Air Asia Ordered to Refund Cancelled Flight Fare, Pay ₹10,000 Compensation

The District Consumer Disputes Redressal Commission (DCDRC) in Thrissur has held Air Asia (India) Limited liable for deficiency in service and unfair trade practices for failing to issue an immediate refund to a passenger after cancelling a flight for operational reasons [Yadavu PB v Air Asia].

 

The consumer forum reiterated that it is settled law that when an airline cancels a flight, it must automatically refund the full ticket amount unless the passenger voluntarily opts for an alternative arrangement.

 

Referring to the evidence on record, the Commission noted that the airline had cancelled the flight on its own operational grounds. It observed that the complainant made repeated attempts to obtain a refund through the mechanism prescribed by the airline, but the system failed each time. The airline’s continued silence despite reminders and a legal notice, the forum said, amounted to gross negligence.

 

“The evidence clearly shows that the opposite party cancelled the flight for its own operational reasons. In such cases, the passenger is entitled to an immediate refund of the entire ticket cost unless he voluntarily opts for an alternate arrangement. The repeated failure of the refund system and the opposite party’s silence establish gross negligence,” the Commission observed.

 

The order was passed on November 27, 2025, by a Bench comprising President C.T. Sabu and members Sreeja S. and Ram Mohan R.

 

Directing relief, the forum ordered Air Asia to refund the ticket fare of ₹2,983 with interest, pay ₹10,000 as compensation for mental agony and harassment, and ₹2,500 towards litigation costs.

 

According to the complaint, the passenger had booked an Air Asia flight from Bengaluru to Kochi, which was later cancelled by the airline citing operational reasons. Although the airline acknowledged the cancellation, it failed to process an immediate refund. Multiple requests made by the complainant through the airline’s customer support channels also went unanswered.

 

With no refund forthcoming despite repeated follow-ups, the passenger approached the district consumer commission, alleging negligence and deficiency in service on the part of the airline. Air Asia did not appear before the Commission during the proceedings.

 

After considering the submissions, the forum criticised the airline’s refund mechanism, which it said was projected as consumer-friendly but failed in practice. It noted that the airline’s inaction forced the complainant to initiate legal proceedings over a relatively small amount, causing unnecessary inconvenience and distress.

 

The Commission further observed that service providers such as airlines, which deal with a large number of consumers ежедневно, are expected to have efficient and responsive systems to promptly handle cancellations and refunds.

 

Concluding that Air Asia’s conduct amounted to a clear deficiency in service, the forum directed the airline to refund the fare with interest and pay compensation and litigation costs to the complainant.

 

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