Class actions have been launched against Japan Airlines Co. Ltd. and Cathay Pacific Airways Ltd. for allegedly misrepresenting certain airline ticket charges as tax when, the cases contend, the charges were simply revenue for the airlines.
That’s the claim at the heart of two class actions filed August 11 in B.C. Supreme Court naming North Vancouver businessman Ahmet Kadioglu as representative plaintiff in each case.
The claim against Japan Airlines states that Kadioglu bought a Vancouver to Tokyo ticket from the airline on or about November 11, 2010. It alleges that of the US$746 ticket cost, US$222 was included in the Tax/Fee/Charge section and labeled YQ.
The court document alleges that, contrary to the airline’s representation, the $US222 YQ amount “was not a third-party tax at all but was retained by [Japan Airlines] and diverted entirely to its own use.”
The claim against Cathay Pacific is similar. It states that a $1,218.87 Vancouver to Hong Kong ticket purchased July 27,2011 included a $275.20 charge specified as YR TAX. The suit alleges that that sum was not a third-party tax at all, but rather a sum retained by Cathay Pacific for its own use.
Both claims are seeking:
•a declaration that the defendant’s representation contravenes the B.C. Business Practices and Consumer Protection Act;
•an injunction restraining the defendant from contravening the Act with the representation; and
•punitive damages.
The case against Cathay Pacific is further seeking:
•an order that the defendant restore to the plaintiff and all other putative class member any money acquired in contravention of the act, including an order that the defendant refund all money charged to class members as YR TAX; or
•an order that the defendant disgorge to the class members all revenue collected in respect of YR TAX.
The case against Japan Airlines is further seeking:
•an order that the defendant restore to the plaintiff and all other putative class member any money acquired in contravention of the Act, including an order that the defendant refund all money charged to class members as YQ; or
•an order that the defendant disgorge to the class members all revenue collected in respect of YQ.
None of these allegations has been proven in court.
As of press time, no statements of defence had been filed.
