JetBlue Sued For Allegedly Using Customers' Personal Data To Hike Air Fares

Authored by Mary Prenon via The Epoch Times (emphasis ours),

JetBlue Airlines has been sued in a class action lawsuit seeking damages for allegedly using consumers’ personal data to increase airfares.

The case was filed on Wednesday in the U.S. District Court in the Eastern District of New York.

Brought by plaintiff Andrew Phillips of New York, the litigation states that Phillips booked his ticket on JetBlue’s website, which included a flight from New York to Florida. As required, he provided his contact and payment information, as well as desired airfare and accommodations, according to the lawsuit. However, Phillips was unaware that the airline’s tracking code had also collected and provided other information to a third party.

According to the lawsuit, JetBlue has historically used consumer data to make assumptions about the consumer that could impact pricing.

“The ‘Operating System and Platform’ a consumer uses may seem benign—but it is commonly weaponized as a means to tell the socioeconomic status of a consumer, as those who use Apple’s iOS operating system and platforms are often wealthier than those who use an Android operating system and platform,” the lawsuit states.

In addition, the airline allegedly collected information about consumers’ geographic locations that allow them to adjust prices based on someone’s zip code or socioeconomic class based on where they live.

“This is all highly concerning,” the litigation states. “It allows Defendant to manipulate prices in real time in order to make as much money as they can on fares for airline tickets which are priced differently for consumers based on their private information, which they did not consent to surrender for this purpose.”

The lawsuit also cites a conversation between JetBlue’s X account and a customer, arguing that it suggests the company may use customer data in connection with ticket pricing.

In the exchange, the customer wrote, “I love flying @JetBlue but a $230 increase on a ticket after one day is crazy. I’m just trying to make it to a funeral.”

“Try clearing your cache and cookies or booking with an incognito window. We’re sorry for your loss,” the JetBlue account replied.

“The picture becomes clearer considering JetBlue itself admitted to using cookie collected data on its booking pages in order to adjust airfare pricing,” the lawsuit states.

In a statement to The Epoch Times, JetBlue Corporate Communications said the company does not use personal information or web browsing history to set individual pricing.

“Fares are determined by demand and seat availability, and all customers have access to the same fares on jetblue.com and our mobile app,” the statement said.

Regarding the X conversation, JetBlue said, “The recent social media reply was simply a mistake from an individual customer service crewmember. The steps the crewmember suggested would not have changed the airfares available for purchase.”

JetBlue is further accused of sharing this information with other third parties, such as FullStory, a digital intelligence firm that captures user interactions such as website page views and clicks.

The airline is accused of allowing these third parties to use tracking technologies to collect information on consumers and use those same technologies to analyze consumer background and behavior to change prices.

The documents state that JetBlue also uses PROS, an AI-based travel tech firm, which sets prices through algorithms, based on consumer data.

“None of this would have been possible had JetBlue not been collecting this data in the first instance: let alone sharing it with third parties like FullStory, PROS, and others,” the lawsuit states.

While “surveillance pricing”—the use of personal data to determine what a consumer is willing to pay—is not illegal in the United States, secretly collecting consumer data without consent is, the lawsuit states.

According to the litigation, members of Congress have also raised concerns about the allegations. A letter from Sen. Ruben Gallego and Rep. Greg Casar asked JetBlue to clarify whether it uses personal data to set fares.

“We are especially concerned that customers could be charged different prices for the same flight based on their need for travel, such as attending a funeral,” the letter stated, according to the lawsuit.

Among the accusations against JetBlue Airways is a violation of the Electronic Communications Privacy Act, which makes it illegal to intentionally intercept any consumer communication or to disclose or use the contents of an unlawfully intercepted communication.

The airline is also accused of violating New York’s deceptive trade practices and unlawful selling laws.

The plaintiff is requesting a jury trial as soon as possible.