Spirit Airlines Fined for Breaking Consumer Rules
Tuesday, September 29th, 2009
Spirit Airlines has been fined a sum of $375,000 by the U.S. Transportation Department for breaking several consumer rules. The company has not admitted or denied its wrongdoing, and will be required to comply with a follow-up investigation within a year after the fines are paid. The Department of Transportation reports that Spirit Airlines broke consumer rules in how it handles overbooked flights and ‘bumps’ passengers. The airline is also guilty of leaving out certain fees from its advertising, which may be a case of deceptive advertising and marketing.
According to the Department of Transportation, Spirit Airlines has also failed to keep copies of customer complaints on file, a procedure that all airlines are required to follow. The airline reportedly took a total of 14 months to provide compensation for lost luggage of one passenger, and has continued to fail to resolve baggage claims for others. eTurboNews.com reports that the airline also violated baggage liability laws for international travel by claiming that they did not have any responsibility over missing laptop computers and other high-end items that were accepted by their baggage department.
In addition the airline has failed to file their reports on time, another important procedure that all airlines must follow in order to avoid fines and penalties.
According to eTurboNews, this is a record civil fine that is the result of the carrier failing to comply with rules associated with baggage liability, consumer protection requirements, advertising of a fares, and the denial of appropriate boarding compensation.
The airline has made several cuts across its department during these tough economic times, particularly in the areas of customer service. In this case, the reduced investment in employees has left consumers with a less-than-acceptable travel experience, and has resulted in the airline losing to its competitors because of a lack of respect for DOT regulations. Spirit Airlines will be under close scrutiny from the DOT and other government regulatory agencies over the next few years.