JetSmarter agrees to settle Class Action Arbitration filing

JetSmarter

The jet sharing broker remains the subject of individual lawsuits, however, up to 12,000 members may be eligible for cash and credits under a proposed Class Arbitration settlement

We take an in-depth look at the value of the proposed settlement

Anyone who was a member of JetSmarter from September 5, 2014 until June 19, 2018 should be receiving a Notice of Settlement (Arbitration Matter No. 01-18-0003-3338) as part of a Class Action filed via arbitration last September. It’s estimated as many as 12,000 former and current members of the private jet plane sharing membership program could be eligible.

The proposed settlement offers members of the Class a net distribution of $2,975,000 plus potentially tens of millions of dollars in free membership extensions and flight credits.

The action was filed by Solowsky & Allen, P.L., a Miami law firm, which also apparently negotiated the settlement with JetSmarter. Requests for comment were not returned from either Solowsky & Allen or a second law firm listed on the settlement notice.

BlackBird just raised $10 million to be the Uber of private flying…Here’s what I learned from reading the fine print with an aviation attorney

Fly BlackBird affordable private flights

Blackbird promises to “defy gravity” with inexpensive private flights on private jets, turboprops and piston aircraft. Takeoff with the knowledge that this isn’t a traditional air charter

“We bring you the freedom of flight…No matter who you are, no matter what you do, we all face challenges, obstacles, rules, limitations and frustrations—this daily struggle is gravity that pulls us down and tries to keep us from reaching our potential. Together we will defy gravity.” – BlackBird website

I leased a private aircraft and hired a pilot in less than 10 minutes. Was it legal?

On March 12, 2019, I received a press release from BlackBird CEO and founder Rudd Davis. It was titled, “We just raised $10 million to bring you more freedom.”

It read, “We started BlackBird to make personal aviation as accessible and affordable as driving.  Today, I’m excited to announce, we’ve taken another huge step toward making this a reality with the close of a $10 million Series A.”

CNBC reports on outraged customers, losses and safety concerns at JetSmarter

As JetSmarter tries to pivot to its new business focus of paid seats, crowdsourcing flights and on-demand charter, CNBC has released a scathing profile highlighting the sharing economy private jet service’s troubles previously documented here on Private Jet Card Comparisons

 

A high tech fraud, shell game and bait-and-switch combined with high-pressure sales, ever-changing contract terms, revenue shortfalls, safety issues plus strong-armed tactics with the media, former customers and employees, a profile of a Unicorn gone bad, is the essence of a scathing report by CNBC about JetSmarter.

Facing mounting lawsuits, JetSmarter fires back, says litigation represents “less than 0.1% of growing customer base”

private jet charter in Shanghai

Against the backdrop of three more lawsuits, the sharing economy private jet company is responding, saying programs changes were within its rights, and the “vast majority” of “core” members are understanding

 

Over the past two weeks, at least three more lawsuits have been filed against JetSmarter, including two customers who say shortly after spending $97,500 upfront for discounted multi-year memberships they found themselves without the benefits they paid for. The lawsuits filed in New Jersey, Illinois and New York each allege shortly after joining or renewing key benefits they were promised were no longer available. With the mounting lawsuits, in general, they detail a series of back and forth communications with JetSmarter employees as benefits were being changed, and after failing to receive a refund or satisfactory solution, in each case, the members decided to take JetSmarter to court.

JetSmarter plans expansion despite new lawsuits, including from one customer who paid $87,500

The latest lawsuits bring to at least five the number of actions alleging fraud against the Ft. Lauderdale-based sharing economy private jet membership service

 

As a lawsuit seeking at least $2 million against it continues with a hearing scheduled for early December in Los Angeles, JetSmarter has been hit with two more lawsuits. The first one was filed October 16th in The United States District Court For The Eastern District Of Wisconsin, at least the fourth since August, and accuses the Fort Lauderdale-based sharing economy private jet service with breach of contract, breach of good faith and fraudulent representation. The lawsuit seeks at least $75,000 in compensatory damages, undisclosed punitive damages, attorney’s fees and other relief that the court deems proper. In another lawsuit, filed today in the Southern District of Florida, Illinois-based Joann Bachewicz is seeking at least $300,0000 after she paid $87,500 for a three-year membership JetSmarter represented as having a $150,000 value.