Delta Fined For “Ineptitude” in Handling of Bag Fee Lawsuit
Joe Cortez August 07, 2015
Delta is facing millions in fines after repeatedly failing to produce information in a lawsuit over checked bag fees.
Delta Air Lines has been slapped with $2.7 million in penalties stemming from a lawsuit regarding checked bag fees. The legacy carrier could reportedly be on the hook for over $7 million in fines total after failing to turn over information about their luggage fees in a timely manner.
The lawsuit was filed in 2009 against AirTran Airways (now part of Southwest Airlines) and Delta by a group of flyers accusing the airlines of colluding to create standard checked bag fees. The plaintiffs in the case allege AirTran executives were waiting to see if Delta would impose fees on their flyers, and two weeks after Delta began charging luggage fees, AirTran adopted the same fees.
On Thursday, six years into the lawsuit, U.S. District Court Judge Timothy Batten told Delta that arguments over providing evidence in the case have taken more time than the lawsuit itself. In a statement to the court, Batten blamed “Delta’s ineptitude and missteps” for why the case was taking.
Batten added $2.7 million to the existing $4.8 million in penalties Delta previously accrued for failing to produce requested evidence. In addition to levying the penalties, Batten also ruled the case could continue as a class-action lawsuit against the carriers.
While AirTran has since been absorbed into Southwest, which does not charge for checked bags, Delta collected nearly $900 million in baggage fees last year.
[Photo: iStock]
Unable to retrieve data or destroyed data?
If Delta is unable to retrieve data about baggage fees, why should I trust them to be able to retrieve data to maintain their airplanes? They can't find data and can't remember that they claimed to have a best in class frequent flyer program (as evidenced by their continued devaluation of award prices, award availability, and frequent flyer benefits). So I go out of my way to fly with other carriers and alliances instead.
Let me pretend I am Delta. I can continue to drag my feet on what is called Legal Discovery and pay a fine of $2.7 mil and while I am collecting $900 mil in bag fees each year. Yeah I think I am going to drag my feet and keep paying several dozen attys a $1,000 an hour each and still make out like a bandit.