Airline price-fix suit goes forward
Judge certifies class action
TORONTO — An Ontario judge has certified a classaction lawsuit that accuses Air Canada and several other international airlines of a price-fixing conspiracy that allegedly raised the cost of shipping air cargo to and from Canada for more than six years.
The case has been wending its way through the courts since February 2008, when the plaintiffs first filed to have it certified as a class action.
Since then, several of the accused airlines — including British Airways, Air France and Australia’s Qantas Airways — have settled.
In its statement of admissions, Air France acknowledged it “conspired, combined, agreed or arranged with other air cargo carriers to lessen competition unduly in Canada in the sale and supply of international air carriage services for cargo on certain routes originating in Canada by fixing surcharges, including fuel and other surcharges.”
Several other airlines have made similar admissions.
“Because we have settled with a lot of airlines we do have evidence from them that we think will assist us in proving the conspiracy and proving the damages and the case,” said Charles Wright, a lawyer for the plaintiffs.
However, those still fighting the lawsuit have argued that there was not an “undue lessening of competition” as a result of their actions.
Air Canada has not reached a settlement in Canada, although it has already settled a similar lawsuit in the United States, paying $8 million without admitting liability.
It is also appealing a 21 million euro fine levied by the European Commission.
Air Canada declined to comment, but pointed to its management discussion and analysis from the fourth quarter of 2014 where it said it is co-operating with the investigations.
The case applies to anyone who paid to ship air cargo to or from Canada between Jan. 1, 2000 and Sept. 11, 2006, either directly or through intermediaries — a period during which about $200 million of air cargo surcharges were levied, according to court documents.