WASHINGTON -- First Class International Travel of Newport Beach,
Calif., filed 40 documents with the Transportation Department in
its ongoing lawsuit against American Airlines over alleged unfair
practices. The documents have been sealed by the courts.
Despite his contention that seeking DOT intervention is
"fruitless," Stephen Gardner, the agency's Dallas-based lawyer,
said, "I wanted to make sure that there would be no question that
DOT had everything before it."
The case has drawn widespread industry attention because of the
potentially far-reaching implications of a ruling by the U.S.
District Court in Dallas that the federal preemption clause in the
Airline Deregulation Act prohibits First Class and, by extension,
other agents from using state laws to sue airlines over alleged
abuses.
"This is so sweeping because it denies our client and anybody
else that deals with an airline redress," Gardner said.
The judge said the dispute between First Class and American
should be settled by the DOT. Gardner, as well as ASTA and ARTA,
have contended that private business disputes are beyond the scope
of the DOT.
So far, about 10 agencies have made contributions ranging from
$10 to $2,000 to a First Class defense fund set up in cooperation
with ARTA.
"It will put a good dent into the cost of filing with DOT,"
Gardner said.
He said he is preparing to file a court appeal later this
month.