DOT ISSUES ORDERS AGAINST AIRLINES FOR FAILURE TO PROVIDE TIMELY REFUNDS FOR FLIGHT CANCELLATIONS AND DELAYS
September 22, 2023
On August 3, 2023, the DOT Office of Aviation Consumer Protection announced publication of two consent orders and notices of dismissal regarding Air Transat A.T. Inc. (“Air Transat”) and SAS’ failure to provide timely refunds to passengers for flights to and from the United States that were cancelled or significantly changed, in violation of 49 U.S.C. § 41712 and 14 C.F.R. Part 259. The orders direct the two airlines to cease and desist from engaging in similar violations and assess civil penalties in the amount of $525,000 for Air Transat and $750,000 for SAS.
Specifically, DOT reported that it received more than 700 informal complaints alleging SAS’ failure to provide timely refunds since March 2020. In addition, DOT reported receipt of more than 150 complaints against Air Transat alleging the same. Air Transat, DOT reported, also allegedly provided credits, instead of refunds, for flights cancelled during the height of the COVID-19 pandemic between March 2020 and November 2020. DOT’s orders represent the latest action the Agency has taken to continue enforcing refund requirements stemming from COVID-related flight cancellations.
If you have any questions, please contact Evelyn Sahr at 202.659.6622 or esahr@eckertseamans.com; Drew Derco at 202-659-6665 or dderco@eckertseamans.com; Jay Julien at 202.659.6648 or jjulien@eckertseamans.com, or any other attorney at Eckert Seamans with whom you have been working.
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