Startups like Flightright and EUflight argue for their customers. Consumer portals are fighting for their users to get back money if their flights have been canceled, overbooked or delayed in the past. The providers buy for this the claim of the customers or can issue a power of attorney. If the startups win, according to an EU regulation, the airlines have to pay 250 to 600 euros per passenger. But it can take months to reach a verdict. If the decision is positive, the Legaltechs keep between 24 and 35 percent commission, the rest of the settlement get the customers.
Since the Potsdam-based provider Flightright was launched nine years ago as one of the pioneers of German aviation law firms, more and more competitors have appeared on the market. Companies were sold, rights of travelers strengthened. Now Flightright was sold. Our overview shows how the passenger compensation business has developed in recent years.
In 2004, the European Court of Justice ruled that passengers are entitled to compensation as soon as their flight is at least three hours late. Passenger Rights Regulation 261/2004 lays the foundation for passenger rights startups.
Flightright
Founded in the spring of 2010 by Sven Bode and Philipp Kadelbach. One and a half years later, they receive 1.4 million euros from the Frühphasenfonds Brandenburg, the Bavarian holding company DG Holding and Camunda – the only funding for a long time. At the end of 2012, the Legaltech claims to break even.
One and a half years later, they receive 1.4 million euros from the Frühphasenfonds Brandenburg, the Bavarian holding company DG Holding and Camunda – the only funding for a long time. At the end of 2012, the Legaltech claims to break even. Fairplane will be launched in Vienna in 2011. The founders, the former management consultant Andreas Sernetz and the lawyer Michael Flandorfer, still sit today in the management.
Compensation2go
In January 2016, the Hamburg immediate compensation Compensation2go goes to the start. Bernhard Schulz then moves his company up as a 20-year law student. Unlike the competition, Compensation2go pays out the money within 24 hours, but requires higher fees.
Bernhard Schulz then moves his company up as a 20-year law student. Unlike the competition, Compensation2go pays out the money within 24 hours, but requires higher fees. Scene star Sebastian Diemer enters the market in February 2016 and founds the startup We buy your flight with Kreditech colleagues Konstantin Loebner and Mehdi Afridi. Numerous business angels are invested in the company, including real estate manager Markus Wiedenmann.
Numerous business angels are invested in the company, including real estate manager Markus Wiedenmann. A few months later, the company EUflight goes online by Lars Watermann. Similar to Compensation2Go, EUflight offers immediate compensation.
EUflight
Similar to Compensation2Go, EUflight offers immediate compensation. At the beginning of 2017, Benedikt Quarch, Phillip Eischet and Torben Antretter in Wiesbaden found money-for-flight. The startup uses its model to customers who want to cancel their trip and get their money back. In 2018, money-for-flight moves to Dusseldorf and collects 25 million euros, including from Carsten Maschmeyer’s Seed and Speed.
The startup uses its model to customers who want to cancel their trip and get their money back. In 2018, money-for-flight moves to Dusseldorf and collects 25 million euros, including from Carsten Maschmeyer’s Seed and Speed. In November 2017, Refund.me will be sold for a double-digit million amount.
Potsdam
The Potsdam startup goes to a group of US investors who come from the environment of Stanford University. “Every year around 30 competitors were added worldwide. It was no longer my mission of life to buy expensive margined cases in a now overcrowded market, “says founder Büchner in an interview with Gründerszene and NGIN Mobility about the sale.
The Potsdam startup goes to a group of US investors who come from the environment of Stanford University. “Every year around 30 competitors were added worldwide. It was no longer my mission of life to buy expensive margined cases in a now overcrowded market, “says founder Büchner in an interview with Gründerszene and NGIN Mobility about the sale. Also Dana Oppermann puts down an exit. The Potsdam woman passes her startup flight law in May 2018 for an undisclosed sum to the market leader Flightright. The airline founder then switches to the competitor EUFlight to support Lars Watermann in the management.
In May 2018 for an undisclosed sum to the market leader. The airline founder then switches to the competitor EUFlight to support Lars Watermann in the management. At the end of January 2019, Flightright finally manages the exit. The media company Intermedia wants to take over all shares in the Potsdam-based company and thus also the trademark Flugrecht.
Also published on Medium.