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Spirit Airlines has agreed to pay up to $8.25 million to settle a class action lawsuit filed by passengers over the carrier’s so-called “gotcha” carry-on bag fees. The lawsuit alleged that Spirit Airlines was breaching its contractual obligations to passengers by charging them to carry on bags without notifying them in advance and then refusing to refund the fees.
Under the settlement, Spirit Airlines will pay out a total of up to $8.25 million in the form of cash settlements or travel credits to class members depending on the amount of bags or the number of passengers affected. The agreement has been given preliminary approval by the court and a final fairness hearing is scheduled for October 1st.