or re-routing”
In the case of a flight cancellation by the airlines (no matter what the cause is), Article 5 obliges the operating air carrier to offer the passengers the choice among:
a) reimbursement (refund);b) re-routing at the earliest opportunity, or
c) re-routing at a later date at the passenger’s convenience.
The US Department of Transportation wrote:
“notice that reminds the traveling public and U.S. and foreign carriers that passengers should be refunded promptly when their scheduled flights are cancelled or significantly delayed. Although the COVID-19 public health emergency has had an unprecedented impact on air travel, the airlines’ obligation to refund passengers for cancelled or significantly delayed flights remains unchanged.”
The CTA had made changes back in December 2019, which we have previously posted about, that made changes to air passengers rights. However, there have been some changes since then.
The CTA’s initial statement on vouchers was not binding. They have added a new page on their website: FAQs: Statement on Vouchers.
Here is the first FAQ
What is the purpose of the Statement on Vouchers?
The Statement on Vouchers, although not a binding decision, offers suggestions to airlines and passengers
Another FAQ:
Do I have to accept a voucher if I think I’m owed a refund?
The Statement on Vouchers suggests what could be an appropriate approach in extraordinary circumstances, but doesn’t affect airlines’ obligations or passengers’ rights
Lastly, another FAQ:
If you think you are entitled to a refund and the airline refuses to provide one or offers a voucher with conditions you don’t want to accept, you can file a complaint with the CTA, which will determine if the airline complied with the terms of its tariff. Each case will be decided on its merits.
What This Means For You
For those two jurisdictions, it’s very clear that you are entitled to a refund. For all other destinations, Canadian airlines will continue to tell you that you will receive a travel voucher.
The CTA does refer to each airline’s “tariff” (the “contract of carriage”), which allows for the airlines to decide on what protection passengers will receive for their booking.
It is important to note that the passenger compensation regulation in 2019, does not explicitly include the right to a refund, unlike in the US and EU.
Let us know your thoughts below in the comments.
Stay Safe,
The Luxe and Lavish Travels Team