Qantas agrees to $74m settlement in COVID flight credits class action - MyJoyOnline
Qantas will pay $74.26 million to settle a class action over flight credits from cancelled flights during the COVID-19 pandemic.Summary
Qantas Airways has agreed to a A$105 million ($74.26 million) settlement regarding a class action lawsuit concerning flight credits issued during the COVID-19 pandemic. The settlement, pending approval from the Federal Court of Australia, covers flights cancelled between January 2020 and November 2022. This amount exceeds the A$55 million provision Qantas had previously allocated for the case.
The lawsuit, filed in August 2023 by Echo Law on behalf of affected customers, alleged that Qantas breached its contractual obligations by not offering refunds for cancelled flights. In response to similar complaints, Qantas removed expiry dates on pandemic-era flight credits in August 2023, allowing customers to request cash refunds.
The settlement funds will be distributed by a court-approved administrator, with payments anticipated in the first half of fiscal 2027. Qantas stated that any additional charges related to the settlement will be recorded outside of its underlying earnings for the second half of fiscal 2026, impacting net earnings.
(Source：Myjoyonline)