American evidence to hurt partner airlines?

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Friday, 30 July 2010

USA-based American Airlines reportedly has agreed to give evidence against other airlines and pay US$5 million to a group of freight shippers to settle a class-action lawsuit over its role in a global air cargo price-fixing cartel.

Under the deal, American will provide witnesses, documents and 'electronic data' sufficient to help shippers in similar cases in Canada, Australia, South Korea and other countries, the group's lawyer said.

The agreement is claimed to be the first by an airline to help prosecute cartel claims outside the US and potentially, the information could affect some of American's oneworld and other airline partners.

"It is an important step forward for shippers in Europe and around the world and demonstrates that companies can act responsibly to resolve competition disputes without resorting to excessive or protracted litigation," the lawyer said.

American hasn't admitted fault or liability in the case.