WestJet's flight credits don't follow same rules as gift cards, B.C. court rules
Flight credits distributed by WestJet don't have the same flexibility as gift cards and can have expiration dates, according to a recent ruling from B.C.'s Court of Appeal.
The decision, posted Wednesday, determined "travel bank credits" don't have to follow the same regulations as "prepaid purchase cards" or "gift cards." The ruling explained the flight credits are typically issued for cancelled flights, lost luggage and general customer dissatisfaction.
In WestJet's case, the credits expire after a year, but can sometimes be extended for a $20 fee.
The court heard Tiana Sharifi got nearly $1,000 in credit after she bought a ticket for a flight, then voluntarily cancelled it. Sharifi used about $570 of the credit, but the remaining $420 expired after a year.
Sharifi argued that the credits count as a gift card and that consumer protection legislation prohibits WestJet from setting an expiration date. She applied to have the matter certified as a class action, which it was in October 2020.
WestJet then appealed the certification, arguing the credits aren't considered gift cards because they are issued as a refund, to compensate for an inconvenience or used as a promotional tool. When they're issued for a refund, WestJet argued, they function as "store credit," which isn't covered by prepaid purchase card laws.
"In my view, the issue is not whether Ms. Sharifi prepaid her ticket to travel with WestJet: she clearly did. Rather, the question is whether, in consideration for her 'non refundable ticket,' she prepaid a fixed amount for (travel credits), which she had the right to use in the future. In my view, she clearly did not," Justice Patrice Abrioux wrote in his decision.
"Ms. Sharifi purchased a prepaid flight. She did not purchase a prepaid purchase card, gift card, gift certificate or otherwise."
As a result, Abrioux said Sharifi's flight credits "do not fall within the definitions contained in the relevant consumer protection legislation" and WestJet's appeal was permitted, dismissing Sharifi's case.
CTVNews.ca Top Stories
Montreal doctors' breakthrough discovery about causes of cerebral palsy giving hope
A breakthrough discovery made by doctors at the Montreal Children's Hospital about the causes of cerebral palsy is giving new hope to one West Island family.
Weather alerts issued for 7 provinces, 1 territory
Warnings of up to 60 millimetres of rain and other alerts have been issued for seven Canadian provinces and one territory ahead of the Easter weekend.
Ontario homeowner on the hook for $27,000 when contractor severed power line
An Ontario man who built a garage on his property has been locked in a battle with his electricity provider for a year and half over a severed power line.
He didn't trust police but sought their help anyway. Two days later, he was dead
Jameek Lowery was among more than 330 Black people who died after police stopped them with tactics that aren’t supposed to be deadly, like physical restraint and use of stun guns, The Associated Press found.
Grandparent scam: London, Ont., senior beats fraudsters not once, but twice
It was a typical Tuesday for Mabel Beharrell, 84, until she got the call that would turn her world upside down. Her teenaged grandson was in trouble and needed her help.
CRA no longer requiring 'bare trust' reporting in 2023 tax return
The Canada Revenue Agency announced Thursday it will not require 'bare trust' reporting from Canadians that it introduced for the 2024 tax season, just four days before the April 2 deadline.
Why Kim Kardashian is being sued for 'knockoff' furniture
The estate of minimalist contemporary artist Donald Judd filed a lawsuit against Kardashian this week, claiming the fashion and beauty mogul promoted 'cheap knockoffs' of his furniture designs.
Where is the worst place for allergy sufferers in Canada?
The spring allergy season has started early in many parts of Canada, with high levels of pollen in some cities already. Experts weigh in on which areas have it worse so far this season.
Louis Gossett Jr., 1st Black man to win supporting actor Oscar, dies at 87
Louis Gossett Jr., the first Black man to win a supporting actor Oscar and an Emmy winner for his role in the seminal TV miniseries 'Roots,' has died. He was 87.