Zoom customers in B.C. could be eligible for refunds
Zoom passengers who bought their tickets for flight on the grounded airline in B.C. may be eligible for special last resort refunds from a special industry fund set up to cover such collapses.
The Travel Assurance Fund compensates B.C. consumers who did not receive the travel services they purchased, according to the Business Practices and Consumer Protection Authority of British Columbia.
As many as 450 Zoom Airlines passengers scheduled to travel via Vancouver International Airport on Thursday were stranded after the company, which has sought court protection from creditors, cancelled all flights and suspended operations.
The Business Practices and Consumer Protection Authority recommends Zoom customers in B.C. holding tickets pursue the following avenues to obtain refunds:
- If the trip was booked through a travel agent or wholesaler, ask them for assistance or to request a refund.
- If the ticket was purchased with a credit card, call or write to the credit card company to find out if they will reverse the charges.
- If the customer purchased trip insurance, contact the carrier to confirm coverage.
- If all of these options have been exhausted and the consumer booked through a licensed B.C. travel agent or wholesaler, the traveller may be eligible to make a claim for money from the Travel Assurance Fund.
If the Zoom ticket was part of a package holiday, the hotel portion might not be covered by refunds, since it is assumed the traveller can fly with another airline and use the hotel.
The Vancouver Airport Authority said no Zoom flights will be arriving in or departing from the city Thursday.
Don Ehrenholz, vice-president of operations, said three Zoom aircraft that were to fly to Vancouver are being held in Europe.
"The three aircraft … inbound to Vancouver are still in Europe," Ehrenholz said in a telephone interview. "As a result, the three flights that we expected to arrive later this afternoon will not arrive."
Passengers planning to travel on Zoom Airlines are being advised not to go to the airport, and to visit the airline's website for the latest information, Ehrenholz said.
People expecting to meet passengers from a Zoom flight should check with the passengers to find out their revised travel plans.
"We're just starting discussions with all the other airlines that fly to the same destinations in Vancouver to see if they have space and can accommodate some of the folks that do arrive at the airport," Ehrenholz said.
Those stranded include passengers from three inbound flights from London Gatwick, Glasgow, and Cardiff/Belfast.
Passengers who bought tickets with a credit card should call the number on the back of the card. Most of the credit card companies CBC contacted said they will eventually give passengers a refund on the unused portion of the ticket.
American Express announced Thursday evening that it would give refunds to cardholders who purchased cancelled Zoom Airlines tickets and who can't get reimbursed by other means.
MasterCard Canada said its general policy is that if a customer does not receive the goods or services purchased with a MasterCard credit card, the cardholder is entitled to a refund.
It is important to gather all relevant information — receipts, copies of tickets, etc. — and contact the card issuer as early as possible, Mastercard advised.
The outbound flights cancelled at the Vancouver airport include one to London Gatwick, one to Paris via Calgary and one to Glasgow via Manchester.
Ottawa-based Zoom Airlines, which flies in Canada, the Caribbean and Europe, blamed its troubles on the sagging economy and higher fuel prices that resulted in a $50 million increase in operating costs in 2007 alone.
Ramsay Smith, Zoom's executive chair, said Thursday that travellers who bought tickets for future flights with a credit card should contact the credit card company for a refund, but people who paid cash may be out of luck.
"It would not be possible at this stage but an administrator will be appointed to run the affairs of Zoom and to deal with those kinds of issues," Smith said in a telephone interview.