WASHINGTON -- The revelation that JetBlue gave about 5 million
passenger name records to Torch Concepts, a Defense Department
contractor, spawned at least three lawsuits, sullied the reputation
of the country's fastest-growing carrier and unleashed opposition
to federal plans for an air traveler prescreening program to
identify potential terrorists.
JetBlue CEO David Neeleman apologized for the airline's
violation of its own privacy policy, but that wasn't enough to stop
the lawsuits or a torrent of bad publicity.
The Electronic Privacy Information Center petitioned the Federal
Trade Commission to investigate both JetBlue and Acxiom, a firm
that provided Torch with Social Security numbers and additional
data on home ownership, occupation and income, number of children
and vehicular information.
The Army also launched an internal review to determine how its
contract with Torch Concepts, which had to do with military base
security, led to the screening of airline passengers.
Army spokesman Gary Tallman said, "We did not intend to go out
and study airlines."
JetBlue's disclosure also led to fresh attacks on the Computer
Assisted Passenger PreScreening System (CAPPS II), a profiling
system under development at the Transportation Security
Administration.
CAPPS II would access databases to confirm traveler identities
and decide who should be subject to extra screening.
Supporters of CAPPS II maintain it will increase security by
identifying potential threats, but critics have attacked it as an
invasion of privacy that won't offer much protection.
JetBlue's damage control included a press release pledging it
will not share passenger information with CAPPS II unless required
to do so by law.
Neeleman said he had no knowledge of the data transfer when it
occurred last summer but accepted full responsibility for it.
He said the decision to provide the data for free was "a
well-intentioned attempt to assist the Department of Defense in a
national security matter." The data consisted of each passenger's
name, address, phone number and flight information.
"In hindsight, we realize that we made a mistake," Neeleman
said. He noted JetBlue hired the Deloitte & Touche accounting
firm to review the airline's privacy policy implementation.
Neeleman's apology, however, did not stop groups of passengers
from filing lawsuits, each of which aims to be certified as a class
action.
One suit, filed by the Salt Lake City law firm of Parker &
McConkie in Utah's 3rd District Court, seems to go out of its way
to limit the financial damage to the airline.
"The plaintiffs seek fair and equitable compensation from
JetBlue but seek no punitive damages that would harm or hinder
JetBlue's business or financial viability," it states.
"This lawsuit gives JetBlue the opportunity to regain the
confidence of its passengers and make some kind of adjustment and
remuneration in good faith," attorney James McConkie told Travel
Weekly.com.
He also said a precedent "discourages this kind of thing from
happening in the future."
JetBlue also faces two federal suits without self-imposed
limitations -- one filed in New York by the firm of Cauley Geller
Bowman & Rudman, the other in Los Angeles by attorney Stephen
Yagman.
To contact reporter Andrew Compart, send e-mail to [email protected].