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US judge dismisses consumer lawsuit over Alaska Airlines-Hawaiian merger, ET LegalWorld

US judge dismisses consumer lawsuit over Alaska Airlines-Hawaiian merger, ET LegalWorld

A US judge has dismissed a lawsuit seeking to block Alaska Airlines’ plan to buy Hawaiian Airlines for $1.9 billion. According to consumer plaintiffs, the deal would result in a reduction in routes and an increase in prices.

In a ruling Monday, Chief U.S. District Judge in Hawaii Derrick Watson said the airline passengers who filed the lawsuit had not proven they had legal standing to sue against the merger.

“They assert that there is no personal connection with either airline that would plausibly demonstrate specific or special harm,” Watson wrote in his decision to dismiss the lawsuit.

Alaska Airlines welcomed the decision in a statement, saying the merger would “expand benefits and choices for consumers.”

A lawyer for the plaintiffs did not immediately respond to a request for comment.

The merger, announced last year, is still under the supervision of the US Department of Justice. A spokesman for the department did not immediately respond to a request for comment.

Last month, Alaska and Hawaiian said they would cooperate with the Justice Department’s investigation and agreed to an extension of the investigation deadline until August 15.

Eight passengers from Hawaii, California and other states filed a lawsuit in April to stop the deal with Alaskan Airlines, arguing that it violated U.S. antitrust law.

Their complaint stated: “The current trend towards concentration, reduction of competition and tendency towards the creation of a monopoly in the airline industry is unprecedented, unprecedented and dangerous.”

Alaska Airlines, the fifth-largest U.S. airline, countered that the merger would give customers better access to more destinations and called the plaintiffs “serial plaintiffs” who brought “standard lawsuits.”

Hawaiian Airlines was not a defendant in the lawsuit.

The case is Warren Yoshimoto et al. v. Alaska Airlines and Alaska Air Group, U.S. District Court for the District of Hawaii, No. 1:24-cv-00173.

For plaintiffs: Terence O’Toole of Starn O’Toole Marcus & Fisher; and Joseph Alioto of the Alioto Law Firm

For Alaska Air: Courtney Dyer, Stephen McIntyre, Anna Pletcher and Pete Herrick of O’Melveny & Myers

  • Published on August 13, 2024 at 23:21 IST

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