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June 27, 2012

Judge's Section 1113 ruling expected August 15

There was a little confusion Wednesday afternoon on what date exactly U.S. Bankruptcy Judge Sean Lane would issue his Section 1113 ruling.

Initially, the pilots union in its hotline message to members said it expected the ruling to be delayed until August 8.

And then American Airlines senior vice president Denise Lynn said in a letter to employees that the judge would rule one week after the pilots vote concluded and the vote was expected to take six weeks.

After talking witih Allied Pilots Association spokesman Gregg Overman, the pilots votes will be tallied on August 8 and the judge will rule on August 15 if consensual agreements with American's pilots, flight attendants, mechanics and store clerks unions are not reached by then.

Of course, the Section 1113 ruling was first expected to occur in early May and then May 23 and then June 6, June 22 and most recently, June 29. We'll see if this latest deadline sticks.

-Andrea Ahles

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Comments

David Barnes

Judge Lane has given AA's unions quite a bit of latitude here. They should be relieved that the court is allowing them the extra time to reach contract agreements with the company. He must be wondering, however, why AA's unions spent some of their precious time this spring seeking agreements with US Airways instead of their own company, and in many cases, putting half-hearted efforts at best into AA negotiations. AA's unions do not realize how lucky they really are. Many courts would have stuck to the deadline for the ruling.

Rob

I think the negotiating has just begun. I think the judge will keep extending this circus well into next year.

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