What: The U.S. Department of Justice, Massachusetts, New York, and the District of Columbia sue to block JetBlue’s acquisition of Spirit Airlines after rejecting concessions offered by merging parties.
Why: The challenge to the first major airline merger in years is a test of the Biden Administration’s antitrust agenda and the Antitrust Division’s practice of litigating rather than settling. The new complaint comes as the Justice Department awaits word on the legality of an alliance between JetBlue and American Airlines. If JetBlue Airways is permitted to acquire Spirit Airlines and abandon Spirit’s ultra-low-cost business model, competition and consumers will likely be harmed, according to the complaint.
Who: Senior Legal Analyst and Managing Editor of Wolters Kluwer Legal & Regulatory U.S., Jeffrey May, J.D., examines the recent antitrust lawsuit in his Strategic Perspective.
“The travel industry is watching closely to see if a new antitrust challenge to JetBlue’s acquisition of Spirit Airlines will preserve competition in a consolidated industry or block a possible competitive check on the ‘Big Four’ airlines.”
– Senior Legal Analyst & Managing Editor Jeffrey May, J.D.
To read the full piece, visit VitalLaw: Acquisitions & Mergers News: U.S., states sue to block JetBlue’s acquisition of Spirit Airlines
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Contact: To arrange an interview on the antitrust action to block JetBlue’s acquisition of Spirit Airlines, please contact Linda Gharib at [email protected].