A federal court dismissed WestJet’s appeal over a $1,000 passenger compensation ruling, reinforcing airline accountability for flight cancellations in Canada.
Federal Court Upholds Passenger Compensation Ruling
The Federal Court of Appeal has dismissed a challenge brought by WestJet against an order to compensate a passenger for a cancelled flight, marking a significant moment for airline accountability in Canada. The ruling, issued Monday, upheld the Canadian Transportation Agency’s (CTA) directive requiring WestJet to pay $1,000 in compensation.
Case Originating from 2021 Flight Cancellation
The case stems from July 2021, when passenger Owen Lareau’s flight from Regina to Ottawa was cancelled, forcing him to endure a 21-hour delay. The CTA determined WestJet failed to prove the cancellation met conditions that would exempt the airline from compensation under Canadian air passenger protection rules.
WestJet’s Argument on Safety Grounds
WestJet argued the cancellation was caused by a first officer calling in sick an hour before departure, a circumstance the airline said was a matter of safety. The carrier maintained this exempted it from paying compensation. However, the three-judge panel ruled the airline provided “insufficient evidence” to demonstrate the cancellation was unavoidable or properly mitigated.
Court’s Findings on Contingency Planning
In its written decision, the court noted that the CTA was entitled to conclude WestJet did not present enough proof of reasonable contingency measures to manage the disruption. The panel found no reviewable error in the regulator’s determination, effectively rejecting WestJet’s attempt to overturn the compensation order.
Broader Implications for Airlines
The outcome could have wider consequences across Canada’s aviation sector. The CTA, a quasi-judicial tribunal, has seen several airlines challenge compensation orders since the introduction of federal air passenger protection regulations. Air Canada, which intervened in the Lareau case, has also pursued legal challenges over similar rulings.
What This Means for Travellers
Under existing CTA regulations, airlines must compensate passengers in certain circumstances involving delays or cancellations, unless the carrier can clearly establish the disruption was beyond its control. Monday’s decision strengthens the precedent that airlines must present substantial evidence when invoking exemptions.
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