Flair Airlines has been forced to scrap a handful of flights after four of its aircraft were seized over a "commercial dispute". The carrier was behind on payments for the planes and claims it had no warning of the seizures.

Flair Airlines lessor dispute

The four Boeing 737s were seized ahead of the busy March break travel period in Canada, disrupting scores of passengers booked on Flair Airlines flights. As reported by Global News, sources claim the Canadian ultra-low-cost carrier was five days behind on payments for the leased aircraft.

A Flair Airlines spokesperson commented,

"Flair Airlines is aware of extreme and unusual actions taken by a New York-based hedge fund and lessor of certain Flair Airlines aircraft. The airline is aggrieved by this unprecedented action."

One of the seized 737s was spotted on the apron at the Region of Waterloo International Airport with its engines covered, while two aircraft were seized in Toronto and another in Edmonton. The airline has since initiated payment for the aircraft, but it is unclear if this will be enough to reinstate its agreement with the lessor - sources close to the matter claim that the lessor in question is Airborne Capital, an Irish-based leasing firm established in 2017.

Flair 737 MAX 8
Photo: sockagphoto / Shutterstock

The lessor had reportedly informed Flair of its intentions to cancel its agreement on Friday, but the carrier claimed it had no idea the planes were to be seized. The airline added that it "will continue to engage in a consensual mediation with the lessor to remedy the situation," so it remains to be seen if the aircraft will fly with Flair again.

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Spare planes backfill flights

Fortunately for some passengers, Flair had three spare aircraft to backfill many of the affected flights, helping to nullify the impact of the plane seizures somewhat. The airline has promised that any passengers flying in the next 72 hours will be accommodated on a Flair flight, or a flight with another airline at Flair's expense if this isn't possible.

Flair Airlines said,

"We are truly very sorry passengers were impacted today, and are taking steps to get them on their way with minimal disruption. This includes repositioning our spare aircraft to support operations."

Flair 737 MAX
Photo: Flair Airlines

However, not everyone was happy with Flair's arrangements - one passenger, Laura Pomeroy, told CBC News that she and her family were rebooked on flights next week that were not suitable, forcing them to rebook their trip with another airline. Pomeroy added that the carrier offered them hotel and food vouchers, but they never received them.

Pomeroy said,

"We called the customer service line and they said that the flight had been canceled due to mechanical issues. I can understand that there are issues that could arise, that they maybe couldn't control at the last moment, but what I don't understand was why wasn't there anyone there to talk to us, to tell us what was happening."

Leased 737 fleet

The entirety of Flair's 22-strong Boeing 737 fleet has been acquired on lease - according to ch-aviation, the carrier has 13 737s leased from 777 Partners, six from Airborne Capital and two from Zephyrus Aviation Capital, alongside one more from an unknown lessor. The airline will continue to welcome more Boeing 737 MAXs as part of an agreement for 14 Boeing 737 MAXs with 777 Partners announced in late-2021.

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Flair Airlines now serves over 35 destinations and recently unveiled its Winter 2023 schedule featuring a number of new routes.

Was your flight with Flair Airlines affected by these aircraft seizures? Did the airline deal with your flight cancelation in an acceptable way? Let us know in the comments.

Source: Global News, CBC, ch-aviation