Lufthansa Will Pay $50 Million Settlement Over Refunds
In 2020 and 2021, airlines canceled most flights during the onset on the Covid-19 pandemic. But they were slow on issuing refunds, or even tried avoiding doing so at all.
Now Lufthansa has agreed to pay a settlement of $50 million for flights canceled due to COVID-19 restrictions. A class action lawsuit accuses the airline of breaching its General Conditions of Carriage.
The settlement includes consumers who have received refunds for their flights and those who have not received refunds. Eligible class members are those who had booked travel to or from the United States between January 1, 2020 and August 16, 2021, and their flights were cancelled by Lufthansa.
The parties have agreed to settle to avoid the cost, delay, and uncertainty of continuing the litigation. Lufthansa denies that it did anything wrong and maintains that it did provide refunds within a reasonable amount of time particularly given Covid’s impact on its operations and the airline industry generally.
How Much Can You Get?
If you have already received a refund from Lufthansa for a Qualifying Flight, then you have two options to choose from:
- $10 in cash; or
- a $45 Voucher to use on future travel with Lufthansa, Swiss International Airlines, Austrian Airlines, or Brussels Airlines.
Those who have not received a refund from Lufthansa yet, will receive:
- the full amount of the refund due; plus
- an additional Interest Payment of one percent (1%) of the refund due.
Payments for those who have already received refunds, plus interest payments, are subject to a cap of $3.5 million, which is inclusive of Attorneys’ Fees and other costs and expenses. The amount paid to each Settlement Class Member will be reduced pro rata if claims plus fees exceed $3.5 million.
How to File a Claim?
In order to receive payment from Lufthansa, you must submit your Claim Form by the Claims Deadline, no later than May 9, 2023.
You can file a claim online, or mail it in.
The final approval hearing for the settlement is scheduled for May 15, 2023.
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