Montreal-based car-sharing giant Communauto finds itself in legal hot water. The company is now the target of a proposed class action lawsuit, filed on behalf of customers, which centers on the contentious policy of expiring credits associated with its popular Flex service passes.
The Core of the Legal Dispute
The lawsuit, which was initiated in early January 2026, alleges that Communauto's practice of setting expiry dates on the monetary value loaded into its Flex passes is unfair and potentially unlawful. Plaintiffs argue that consumers who purchase these passes are essentially buying prepaid credits for future car rentals. They contend that these funds should not vanish if not used by an arbitrary deadline, comparing it to a gift card for a retailer that unlawfully depletes its value.
The legal action seeks to represent all Communauto Flex users across Canada who have allegedly lost money due to this expiry policy. The suit aims to recover those lost funds for customers and to force a permanent change to the company's terms of service.
Communauto's Flex Service Under Scrutiny
Communauto's Flex service operates differently from its fixed-station model. It allows members to pick up and drop off vehicles anywhere within a designated home zone, paying by the minute, hour, or day. Users often buy passes or bundles in advance to secure better rates or guarantee vehicle availability.
The crux of the consumer complaint is that money loaded onto these passes for future use is not a "service fee" but a customer's own capital held by the company. The lawsuit challenges the legitimacy of confiscating these unused funds, suggesting it may constitute an unjust enrichment for Communauto at the direct expense of its user base.
Potential Repercussions and Next Steps
This class action has the potential to affect tens of thousands of Communauto users in Montreal and other Canadian cities where the service operates. A successful lawsuit could lead to significant financial payouts and mandate a major shift in how car-sharing and similar subscription-based mobility services handle customer credits nationwide.
The case also raises broader questions about consumer protection in the growing gig and sharing economy. As services increasingly rely on app-based prepayments and digital wallets, the rules governing the custody and expiry of user funds are coming under greater legal and public scrutiny.
Communauto has not yet issued a formal public statement regarding the specific allegations in the lawsuit. The case must first be authorized by a Quebec Superior Court judge to proceed as a class action, a process that will determine if the claims meet the legal criteria to represent a larger group of consumers. The unfolding legal battle will be closely watched by both the mobility industry and consumer advocacy groups.
