Lynx Air Claims Returning Passengers Will Hurt Investors Against Contractor

Lynx Air says refunding customers due to an uncooperative contractor is a huge loss for the insolvent company.

The ultra-low-cost carrier, which shut down in late February and filed for creditor protection, filed lawsuits against Texas-based Saber Corp. claims that the firm is contracted to process reservations.

Lynx says prospective travelers whose flights have been canceled have no choice but to work with their credit card processor to get a refund.

Lynx says the recall process will be costly, costing the airline huge fees that will ultimately “harm” investors hoping to get some of their money back.

Saber Corp. did not immediately respond to a request for comment.

Lynx's closure comes as budget airlines that have sprung up in recent years face sustained financial pressure amid industry consolidation following the collapse of the travel industry during the COVID-19 pandemic.