On July 6, 2026, Air Liaison announced it is formally contesting the Quebec government’s decision to end the airline’s financial assistance agreement. The carrier claims the Ministry of Transport terminated the support without any prior notice or consultation, prompting the dispute.
Air Liaison says the abrupt cessation of aid leaves the airline without the funding it had relied on for operations in the province. The company asserts that the ministry’s action violates the terms of the original agreement, which it believes required advance discussion before any changes could be made.
The Quebec Ministry of Transport has not issued a detailed response to the airline’s allegations as of the time of publication. Officials have declined to comment on the rationale behind the termination or on any ongoing negotiations with Air Liaison.
The airline indicated it will explore all available avenues to challenge the decision, including administrative and legal remedies. It added that the loss of provincial assistance could affect its service offerings and financial planning for the upcoming fiscal period.
The disagreement highlights a broader tension between provincial authorities and private carriers that depend on government subsidies. While the province has not provided a public explanation, the situation underscores the importance of clear communication when altering financial arrangements that impact regional air service.