XM does not provide services to residents of the United States of America.

American Airlines to settle $139 million legal fee dispute after $1 verdict



<html xmlns="http://www.w3.org/1999/xhtml"><head><title>American Airlines to settle $139 million legal fee dispute after $1 verdict</title></head><body>

By Mike Scarcella

Nov 18 (Reuters) -American Airlines AAL.O has reached a tentative settlement with flight booking company Sabre SABR.O in the airline’s fight to recover more than $139 million in legal fees after winning just $1 in damages at a 2022 trial.

In a filing on Saturday, American and Sabre told U.S. District Judge Lorna Schofield in Manhattan that the companies agreed in principle to resolve their fight over fees in the 13-year-old case.

The proposed terms were not disclosed in the court filing. Sabre declined to comment on Monday, and American Airlines did not immediately respond to a request for comment.

Sabre was sued in 2011 by US Airways, which later merged with Fort Worth, Texas-based American.

The lawsuit accused Sabre of harming competition in the flight-booking market and charging excessive fees. A jury in 2022 found Sabre had acted unlawfully to stifle competition, but also that US Airways’ contract with Sabre did not constrain trade as the airline alleged.

The jury awarded American $1 in damages, and Sabre, which denied wrongdoing, did not appeal. American then asked the court to order Sabre to cover its legal fees totaling $139 million.

Schofield ruled last year that American was entitled to seek reasonable legal fees after its nominal win of $1. The judge said the federal antitrust law at issue allows a prevailing plaintiff to recover fees.

Sabre was due to respond this week to American’s legal fee bid. Sabre and American asked the judge to push the deadline to December to allow the companies to finalize their deal.


The case is US Airways Inc v. Sabre Holdings Corp, U.S. District Court for the Southern District of New York, No 1:11-cv-02725-LGS.

For plaintiff: Andrew Frackman of O'Melveny & Myers, and Paul Yetter of Yetter Coleman

For defendant: Boris Bershteyn and Steven Sunshine of Skadden, Arps, Slate, Meagher & Flom


Read more:

Legal Fee Tracker: American Airlines presses $139 mln fee bid after $1 verdict

After $1 American Airlines antitrust win, O'Melveny wants $139 million in legal fees



</body></html>

Disclaimer: The XM Group entities provide execution-only service and access to our Online Trading Facility, permitting a person to view and/or use the content available on or via the website, is not intended to change or expand on this, nor does it change or expand on this. Such access and use are always subject to: (i) Terms and Conditions; (ii) Risk Warnings; and (iii) Full Disclaimer. Such content is therefore provided as no more than general information. Particularly, please be aware that the contents of our Online Trading Facility are neither a solicitation, nor an offer to enter any transactions on the financial markets. Trading on any financial market involves a significant level of risk to your capital.

All material published on our Online Trading Facility is intended for educational/informational purposes only, and does not contain – nor should it be considered as containing – financial, investment tax or trading advice and recommendations; or a record of our trading prices; or an offer of, or solicitation for, a transaction in any financial instruments; or unsolicited financial promotions to you.

Any third-party content, as well as content prepared by XM, such as: opinions, news, research, analyses, prices and other information or links to third-party sites contained on this website are provided on an “as-is” basis, as general market commentary, and do not constitute investment advice. To the extent that any content is construed as investment research, you must note and accept that the content was not intended to and has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such, it would be considered as marketing communication under the relevant laws and regulations. Please ensure that you have read and understood our Notification on Non-Independent Investment. Research and Risk Warning concerning the foregoing information, which can be accessed here.

Risk Warning: Your capital is at risk. Leveraged products may not be suitable for everyone. Please consider our Risk Disclosure.