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Dynamic Airways sues Air India for breach of contract
Tuesday, 15 Oct, 2015
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North Carolina-based charter airline Dynamic International Airways is suing Air India for nearly $100 million over breach of contract for non-payment for Hajj charter flights in 2013 and 2014.
The lawsuit, which was filed in a US federal court in New York, also states Air India reneged on future contracts for the 2015 and 2016 Hajj season.
Dynamic is claiming damages worth $97.7 million.
"Dynamic carried 47,976 passengers for Hajj 2014 and around 6,000 passengers for Hajj 2013," it said.
"Air India owes more than USD8.8 million for Hajj 2013 and 2014."
Dynamic alleges Air India backed out of contracts for the Hajj 2015 and 2016 season as a result of the previous outstanding claims.
Dynamic is claiming $84.4 million compensation for this, which it calculates from significant investments it has made to its fleet in ‘reasonable expectation’ of higher revenues in 2015 and 2016.
Legal documents also state Air India has been ‘using account reconciliation in bad faith’ to delay making any payments to Dynamic.
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Editor for TravelMole North America and Asia pacific regions. Ray is a highly experienced (15+ years) skilled journalist and editor predominantly in travel, hospitality and lifestyle working with a huge number of major market-leading brands. He has also cover in-depth news, interviews and features in general business, finance, tech and geopolitical issues for a select few major news outlets and publishers.
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