Get All Access for $5/mo

United Airlines, Orbitz in Legal Brawl With 22-Year-Old Travel Entrepreneur Aktarer Zaman's startup, Skiplagged, aims to popularize 'hidden city' ticketing, in which passengers disembark at their layover destinations.

By Geoff Weiss

Opinions expressed by Entrepreneur contributors are their own.

United Airlines and Orbitz have teamed up to file suit against a 22-year-old entrepreneur whose airline ticketing startup, Skiplagged, operates according to a thrifty booking ploy known as "hidden city' ticketing.

This means that passengers purchase tickets for indirect flights with the intention to disembark at their layover destinations. Say you want to fly from New York to Chicago, for instance: it could be cheaper to take an indirect flight to Los Angeles and then get off at the Chicago layover.

While hidden city ticketing only works when travelers purchase one-way tickets without any checked baggage, notes CNN, this often represents the cheapest option.

Related: This Man Inadvertently Racked Up a $1,171 In-Flight Wi-Fi Bill

Enter United Airlines and Orbitz -- both of whom are alleging "unfair competition" and demanding $75,000 in lost revenue. Hidden city ticketing is prohibited by United Airlines because of "logistical and public safety concerns," according to the suit.

Skiplagged's founder, a New York City computer whiz named Aktarer Zaman, told CNN that he expected a lawsuit would be inevitable despite the fact that his site hasn't yet turned a profit.

"[Hidden city ticketing] has been around for a while," Zaman told CNN, noting that he was merely exposing a decades-long inefficiency within the airline industry. "It just hasn't been very accessible to consumers."

In order to fight the lawsuit, Skiplagged has thus far raised $16,718 of a $20,000 GoFundMe campaign. "As a 22-year-old with a startup being bullied by these large corporations, your support means so much to me," Zaman wrote in a message to donors.

Related: Baggage Blues No More: A Smart Suitcase Raises $1 Million on Indiegogo

Geoff Weiss

Former Staff Writer

Geoff Weiss is a former staff writer at Entrepreneur.com.

Want to be an Entrepreneur Leadership Network contributor? Apply now to join.

Editor's Pick

Science & Technology

5 Rule-Bending AI Hacks to Make Your Mornings More Productive and Profitable

By 2025, AI will transform productivity by streamlining workflows and cutting costs. Major companies like Microsoft, Google, and OpenAI are leading the way, advancing AI into "Phase 3," where tools act as digital assistants. Discover 5 AI hacks to boost efficiency and redefine your daily routine.

Side Hustle

'Hustling Every Day': These Friends Started a Side Hustle With $2,500 Each — It 'Snowballed' to Over $500,000 and Became a Multimillion-Dollar Brand

Paris Emily Nicholson and Saskia Teje Jenkins had a 2020 brainstorm session that led to a lucrative business.

Marketing

5 Critical Mistakes to Avoid When Giving a Presentation

Are you tired of enduring dull presentations? Over the years, I have compiled a list of common presentation mistakes and how to avoid them. Here are my top five tips.

Business Ideas

63 Small Business Ideas to Start in 2024

We put together a list of the best, most profitable small business ideas for entrepreneurs to pursue in 2024.

Science & Technology

Why Businesses Are Relying on Automation to Survive the Labor Crisis

Robots are revolutionizing industries by addressing labor shortages and enhancing efficiency, while businesses navigate challenges like workforce adaptation and high implementation costs.