The 5th Circuit US Appeals Court has revived the chances that Southwest Airlines will collect millions of dollars in insurance money over one of its computer meltdowns.
In July 2016, a computer crash caused nearly half a million passengers to miss flights over three days. Southwest said it lost about $77 million in refunds and other costs.
But just weeks before the meltdown, Southwest had purchased an insurance policy over just such coverage. But when it came time to pay, the Liberty Insurance underwriters refused the claim. Southwest then sued.
A District Court had initially said the insurance company did not have to pay, but the appeals court said the lawsuit should not have been dismissed.
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