Dolinja777 From United States of America, joined Feb 2005, 37 posts, RR: 0 Posted (6 years 9 months 5 days 13 hours ago) and read 1467 times:
If NW does go under as a result of the current action, what does happen to people holding tickets if they can't be rebooked? Are they guaranteed a refund in any way? Or are you considered an unsecured creditor of the airline and basically swept under the carpet?
Starlionblue From Hong Kong, joined Feb 2004, 15868 posts, RR: 66 Reply 1, posted (6 years 9 months 5 days 13 hours ago) and read 1467 times:
Quoting Dolinja777 (Thread starter): If NW does go under as a result of the current action, what does happen to people holding tickets if they can't be rebooked? Are they guaranteed a refund in any way? Or are you considered an unsecured creditor of the airline and basically swept under the carpet?
It really depends how much money the company is left with after liquidation. Generally, the pecking order is:
- Employees.
- Creditors.
- Owners.
I would say that you can probably kiss your money goodbye.
"There are no stupid questions, but there are a lot of inquisitive idiots." - from Citadel by John Ringo
Litz From United States of America, joined Dec 2003, 1745 posts, RR: 0 Reply 2, posted (6 years 9 months 5 days 10 hours ago) and read 1400 times:
This is a PRIME example of why you buy your tickets with a major credit card.
Almost all cards have provisions for crediting the value of the ticket in case of an airline ceasing operations (really, it doesn't even have to go out of business - just become unable to operate the flight you've paid for).
AA777SJC From United States of America, joined Mar 2006, 57 posts, RR: 0 Reply 3, posted (6 years 9 months 5 days 10 hours ago) and read 1381 times:
You can't get a refund, but other airlines will generally honor tickets the ones in the first week on a standby basis. Does anyone know how long other airlines honor tickets on a Chap 7 airline?
btw Chapter 11 bankruptcy is when you reorganize
Chapter 7 bankruptcy is when you liquidate
SJUSXM From United States of America, joined Aug 2006, 271 posts, RR: 0 Reply 4, posted (6 years 9 months 5 days 10 hours ago) and read 1366 times:
Quoting Starlionblue (Reply 1): It really depends how much money the company is left with after liquidation. Generally, the pecking order is:
- Employees.
- Creditors.
- Owners.
Starlionblue From Hong Kong, joined Feb 2004, 15868 posts, RR: 66 Reply 6, posted (6 years 9 months 5 days 8 hours ago) and read 1276 times:
Quoting SJUSXM (Reply 4): Quoting Starlionblue (Reply 1):
It really depends how much money the company is left with after liquidation. Generally, the pecking order is:
- Employees.
- Creditors.
- Owners.
Not @ NW
Employees only get paid if they worked the hours of course. The company can try to fire them before liquidation.
"There are no stupid questions, but there are a lot of inquisitive idiots." - from Citadel by John Ringo
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