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Wednesday, September 15, 2010

Airlines Accused of Price-Fixing in Class-Action Lawsuit

Posted By on Wed, Sep 15, 2010 at 4:59 PM

click to enlarge cathayplane.jpg
A hangar-ful of airlines is facing a class-action lawsuit filed in San Francisco that alleges an "international conspiracy" to fix prices and bilk travelers.

The suit was filed yesterday in U.S. District Court by San Francisco resident Caroline Joy, who is represented by the law firm Moscone Emblidge & Sater LLP. It names numerous international airlines as defendants, including Air France, Air New Zealand, KLM Royal Dutch Airlines, Qantas Airways, and Cathay Pacific Airways.

The complaint asserts that these and other airlines "began imposing air

fare increases, including fuel surcharge increases, on international air

passengers at approximately the same time and in the same amount."

The lawsuit also states, "The close timing and

amount of Defendants' increases were not coincidences, but the result of

a collusive agreement

to fix, raise, maintain, and stabilize the prices of base passenger

fares and fuel surcharges on

international flights."

The suit makes reference to a U.S. Justice Department investigations into price-fixing against some of the defendant airlines.

H/T   |   Courthouse News

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Peter Jamison

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