$1.2 BILLION SETTLEMENT OF PROPERTY DAMAGE CLAIMS ARISING FROM 9/11 TERRORIST ATTACKS AFFIRMED
The Second Circuit has affirmed a $1.2 billion settlement of numerous property damage claims made against American Airlines, United Airlines, and their respective security firms, that arose from the September 11, 2001 terrorist attacks on Towers One and Two of the World Trade Center. The settlement, which was approved based on New York law, was challenged by a group of plaintiffs that elected not to participate in the mediation of the case. In affirming the settlement, the Second Circuit rejected arguments that the Air Transportation Safety and System Stabilization Act of 2001 (the “ATSSA”) preempted New York law, that the settlement was not fair, and that the defendants’ settlement payments could not be credited towards their liability limits under the ATSSA. In re September 11 Property Damage Litigation, No. 10-2970 (2d Cir. April 8, 2011).
This post written by Michael Wolgin.
