Aviation

Pratt & Whitney Faces Lawsuit Over Aircraft Engine Allegations

In a significant legal development within the aerospace industry, Pratt & Whitney, a subsidiary of aerospace giant RTX, finds itself embroiled in a formidable $150 million lawsuit. As reported by Reuters.

Filed by Universal Turbine Parts LLC (UTP) in a Philadelphia federal court, the lawsuit accuses Pratt & Whitney Canada, a unit of RTX, of engaging in anti-competitive practices aimed at stifling competition in the market for used engines and parts for regional commercial aircraft, freight operations, and other applications.

UTP, an Alabama-based supplier of aftermarket aircraft engines and engine parts, alleges that Pratt & Whitney Canada has systematically obstructed rivals, including UTP, from accessing its used PT6 and PW100 turboprop engines.

These engines, manufactured by Pratt & Whitney, hold a significant presence in the aviation industry, with Pratt having produced over 64,000 PT6 engines and 8,000 PW100 engines, as stated in the lawsuit.

Central to UTP’s claims is the assertion that Pratt & Whitney has violated U.S. competition law by imposing restrictions that prevent approved “overhaul facilities” from supplying engines and parts to UTP and other second-hand sellers.

Moreover, UTP accuses Pratt of engaging in unfair practices by acquiring used engines and parts at non-economic prices, effectively monopolizing the market and limiting access for competitors.

The lawsuit further alleges that Pratt & Whitney may have obtained sensitive information, leading to its attempts to cut off the supply of engines to UTP and other second-hand sellers. UTP’s legal action seeks $150 million in cash damages, portraying Pratt’s actions as part of a larger “multi-faceted scheme” of antitrust offenses.

Aviation

DOT Penalizes Lufthansa $4 Million for Stopping Jewish Passengers From Boarding

The U.S. Department of Transportation (DOT) has imposed a $4 million penalty on Lufthansa for discriminating against Jewish passengers traveling from New York City to Budapest via Frankfurt in May 2022. The incident marked the largest civil rights fine ever levied by the DOT against an airline.

The case stems from an incident where Lufthansa denied 128 Jewish passengers — most of whom were wearing traditional Orthodox Jewish attire — from boarding their connecting flight in Germany.

China Airlines eyes new aircraft order for 777X and A350-1000

The airline’s actions were based on the alleged misconduct of a few individuals during the first leg of the journey from John F. Kennedy Airport (JFK) to Frankfurt (FRA). However, many of those passengers did not know each other or travel as a group. DOT investigators found that Lufthansa treated them as a single entity, barring them from their connecting flight to Budapest (BUD) for the actions of a few.

Transportation Secretary Pete Buttigieg emphasized the department’s commitment to protecting passengers’ rights. “No one should face discrimination when they travel, and today’s action sends a clear message to the airline industry that we are prepared to investigate and take action whenever passengers’ civil rights are violated,” he said. Buttigieg added that DOT’s increased enforcement efforts aim to ensure airlines treat all passengers with fairness and dignity.

This aircraft won’t need a runway

The investigation began after DOT received over 40 complaints from Jewish passengers affected by the incident. Despite some passengers failing to follow crew instructions on the first flight, lufthansa business lounge newark did not specifically identify any noncompliant individuals.

Instead, the airline placed a blanket hold on the tickets of over 100 passengers, preventing them from continuing their journey. lufthansa airways acknowledged that this approach could lead to excluding compliant passengers but deemed it impractical to address each case individually.