It seams the airlines have had this problem before. United was confiscating Mr. Lanau's mileage. He even admitted he sold his miles but because United didn't want to take a chance on losing in court. They settled with Mr. Landau out of court. He was also able to keep selling his miles according to the New York times article.
here
http://query.nytimes.com/gst/fullpag...52C0A960948260
and here
http://select.nytimes.com/gst/abstra...nthal,%20Ralph
You have to buy the full article for $4.95 but just in case you don't want to I bought it and am posting the story here soon. I will post the NY times article when I get it from them.
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I also found this article ...
http://www.accessmylibrary.com/comsi...id=0286-140472
Here it is in full.... looks like Mr. Landau got his lawyer fees plus more.
Frequent? He's incessant flyer champ!. (tire dealer Howard Landau) (Parting Shot) Sues United Airlines
Modern Tire Dealer Feb , 1993
Tire dealer Howard Landau may just be the world's champion frequent flyer. At least the president of Giant Tire Service in Hawthorne, N.J., must work at it harder than anyone else.
Back in 1985 United Airline's computers discovered Landau and his family racking up huge amounts of its "Mileage Plus" frequent flyer miles not only by flying frequently, but by taking advantage of loopholes in the free airlines ticket awards system. At that time, Landau said that by flying often and "smart" anyone could earn at least $40,000 a year just by buzzing around the country and selling the extra tickets they earned.
Though Landau says he and his family members played by United's own rules, the airline tried to throw them out of its frequent flyer program. Landau claims this action would have deprived him of more than 1.5 million frequent flyer miles.
He sued -- at a cost of $27,000 in legal fees.
In 1987, Landau says he got a "very favorable" settlement from United.
Now Landau and United are at odds again.
Earlier this year he jumped at a United Airlines promotion promising free round-the-world tickets. The airline was touting the fact that a route it had purchased from Pan American World Airways made globe circling on one airline -- United -- possible for the first time in a decade. Sixty-five flight "legs" or 75,000 miles were needed to qualify.
Landau quickly racked up 69 segments, applied for two round-the-world coupons, and cashed them in for his airline tickets from United. He planned to use them for a 30th wedding anniversary junket for himself and his wife.
But United discovered its New York-Los Angeles-Hong Kong-New Delhi-London route had a gap in it. The Airline Pilots Association refused to fly into New Delhi, India, because of health, safety and other reasons.
So United withdrew the program.
But Landau, the only one of 98 flyers who had claimed their coupons to actually apply for and receive tickets, said he'd already spent $6,000 on tour and hotel accommodations for the trip he planned to start April 13 and threatened to sue.
United agreed to reimburse Landau for most of the cost of tickets on other airlines so the Landaus could fly in and out of New Delhi, making their globe-girdling possible. But Landau is still pushing for full reimbursement plus an upgrade from Connoisseur to First Class seats for the entire trip to compensate him for his extra trouble.
Landau is president of Giant Tire Service, a commercial and truck tire dealership, but travel -- both for business and pleasure -- is an obsession with him. Especially flying for free.
Recently he flew to Anchorage, Alaska, stayed 40 minutes, and returned to Newark Airport -- just to collect the mileage. A few weeks ago he hopped cross country from Newark to Los Angeles stopping several times to collect minimum mileage points for each "leg" of the trip. He arrived in L.A. about 9:30 p.m. and took off about 7:30 the next morning to retrace his steps.
Taking advantage of "special" mileage offers, Landau made seven round trips (14 "segments") from Los Angeles to San Francisco in one weekend and earned 10 segments for going back and forth from Newark Airport to Washington, D.C., five times on another weekend adventure.
Landau keeps a lawyer on retainer, partly to make sure United Airlines gives him his due.
Last year Landau flew more than 100 "segments" on United. On all but five he was upgraded to first class. This year he says he'll easily hit 100,000 miles. That will entitle him to a bonus of 75,000 miles plus extra perks under a new United Airlines program.