The Business Litigation Blog

American Airlines and United Face Trial Over Claims Relating to 9/11

Most people probably didn’t realize that World Trade Center Properties LLC (WTCP) bought 99-year leases on four of the World Center buildings just two months before September 11. They purchased the leases from the Port Authority of New York and New Jersey and are now seeking damages for loss of property and loss of business.

WTCP claims that United Airlines and American Airlines acted negligently and as a result terrorists were able to board and hijack the airplanes and fly them into the World Trade Center in 2011. Also mentioned in the lawsuit were Boeing, security companies and the Massachusetts Port Authority that manages Boston Logan International airport.

The company is seeking $8.4 billion from the airlines, which is the estimated cost of replacing the towers. It is also important to note that WTCP has already recovered $4 billion from insurance companies. So at issue is whether or not the two airlines should pay additional damages, beyond what has already been paid. 

As noted on Reuters.com, “Under New York law, if a plaintiff has been compensated for economic loss by a "collateral source" such as an insurance company, the plaintiff cannot recover compensation again in a tort lawsuit.” It is still being investigated as to whether any payments made to the plaintiff would be double dipping.

The case is in re Sept. 11 litigation, Case No. 21-MC-101, U.S. District Court, Southern District of New York. For more information on professional negligence or to access more information about this type of lawsuit, click here.

 

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