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Law360 (March 5, 2021, 7:14 PM EST) -- A New Jersey federal court on Friday tossed a proposed class action accusing Capital One Bank of trying to dodge refunds for flights canceled during the COVID-19 pandemic, ruling that the case is moot since the suing cardholder was eventually reimbursed.
Exhibits included in the court filings by Ellen Fensterer show that she received a refund of $4,906.31, which is the exact amount she was charged, and that the cardholder "reward" points she'd used for the purchase of British Airways flights were returned to her account, U.S. District Judge Renee Marie Bumb noted in her decision.
"Plaintiff no longer has a concrete interest in the outcome in this case because she has received the very refund she was seeking. The first amended class action complaint repeatedly argues that Plaintiff is entitled to a refund for her canceled flights. This has been done," Judge Bumb wrote, dismissing the lawsuit with prejudice.
Judge Bumb went on to reject Fensterer's argument that she should still serve as class representative even if her own claim was moot, and that Capital One only refunded her in order to evade judicial review of its actions.
That concern wasn't present, Judge Bumb noted, because Capital One didn't actually do the refunding, but instead processed British Airways' issuance of a refund.
The lawsuit stems from three British Airways tickets Fensterer bought to travel between New York and Athens, Greece, on April 3 and April 13.
Fensterer claimed that when the flights were canceled due to the pandemic, a Capital One Venture Travel Card Rewards customer service representative told her that British Airways was only offering travel vouchers, valid through Jan. 9, 2021.
According to Fensterer, Capital One intentionally kept customers on hold for hours and told customer service representatives to "furnish misleading information in hopes of confusing consumers and reducing and/or avoiding issuance of refunds" that travelers were entitled to for flights canceled due to the pandemic.
Customer service representatives lied so that customers would accept rebookings "instead of pressing for a refund," Fensterer claimed.
Fensterer alleged that British Airways said they couldn't help her because the tickets were purchased through Capital One, not the airline directly. She contacted Capital One again and learned that neither her rewards points, nor credit card charges for the tickets would be refunded, she claimed.
Capital One urged the court to toss the case in August, since Fensterer had been refunded the money for her canceled flights. Fensterer countered that even though she'd received a refund, she still hadn't been made whole.
Representatives for the parties didn't immediately respond to requests for comment.
Fensterer is represented by Amy L. Bennecoff Ginsburg of Kimmel & Silverman PC.
Capital One is represented by Philip A. Goldstein, Bryan A. Fratkin and Seth A. Schaeffer of McGuireWoods LLP.
The case is Ellen Fensterer, an individual; on behalf of herself and all others similarly situated, v. Capital One Bank (USA) NA, case number 1:20-cv-05558, in the U.S. District Court for the District of New Jersey.
--Additional reporting by Rachel O'Brien. Editing by Regan Estes.
For a reprint of this article, please contact reprints@law360.com.
