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Railcard Overcharge Class Action Overview:
- Who: The Competition Appeal Tribunal ruled that a class action lawsuit lodged by railcard commuters against Southeastern and South Western Railway can proceed.
- Why: The railcard commuters allege millions were overcharged for portions of their journeys because the railways failed to adequately advertise boundary fares.
- Where: The class action lawsuit seeks to represent all UK railway commuters.
Two million UK railcard commuters who allegedly overpaid for their journeys may see refunds after the Competition Appeal Tribunal ruled that a class action lawsuit lodged against Southeastern and South Western Railway could proceed.
On Oct. 19, the tribunal gave the greenlight to the class action claim brought by former Citizens Advice head of research Justin Gutman against Southeastern and South Western Railway, The Times reports. The rail companies mainly serve London and the surrounding areas.
The lawsuit is asking for £93 million in compensation for railway passengers who it says were ripped off, often being charged twice for portions of their journeys that should have been covered by their railcard.
Railcard Class Action Claims Passengers Charged Improper Fares
At the heart of the matter is allegations over boundary fares. Boundary fares allow commuters to go beyond the Zone covered by their Transport for London railcard without having to pay extra.
For example, a passenger with a Zone 1 to 3 TfL travelcard travelling from London Bridge in Zone 1 to Peterborough should pay a cheaper fare, The Sun reports. When passengers buy their railcard, they have already paid for a section of the journey.
According to the class action lawsuit, the rail companies haven’t properly advertised boundary fares or how they work.
Thus millions of passengers overpaid for their journeys, often made daily, because they were charged already on their railcard, and then again during the actual commute.
Railcard holders, who were denied refunds as well as extensions on the service despite pandemic lockdowns, will be automatically represented in the case unless they opt-out.
Southeastern and South Western Railway have denied the claims.
This class action comes as Thameslink rail service is accused of abusing its market dominance and causing passengers to lose money due to unfair pricing on its London travel routes.
That class action lawsuit was filed by rail travel campaigners, Edward Vermeer and David Boyle, who allege that the company overcharged customers by setting different prices for different brands of trains, and also charged more for debit or Oyster card purchases.
Do you use a railcard? Do you think you were overcharged? Tell us in the comments!
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