British Airways Executive Club Members Settle Class Action for $27 Million

On May 29, 2018, a federal judge in New York granted preliminary approval of a $27 million class settlement between British Airways and a class of British Airways Executive Club members. The suit was filed in November 2012 with class certification granted in March 2017.

The case involves the British Airways Executive Club program contract that was in effect from November 9, 2006 through April 17, 2013. Plaintiffs allege that the contract subjected Executive Club members to unreasonably high fuel surcharges that did not directly correlate with actual gas prices. In court documents, the plaintiffs argue that the surcharges are based on British Airways’ cost of fuel in 2003-2004.

The settlement is comprised of two parts: British Airways frequent flyer miles and a separate cash settlement. Former Executive Club members are only eligible to receive cash settlements. Current Executive Club members will automatically receive British Airways frequent flyer miles in their British Airways accounts. British Airways has agreed to credit approximately 2,228,677,500 frequent flyer miles to the settlement, which would equate to about $63 million. Current Club members may also receive a cash settlement if they file a written election for the cash option. The cash option will pay class members 16% of the total fuel surcharges that class members incurred during 2006-2013. The final approval hearing has been scheduled for July 27, 2018.

The case is Dover et al. v. British Airways PLC, Case No.:1:12-cv-05567, in the U.S. District Court for the Eastern District of New York.

Steve Larson

An experienced trial lawyer who handles both hourly and contingent fee cases, Steve has expertise in class actions, environmental clean-up litigation, antitrust litigation, securities litigation, corporate disputes, intellectual property disputes, unfair competition claims, and disputes involving family wealth. Steve regularly represents individuals and businesses in federal and state court and has obtained class-wide recovery in multiple class actions. A veteran practitioner, Steve’s clients value his creative approach to resolving complex litigation matters.


Legal Disclaimer

The information contained in this blog does not constitute legal advice, and does not create an attorney-client relationship. We make no claims, promises or guarantees about the accuracy, completeness, or adequacy of the information contained in or linked to this blog.