An Airbnb Class Action Lawsuit Has Been Settled & You Could Be Eligible For Credit

Check your bookings, travellers! Canadian residents who booked an Airbnb stay over the past few years may qualify for a credit from the company — thanks to a new settlement in a multi-million dollar class action lawsuit.

A federal judge approved a $6 million Airbnb settlement in Canada, resolving claims that the company charged higher service fees upon payment than it displayed at the first stage of browsing.

Canadian residents from all over the country (apart from Quebec — sorry guys!) could be eligible to receive a credit after submitting a claim.

To qualify, you must have booked your first stay via Airbnb for a purpose other than business travel between October 31, 2015, and June 25, 2019. It doesn't matter where in the world you stayed.

Under the terms of the settlement, eligible people can get up to $45 in a “non-cash-convertible” credit issued via Airbnb, which can be redeemed within two years on their next booking.

How to qualify

People who may be eligible for the credit have started to be contacted by Deloitte LLP — the company appointed by the court to distribute notices and process claims under the settlement.

An email shared on February 10 reads, "You may be eligible to submit a claim for a Redeemable Credit from Airbnb as part of the settlement.”

“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,” it adds.

To make a claim, customers must register online. "Once eligibility has been established by answering the questions in the portal, it is anticipated that you will receive your Airbnb credit sometime in the summer of 2022," says Deloitte.

All claims must be submitted before March 28, 2022. Late submissions will not be accepted.

The background

Back in 2017, lead plaintiff Arthur Lin filed the class action lawsuit alleging that Airbnb displayed one booking price at the browsing stage on its site, then another higher price at the payment stage.

According to the lawsuit, this practice violates section 54 of the Competition Act.

It says the move is "a rarely used criminal offence known as 'double ticketing,' by charging guests [...] a final price that was higher than the price displayed at the first stage of browsing on the Airbnb platform."

It adds, "More specifically, Mr. Lin contested the fact that Airbnb added 'service fees' to the final price charged for its accommodation booking services, although these fees were not included in the initial price per night displayed on the Airbnb platform."

Today, Canadians searching for accommodation on the Airbnb website and app will see the total end-price, including all additional fees for service and cleaning.

This article's cover image was used for illustrative purposes only.