Mexico's state-owned airline faces $841 million lawsuit in contract dispute

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Sail GP Halifax: The Extreme Race Experience | SaltWire #racing #sailing #catamaranNEW YORK - Mexicana Airlines was sued on Wednesday for at least $841 million by a Texas company that accused Mexico's new state-run airline of several breaches of contract that undermined its ability to help the carrier get off the ground.

Mexicana's"material breaches and its unwillingness to work with SAT on solving the problems caused" left SAT"no choice" but to sue, the complaint said. SAT, based in San Antonio, is seeking $838.5 million of damages representing the"full amount" of the contract, plus"out-of-pocket" costs that so far exceed $2.4 million.

The government has marketed Mexicana as a less-expensive alternative for travelers than the country's largest airlines like Aeromexico, with which Lopez Obrador has often clashed.

 

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