The U.S. Supreme Court denied American Airlines’ move to resuscitate its Northeast Alliance agreement with JetBlue.
American Airlines wanted SCOTUS to reconsider a lower court decision forcing the airlines to scap the alliance.
American argued the court got it wrong and the alliance did in fact boost competition and offered expanded choice for flyers in the Northeast.
This effectively was the airline’s last chance to overturn the decision.
The Justice Department sued the airlines to block the alliance over competition concerns.
The lower court ruled the pact between the airlines essentially destroyed any competition between them.
“It makes the two airlines partners, each having a substantial interest in the success of their joint and individual efforts, instead of vigorous, arm’s-length rivals regularly challenging each other,” Judge Sorokin said in the original ruling.
JetBlue has moved on and signed the ‘Blue Sky’ partnership with United Airlines.
