Airline practices like fixing prices on airfreight and cargo is being scrutinized anew. This time a class action lawsuit has been filed in BC Supreme Court alleging dozens of worldwide airlines took part in cartel by agreeing to fix prices, signaled increases in surcharges and took active steps to conceal the unlawful conspiracy from customers.
No news has been released yet on the identity of the subject airlines.
The lawsuit also claimed that the airlines agreed to act in concert to one another in demanding fuel and security surcharges.
The alleged ‘cartel’ is an organization of hub carriers that dominate hub markets, as demonstrated by market share.
It can be recalled that last September 2006, German carrier Deutsche Lufthansa paid $85 million to settle 80 class-action lawsuits in the United States in a price-fixing inquiry involving its air cargo unit. The payment released the airline and Swiss International Air Lines, which it took over, from pending lawsuits in the United States.