Lufthansa $3.5 Million Covid Flight Refund Deal Undone on Appeal

Deutsche Lufthansa AG‘s $3.5 million class settlement with consumers was vacated Friday after a federal appeals panel said the lower court didn’t properly assess whether class counsel disproportionately benefited from the deal.

The district court failed to “adequately scrutinize” whether class counsel received a disproportionate amount of the settlement and improperly calculated the deal’s value, the US Court of Appeals for the Ninth Circuit said in an unpublished opinion, vacating the district court order that granted final approval to the deal. The case was remanded for further proceedings.

The consumers alleged Lufthansa didn’t provide timely refunds after it canceled ...