01
Factual background & dispute
- A consumer bought tickets after the chatbot stated that a bereavement fare could be requested within 90 days after ticket issuance, then applied for the fare adjustment after travel.
- Air Canada admitted that the chatbot's wording was misleading but argued that the consumer should have relied on a separate webpage containing the correct rule.
02
Core issues & judicial focus
- Whether an enterprise bears liability for information provided by its automated customer service
- Whether accurate terms published elsewhere on the website negate the effect of inaccurate chatbot statements
03
Judicial finding & holding
- The tribunal held that Air Canada owed a duty to take reasonable care over information published through its website chatbot and that the inaccurate answer amounted to negligent misrepresentation.
- Air Canada was ordered to pay CAD 650.88 in damages, CAD 36.14 in pre-judgment interest, and CAD 125 in tribunal fees, for a total of CAD 812.02.
04
Practical risk implications
01Customer service chatbots should connect to controlled knowledge bases with designated update owners.
02Information involving pricing, refunds, commitments, and eligibility criteria requires human verification and spot checks.
03Enterprises should preserve records of erroneous answers, user feedback, and revision workflows.