Aviation

The aviation industry group of Squire Sanders assists clients around the world with matters ranging from basic regulatory and business law to those involving sophisticated labor and environmental issues. Our group works closely with several other practices including the corporate, taxation, employment, pensions, property, litigation and information technology units to serve the diverse needs of our aviation clients. Our clients include:

Airlines and airline trade groups Aircraft equipment manufacturers and service providers Airports and port authorities Consumers of aviation services  Computer reservation system (CRS) operators

Finance companies Non-US governments and quasi-governmental agencies Tour operators and Internet travel services Travel agent industry associations

Areas of Expertise

Regulatory

We represent our clients with regard to the full range of legal issues confronting the aviation industry. Much of our work naturally involves the US Departments of Transportation, Justice, Homeland Security and State, as well as other US regulatory agencies including the Federal Aviation Administration (FAA), Customs and Border Protection, National Transportation Safety Board, Animal and Plant Health Inspection Service, Internal Revenue Service, Transportation Security Administration and others. In addition to advice on regulatory policies and steps needed for regulatory compliance, our services include prosecuting applications for new routes and other operating authorizations for US and non-US airline clients, addressing computer reservation system issues, negotiating code-sharing arrangements involving strategic marketing alliances among US and non-US carriers, and defending and settling administrative enforcement proceedings. We also regularly advise our clients and their embassies on bilateral negotiations and monitor every significant bilateral negotiation to ensure that our clients remain abreast of new developments.

We are also involved extensively in safety and technical regulatory matters within the jurisdiction of the FAA. Our day-to-day work involves enforcement and civil penalty proceedings, code-share safety audit issues, airport landing fee discrimination issues, airport privatization, aircraft registration and deregistration, and obtaining non-US carrier operations specifications under Part 129. We also have extensive experience with the FAA’s International Aviation Safety Assessments (IASA) oversight program and work frequently with carriers domiciled in Category 2 countries to find ways they may extend operations to the United States or expand their existing operations and fleets.

Likewise, we represent clients in a range of regulatory matters in the EU, which includes advising airlines on steps needed for regulatory compliance, applying for new routes and other operating authorizations. Our team has expertise in all aspects of EU aviation law, as well as the laws of the UK, Greece, Belgium, Spain, France and Germany that have an impact on the airline business.

Antitrust

We regularly represent airline clients before the Department of Transportation, the Department of Justice and the European Commission in antitrust immunity proceedings, mergers, joint ventures, expanded code-sharing operations and commercial cooperation agreements. Our activities in these areas include not only preparation and prosecution of applications and direct negotiations with government authorities, but also advising clients on commercial strategies designed to minimize antitrust risk and representing clients in discussions with their strategic airline partners. We have advised and represented carriers participating in many of the world’s major airline alliances, including the Star Alliance and oneworld, as well as smaller regional alliances.

We have been involved deeply in various civil and criminal antitrust cases involving carriers and their employees. We have represented multiple carriers before the Department of Justice and the EU in the largest aviation price-fixing investigation in history. Our activities also include representing carriers in several related putative class action lawsuits in the United States and the UK.

Litigation

Squire Sanders has represented a number of airline clients in travel agent, antitrust and computer reservation system litigation in various federal courts as well as more common cases involving passenger and shipper claims for damages. Our antitrust experience includes litigation arising from pricing activities, joint ventures, alleged market allocation programs, frequent flyer programs and code-sharing activities, and the utilization of defenses unique to the airline industry, such as federal preemption under the Airline Deregulation Act. We have actively represented several carriers in lawsuits brought by travel agents related to the reduction of commissions paid by carriers. We have also represented entities and individuals who have been the subject of criminal grand jury investigations as well as civil investigative demands. Our litigation experience, capabilities and resources are outstanding and enable us to marshal for our clients immediate assistance and expertise from our offices located throughout the United States, Europe, Latin America and Asia.

Labor and Employment

Our aviation practice has included from its inception substantial airline labor representations. We have advised airline management on strategies to deal with efforts to organize their employees and have represented our clients in the negotiation of collective bargaining agreements. We routinely advise clients regarding disputes with employees, the handling of layoffs and terminations, and questions concerning laws prohibiting discrimination based on protected grounds including age, race, disability or sex. We have airline labor expertise in multiple offices in the United States and Europe, ensuring that our clients have access to labor advice and assistance whenever and wherever needed.

Our lawyers also provide extensive immigration advice and assistance to our airline clients. We counsel clients regularly with regard to the most expeditious ways in which expatriate employees may be stationed in the United States and Europe, provide advice regarding visas and obtain green cards for carrier personnel and their families.

General Business

Our aviation group is called upon frequently by airlines to provide legal services regarding general business matters and commonly functions as general counsel to our aviation clients. Representative examples of such work include the negotiation and drafting of contracts with commercial vendors, general sales agents, tour wholesalers, cruise lines, office lessors and others; representation in connection with commercial disputes and their resolution; representation in connection with major passenger and shipper claims (including litigation where appropriate); and advice regarding travel agency defaults and carrier bankruptcies. We also have extensive experience in trademark and servicemark counseling. We frequently register marks for our clients in the United States and Canada and provide advice regarding the proper use of various marks in advertising and marketing campaigns and the negotiation of trademark licenses.

For carriers with operations in Europe, we have experience advising on potential liabilities in relation to claims advanced by general sales agents across the EU under the mandatory provisions of Council Directive 86/653 (commercial agency).

CRS and Internet Travel Sales

Our experience with CRS issues is longstanding. We were involved extensively in the original computer reservation system rulemaking before the Civil Aeronautics Board. Since then, we have been involved actively in the full spectrum of CRS issues including the negotiation of CRS participation agreements for airlines and litigation concerning alleged breaches of CRS contracts. The sunset of the Department of Transportation’s rule regulating the conduct of CRSs creates new and difficult issues for carriers. We are actively assisting clients in developing strategies to assist them in dealing with a deregulated CRS industry.

We counsel major Internet travel service providers, including airline and non-airline vendors, on regulatory requirements applicable to website sales, advertising and disclosure issues and requirements, contractual conditions and website disclaimers, imposition and disclosure of service fees and charges, and competition and antitrust issues. We are also closely involved in most of the current Internet travel site issues including whether and the degree to which regulatory jurisdiction should be extended to Internet travel sites and whether certain joint venture provisions pertaining to webfares and fee reductions are consistent with US antitrust laws.

Bankruptcy and Restructuring

Our experience in aviation bankruptcy and restructuring matters includes representing airlines in restructuring liabilities, as well as assisting airline creditors in prosecuting breaches of merger agreements and defending reorganization plans involving multimillion-dollar transactions.

Distribution, Cargo and Warehousing Centers (Supply Chain/Logistics)

Supported by lawyers in our real estate practice, we assist clients in the development, construction and leasing of warehouse facilities, sale of warehouses and acquisition of land.

Aircraft Finance

Our lawyers are seasoned in the regulatory, corporate and tax-law aspects of aircraft sales, purchases and leasing. Worldwide, we represent airframe manufacturers, lease brokers, charter and wet-lease operators and pilot-training subsidiaries. We assist with lease financings, sale-leasebacks, leveraged transactions and compliance with airworthiness and safety regulations. We also handle the complex tax and legal aspects of cross-border financing lease transactions and asset securitizations.

Privatization and Concessions

We advise governments and quasi-governmental agencies worldwide on initiatives to privatize provide concessions for, lease and restructure state-owned airports and aviation systems.

Representative Experience

• Representing a new China-based cargo airline before the US Department of Transportation, the Federal Aviation Administration, the Department of Homeland Security and other agencies.
• Providing strategic advice to an India-based airline on acquiring various federal, state and international approvals to initiate service to the United States.
• Successfully prosecuting an application by a major US airline for a highly sought-after new route to China.
• Successfully obtaining dismissal of a federal lawsuit against a US-based regional airline alleging coordinated airline pricing activity involving the payment of travel agent commissions.
• Representing a startup Hong Kong-based low-fare, long-haul airline in obtaining all approvals required to operate to the United States.
• Representing a group of Latin American airlines in obtaining the first US Department of Transportation approval to serve the United States under a common brand and code.
• Representing a joint venture China-based cargo airline in obtaining US operating approvals and a waiver of bilateral restrictions on ownership and control.
• Representing an India-based airline's affiliate in conjunction with its acquisition of a US-based manufacturer of very small aircraft.
• Successfully opposing, on behalf of a US-based regional airline, an effort by another airline seeking to circumvent longstanding limitations on the operation of certain types of specialized services.
• Representing a US-based airline in the sale of an equity interest to a major airline including negotiating codeshare, frequent flyer program and other operational issues.