Millions of tourists worldwide could be getting up to $20 in refunds from hop-on, hop-off sightseeing operators accused of jacking up prices after monopolizing the Big Apple’s bus tour industry, court papers show.
Coach USA, City Sights and related entities agreed to shell out $19 million to settle five class-action lawsuits brought by irked tourists who accused the former competitors of conspiring to fix prices above the market rate following their 2008 merger.
“By any measure, the proposed settlement represents an outstanding result,” the plaintiffs said in a court filing Tuesday night.
Under the terms of the anticipated settlement, which still needs to be signed off on by a Manhattan federal judge, the distribution plan calls for allocating “up to $20 as a recovery for each class member’s qualifying ticket purchase.” The payments would be “reduced on an [equal] basis if the submitted claims exceed the net settlement fund.”
“If approved by the court, the $19 million will provide substantial relief to class members who could not justify the expense of bringing individual claims,” the plaintiffs said.
The deal covers anyone who bought bus tickets since Feb. 1, 2009. An expert for the plaintiffs has estimated there are about 3.9 million sightseers who could claim a piece of the $19 million pot.
Lead plaintiffs who filed the suits will also be compensated up to $20,000 to help cover their expenses.
If any of the $19 million is not claimed by class members, it would be turned over to the Department of Justice and state Attorney General Eric Schneiderman.
The suits were filed after Schneiderman and federal prosecutors sued over the same matter in 2012 and accused the bus companies of controlling 99 percent of the market.
This case is still pending and could provide class members additional relief. A trial is set to begin in August.
Coach USA and City Sights both run open-topped, double-decker buses that take tourists to more than 40 stops such as Times Square, the Empire State Building and the World Trade Center site.
They were once staunch competitors, but the merger enabled them to raise prices 10 percent — from $49 to $54 — without fear of losing customers, according to Schneiderman’s suit.
An estimated 2 million of the city’s 50 million annual visitors take the bus tours, generating $100 million in revenue.