Canada’s Wonderland Drip Pricing Lawsuit Sparks Legal Heat

Michael Chang
5 Min Read

Article – Canada’s Wonderland has landed in hot water with federal regulators, as the Competition Bureau of Canada files a lawsuit alleging the popular amusement park engaged in “drip pricing” – a deceptive marketing practice that hits consumers with unexpected fees.

As someone who’s covered Toronto business for years, I’ve watched this practice spread across multiple industries. The Bureau’s lawsuit claims Wonderland advertises tickets at prices that aren’t actually available because mandatory fees get added later in the purchasing process.

“It’s essentially a bait-and-switch tactic,” explains Toronto consumer rights attorney Melissa Chen, whom I spoke with yesterday about the case. “Consumers see one price upfront but end up paying significantly more by checkout.”

The Competition Bureau alleges Wonderland added a mandatory “online booking fee” of $1.99 to $5.99 per ticket when purchased through their website or mobile app between April 2022 and April 2024. For families buying multiple tickets, these seemingly small fees quickly compound.

I visited Wonderland’s website yesterday to check their current pricing structure. While they’ve implemented changes since the Bureau’s investigation began, the lawsuit focuses on past practices that allegedly violated the Competition Act’s provisions against false or misleading advertising.

“These kinds of fees hit hardest for families on tight budgets,” says Marcus Thompson, a Toronto financial advisor who works with middle-income households. “When you’re planning a day out with three kids, unexpected costs of $20-30 can blow your budget.”

The Bureau is seeking an administrative monetary penalty against Wonderland’s parent company, Cedar Fair Entertainment Company, along with changes to ensure price transparency.

Walking through downtown Toronto last week, I stopped to ask several shoppers about their experiences with hidden fees. Eight of ten people mentioned encountering unexpected charges when buying event tickets online.

“It’s frustrating to budget for something based on advertised prices only to find out it’s going to cost more,” said Lakshmi Patel, a mother of two I interviewed outside the Eaton Centre. “You feel trapped because you’ve already invested time in the purchasing process.”

This case comes amid growing regulatory scrutiny of drip pricing across Canada. The Competition Bureau successfully pursued similar cases against Ticketmaster, StubHub, and major car rental companies in recent years.

According to Statistics Canada data, consumer complaints about hidden fees have increased 37% since 2019. The practice is particularly common in entertainment, travel, and telecommunications industries.

Cedar Fair Entertainment Company released a statement yesterday indicating they “disagree with the Bureau’s position” and that their “pricing practices have always been designed with transparency in mind.”

I reached out to several season pass holders for their perspective. Toronto resident James Liu, who visits Wonderland several times each summer with his family, told me: “I’ve definitely noticed the fees creeping up over the years. It’s annoying when the final price is higher than what was initially advertised.”

The legal action against Wonderland comes as part of a broader regulatory push to improve pricing transparency. Last year, the federal government amended the Competition Act to explicitly prohibit drip pricing.

Consumer advocacy groups like the Consumers Council of Canada have praised the Bureau’s enforcement actions. Their research indicates hidden fees cost Canadian consumers millions annually through psychological pricing tactics that capitalize on the sunk cost fallacy.

Looking at the bigger picture, this case reflects changing expectations around corporate transparency. As I’ve observed covering Toronto’s business scene, companies face increasing pressure to adopt straightforward pricing models.

The outcome of this case could have ripple effects across the entertainment industry in Ontario and beyond. If successful, the Bureau’s action might force other venues and ticket sellers to reconsider their pricing

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