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American Airlines settles for $7.5 million in baggage fee lawsuit

The lawsuit – filed by a group of passengers from Texas, California, Missouri and Minnesota – claimed they were wrongly charged baggage fees.

FORT WORTH, Texas — American Airlines has agreed to pay out at least $7.5 million to settle a class-action lawsuit that claimed the airline overcharged customers for baggage fees, according to documents obtained by WFAA. 

The lawsuit – filed in 2021 by a group of passengers from Texas, California, Missouri and Minnesota – stated that the Fort Worth-based airline charged them to check luggage even though they had airline status, credit cards or bought premium tickets that gave them free bags.

The passengers who filed the lawsuit said they showed up to the airport and had to pay a fee to check bags even though they had confirmation emails and receipts that stated their bags were free. 

According to the airline's checked bag policy online, American charges between $30 and $200 for checked bags on domestic flights and flights to Mexico, Haiti, the Caribbean and more for flights to South America, Europe and Asia, depending on the type of ticket.

However, one of the perks of flying with its AAdvantage program or an American Airlines-branded credit card through companies such as Citi and Barclay’s is getting one or more free bags.

The class action lawsuit settlement – which was filed last week – needs to be signed by Judge Reed O’Connor to approve the deal. The settlement will force American Airlines to pay out at least $7.5 million, where customers will be eligible for $25 to $200 refunds for each instance if they were incorrectly charged.

If, after six months of distribution of refunds, there is still left over money in the settlement account, those who are affected in the claim could receive more, the lawsuit says. 

The terms of the settlement is limited to those that checked bags with American between Feb. 24, 2017, and April 9, 2020. Administrators overseeing the settlement are working out how to pay passengers, and those affected should be notified.

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