newstodate.aero
Nov 18, 2014 (newstodate): The Stockholm Arbitration Court seems to have reached an almost Solomonic decision on the strife between Estonian Air and Air Lituanica.
Net result of the verdict is that, yes, Estonian Air had its full right to abrogate the contract with Air Lituanica and yes, Estonian Air must accept to pay Air Lituanica 1.3 million euro withheld from ticket sales.
In addition, yes, Air Lituanica must pay 0.48 million euro to Estonian Air in damages.
-The arbitration panel confirmed that Estonian Air had the right to terminate its contracts with Lituania, awarded damages to Estonian Air of roughly half a million euros, and rejected Air Lituanica's claim for damages, says Ilona Eskelinen, Estonian Air Communications Manager.
-Air Lituanica won the arbitration case against the Estonian company Estonian Air. The Estonian company will have to pay LTL 3.3 million to the Lithuanian company, says Sandra Meskauskaite, Air Lituanica Communications Manager.
In June 2013, Air Lituanica signed an agreement extending till the end of 2015 to wet-lease an Embraer E170 aircraft from Estonian Air.
In addition to aircraft lease, Estonian Air was also to provide a range of commercial services like sales of tickets on point-to-point and connecting flights, revenue management, interline and code-share agreements.
The cooperation was however abruptly abrogated on November 28, 2013.
Net result of the verdict is that, yes, Estonian Air had its full right to abrogate the contract with Air Lituanica and yes, Estonian Air must accept to pay Air Lituanica 1.3 million euro withheld from ticket sales.
In addition, yes, Air Lituanica must pay 0.48 million euro to Estonian Air in damages.
-The arbitration panel confirmed that Estonian Air had the right to terminate its contracts with Lituania, awarded damages to Estonian Air of roughly half a million euros, and rejected Air Lituanica's claim for damages, says Ilona Eskelinen, Estonian Air Communications Manager.
-Air Lituanica won the arbitration case against the Estonian company Estonian Air. The Estonian company will have to pay LTL 3.3 million to the Lithuanian company, says Sandra Meskauskaite, Air Lituanica Communications Manager.
In June 2013, Air Lituanica signed an agreement extending till the end of 2015 to wet-lease an Embraer E170 aircraft from Estonian Air.
In addition to aircraft lease, Estonian Air was also to provide a range of commercial services like sales of tickets on point-to-point and connecting flights, revenue management, interline and code-share agreements.
The cooperation was however abruptly abrogated on November 28, 2013.