Court decisions highlight need to clarify important Agent Reporting Agreement provision

Westways World Travel, Inc. v. AMR Corp., American Airlines, Inc. et al. (9th Cir. (Cal.) Jan. 22, 2008).  Despite consisting of over 70 pages, ARC’s Agent Reporting Agreement contains very few provisions that give airlines specific rights against ARC-accredited travel agents.  Most of the airline-protective provisions are in ARA Section VII, which is entitled “Agent’s Authority, General Rights … More Court decisions highlight need to clarify important Agent Reporting Agreement provision

ARC seeks court confirmation of arbitration award against agency

Airlines Reporting Corporation v. Versailles, LLC (E.D. Va. Nov. 26, 2007).  ARC has filed a petition seeking the confirmation of an arbitration award in its favor against Versailles, LLC, a travel agency that does business as Business Travel International and is located in Irvine, California. According to ARC’s petition, the agency had filed an appeal with … More ARC seeks court confirmation of arbitration award against agency

Magistrate judge recommends that ARC obtain default judgment against agency and owner

Airlines Reporting Corporation v. PVO Travel Corp. and Pete Victor Obuljen (E.D. Va. Sept. 27, 2007).  As previously reported, ARC filed a lawsuit against PVO and Obuljen, the agency’s sole owner, for unreported sales and dishonored drafts.  The defendants failed to respond to the complaint, so ARC moved for a default judgment. The magistrate judge … More Magistrate judge recommends that ARC obtain default judgment against agency and owner

Southwest persuades court to shut down boarding pass company’s operations

Southwest Airlines Co. v. BoardFirst, L.L.C. (N.D. Tex. Sept. 12, 2007).  BoardFirst went into business in 2005 to assist Southwest passengers in obtaining the coveted “A” group boarding passes.  “A” boarding passes are obtained by the first 45 passengers to check in, and “A” passengers are the first to board the aircraft.  A BoardFirst customer … More Southwest persuades court to shut down boarding pass company’s operations

ARC files lawsuit seeking damages for unreported sales

Airlines Reporting Corporation v. PVO Travel Corp. and Pete Victor Obuljen (E.D. Va. Apr. 18, 2007).  ARC has filed a lawsuit against PVO Travel Corp., which does business as Globetrotter Travel, and Obuljen seeking damages of $286,605 for unreported sales and dishonored drafts.  ARC alleges in its complaint that the defendants, a terminated agent and its … More ARC files lawsuit seeking damages for unreported sales

Fifth Circuit upholds restitution sentence in certificate fraud case

U.S. v. Klouse (5th Cir. (Tex.) Dec. 15, 2006).  An American Airlines employee fraudulently used the company’s Travel Authorization Certificates to have tickets for 88 flights issued for friends and family members.  The employee pleaded guilty to use of unauthorized access devices in violation of 18 U.S.C. sec. 1029(a)(2). On appeal, the employee challenged the portion of … More Fifth Circuit upholds restitution sentence in certificate fraud case

Airline fights back against certificate brokering

Northwest Airlines, Inc. v. Bauer (D. N.D. Dec. 15, 2006).  Since the early days of the Internet, various web site owners have brazenly offered to buy and sell airline discount and upgrade certificates, a direct violation of the terms governing such certificates.  To add insult to injury, these sites have often used airline logos and other valuable trademarks to promote their illicit services by confusing consumers into believing … More Airline fights back against certificate brokering