American Airlines’ $9.4M Victory: Skiplagged Defies Ruling, Continues Hidden-City Fare Offers

Skiplagged Defies Legal Ruling, Continues Offering Hidden-City Fares

Despite a recent legal victory for American Airlines, travel website Skiplagged continues to offer hidden-city fares, a controversial money-saving tactic that has drawn the ire of major airlines.

On October 15, a court ruling awarded American Airlines $9.4 million in damages against Skiplagged. The verdict included $4.7 million for copyright infringement and an additional $4.7 million for “ill-gotten” revenue. American Airlines expressed satisfaction with the copyright verdict and is considering further legal actions.

Skiplagged’s CEO, however, has stated that the company will continue operations without using American’s logo. The website specializes in finding one-way, hidden-city itineraries and charges a service fee to simplify the booking process for customers.

Hidden-city ticketing involves booking a flight with a layover as the intended destination, which can often be cheaper than booking a direct flight. For example, a traveler wanting to go to Chicago might book a flight from New York to Los Angeles with a layover in Chicago, but exit at the layover point.

While this practice can save money for travelers, it comes with significant risks. Airlines may cancel return flights if they detect hidden-city ticketing, and frequent offenders risk being barred from airlines altogether. Skiplagged advises users against associating frequent flyer numbers with these bookings and recommends traveling only with a backpack, as larger luggage may be checked through to the final destination.

This is not the first time Skiplagged has faced legal challenges. Previous lawsuits by United Airlines and Southwest Airlines had different outcomes, highlighting the ongoing tension between airlines and websites offering hidden-city fares.

As the debate over hidden-city ticketing continues, travelers are advised to weigh the potential savings against the risks and complications associated with this controversial practice.