WASHINGTON (Legal Newsline) – The federal government has filed a lawsuit to stop the merger of two airlines over claims it would lessen competition.
United States of America filed a complaint on Dec. 6 in the U.S. District Court for the District of Columbia against Alaska Air Group Inc. and Virgin America Inc.
According to the complaint, the plaintiff alleges that the public would be impacted by the loss of competition in the airline market if the defendants merge. The plaintiff holds Alaska Air Group Inc. and Virgin America Inc. responsible because the merger allegedly would violate Section 7 of the Clayton Act, increase ticket prices and lower service quality.
The plaintiff seeks enjoin the defendants, court costs and any further relief the court grants. It is represented by Katherine Celeste of U.S. Department of Justice in Washington.
U.S. District Court for the District of Columbia Case number 1:16-cv-02377-RBW