Insights/Air Canada
CASE 002AIR CANADA

Air Canada Chatbot — Who Owns the Outcome of an AI-Assisted Decision?

Modern organisations can explain individual systems. The challenge is explaining the decisions that emerge between them.

In Moffatt v. Air Canada (2024 BCCRT 149), a customer asked the airline's AI chatbot about bereavement fares. The chatbot provided incorrect information about the refund policy. When the customer sought to rely on that information, Air Canada argued the chatbot was a separate entity responsible for its own statements.

WHAT HAPPENED

The British Columbia Civil Resolution Tribunal rejected Air Canada's defence. The tribunal ruled that the airline was responsible for all information provided on its website, including by its AI chatbot. Air Canada was ordered to compensate the customer for the fare difference.

WHY IT MATTERS

This documented tribunal ruling established a clear precedent: organisations cannot disclaim accountability for information provided by their AI systems. This is directly relevant to AI Act compliance Ireland and NIS2, where explainability and accountability for AI-assisted decisions are regulatory requirements.

THE DIGITALomnibus LENS

The issue was not the chatbot itself, but the lack of clear Decision Visibility across the systems and processes that generated the final response.

Forensic Breakdown

DECISION

Incorrect advice on bereavement fare refund (Moffatt v. Air Canada, 2024 BCCRT 149)

SYSTEMS

Customer-facing AI chatbotUnderlying company knowledge baseBereavement fare policy documentation

EVIDENCE

Customer retained a screenshot of the chatbot conversation; the airline argued the chatbot was a separate entity; the tribunal disagreed

CHALLENGE

Customer complaint escalated to the BC Civil Resolution Tribunal

OUTCOME

Tribunal ruled Air Canada was responsible for chatbot statements; airline ordered to compensate the customer

LESSONS FOR IRISH BOARDS

An AI assistant speaks on behalf of the organisation, not alongside it.

Organisations are accountable for decisions and information provided by AI systems under the AI Act and NIS2.

ASK YOURSELF

If one of your AI-assisted systems provided incorrect information or made a flawed decision, could your team fully explain and defend it?

You don't need to become an expert in every regulation. You need confidence that important decisions can still be explained.

DigitalOmnibus reviews one critical business decision and tells you whether it can be explained, evidenced and reconstructed if challenged.

Get Your Decision Visibility Report

TECHNICAL VERIFICATION

Want to understand whether your organisation could reconstruct similar AI-assisted decisions? Our sister platform NIS2Ireland.com provides a complimentary evidence and visibility assessment powered by German engineering.

Visit NIS2Ireland.com