Passengers booked with Lynx Air were left scrambling over the weekend to replace cancelled flights after the ultra-low-cost airline announced Thursday evening that it is ceasing operations effective today after filing for creditor protection.
The airline said it was unable to overcome compounding financial pressures associated with inflation, fuel costs, exchange rates, cost of capital, regulatory costs, and competition in the Canadian market.
“It is with a heavy heart we leave the skies,” Lynx said in a statement on its website.
But some travellers said Friday morning that chaos had already begun three days before the airline was officially set to shut down.
Sal Saied was supposed to fly from Toronto to Los Angeles around 9:30 a.m. on Friday, but said she received an email from Lynx stating the trip would be delayed over an hour. She was at the gate about to board the plane at 10:45 a.m. when there was an announcement that the flight was cancelled altogether.
“We lined up to get ready to board, then they actually told us to step back down and about five minutes after they told us that our flight was cancelled,” she said. “They told us to essentially leave the airport.”
Saied, who found a replacement ticket at an “extremely high price,” described the situation as a “fiasco.”
Alternatives
WestJet said it was ready to help mitigate some of the issues for travellers. The airline said it will offer discounted fares for stranded domestic travellers and capped fares for Canadian repatriation flights on non-stop WestJet routes previously served by Lynx.
All economy cabin fares that meet that criteria are eligible for a 25% discount for flights through Oct. 26, as long as the booking is made by Feb. 29.
Late Friday, Air Canada announced that it would cap fares and add more than 6,000 seats in select markets operated by Lynx Air in response to the situation with the fare available for purchase before Feb. 26 for travel through April 2.
The airline said it is planning to add incremental capacity on Lynx routes from Toronto and Montreal to Cancun, Fort Myers, Orlando, Tampa, Phoenix and Las Vegas until March 19.
Refunds
Calgary-based Lynx said those who were planning to board flights on Monday and onward must contact their credit card company to obtain a refund.
“Please note: Lynx Air’s contact centre will not be available to assist with refunds,” it said on its website.
Seeking a full refund through your credit card provider can be a seamless process, however “that really depends on what credit card you purchased your flight with,” said Natasha Macmillan, director of everyday banking for Ratehub.ca. “The big thing is whether the card that you purchased the flight on is eligible for travel insurance.”
For those who don’t have travel insurance, Macmillan said she recommends reaching out to the credit card provider’s customer service department to inquire about cancelling the payment.
“Sometimes in certain situations like that, the credit card provider might follow through,” she said. “In the past, we have seen with other fees, if there does seem to be kind of a business’s negligence to fulfil their end of the bargain, you can retroactively get that payment, that refund, back on your card.”
TICO
In Ontario, TICO says it is the process of obtaining additional information from the Receiver appointed under the Companies’ Creditors Arrangement Act (CCAA) process for Lynx Air and as soon it is received, it will be shared on TICO’s website, including potential eligibility for claims under the Ontario Travel Industry Compensation Fund.
It notes that airfare purchased directly from Lynx Air or through a travel agency/booking website outside of Ontario is not eligible for reimbursement through the Compensation Fund.
Further, it says, affected passengers should note the Compensation Fund does not reimburse consumers for the cost of replacement travel services purchased, nor does it allow for trip completion claims as a result of an end supplier failure (e.g., airline).