Elliott Confidential

Elliott Confidential

Consumer Alert: When a chatbot makes a mistake, do you have to pay?

Here's why you should always read the terms — even if you think you know them

Christopher Elliott's avatar
Christopher Elliott
Mar 31, 2025
∙ Paid

When Jason Wagner booked an all-inclusive Mexico vacation through Expedia, he thought he had an ironclad safety net: The company’s AI chatbot assured him he could cancel his $3,519 package within 24 hours for a “full refund.”

But when he canceled, he received only half his money back.

"I feel I was misled," he says. "Expedia’s AI is at fault in this situation — not me."

So what happens when an AI goofs?

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