In re Frontier Airlines Litig.

Decision Date13 September 2021
Docket NumberCivil Action No. 20-cv-01153-PAB-KLM,Civil Action Nos. 20-cv-01340-PAB-KLM,20-cv-01518-PAB-KLM,20-cv-01689-PAB-KLM,20-cv-01751-PAB-KLM,20-cv-01837-PAB-KLM
Citation559 F.Supp.3d 1146
Parties IN RE FRONTIER AIRLINES LITIGATION
CourtU.S. District Court — District of Colorado
ORDER

PHILIP A. BRIMMER, Chief United States District Judge

This matter is before the Court on the Motion to Dismiss Consolidated Class Action Complaint [Docket No. 63] filed by defendant Frontier Airlines, Inc. The Court has jurisdiction pursuant to 28 U.S.C. § 1332(d)(2).

I. BACKGROUND1

In 2020, the COVID-19 pandemic led to a sharp drop in air travel, which led airlines to change flight schedules and cancel thousands of flights to avoid incurring losses caused by operating at lower capacity. Docket No. 62 at 1, ¶ 1. This case deals with passengers who booked tickets with Frontier Airlines, Inc. ("Frontier") and whose flights were cancelled.

Frontier's Contract of Carriage ("Contract") provides, in relevant part, that,

[i]n the event (i) a passenger's flight is canceled [by Frontier], ... Frontier will provide transportation on its own flights at no additional charge to the passenger's original destination or equivalent destination as provided herein. Frontier will have no obligation to provide transportation on another carrier. If Frontier cannot provide the foregoing transportation, Frontier shall, if requested, provide a refund for the unused portion of the passenger's ticket in lieu of the transportation under the foregoing.

Id. at 2, ¶ 2; at 15, ¶¶ 69–70 (quoting Docket No. 62-1 at 21, § 18(C)). The Contract also states that "[t]he foregoing shall be the limit of Frontier's liability for the matters covered by this provision." Docket No. 62-1 at 21, § 18(C).

If a passenger cancels a ticket before a scheduled flight's departure, the Contract states that "the value of the ticket less a service fee will be retained for 90 days from the date of cancellation of the ticket in the form of an electronic credit." Docket No. 62 at 16, ¶ 76 (quoting Docket No. 62-1 at 12, § 9(A)(1)).

The Contract also provides that, for schedule changes made prior to the day of travel, Frontier may transport the passenger over its own route system to the destination or, "[i]n the event the schedule modification is significant, at Frontier's discretion, it may refund the cost of the unused portion of the ticket." Docket No. 62-1 at 22, § 18(E).2 Plaintiffs allege that, despite this contractual obligation, Frontier refuses to provide monetary refunds to passengers whose flights Frontier cancelled. Docket No. 62 at 2, ¶ 3.

Instead of fulfilling its obligations to provide refunds, Frontier has provided only 90-day travel vouchers, which were worthless during the pandemic due to travel restrictions and limited flight capacity and routes. Id. at 3, ¶¶ 8–9. Frontier also re-booked passengers on non-comparable flights, sent "misleading emails" offering travel credits that "duped passengers into purportedly forgoing their right to a refund," and failed to "meaningfully disclose" that credits would expire in 90 days. Id. , ¶ 10. Frontier also waited as long as possible to cancel flights and, instead of cancelling a flight and issuing a refund, Frontier emailed passengers to encourage the passengers to cancel their flights preemptively in exchange for travel credit and an additional voucher, but Frontier failed to disclose that, if passengers simply waited for Frontier to cancel the flights, Frontier would be obligated to provide them with a full monetary refund. Id. at 4, ¶ 11. Moreover, when a customer chose to preemptively cancel their flight, Frontier did not refund them, through a travel credit or otherwise. Id. at 21, ¶ 91.

Frontier's customer service has been "inadequate," and customers have reported their calls being disconnected, long hold times, and representatives providing "confusing and conflicting information," which has led customers not being able to discuss their options with Frontier or "obtain reliable information regarding their flights." Id. at 4, ¶ 12.

The named plaintiffs bring one claim for breach of contract against Frontier on behalf of themselves and other passengers similarly situated. Id. , ¶ 13.

A. The Named Plaintiffs

On December 16, 2019, Nelcy Alexa Rivera-De Leon purchased four round-trip tickets between Tampa, Florida and San Juan, Puerto Rico, departing March 13, 2020 and returning March 20, 2020, for $438.00. Id. at 5, ¶ 17. Rivera-De Leon's husband, who was to travel with her, serves in the United States military and was advised on March 12, 2020 that, effective the following day, he was prohibited from non-military travel for 60 days due to the pandemic. Id. Rivera-De Leon immediately cancelled her trip through a phone call with Frontier and was advised that she would only receive a travel credit toward a future trip, rather than a refund, and that the credit had to be used by June 11, 2020. Id. at 5–6, ¶ 18. Rivera-De Leon requested a full refund because the military travel restriction would prevent her husband from traveling in the near future and her son was high-risk for COVID-19 complications. Id. Frontier ultimately cancelled her return flight and, though she contacted Frontier multiple times, refused to provide her a refund. Id. at 6, ¶ 19.

On February 24, 2020, Stephanie Muters purchased two round-trip tickets between Syracuse, New York and Tampa, Florida, departing April 5, 2020 and returning April 13, 2020, for $849.60. Id. , ¶ 21. Muters, who is a civilian United States Department of Defense employee and who has a health-compromised daughter, was advised on March 12, 2020 that, effective the following day, she was prohibited from non-military travel for 60 days. Id. , ¶ 22. On March 17, 2020, Muters received an email from Frontier recommending that she cancel her flights in exchange for a "bonus" voucher of $50 per passenger to be used on a new booking. Id. at 7, ¶ 23. On March 22, 2020, the Governor of New York issued a stay-at-home order that was extended through May 28, 2020 and, the next day, the Governor issued an order requiring people traveling to Florida to quarantine for fourteen days. Id. , ¶ 24. As a result of these circumstances, Muters cancelled her trip. Id. Muters was told that she would only receive a travel credit that expired June 17, 2020. Id. , ¶ 25. Frontier ultimately cancelled the flights. Id. Muters was unable to use her credit by June 17, 2020 because of the ongoing pandemic-related restrictions and uncertainty regarding her daughter's ability to travel. Id.

On February 27, 2020, Shirley Johnson purchased a round-trip ticket between Philadelphia, Pennsylvania and Orlando, Florida, departing April 18, 2020 and returning April 25, 2020, for $797.83. Id. , ¶ 27. On April 8, 2020, Frontier emailed Johnson requesting that she cancel her reservation, which she did, and offering a travel credit. Id. at 8, ¶ 28. Frontier did not adequately disclose that the credit would expire in 90 days. Id. A few days later, Frontier cancelled Johnson's flight and refused to convert her credit to a refund after she requested. Id.

In February 2020, Jeffrey Bone purchased two round-trip tickets between St. Louis, Missouri and Cancun, Mexico, for $1,352.72. Id. , ¶ 30. In June 2020, Frontier cancelled his flight and, when he called to request a refund, put him on hold for nearly an hour. Id. , ¶ 31. Frontier then claimed that Bone had "purportedly accepted a ‘schedule change through email’ " and offered him a 90-day travel credit and a $50 voucher. Id.

On December 20, 2019, Danielle Porreca purchased two round-trip tickets between Philadelphia and Las Vegas for $629.20. Id. , ¶ 33. In March 2020, Frontier emailed Porreca requesting that she cancel her reservation, which she did, and then offering a 90-day travel credit. Id. at 9, ¶ 34. Porreca has requested a refund but was refused, and her credit has expired. Id.

In February and March 2020, ChaCha Powell purchased tickets for "a few trips" to Jacksonville, Florida and Atlanta, Georgia for $575.40. Id. , ¶ 36. Frontier sent Powell emails encouraging she cancel her reservations, and the airline cancelled "at least one" of her flights. Id. , ¶ 37. Powell requested a refund, but Frontier refused and claimed Powell accepted a 90-day travel credit via email. Id.

In January 2020, David Dickstein purchased a red-eye, non-stop flight between Las Vegas, Nevada and Orlando, Florida to depart March 29, 2020 for $227.20. Id. , ¶ 39. On March 28, 2020, Frontier cancelled Dickstein's flight and re-booked him on a flight with an overnight layover in Chicago, which would result in his arrival in Orlando more than 12 hours later than his original booking, causing him to lose a full day of his trip. Id. at 9–10, ¶ 40. Dickstein tried to call Frontier but was unable to reach customer service. Id. at 10, ¶ 41. Because he did not want to "no-show" his flight, Dickstein cancelled and re-booked his reservation and requested a refund. Id. Frontier refused and provided him with a 90-day travel credit.

On January 28, 2020, Kelli Capra booked flights from Denver, Colorado to Puerto Vallarta, Mexico for $5,132.75. Id. , ¶ 43. In March 2020, due to pandemic-related travel restrictions, Capra called to cancel her reservations. Id. , ¶ 44. After multiple calls, Capra was told in writing that she would receive travel credits that would be valid until March 2021; however, when she attempted to book another flight, she was told that her credits expired in June 2020. Id.

Plaintiffs bring one claim for breach of contract. Id. at 25–29. Specifically, plaintiffs argue that Frontier breached Section 18(C) of the Contract, which allegedly requires it to provide either alternative transportation or a refund; Section 18(E), which states that, if the schedule modification is significant, at Frontier's discretion, it may offer a refund; Section 20(A)(1), which allegedly incorporates DOT regulations requiring Frontier to issue refunds...

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