Topline
Southwest Airlines is facing a class action lawsuit from a passenger who claims the carrier did not refund his tickets for canceled flights during the company’s operational meltdown last month in which more than 15,000 flights were canceled amid one of the busiest travel seasons of the year.
Key Facts
Passenger Eric Capdeville filed a proposed class action lawsuit in New Orleans federal court late last week accusing Southwest of breach of contract, saying that after his December 27 flights were canceled, the airline offered him credit toward a future Southwest flight but not a refund, according to Reuters.
The lawsuit says Southwest was unable to book them an alternative flight, according to Reuters.
While Southwest has pledged to reimburse passengers for any expenses related to the canceled flights, the lawsuit claims Southwest is not upholding their end of their deal with customers.
Capdeville is seeking damages for passengers on Southwest flights canceled since December 24 and those who have not received refunds or expense reimbursements, according to Reuters.
Southwest told Forbes the company did not have comment about the pending litigation, but said the carrier is working to process refunds and reimburse customers.
What To Watch For
Southwest said it could take weeks for customers to be reimbursed and refunded for flight cancellations. According to the Department of Transportation, carriers are required to provide “a prompt refund” for customers whose flights are canceled if they choose not to accept an alternative offer, like being rebooked on a different flight. Secretary of Transportation Pete Buttigieg said in a letter to Southwest CEO Bob Jordan last week that he expects the company to pay customers back for expenses related to meals, accommodation and other forms of travel because the cancellations and delays were “due to circumstances within the airline’s control.”
Key Background
Southwest was forced to cancel tens of thousands of flights over the past few weeks. The meltdown was triggered by winter storms across the U.S. just days before Christmas during one of the busiest travel periods of the year, but was further exacerbated by staff shortages and the company’s outdated scheduling software, which made it difficult to locate employees and plan timetables for rebooking flights.
Tangent
In November, Buttigieg announced the DoT would fine six airlines a total of $7.5 million over denying refunds for canceled flights to hundreds of thousands of customers. “When a flight gets canceled, passengers seeking refunds should be paid back promptly … Whenever that doesn’t happen, we will act to hold airlines accountable,” Buttigieg said, according to NPR. The six carriers fined were Frontier, Air India, TAP Air Portugal, Aeromexico, El Al and Avianca.
Further Reading
Southwest Airlines is sued for not providing refunds after meltdown (Reuters)
U.S. fines airlines $7.5 million and they must refund customers for canceled flights (NPR)
Source: https://www.forbes.com/sites/carlieporterfield/2023/01/03/southwest-faces-class-action-suit-over-holiday-meltdown—heres-what-stranded-passengers-can-expect-as-airline-deals-with-fallout/