Account Suspensions/Closures on Accusations of Fraud/Brokering
#151
FlyerTalk Evangelist
Join Date: Jul 1999
Location: ORD/MDW
Programs: BA/AA/AS/B6/WN/ UA/HH/MR and more like 'em but most felicitously & importantly MUCCI
Posts: 19,719
Come on. It IS an opaque scheme, as are all FF programs, and they run solely on your faith. You are paying tangible dollars today for the possibility of a reward tomorrow -- a reward whose cost is unknown and could rise at any time. AS is better than most (DL has discarded its award charts, etc.) but it's still a transaction in which you hold no leverage and AS holds all of it. If they decide tomorrow a RT to Pasco is 100k miles, that's what it is. Your only recourse is to spend your money elsewhere. It's the very definition of both opacity and uncertainty.
#152
Join Date: Aug 2011
Location: Baltic Sea
Programs: SPG Platinum
Posts: 345
It happened to me. They are not out to get you
This happened to me. I had transferred over 150k into my alaska account for 2 one way award tickets and took the flight a few months later. Since it took a few weeks to go from SPG to Alaska, upon my return I put in another 150k but this set off a fraud alert because my account was locked with some reference to "discrepancies"
I called them at 11am PST and they simply said the high volume of points from SPG is alarming since they have encountered fraud in the past. They asked for proof of residence and I sent it over at 1pm. And by 1:30pm they had emailed me that all was well and released the account. The representative was Yvette and appeared professional and competent.
It's good that they are catching fraud because if it continues they may inflate redemption rates higher.
If you have not done anything wrong you have nothing to fear. Goodluck.
I called them at 11am PST and they simply said the high volume of points from SPG is alarming since they have encountered fraud in the past. They asked for proof of residence and I sent it over at 1pm. And by 1:30pm they had emailed me that all was well and released the account. The representative was Yvette and appeared professional and competent.
It's good that they are catching fraud because if it continues they may inflate redemption rates higher.
If you have not done anything wrong you have nothing to fear. Goodluck.
#153
FlyerTalk Evangelist
Join Date: Dec 2007
Location: BOS/ORH
Programs: AS 75K
Posts: 18,323
This happened to me. I had transferred over 150k into my alaska account for 2 one way award tickets and took the flight a few months later. Since it took a few weeks to go from SPG to Alaska, upon my return I put in another 150k but this set off a fraud alert because my account was locked with some reference to "discrepancies"
I called them at 11am PST and they simply said the high volume of points from SPG is alarming since they have encountered fraud in the past. They asked for proof of residence and I sent it over at 1pm. And by 1:30pm they had emailed me that all was well and released the account. The representative was Yvette and appeared professional and competent.
It's good that they are catching fraud because if it continues they may inflate redemption rates higher.
If you have not done anything wrong you have nothing to fear. Goodluck.
I called them at 11am PST and they simply said the high volume of points from SPG is alarming since they have encountered fraud in the past. They asked for proof of residence and I sent it over at 1pm. And by 1:30pm they had emailed me that all was well and released the account. The representative was Yvette and appeared professional and competent.
It's good that they are catching fraud because if it continues they may inflate redemption rates higher.
If you have not done anything wrong you have nothing to fear. Goodluck.
#155
FlyerTalk Evangelist
Join Date: Dec 2007
Location: BOS/ORH
Programs: AS 75K
Posts: 18,323
Were actually at 5 now in this thread. Seems to be a SPG transfer crackdown
haha10
http://www.flyertalk.com/forum/24724222-post1.html
timtetra
http://www.flyertalk.com/forum/24770611-post42.html
td2014
http://www.flyertalk.com/forum/24773388-post62.html
MikeFly
http://www.flyertalk.com/forum/24917089-post126.html
airplanepeanuts
http://www.flyertalk.com/forum/24943424-post152.html
haha10
http://www.flyertalk.com/forum/24724222-post1.html
timtetra
http://www.flyertalk.com/forum/24770611-post42.html
td2014
http://www.flyertalk.com/forum/24773388-post62.html
MikeFly
http://www.flyertalk.com/forum/24917089-post126.html
airplanepeanuts
http://www.flyertalk.com/forum/24943424-post152.html
#157
Original Poster
Join Date: Apr 2015
Posts: 14
Hi everyone,
I still haven't received any respond from AS. Currently, I wanna email my story to their leaders. I got those leaders info is below:
Primary Contact
Trudy Dobbins
Manager of Customer Care
P.O. Box 68900
Seattle, WA 98168
(206) 392-2777
[email protected]
Secondary Contact
Joe Sprague
Vice President of Customer Service
P.O. Box 68900
Seattle, WA 98168
(206) 433-3200
[email protected]
Ben Minicucci
Chief Operations Officer and Vice President
P.O. Box 68900
Seattle, WA 98168
(206) 433-3200
[email protected]
Chief Executive
Bradley D. Tilden
P.O. Box 68900
Seattle, WA 98168
(206) 433-3200
[email protected]
What you think? Any suggestions for me? Thank you very much.
I still haven't received any respond from AS. Currently, I wanna email my story to their leaders. I got those leaders info is below:
Primary Contact
Trudy Dobbins
Manager of Customer Care
P.O. Box 68900
Seattle, WA 98168
(206) 392-2777
[email protected]
Secondary Contact
Joe Sprague
Vice President of Customer Service
P.O. Box 68900
Seattle, WA 98168
(206) 433-3200
[email protected]
Ben Minicucci
Chief Operations Officer and Vice President
P.O. Box 68900
Seattle, WA 98168
(206) 433-3200
[email protected]
Chief Executive
Bradley D. Tilden
P.O. Box 68900
Seattle, WA 98168
(206) 433-3200
[email protected]
What you think? Any suggestions for me? Thank you very much.
#158
Moderator: Alaska Mileage Plan
Join Date: Feb 2005
Posts: 12,320
My informed guess is that any executive communication would be routed to Mileage Plan Audits and Fraud for review and response.
#159
Suspended
Join Date: Aug 2010
Location: DCA
Programs: UA US CO AA DL FL
Posts: 50,262
#160
FlyerTalk Evangelist
Join Date: Mar 2004
Location: SGF
Programs: AS, AA, UA, AGR S (former 75K, GLD, 1K, and S+, now an elite peon)
Posts: 23,196
That said, OP, you REALLY need to get a native English speaker who is competent at written communication to copyedit your letter, ESPECIALLY before you send it to anyone with an executive title. Words like "wanna" or other incidents of bad grammar will NOT win you any favors with the higher-ups.
Even if you do not believe this is necessary, trust me: it is necessary.
#162
Join Date: Nov 2007
Location: PHX
Posts: 4,787
Alaska is clearly feeling emboldened by recent decisions holding that claims for bad faith in implementing their frequent flier contracts are pre-empted. But I think they are taking it one step too far, and since they have a number of frequent fliers who are lawyers, they probably ought to tread with caution here. It's one thing to find preemption when a pax challenges how the program awards miles or changes how they can be redeemed.
But AS seems to be taking the position that so long as they have terms in their program that say they can close your account for any reason, they are bullet proof. Either they don't have very sophisticated lawyers, or they don't care because they think nobody will sue. I don't think they want to be a test case here. If an airline takes your cash to sell you miles -- either directly or indirectly by taking the cash from US Bank, SPG, Citi, Chase etc. -- then refuses to let you use them, I don't think it would be too hard to draft a complaint that avoids ADA preemption arguments. That's a straight unjust enrichment or conversion claim. It's theft, basically. Their argument would be you agreed to the terms and so you agreed to let them unjustly enrich themselves. I doubt that would hold up in most states. Maybe. Unlikely. But the point is, this would be their defense and it would be much more difficult for them to get preemption on that kind of defense.
Maybe they would. I think it would be risky, though. The airlines have gotten about as much mileage as they can in their frequent flier programs out of ADA preemption. If they try to push the envelope like this, they are going to get burned. Flyertalkers love to say, in posts like these with respect to those who push the boundries of frequent flier programs that pigs get fat and hogs get slaughtered. The same is true about frequent flier programs. They have pretty broad latitude to be piggish under recent preemption decisions. Taking cash from third parties and then restricting you from using the miles they sold? That is bordering on hoggish.
(This is not legal advice. Don't rely on the internet for legal advice anyway. If you decide you want to sue an airline, get a lawyer.)
But AS seems to be taking the position that so long as they have terms in their program that say they can close your account for any reason, they are bullet proof. Either they don't have very sophisticated lawyers, or they don't care because they think nobody will sue. I don't think they want to be a test case here. If an airline takes your cash to sell you miles -- either directly or indirectly by taking the cash from US Bank, SPG, Citi, Chase etc. -- then refuses to let you use them, I don't think it would be too hard to draft a complaint that avoids ADA preemption arguments. That's a straight unjust enrichment or conversion claim. It's theft, basically. Their argument would be you agreed to the terms and so you agreed to let them unjustly enrich themselves. I doubt that would hold up in most states. Maybe. Unlikely. But the point is, this would be their defense and it would be much more difficult for them to get preemption on that kind of defense.
Maybe they would. I think it would be risky, though. The airlines have gotten about as much mileage as they can in their frequent flier programs out of ADA preemption. If they try to push the envelope like this, they are going to get burned. Flyertalkers love to say, in posts like these with respect to those who push the boundries of frequent flier programs that pigs get fat and hogs get slaughtered. The same is true about frequent flier programs. They have pretty broad latitude to be piggish under recent preemption decisions. Taking cash from third parties and then restricting you from using the miles they sold? That is bordering on hoggish.
(This is not legal advice. Don't rely on the internet for legal advice anyway. If you decide you want to sue an airline, get a lawyer.)
#163
FlyerTalk Evangelist
Join Date: Aug 2007
Location: SEA, but up and down the coast a lot
Programs: Oceanic Airlines Gold Elite
Posts: 20,397
http://www.alaskaair.com/content/mil...embership.aspx
I wonder, if they're telling you up front "this pig you're buying, it's in a poke, and incidentally you don't even own the pig once you buy it" is enough. So far it has been. So far, nobody's been able to make "contract of adhesion" arguments successfully about FFPs. Perhaps they will someday.
(Note that when you outright buy miles from AS, let along swap SPG for them like the OP did, you are specifically not given a property interest in them.)
Alaska Airlines may, in its sole discretion, amend the Mileage Plan Conditions of Membership, including terminating any member's ability to redeem Miles already accrued, at any time.
Awards or accrued Miles, including purchased Miles, do not constitute the property of the member to whose Mileage Plan account the Miles have been posted. However, awards or accrued Miles do provide the member with an option to exchange such Miles for travel at the redemption level in effect at the time of redemption (not at the time of accrual).
Alaska Airlines reserves the right to audit Mileage Plan accounts at any time and without notice to the member to ensure compliance with these Mileage Plan Conditions of Membership and applicable conditions of carriage and/or tariffs. In the event that an audit reveals discrepancies or violations, the processing of Mileage Plan awards, mileage accrual or redemption of accrued mileage may be suspended until the discrepancies or violations are resolved to Alaska Airlines' satisfaction. Alaska Airlines reserves the right to terminate the membership and/or suspend access to the mileage balance of any member at any time for any reason it deems appropriate.
Alaska Airlines reserves the right to audit Mileage Plan accounts at any time and without notice to the member to ensure compliance with these Mileage Plan Conditions of Membership and applicable conditions of carriage and/or tariffs. In the event that an audit reveals discrepancies or violations, the processing of Mileage Plan awards, mileage accrual or redemption of accrued mileage may be suspended until the discrepancies or violations are resolved to Alaska Airlines' satisfaction. Alaska Airlines reserves the right to terminate the membership and/or suspend access to the mileage balance of any member at any time for any reason it deems appropriate.
(Note that when you outright buy miles from AS, let along swap SPG for them like the OP did, you are specifically not given a property interest in them.)
#164
Join Date: Nov 2007
Location: PHX
Posts: 4,787
http://www.alaskaair.com/content/mil...embership.aspx
I wonder, if they're telling you up front "this pig you're buying, it's in a poke, and incidentally you don't even own the pig once you buy it" is enough. So far it has been.
(Note that when you outright buy miles from AS, let along swap SPG for them like the OP did, you are specifically not given a property interest in them.)
I wonder, if they're telling you up front "this pig you're buying, it's in a poke, and incidentally you don't even own the pig once you buy it" is enough. So far it has been.
(Note that when you outright buy miles from AS, let along swap SPG for them like the OP did, you are specifically not given a property interest in them.)
Forget about the regulation overlay and DOT oversight and all that for a second -- imagine just that Alaska Airlines were a regular company that sold a service. Imagine they sold gift cards, but put in a term that said "once you pay we can drain your account and not give you any services." Or, imagine their contract to join their boardroom said, "we can decide, after you pay, to exclude you from the club."
Actually, imagine they were less clear than that. Suppose they simply said, "we can change the terms of your gift card redemption" or "we can change the terms of your board room membership." And then when you tried to use your gift card or the boardroom, they said, "sorry, we've changed the terms and you can't have what you paid for, and you should have known we might do that."
Would one have a cause of action under state law? Almost certainly. Here's the tricky part, though. If your claim is one for basically stealing from you, then you probably can go forward with the claim. It might be a fraud claim, or conversion, or something like that. If, however, a court were to hold that contractual agreements that the company interprets essentially to mean "we can steal from you" are binding, you would likely only be left with a good faith and fair dealing claim. Why is this important? Well, a good faith and fair dealing claim is pre-empted. A fraud or conversion claim likely wouldn't be. As I said, I'd like the plaintiffs' side of that argument.
#165
FlyerTalk Evangelist
Join Date: Aug 2007
Location: SEA, but up and down the coast a lot
Programs: Oceanic Airlines Gold Elite
Posts: 20,397
Forget about the regulation overlay and DOT oversight and all that for a second -- imagine just that Alaska Airlines were a regular company that sold a service. Imagine they sold gift cards, but put in a term that said "once you pay we can drain your account and not give you any services." Or, imagine their contract to join their boardroom said, "we can decide, after you pay, to exclude you from the club."