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AA Suit Against Skiplagged Headed to Jury

October 11, 2024 Bruce Tomaso

FORT WORTH — Closing arguments are planned Friday in American Airlines’s federal civil suit against Skiplagged Inc., an online promoter of the practice, frowned upon by airlines, known as “hidden city” ticketing.

U.S. District Judge Mark T. Pittman earlier said the case could go to the jury by next Tuesday. But with both sides rested by midafternoon Thursday, the judge told jurors their deliberations would likely begin Friday.

The trial began Monday.

Hidden city ticketing, also known as “skiplagging,” lets a traveler save money in some instances by booking a flight with a layover in her true intended destination, where she exits at the layover airport and skips the remaining connecting flight or flights.

American’s suit claims Skiplagged’s unauthorized use of the carrier’s trademarks on its site falsely leads consumers to believe Skiplagged is an authorized American agent or a booking site otherwise affiliated with the airline. Authorized American partners, such as Expedia, Priceline, Orbitz and Travelocity, are prohibited by their contracts with the airline from offering hidden city flights.

Skiplagged’s founder and CEO, 32-year-old Aktarer Zaman, testified that fare information presented on his site is merely intended to let travelers know there are cheaper ways to get where they want to go, notably through hidden city bookings, than what airlines advertise.

“I just wanted to create something that gives consumers choice,” he said.

American contends that Skiplagged not only infringed on the airline’s trademarks, but also put passengers at risk of losing their seats or otherwise being penalized, since American’s terms and conditions prohibit the use of hidden city bookings. Also, the airline said that with the service fees Skiplagged tacks on tickets booked through its site, the fares it promotes aren’t always the bargain Skiplagged claims they are.

“It is the classic bait and switch: draw consumers in with the promise of secret fares, and instead sell the consumer a ticket at a higher price,” American’s suit, filed in August of 2023, said.

American Airlines is represented in the suit by, among others, Dee J. Kelly Jr. and Lars L. Berg of Kelly Hart & Hallman in Fort Worth; R. Paul Yetter of Yetter Coleman in Houston; and Bina B. Palnitkar of Greenberg Traurig in Dallas.

The lawyers for Skiplagged include William L. Kirkman of Fort Worth, Aaron Z. Tobin of Condon Tobin Sladek Thornton Nerenberg in Dallas; and Darin M. Klemchuk of Dallas.

The case number in the Northern District of Texas is 4:23-cv-00860.

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