Source::AP news
Frontier Airlines and five foreign carriers have agreed to refund more than $600 million combined to travelers whose trips were canceled or significantly delayed since the start of the pandemic.
The largest U.S. airlines, which accounted for the bulk of complaints about refunds, avoided fines, and no other U.S. carriers are being investigated for potential fines. Consumers flooded the agency with thousands of complaints about their inability to get refunds when the airlines canceled huge numbers of flights after the pandemic hit the U.S. in early 2020.
However, there will be no fines for other U.S. airlines because they responded “shortly after” the Transportation Department reminded them in April 2020 of their obligation to provide quick refunds, said Blane Workie, the assistant general counsel for the Transportation Department’s Office of Aviation Consumer Protection.
In 2020, United Airlines had the most refund-related complaints filed with DOT, more than 10,000 — although smaller Frontier had a higher rate of complaints. Air Canada, El Al, and TAP Portugal were next, both over 5,000, followed by American Airlines and Frontier, both topping 4,000.
Air Canada agreed last year to pay $4.5 million to settle similar U.S. allegations of slow refunds and was given the credit of $2.5 million for refunds. The Transportation Department initially sought $25.5 million in that case.
“When Americans buy a ticket on an airline, we expect to get to our destination safely, reliably, and affordably, and our job at DOT is to hold airlines accountable for these expectations,” said Transportation Secretary, Pete Buttigieg.
“It also fined the same airlines more than $7 million for delaying refunds so long that they violated consumer-protection rules.” Said the U.S. Department of Transportation
“TAP Portugal will refund $126.5 million and pay a $1.1 million fine; Air India will pay $121.5 million in refunds and a $1.4 million penalty; Aeromexico will pay $13.6 million and a $900,000 fine; Israel’s El Al will pay $61.9 million and a $900,000 penalty; and Colombia’s Avianca will pay $76.8 million and a $750,000 fine.” Said the Transportation Department.
“The Denver-based airline issued nearly $100 million in “goodwill refunds,” including to people with non-refundable tickets who canceled on their own and were not entitled to a refund under federal law,” said Frontier spokeswoman, Jennifer de la Cruz._AP news
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