by Donald Wood
Last updated: 1:45 PM ET, Thu August 24, 2023
Update: August 25, 2023 at 12:25 p.m. ET
In response to the story about improper redactions in a
lawsuit filed against JetBlue that accuses the airline of planning to raise prices
on Spirit Airlines flights, a spokesperson from JetBlue released a statement to
TravelPulse:
Unfortunately, following a filing error by the legal team
for a group of consumers that has filed a baseless lawsuit, we are in a
position where we need to correct the record.
To be very clear, the claims reported by several media
outlets did not reflect facts set out in JetBlue documents. Serial private
plaintiffs represented by Alioto law firm, in the court filing laying out their
arguments opposing our motion for summary judgment, incorrectly redacted
sections of text so that it could be read by cutting and pasting into a new
document. As we attempted to clarify yesterday, it is important to understand
that the redacted text was content written and produced by Alioto in their own
court filing, not redactions to JetBlue internal documents. These redactions
were in text where Alioto had outlined, in their own words, their argument to
the court, and essentially represents the plaintiff’s “spin” on confidential
evidence they have reviewed. It’s no surprise a class action attorney would
mispresent the facts in a brief to the court to preserve their case.
The factual evidence, when presented in a full and
complete picture, will demonstrate that JetBlue intends for the merger with
Spirit to increase competition and help lower fares across the board while also
bringing JetBlue’s high-quality and much-loved experience to millions more
travels.
Original Text
A new report claims that improper redactions in a lawsuit exposed
JetBlue Airways’ plans to raise airfare prices on Spirit Airlines flights
following the successful completion of the merger.
According to Law360.com
(paid account required), an improperly redacted lawsuit by consumers
challenging the $3.8 billion deal between JetBlue and Spirit showed that prices
for passengers flying with the low-cost carrier could jump by as much as 40
percent.
Law360 found the error in court documents filed on Tuesday
that plaintiffs believe showed an internal acknowledgment that the proposed
merger would result in higher prices for Spirit customers and across the
domestic travel market.
In addition to the lawsuit filed in Massachusetts Federal
District Court, JetBlue also faces an antitrust case brought by the United
States Department of Justice.
“The Defendants’ own admissions provide an astounding
quality of direct evidence that the merger not only threatens anticompetitive
harm, it will almost assuredly result in it,” the court filing read. “Higher
prices, reduced output, the elimination of choice in a vibrant rival, and the
diminution of service quality, among other harms.”
The lawsuit also claims JetBlue plans to increase fares by “at
least 24 percent as a conservative estimate,” with prices climbing to as much
as 40 percent higher in certain situations.
In addition, exposed court documents showed that JetBlue is
accused of understanding that removing Spirit from a route would result in
“market-wide price increases of all other airlines serving that route by 30
percent.”
JetBlue responded to the claims with a statement to View
From the Wing:
“Private plaintiffs’ counsel failed to properly redact
certain information which, taken out of context, creates a completely
inaccurate picture of the facts. We are confident that our merger with Spirit
will give a much-needed boost to airline competition in the U.S. and result in
more low fares and higher-quality service for customers. We look forward to
laying out all of the evidence to support our case this October.”
Earlier this month, defense attorneys from JetBlue and
Spirit argued that the consumer
lawsuit should be thrown out entirely, calling it “vague" and
"speculative." They requested U.S. District Judge William Young rule
that the 25 plaintiffs, who lodged a court complaint last year hoping to block
the JetBlue-Spirit merger, don’t have sufficient legal standing to remain in
court.
The defense team said the plaintiffs’ “generalized” claim
that the takeover would harm them as air travelers aren’t sufficient to support
this kind of legal challenge against a specific merger agreement.
The Justice Department’s lawsuit, which likewise seeks to
block the JetBlue-Spirit
merger that would result in the formation of the country’s fifth-largest
airline, is still pending before Judge Young in Boston federal court. A bench
trial in the case is scheduled to commence on October 16, 2023.
For the latest travel news, updates and deals, subscribe
to the daily TravelPulse
newsletter.
Topics From This Article to Explore
