DOT fines American Airlines over ‘bumped’ passenger compensation
The Department of Transportation has hit American Airlines with a $20,000 fine for not properly compensating a group of travelers bumped off a transatlantic flight.
A group of 11 travelers heading to London from Miami were checked in and given boarding passes but were subsequently told during boarding that seats were overbooked and would have to leave the following day on a flight via Barcelona.
Miami gate agents ‘did not offer any meaningful explanation as to what happened to these 11 passengers’ reservations,’ the DOT said.
No compensation was offered at the time, the DOT report added.
At a later date American offered the group $168 for each ticket and then eventually increased that to $848 per ticket.
The report states American firstly miscalculated the compensation amount due to the ‘complexity’ of the codeshare itinerary sold by a consolidator, and then on a second attempt made a ‘simple currency conversion error.’
The DOT noted ‘a problematic internal policy’ when reporting on passengers denied boarding.
The policy was described in the ruling as ‘unfair and deceptive.’
"We are pleased to have reached a resolution with the Department of Transportation on this matter," said American spokesman Matt Miller.
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Editor for TravelMole North America and Asia pacific regions. Ray is a highly experienced (15+ years) skilled journalist and editor predominantly in travel, hospitality and lifestyle working with a huge number of major market-leading brands. He has also cover in-depth news, interviews and features in general business, finance, tech and geopolitical issues for a select few major news outlets and publishers.
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