If you used Airbnb for the first time after Oct. 2015, you may be eligible for up to $45 in credit. That’s thanks to a $6 million settlement in a class-action lawsuit filed over the company’s service fees, which previously made checkout prices higher than what was first advertised.
Initially filed in 2017, the class action was led by Vancouver resident Arthur Lin, who accused the accommodation booking giant of tacking on service fees and charging him a total of $122 per night for a booking that was first listed at $108 per night.
A judge agreed Airbnb was guilty of “double ticketing,” which is when a buyer sees two or more prices and is charged the higher one at checkout. Double ticketing is a criminal offence under Canada’s Competition Act and can lead to a maximum fine of $10,000 and a year’s imprisonment.
Airbnb appealed the decision, but finally reached an agreement with Lin in federal court on Nov. 19, 2021 which allows the San Francisco-based company to avoid admitting liability. After costs like legal fees are deducted, the remainder of the $6 million will be used to provide credits of up to $45 to some affected Canadian customers.
Although it wasn’t part of the settlement, Airbnb’s online accommodation marketplace now shows prices that include all service and cleaning fees.
Anyone who may be eligible for a credit will be contacted via email by the company Deloitte LLP to submit a claim, so be sure to check your spam folder. The messages appear to have begun circulating this week.
“However, receipt of this notice does not mean that you are part of the settlement or eligible to submit a claim for a Redeemable Credit,” an email from Feb. 8 cautions.
To be eligible, you must be a resident of Canada who first used Airbnb between Oct. 31 2015 and June 25 2019. Business travellers are excluded, and so are residents of Quebec, where a separate $3 million class-action settlement has been reached. Claims must be submitted to Deloitte by March 28, 2022. Credits will be a maximum of $45, but could be lower depending on how many claims are approved. They will be valid for 24 months.
For more information on claim eligibility and the settlement, visit www.airbnbsettlement.ca.
