Carnival Cruises settles class action lawsuit

Carnival passengers on a millennium cruise disrupted by equipment failure received a settlement from the operator.

Travel Insurance News - 20/11/2008

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The unique settlement to the class-action suit required Carnival to provide more than $5 million in free cruises to the passengers who were on board the cruise. "They're actually getting more than a 100 percent recovery because we now obtained for them a full seven-day cruise," said the attorney for the class action, David Mishael of Miami. "This is a win-win for class members."

According to the terms of the settlement, the 2,460 passengers on the Carnival Paradise cruise in December of 1999 will each receive a one-week cruise good for embarkation from any U.S. port, other than Alaska.

The value of the award to the passengers was $5.7 million, and, with the attorneys receiving $1.75 million, the value of the total settlement was nearly $7.5 million. Vouchers will be mailed to the passengers in December and are valid for two years.

Under the settlement, Carnival did not admit any liability. "We are pleased to have reached a resolution in the matter," spokeswoman Jennifer de la Cruz stated in an e-mail sent on Tuesday. Defense attorney Curtis Mase declined to comment.

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