Transport committee  The first change is incorporating in the Canada Transportation Act a clear definition of “denial of boarding” and “cancellation” that mirrors the European Union's definition. We often hear, for example, that a flight was not cancelled; it was just a schedule change. The airline refuses to pay compensation on that basis.

Transport committee  We need to fix more than just the burden of proof. We should start with clear definitions that mirror the European Union's definitions of “denied boarding” and “cancellation”. Then we need to move on to a presumption of liability for denied boarding, delay and cancellation on the carrier's part, as in the Montreal Convention.

Transport committee  In my view, the APPR was written by the airlines for the airlines, and it's essentially a sham. It creates the appearance that there is passenger protection regulation in Canada. It serves as a way to provide answers to those legitimate calls to provide a European-style protection regime, but it was designed to fail.

Transport committee  Generally, when we are talking about crew shortages, we are talking about situations that the airlines could have known well in advance, like not having adequate training for crews probably months in advance. I would support arrangements for special exemptions for airlines that operate north of a certain geographical point in very scarcely populated areas and territories.

Transport committee  The EU model deals with the relationship between passengers and the airlines. It is without prejudice to the airline's right, then, to recover costs from a third party for damages. What we need to bear in mind is that both under the EU law and under the Montreal Convention, which is an international treaty, the airline is the passenger's final address for issues.

Transport committee  Mr. Chair and honourable members, Air Passenger Rights is Canada's independent, non-profit organization of volunteers devoted to empowering travellers. We take no government or business funding, and we have no business interests in the travel industry. We speak for passengers, whom we help daily in their struggle to enforce their rights.

Finance committee  Unfortunately, we have no information.

Finance committee  On the broader issue of non-compliance with the law—not just with the refunds, but overall on passenger rights—what we already see is that when a passenger can choose between a European carrier, which is bound by European laws and regulations, which is a gold standard, or a Canadian airline, they will choose the European airline.

Finance committee  We expect that if there is a new wave of the current pandemic or if there is another pandemic or if there is a situation like September 11, they might try to use those provisions to refuse to refund passengers their own money for flights that never took place. This is in sharp contrast with the U.S. standard.

Finance committee  It's not that Air Canada wanted this deal; the question is whether they needed it objectively. That's unclear. Certainly refunds should have been happening immediately, as the flights were being cancelled, as soon as March and April of 2020. There would have been probably way more public sympathy, public appetite, to provide some financial relief to airlines.

Finance committee  It's quite possible that some airlines might need some financial assistance to weather this storm. However, what is clear is that Canada does not need airlines that disobey the law. Any kind of corporation that is trying to make a profit outside the rules of the game, outside the fundamental rules of capitalism, which is based on respect of private property, becomes a burden for taxpayers.

Finance committee  Our concern relates on the one hand to passenger refunds. There are passengers from WestJet, from Air Transat, from Sunwing and from Porter, just to name a few, who are waiting for refunds. Those airlines, just like any other airline, owe those passengers a refund but have not fully complied with the obligation.

Finance committee  Certainly, the limitation on buybacks and on restricting.... Was it bonuses or actual compensation?

Finance committee  Yes, those are positive measures, but in my opinion they don't make up for all the shortcomings of this deal, unfortunately. Let me take off my air passenger rights advocate cap for a moment and just think as a taxpayer. The most significant shortcoming I see is the low amount of equity that Canada acquired.

Finance committee  In our view, compliance with the law should not be a negotiating chip, the same way it's not a negotiating chip whether one pays taxes or whether one can just go into a store and remove items from the shelf without paying. Compliance with the law and giving passengers refunds is a legal right when the airline itself cancels the flights.