In a landmark decision, Air Canada has been instructed to compensate a British Columbia man after its chatbot provided him with incorrect information regarding bereavement fares. The Civil Resolution Tribunal found in favour of Jake Moffatt, who sought a reduced food while booking a flight to Toronto for his grandmother's funeral, highlighting the airline's responsibility for ensuring the accuracy of its digital customer service tools.
Tribunal member Christopher C. Rivers emphasized that Air Canada failed to exercise reasonable care in verifying the chatbot's accuracy, leading to a case of negligent misrepresentation. Moffatt, relying on the chatbot's advice, believed he could claim bereavement fares retroactively, a misunderstanding that resulted in a denied refund request despite his submission of the necessary documentation.
The tribunal's scrutiny revealed that Air Canada attempted to distance itself from the chatbot's misinformation, arguing that it could not be held accountable for the bot's actions. However, this argument was dismissed, with Rivers clarifying that the chatbot, as an integral part of Air Canada's website, falls under the airline's jurisdiction. The decision underscored that all information provided through the airline's digital platforms must be accurate and reliable, dismissing the notion that customers should navigate multiple website sections to verify the information obtained from the chatbot.
Ultimately, Moffatt was awarded $650.88 in damages, representing the cost difference between the standard fare he paid and the bereavement fare he was initially led to believe he could claim. Additionally, Air Canada was ordered to cover $36.14 in pre-judgment interest and $125 in tribunal fees, marking a significant acknowledgment of the importance of digital tool accuracy in customer service.
This ruling serves as a critical reminder to companies about the legal and ethical responsibilities of providing accurate information through digital customer service channels, highlighting the need for rigorous oversight and accountability in the age of automated customer support.