Michael A. Kakuk  |  April 14, 2017

Category: Consumer News

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American Airlines Boeing 737-800 in new liveryA class action against American Airlines alleges the company breached its contract with customers who canceled their flights, by not allowing them to fully redeem the cost of their tickets on other flights.

The complaint claims that some of the important terms of the agreement between customers and American Airlines are ambiguous, and others “are misleading, and perhaps, fraudulent.”

Finally, the class action asserts that some terms in American Airlines’ contracts are “unconscionable, repugnant, and contrary to the rules of law governing contracts in general.”

Plaintiffs Lynn and Judith Robinson say they purchased two tickets from American Airlines in February of 2016 to go round-trip from New York to Paris. The Robinsons state those tickets cost $2,700.32 in total, after paying several fees for federal transportation taxes, security fees, and facility charges. The Robinsons say they ended up canceling their trip based on terrorism concerns in Paris and Europe in general.

The complaint makes clear that the Robinsons are not disputing that their tickets were non-refundable, meaning that they could not get their money back. However, the Robinsons were issued “money-credits” by American Airlines that they thought they could use in the future on other flights.

However, when the Robinsons booked a second flight from Dallas to Honolulu they were allegedly charged a “ticket change” fee of $300 per ticket, which was deducted from their money-credits. The Robinsons were unable to make that flight, and canceled it as well.

In February of 2017, the Robinsons called American Airlines to again use their money-credits, and discovered that the credit was only good for one year. Mr. Robinson claims that he asked for an extension of time to use the credit, but was denied.

According to the class action, the Robinsons “knew and understood that their payment of money to AA was non-refundable.” However, the complaint goes on to state that the Robinsons “did not know, understand or knowingly agree their payment was forfeitable and confiscable by AA.” In short, the complaint asserts that “AA confiscated and is keeping the money they paid and will not provide them the transportation they paid for or anything else of equal value in return.”

The American Airlines unlawful contract class action lawsuit asserts that the company was unreasonable by applying a one-year limitation on the use of credit. In addition, the complaint contends that American Airlines’ practice of charging “change fees” is illegal, and that several terms in the company’s “Conditions of Carriage” (the contract) are ambiguous, misleading, and unenforceable.

The plaintiffs request certification of a Class of all persons in the U.S. and “around the world” who paid: (a) money to American Airlines for tickets, “but were never provided transportation and AA kept their money;” and (b) fees to American Airlines that the company either kept or submitted to government entities, but should not have since the tickets were never used. The class action seeks “actual, compensatory and punitive damages” for all potential Class Members.

The Robinsons are represented by Jeffrey Martin of Jeff Martin & Associates PC.

The American Airlines Unlawful Contract Class Action Lawsuit is Lynn Robinson, et al. v. American Airlines Inc. d/b/a American Airlines, Case No. 5:17-cv-00426, in the U.S. District Court for the Western District of Oklahoma.

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34 thoughts onAmerican Airlines Class Action Alleges Unlawful Ticket Refund Policy

  1. Sandra Bumgardner says:

    I had the same thing happen to us in February 2017 when flying from Birmingham to Miami. They charged us 300.00 per ticket for 3 tickets stating that it was the charge for changing our flight due to missing the prior one. We did not miss the prior one, they refused to check our luggage and would only allow us to board without our luggage. I made a formal complaint to AA and have all the correspondance. I would like to be added to this complaint also.

  2. catherine whipple says:

    I was denied refund also Oct 2015 and was charged for 4 tickets when only had 2 people on the flight . over a change in times and same day I was charged 50 each ticket and they charged my card 2 more flights tickets and denied it,. I have all my paperwork to this day and would love to get assistance to get my money back. I tried and tried until they lied so it looked like I’m wrong. please call me for details 925-583-5153 catherine

  3. Jennifer Lino says:

    Same here. Booked a trip in April 2016 to Georgia for my husbands military graduation. Booked the flight one way because from Georgia I was surprising him with a week in Miami. Upon arrival I had a decent sized carry on, which was weighed and measured prior to check in, and re confirmed as ok by the check in staff. When I arrived downstairs to the security checkpoint, I was rudely denied entry because the suitcase was now too big. After a few pleads with no avail, I headed back upstairs. Found the AA rep who gave me the ok, and insisted she go downstairs with me to clear me with her co-worker, and got a flat out NO. So then I asked to check in the bag, but the the baggage check in was now closed, and no more bags were allowed to be loaded. They opted that I make my flight, and send the suitcase on the 1st flight the next morning. Told them that it wasn’t an option since, the graduation was tomorrow, and that we would then immediately fly out to Miami. After that no shits were given, missed my flight, and had to rebook a new one with a totally different airline. Money paid should’ve been left in credit, but like others here, they now want to charge me a rebooking fee.

  4. Nancy McGreevy says:

    My family booked a flight in Oct. 2015 to attend a wedding in New Jersey. I bought 7 tickets and there was much damage to wedding props and gifts because I was mandated to check in a carry on. I checked it at the gate rather than argue because they would let me board without checking it. I told them it was fragile and they said they would “take care” of it appropriately. Once I boarded, I saw there was plenty of room for my carry on and it even fit under the seat. When we landed, everything in the carry on was crushed, broken, or of no use. American issued a $100 credit for all 7 passengers. When I tried to use even one of those credit vouchers 6 months later, it was not valid. None of them were as we tried all 7. What fraud!!!

  5. Leticia Sandoval says:

    We bought a round trip ticket for my niece to go to Cabo and 3 days before her flight she was diagnosed with cancer and doctor advised her not to travel due to getting immediate treatment. They gave us only 1 year to redeem the tickets. Obviously when someone has cancer one year is NOT enough to go into remission. So the credit could not be used in their 1 year policy and we lost the credits completely! We had to provide a doctors note but yet they are not realistic.

  6. Adam Cogossi says:

    Had to go thru American to book another flight to use the ticket I had to cancel.
    They added $200 fee and could only get me on expensive flights.
    Would cost me almost twice as much to use American than any other airline.
    Plus listening to all the B.S. over the phone as they explain how they are doing you a favor.

  7. Brenda says:

    Bought a non refundable airline ticket and later cancelled it being unable to go. Long story short, because I purchased it on my American Express, they took the airline charge off my bill and made the airline dispute it, which they never did.

    1. Karen says:

      I had to do that also with a visa, I had even bought trip insurance that was a joke what a scam that is

  8. clastein atkins says:

    my comment was about american airlines , they stated i couldnot travel to china because i didnot have a visa and i lost my money on that flight on 03082017. no refund or later flight nothing. i WOULD STILL LIKE TO GO TO CHINA BUT WOULD LIKE TO RECEIVE A TICKET WITHOUT PURCHASE. I THINK ITS A WAY OF TAKING CUSTOMERS MONEY. THEY ARE WORSE THAN UNITED.

  9. clastein atkins says:

    I PURCHASED A TICKET TO China but was refused the flight when they told me at the gate that i needed a visa , and i would not get my money back or make a flight. they were rude at the desk ,stated i should have read online and laughed about it. my friend and i lost 1600.00 . i think people should not use american airlines anymore. they are worse than united ,but united is going to get sued big time.THIS WAS MARCH 8 2017.They gave me nothing.

    1. Keona says:

      Time for u to do a lawsuit

  10. Jan says:

    How is all airlines tickets (contracts) one sided. They take the customers money and it is non-refundable seat. Which means that should be reserved for the person named for the flight. But somehow they have been able to go above basic contract law. And sell your seat again plus get your money which they double dip this way. One sided contract you cancel they get paid from you plus new customer. When technically their was only one seat to sit in if you arrived. If they want to charge you they shouldn’t be able to rebook your seat or over sell the flight. Am I right? Although at the airport you have less rights then jail or prison in the USA. I was on a tarmac for 1.5 hours and not aloud to go to the bathroom. Although men where using it. I was told to wait after announcing it could be indefinite time for us to take off due to German shooter in Germany and we where in Atlanta. I had to make a break for it and managed to get a back bathroom when flight attendant wasn’t looking. She still pushed on my door telling me I had buckle up and it has only been 1.5 hours. I said I’m going pee. Which the added stress took me longer. But it wasn’t for another 1.5 hours more til we took off. Why could men even line up and go and women were forced to be in seat belts? And why on earth are we on tarmacs for hours? Where is the descentancy? This was Lufthansa airlines with German flight attendants and she was a female.

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