Air Canada is vowing to fight a U.S. Department of Transportation (DOT) move to seek a USD $25.5m penalty for "failing to provide consumers prompt refunds" after cancelling their flights amid the COVID-19 pandemic. The DOT said it received more than 6,000 refund complaints since 01MAR 2020, and has notified Air Canada multiple times over the past year of its view that the airline's stance "lacks merit." Air Canada says it believes the DOT’s position has no merit. "Air Canada remains firm on its position and will vigorously challenge the proceedings," spokesman Peter Fitzpatrick wrote in an email, citing that the airline has refunded CAD $1.2b to eligible customers for flights cancelled due to COVID-19. Air Canada is required to respond to the complaint within 15 days. The matter will then be decided by a DOT administrative law judge.
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