Delta Airlines 2002 Annual Report Download - page 20

In both cases, plaintiffs have requested a jury trial, and are seeking
in their complaints injunctive relief; costs and attorneys' fees; and
unspecified damages, to be trebled under the antitrust laws. In May 2002, the
District Court granted the plaintiffs' motion for class action certification and
denied the airlines' motions for summary judgment. The U.S. Court of Appeals for
the Sixth Circuit refused to hear the airlines' interlocutory appeal of the
District Court's order granting class action certification. The trial for this
lawsuit has not yet been scheduled.
Hall, et al. v. United Airlines, et al. In January 2002, a travel agent
in North Carolina filed an amended purported class action lawsuit against
numerous airlines, including Delta, in the U.S. District Court for the Eastern
District of North Carolina on behalf of all travel agents in the United States
which sold tickets from September 1, 1997 to the present on any of the defendant
airlines. The lawsuit alleges that Delta and the other airline defendants
conspired to fix travel agent commissions in violation of Section 1 of the
Sherman Act. The plaintiff, who has requested a jury trial, is seeking in its
complaint injunctive relief; costs and attorneys' fees; and unspecified damages,
to be trebled under the antitrust laws.
In September 2002, the District Court granted the plaintiff's motion
for class action certification, certifying a class consisting of all travel
agents in the United States, Puerto Rico and the U.S. Virgin Islands which sold
tickets on the defendant airlines between 1997 and 2002. In December 2002, the
airline defendants filed motions for summary judgment which are pending before
the District Court. The trial of this lawsuit is scheduled to begin in September
2003. Similar litigation alleging violations under Canadian competition law is
pending against Delta and other airlines in Canada.
Albany Travel Company, et al. v. Orbitz LLC, et al. In April 2002, six
travel agencies filed a purported class action lawsuit in the U.S. District
Court for the Central District of California against Delta, American Airlines,
United Airlines and Orbitz, LLC on behalf of an alleged nationwide class of
traditional travel agents. The lawsuit alleges that the defendants violated
Sections 1 and 2 of the Sherman Act by conspiring (1) to prevent travel agents
from acting as effective competitors in the distribution of airline tickets to
passengers; and (2) to monopolize the distribution of common carrier air travel
in the United States. The plaintiffs, who have requested a jury trial, are
seeking in their complaint injunctive relief; costs and attorneys' fees; and
unspecified damages, to be trebled under the antitrust laws. The District Court
granted the airlines' motion to stay this lawsuit pending a final judgment in
the Hall v. United Airlines case described above because both lawsuits involve
substantially similar claims.
All Direct Travel, Inc., et al. v. Delta Air Lines, et al. Two travel
agencies have filed a purported class action lawsuit against Delta in the U.S.
District Court for the Central District of California on behalf of all travel
agencies from which Delta has demanded payment for breach of the agencies'
contractual and fiduciary duties to Delta in connection with Delta ticket sale
transactions during the period from September 20, 1997 to the present. The
lawsuit alleges that Delta's conduct (1) violates the Racketeer Influenced and
Corrupt Organizations Act of 1970; and (2) creates liability for unjust
enrichment. The plaintiffs, who have requested a jury trial, are seeking in
their complaint injunctive and declaratory relief; costs and attorneys fees; and
unspecified treble damages.
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