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Vozzolo v. Air Canada

Airline Must Place Portion of Covid-19 Flight Refunds in Escrow Pending Legal Fees Award

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MEMORANDUM OPINION AND ORDER Emilio L. Vozzolo, Thomas Piercy, and Barry Winograd (“Plaintiffs”) commenced these consolidated1 putative class actions on behalf of themselves and others similarly situated, seeking refunds from Air Canada (“Defendant”) for airline tickets purchased for flights that were cancelled as a result of the COVID-19 pandemic. (Doc. 1).2 More than one year following the onset of the pandemic, on or about April 13, 2021, Defendant began a program in which it offered refunds to customers holding otherwise non-refundable or partially refundable tickets whose flights were cancelled for any reason from March 1, 2020 to present (the “Refund Offer”). (See Doc. 62). Plaintiffs now seek a preliminary injunction directing Defendant to set aside a portion of any yet-to-be paid refunds to the putative class for attorney’s fees, pending a determination of whether Plaintiffs’ suits were a substantial cause of the Refund Offer. For the reasons set forth below, Plaintiffs’ motion for a preliminary injunction is GRANTED. BACKGROUND The COVID-19 pandemic needs no introduction. It has been a widespread and devastating event that has had and continues to have a profound impact on individuals and industries across the globe. This case involves the pandemic’s effects on a carrier in the aviation industry. It was was brought by and on behalf of individuals who were set to travel somewhere on Air Canada flights in early 2020. The Air Canada flights were cancelled due to COVID-19 and these customers did not receive a refund for the price paid for their tickets. Travel restrictions affecting domestic and international air travel began on January 31, 2020, leading to “do-not-travel” warnings and bans and the closure of borders — all of these restrictions were imposed in an effort to combat the COVID-19 pandemic. (Doc. 1

22-23). Defendant began cancelling flights in March 2020 because of the travel restrictions. (Id.

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