Airlines

News & Analysis as of

National Mediation Board Rejects Jurisdiction Over Airline Service Provider

On September 11, 2014, the National Mediation Board (NMB), in a split decision, refused to exercise jurisdiction over an airline service provider performing cabin cleaning services for an airline at John F. Kennedy...more

Federal Court Rules Business Method Patent Invalid Post-Alice

On September 2, 2014, the District Court for the Eastern District of Texas ruled in the case of Loyalty Conversion Systems Corporation v. American Airlines, Inc. that the plaintiff's business method patents concerning...more

Airline Industry Legal Alert: Ninth Circuit Hears Argument on Strike Injunction Against Non-Union Employees

Yesterday, Douglas Hall, a partner in the Airline Group of FordHarrison, appeared before an en banc panel of the Ninth U.S. Circuit Court of Appeals to defend an injunction obtained on behalf of Aircraft Service...more

Frequent-Flyer Class Actions Likely To Be Less Frequent

Airlines offer frequent-flyer programs to reward loyal customers and attract new ones by awarding various perks based on the “miles” each member accumulates. In practice, however, frequent-flyer programs too often attract...more

IP Newsflash - September 2014 #2

Airline Rewards Conversion Method Invalid Under Alice and Bilski - On September 2, 2014, Federal Circuit Judge William Bryson, sitting by designation in the Eastern District of Texas, ruled that two patents on a...more

Tax Law Blog: Tax Court Ruling on Frequent Flyer Miles as Income

In early 2012, Citibank started issuing Form 1099-MISC to customers who were given "thank you points" in exchange for opening bank accounts. The points could be redeemed for an airline ticket, similar to frequent flyer miles....more

In Flight Catalog: Senator Rockefeller Opens Inquiry Into Consumer Data Practices by Airlines

Last week, Senator Jay Rockefeller (D-W.Va.) sent a letter to the top ten revenue generating passenger airlines in the United States, opening an inquiry into their practices related to charging additional fees for optional...more

EU Sanctions Against Russia: Possible Effects on Aircraft Sector

Against the background of recent European Union (EU) sanctions targeting Russian airline Dobrolet, this note provides a general overview of relevant issues – especially in the context of the aircraft sector. I....more

Rating Agency Developments

On July 31, Moody’s released its rating methodology for global manufacturing companies. On July 25, Fitch released its global rating criteria for Corporate CDOs. On July 25, DBRS issued its methodology for rating companies in...more

Orrick's Financial Industry Week in Review

Bank of England Publishes Statement on Enforcement Action Against Lloyds Bank PLC and Bank of Scotland PLC - On July 28, the Bank of England published a statement on Financial Conduct Authority enforcement action...more

Eleventh Circuit Affirms Dismissal of Injury Claim in Airline Bumping Case

The ruling by the U.S. Court of Appeals for the Eleventh Circuit in Campbell v. Air Jamaica, Ltd. is a favorable one for the aviation industry. The court confirmed that non-economic damages, including emotional distress and...more

Capital Thinking: International

Ukraine Crisis - Last week, the Malaysian Government negotiated and secured from the pro-Russian separatists in Ukraine the black boxes from the downed passenger airliner (MH17). The Malaysian Government also secured...more

Employee Danger Zone: An Overview of Employer's Considerations when Disaster Strikes

The shocking news of recent airline disasters brings into sharp focus for employers the sometimes unforeseeable risks facing employees who frequently travel for work. In today's world, the ability to dispatch the right...more

Groundbreaking Cross-border Airport Terminal Linking Tijuana to San Diego Breaks Ground

Sheppard Mullin client, Otay Tijuana Venture, announced this week that a cross-border pedestrian bridge linking San Diego with Tijuana’s A.L. Rodríguez International airport will be set to open next year. The project, which...more

Ninth Circuit Holds FAAAA Does Not Preempt California’s Meal and Rest Break Laws

Last week the U.S. Court of Appeals for the Ninth Circuit concluded, in Dilts v. Penske Logistics, LLC, that the Federal Aviation Administration Authorization Act of 1994 (FAAAA) does not preempt the application of...more

Safety committee members lose claim that employer retaliated against them

Disciplinary letters issued to three members of a safety “Policy Committee” were not retaliatory under the Canada Labour Code, the Canada Industrial Relations Board has decided. Air Canada issued letters to three...more

No-Fly List Ruled Unconstitutional

On June 24th, a federal judge in Oregon ruled that the government’s no-fly list, which seeks to prevent people with suspected terrorism ties from traveling to or within the United States, is unconstitutional. The lawsuit was...more

RDU Terminal 1: Going Green

Last week, I had the fortune to join the Triangle USGBC for its “Talk & Walk” about the RDU Terminal 1 renovation project and its sustainable features. For those who haven’t had the chance, I recommend you check out the new...more

Case Update: Dawson V Thomson Airways Limited1

Lessons on the interplay between the EC Regulation 261/2004 and the Montreal Convention 1999 relearnt - Court of Appeal confirms limitation under EC Regulation 261/2004 to be determined in accordance with domestic law...more

Pennsylvania Superior Court Reverses Forum Non Conveniens Dismissal of International Air Crash Case, But Don’t Equate Pennsylvania...

United States courts facing forum non conveniens (FNC) motions, at least with respect to lawsuits arising out of air crashes that occur outside of the United States, seem to fall into two distinct camps: Cook County,...more

Out Of The Extraordinary: The Court Of Appeal's Judgment In Huzar V Jet2.Com

Court of Appeal hands down judgment on the meaning of "extraordinary circumstances" in the case of cancellation or delay arising out of technical faults pursuant to EC Regulation 261/2004 - It is somewhat regrettable...more

Bankruptcy Court Dismisses Class Action DFR Complaint Involving Airline Merger

One deliberately ironic facet of the 2004 film Howard Hughes bio-pic The Aviator (the one with Leonardo DiCaprio) is the fact that the airlines fighting for world dominance in the 1940s were Howard Hughes’ TWA and Juan...more

Look! Up in the Sky! It’s a…Plane!: Proposed FAA Policy Could Affect Building Heights

The Washington, D.C. metropolitan area has no shortage of airplanes flying over the region. There is also no shortage of developers and landowners who want to create the region’s landmark buildings and skyscrapers which may...more

California District Court Rejects Class Action Settlement Due To Fee, Enhancement, and Other Issues

Do your homework before you seek approval of a class action settlement! Meals on airlines have all but disappeared for anyone other than those in first class, but the company Sky Chefs contends on its website that it...more

Prison Sentence in Air India Bribery Scheme Sends Deterrent Message to Canadian Executives

On May 23, Nazir Karigar, an agent of Cryptometrics Canada Inc. (Cryptometrics), was sentenced to three years in federal prison under Canada’s foreign bribery statute. Mr. Karigar was convicted last August of conspiring to...more

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