While there was hope for the airline industry in 2025, not all companies were able to stay in the air. Although the number of passengers in the United States has increased since the Covid-19 pandemic, a number of airlines have rough a hard time surviving.
After Ravn Alaska, Air Belgium, and SKS Airways had already suddenly closed down, Play Airlines and Braathens Aviation had left passengers stuck by September. In Abu Dhabi and Singapore, even major airlines like Wizz Air and Qantas Airways closed their regional offices.
The Vero Beach, Florida-based charter operator Verijet filed for Chapter 7 bankruptcy in the US Bankruptcy Court for the Southern District of Florida at the end of October. When Richard Kane, the company’s founder, unexpectedly passed away at the age of 60 from a heart attack, the company had over $38.7 million in liabilities and multiple lawsuits pending.
What happened to Verijet
Verijet, was founded in 2020 and during the Covid-19 pandemic, grew quickly because of an increasing demand for private aviation in the United States. The company advertised short, effective flights on Cirrus SF50 Vision Jets: smaller, more quiet and simpler to fly than conventional business jets.
Verijet was the 13th-biggest fractional and charter operator in the nation by 2023. It provided a Jet Card program that let people and businesses pay in advance for flight hours at a predetermined rate. During the pandemic, when commercial travel was restricted, this flexible model caught a lot of customers’ attention.
However, the fast growth didn’t come without risk. In addition to debts owed to lessors, insurance companies, and service contractors, Verijet’s Chapter 7 bankruptcy filing stated that it owed over $10.5 million to jet card customers alone. And with $38.7 million in total debt, it was more than obvious that the business couldn’t run anymore.
Verijet had started flying to the Bahamas, Turks and Caicos, and the Cayman Islands as part of its expansion in 2023, but this global push reduced available resources and making financial issues even worse.
Legal issues and lawsuits
The first customer to file a suit was Sam Crigman in Miami-Dade County in November 2024, alleging that he was subjected to “delays, canceled flights, and excuses” after spending $147,812 on a 50-hour jet card.
Verijet suspended all flight operations after Richard Kane’s death in September 2024. The business immediately went for liquidation under Chapter 7 bankruptcy rather than trying to reorganize under Chapter 11. Then, another client, Brandon Kruse, received a $328,000 court verdict in April 2025 for unfulfilled flight services.
No to long after that, more lawsuits were filed by former workers, charter brokers, and aircraft leasing firms. Verijet said in a brief statement that its Jet Card program “does not offer guaranteed service” and that it would “use this experience as a catalyst for positive change.” However, the majority of clients had already come to terms with the fact that operations were complete by that point.
The 2025 crisis in the airline industry
The bankruptcy of Verijet fits into a bigger pattern in the airline sector for 2025, particularly in private aviation in the US. Because the demand rise that started with the Covid-19 pandemic is now over. And it has become more difficult for smaller operators to keep being profitable given rising interest rates, inflation, and fuel prices.
Similar difficulties are being experienced by airlines all around the world. Within months of one another, Play Airlines, Braathens Aviation, Ravn Alaska, Air Belgium, and SKS Airways all shut down. To concentrate on their core business, even bigger airlines like Wizz Air and Qantas Airways have reduced their international presence.
The story of Verijet is yet another example of the airline industry in 2025. post-pandemic optimism has given way to financial reality and without stability biggest companies are at risk.