Chatbot Gaffe Costs Airline: Court Forces Refund for Fake Bereavement Policy
A Canadian court ruled that Air Canada must honor a fake refund policy created by its chatbot, even though the airline argued the chatbot should be responsible for its own actions.
Summary
- A Canadian customer used Air Canada's chatbot to inquire about bereavement fares after his grandmother died.
- The chatbot told him he could get a reduced rate if he booked a ticket within 90 days, even though the airline's actual policy doesn't allow refunds for bereavement travel.
- The customer booked a ticket and then requested a refund, but Air Canada initially refused, saying the chatbot also linked to the company's bereavement policy.
- The customer filed a complaint in small claims court, and the court ruled in his favor, forcing Air Canada to issue a partial refund and pay court fees.
- The chatbot is no longer operational on Air Canada's site.