Airline Must Refund USD 500 Rescheduling Charge, Pay ₹10,000 Compensation: Consumer Commission

The Chandigarh District Consumer Disputes Redressal Commission has directed a private airline to refund USD 500, equivalent to about ₹31,441, to a passenger after finding that the carrier failed to return an amount it had itself acknowledged as refundable.

A bench comprising President Pawanjit Singh and Member Mohan Sharma also awarded ₹10,000 towards compensation for mental agony and litigation expenses.

The Commission, in its September 23 order, held that although the passenger could not establish his allegation that the airline had unilaterally cancelled his return ticket, the carrier’s failure to refund the admitted amount constituted deficiency in service.

The passenger had booked round-trip tickets with the airline from Chicago to New Delhi and back for USD 680. He travelled from Chicago on February 3, 2022, and reached India the following day. His return journey was initially scheduled for February 28, 2022.

According to his complaint, he sought rescheduling because of the prevailing COVID-19 situation and his health condition. His return journey was subsequently changed to June 6, 2022, through a receipt dated April 25, 2022.

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As his health had allegedly not fully improved, he again requested a change in the travel date. The return journey was then rescheduled to June 19, 2022, after he paid an additional USD 500, stated to be around ₹31,440.

The passenger claimed that he later sought another change because of unavoidable family circumstances and responsibilities towards his elderly parents in Chandigarh. He alleged that the airline staff failed to assist him and cancelled his return ticket without his consent or prior intimation.

He stated that he discovered the alleged cancellation only after checking his PNR status. He then approached the airline’s Chandigarh office but, according to the complaint, his grievance was not resolved.

He approached the Consumer Commission alleging deficiency in service and unfair trade practice, seeking refund and compensation for financial loss, mental agony and harassment.

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Airline Denied Cancelling Ticket

The airline denied cancelling the passenger’s return ticket or any misconduct by its staff.

It contended that the passenger repeatedly approached it for rescheduling and that his requests had been accommodated despite the financial and operational impact of last-minute changes.

The airline also stated that the USD 500 collected for the later rescheduling was being processed for refund to the original mode of payment without any deduction.

According to the airline, the passenger approached its Chandigarh office on June 18, 2022, just one day before the scheduled journey on June 19, seeking a further cancellation or change that could not be accommodated at such short notice.

Cancellation Allegation Not Proved

The Commission found that the passenger had not produced documentary evidence showing that the airline had unilaterally cancelled his return ticket.

The airline, on the other hand, produced the ticket status showing that it was “open for use”. The Commission therefore held that the allegation of wrongful cancellation had not been established.

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However, it noted that the airline had admitted that the USD 500 paid for the subsequent rescheduling was refundable. Despite this admission, the airline failed to place any material before the Commission showing that the refund had actually been made.

The Commission held that the airline’s admitted liability to refund the amount could not be avoided merely because the passenger had failed to prove the separate allegation concerning cancellation.

It consequently directed the airline to refund USD 500, amounting to approximately ₹31,441, and pay ₹10,000 towards compensation for mental agony and litigation expenses.

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