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Case: 16-10051

Document: 00513477354

Page: 1

Date Filed: 04/22/2016

No. 16-10051

In the
United States Court of Appeals
for the Fifth Circuit

City of Dallas,

Plaintiff/Appellee,

v.
Delta Air Lines, Inc.,

Defendant/Appellee,

v.
Southwest Airlines Co.,
Defendant/Appellant.

Appeal from the United States District Court


for the Northern District of Texas
Honorable Ed Kinkeade, United States District Judge

BRIEF OF APPELLANT

Russell S. Post
BECK REDDEN LLP
1221 McKinney St., Suite 4500
Houston, Texas 77010

Eric W. Pinker, P.C.


David S. Coale
Kent D. Krabill
Britta Erin Stanton
LYNN PINKER COX & HURST, LLP
2100 Ross Avenue, Suite 2700
Dallas, Texas 75201
Attorneys for Appellant

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IDENTITY OF PARTIES AND COUNSEL


The undersigned counsel of record certifies that the following listed
persons and entities as described in the fourth sentence of 5th Cir. R. 28.2.2
have an interest in the outcome of this case. Those representations are
made in order that the judges of this Court may evaluate possible
disqualification or recusal.
1.

Defendant-Appellee:

Delta Air Lines, Inc.

2.

Counsel for DefendantAppellee:

William B. Dawson
Ashley E. Johnson
Russ Falconer
Karl Nelson
Gibson, Dunn & Crutcher LLP
2100 McKinney Avenue, Suite 1100
Dallas, TX 75201-6912

3.

Plaintiff-Appellee:

City of Dallas

4.

Counsel for PlaintiffAppellee:

Peter B. Haskel
Christopher J. Caso
Jennifer A. Brissette
Stacy Jordan Rodriguez
Matthew K. Saliba
Petrina L. Thompson
Dallas City Attorneys Office
1500 Marilla Street, Room 7BN
Dallas, TX 75201-6622

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Peter Kirsch
Nate Hunt
Kaplan Kirsch & Rockwell
1675 Broadway, Suite 2300
Denver, CO 80202
5.

Defendant-Appellant:

Southwest Airlines Co.

6.

Counsel for DefendantAppellant:

Eric W. Pinker, P.C.


David S. Coale
Kent D. Krabill
Britta Erin Stanton
Lynn Pinker Cox & Hurst, LLP
2100 Ross Avenue, Suite 2700
Dallas, TX 75201
Russell S. Post
Beck Redden LLP
1221 McKinney St., Suite 4500
Houston, Texas 77010

7.

Defendant in Trial Court


Not Party to Appeal:

Virgin America Inc.

8.

Counsel:

John R. Robertson
Hogan Lovells LLP
555 13th St. NW
Washington, DC 20004
Barry Barnett
Susman Godfrey L.L.P.
901 Main Street, Suite 5100
Dallas, TX 75202

9.

Defendant in Trial Court


Not Party to Appeal:

United Airlines, Inc.

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Counsel:

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John K. Grantham
Akin Gump Strauss Hauer & Feld
LLP
1111 Louisiana St., Floor 44
Houston, TX 77002
J. Eric Gambrell
Akin Gump Strauss Hauer & Feld
LLP
1700 Pacific Avenue, Suite 4100
Dallas, TX 75201-4675

11.

Defendant in Trial Court


Not Party to Appeal:

Seaport Airlines, Inc.

12.

Counsel:

John R. Robertson
Hogan Lovells LLP
555 13th St. NW
Washington, DC 20004
Barry Barnett
Susman Godfrey L.L.P.
901 Main Street, Suite 5100
Dallas, TX 75202

13.

Defendant in Trial Court


Not Party to Appeal:

United States Department of


Transportation

14.

Counsel:

David M. Glass
Senior Trial Counsel
U.S. Department of Justice
Civil Division
20 Massachusetts Avenue NW,
Room 7200
Washington, DC 20530-0001

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Susan K. Ullman
Senior Trial Counsel
U.S. Department of Justice
Civil Division
Federal Programs Branch
20 Massachusetts Avenue, N.W.,
Room 7146
Washington, DC 20530-0001
15.

Defendant in Trial Court


Not Party to Appeal:

The Federal Aviation


Administration

16.

Counsel:

David M. Glass
Senior Trial Counsel
U.S. Department of Justice
Civil Division
20 Massachusetts Avenue NW,
Room 7200
Washington, DC 20530-0001
Susan K. Ullman
Senior Trial Counsel
U.S. Department of Justice
Civil Division
Federal Programs Branch
20 Massachusetts Avenue, N.W.,
Room 7146
Washington, DC 20530-0001

17.

Defendant in Trial Court


Not Party to Appeal:

American Airlines, Inc.

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18.

Counsel:

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Michael V. Powell
C. Scott Jones
Locke Lord LLP
2200 Ross Avenue, Suite 2200
Dallas, TX 75201
/s/ Eric W. Pinker
Eric W. Pinker, P.C.
Attorney of Record for Southwest Airlines Co.

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STATEMENT REGARDING ORAL ARGUMENT


This case presents an important issue about the ability of Southwest
Airlines to fully use its leasehold rights at Dallas Love Field without
interference from Delta Air Lines, who has no lease rights there. Southwest
believes that oral argument would help the Court in its review of that
significant issue and the relevant record.

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TABLE OF CONTENTS
Identity of Parties and Counsel............................................................................. i
Statement Regarding Oral Argument ................................................................ vi
Table of Contents ................................................................................................. vii
Table of Authorities .............................................................................................. ix
Jurisdictional Statement ..................................................................................... xiv
Issues Presented .................................................................................................. xvi
Statement of the Case .............................................................................................1
A.

History of Southwest and Love Field ..............................................1

B.

Southwest Preferentially Leases Sixteen Love Field Gates ..........7

C.

Southwest Preferentially Leases Two More Gates ......................11

D.

Southwests Post-Wright Amendment Expansion ......................12

E.

Deltas Request for Accommodation .............................................14

F.

Procedural Background ...................................................................17

Summary of Argument ........................................................................................20


Standard of Review ...............................................................................................24
Argument ...............................................................................................................24
A.

The district court erred in finding that Delta had a


substantial likelihood of success on its claims. ............................24
1.

As a matter of law, Delta is not a third-party


beneficiary of the Lease. .......................................................25
a)

The Lease makes no express statement of intent


to benefit any third party, including Delta. ............26

b)

The district court distorted the text and structure


of Section 4.06.F. ..........................................................31

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c)

The district courts interpretation is contrary


to key principles of federal aviation law
from which the accommodation provision of
the Lease arise. .............................................................36

d)

Deltas declaratory judgment claim does not


let it create rights that do not exist. ...........................40

As a matter of law, Southwest did not breach any


accommodation obligation under the Lease. .....................40
a)

Unambiguous Lease terms control. ..........................40

b)

Southwest did not breach the unambiguous


terms of the Lease. ......................................................44

c)

At the very least, the district court erred as a


matter of law by imposing a perpetual
accommodation, without regard to Southwests
right to expand service. ...............................................45

B.

The Citys declaratory judgment claim does not create a


basis for injunctive relief. ................................................................50

C.

The district court erred by not granting a preliminary


injunction to Southwest. ..................................................................53

Conclusion..............................................................................................................59
Certificate of Service .............................................................................................62
Certificate of Compliance ....................................................................................63

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TABLE OF AUTHORITIES
Cases
41 North 73 West, Inc. v. DOT, 408 Fed. Appx. 393 (2d Cir. 2010) .................39
Aguilar v. Trujillo, 162 S.W.3d 839 (Tex. App.El Paso 2005,
pet. denied).........................................................................................................54
Airborne Tactical Advantage C. v. Peninsula Airport Commn,
No. 05-CV-0166, 2006 WL 753016 (E.D. Va. Mar. 21, 2006) .......................39
Al Rushaid v. National Oilwell Varco, Inc., 757 F.3d 416
(5th Cir. 2014) .............................................................................................. 43, 49
Ali v. Quarterman, 607 F.3d 1046 (5th Cir. 2010) ............................................. xiii
Allan v. Nersesova, 307 S.W.3d 564 (Tex. App.Dallas 2010, no pet.) .... 25, 29
Anadarko Petroleum Corp. v. Williams Alaska Petroleum, Inc.,
737 F.3d 966 (5th Cir. 2013) ..............................................................................43
Aransas Project v. Shaw, 775 F.3d 641(5th Cir. 2014) .........................................24
Armstrong v. Exceptional Child Center, Inc., 135 S. Ct. 1378 (2015) ..................38
Astra USA v. Santa Clara County, 563 U.S. 110 (2011) ................................ 37, 39
Bank of New York v. Chesapeake 34771 Land Trust, 456 S.W.3d 628
(Tex. App.El Paso 2015, pet. denied) ..........................................................35
Beathard Joint Venture v. W. Hous. Airport Corp., 72 S.W.3d 426
(Tex. App.Texarkana 2002, no pet.) ............................................... 53, 54, 55
Bluefield Water Ass'n, Inc. v. City of Starkville, 577 F.3d 250
(5th Cir. 2009) .....................................................................................................24
Brown v. Fullenweider, 52 S.W.3d 169 (Tex. 2001) (per curiam).......................32
Bynum v. Prudential Resid. Serv., 129 S.W.3d 781 (Tex. App.
Houston [1st District.] 2004, no pet.) ..............................................................50

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Cardoni v. Prosperity Bank, 805 F.3d (5th Cir. 2015)......................................... xiii


Cargill v. Buie, 343 S.W.2d 746 (Tex. Civ. App.Texarkana 1960,
writ refd n.r.e.) ..................................................................................................54
Cockrell v. Republic Mortgage Ins. Co., 817 S.W.2d 106 (Tex. App.
Dallas 1991, no writ) .........................................................................................50
Columbia Gas Transmission Corp. v. New Ulm Gas, Ltd., 940 S.W.2d 587
(Tex. 1996)...........................................................................................................49
Commr of Internal Revenue v. Mercantile Natl Bank, 276 F.2d 58
(5th Cir. 1960) .....................................................................................................59
DaimlerChrysler Corp. v. Cuno, 547 U.S. 332 (2006) ...........................................52
Dolan v. City of Tigard, 512 U.S. 374 (1994) ........................................................55
Equitable Recovery, LP v. Health Ins. Brokers of Texas, LP, 235 S.W.3d 376
(Tex. App.Dallas 2007, pet. denied) ...........................................................50
Excel Willowbrook, LLC v. JP Morgan Chase Bank, 758 F.3d 592
(5th Cir. 2014) .....................................................................................................25
Fleetwood Enterprises, Inc. v. Gaskamp, 280 F.3d 1069 (5th Cir. 2002) ....... 26, 27
Friends of East Hampton Airport, Inc. v. Town of East Hampton,
___ F. Supp.3d ___, 2015 WL 3936346 (E.D. N.Y. June 26, 2015)................38
Friends of the Earth, Inc. v. Laidlaw Envtl. Services (TOC), Inc.,
528 U.S. 167 (2000) .............................................................................................52
G.T. Leach Builders, LLC v. Sapphire V.P., LP, 458 S.W.3d 502 (Tex. 2015) .....34
Haile v. Disc. Shuttle, Inc., 05-98-00623-CV, 2000 WL 1035752
(Tex. App.Dallas July 25, 2000, no pet.) .....................................................27
Heil Trailer Intl Co. v. Kula, 542 Fed. Appx 329 (5th Cir. 2013) .....................54
Horton v. Liberty Mutual Ins. Co., 367 U.S. 348 (1961) .......................................59

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Houston Expl. Co. v. Wellington Underwriting Agencies, Ltd.,


352 S.W.3d 462 (Tex. 2011) ...............................................................................43
Iliff v. Iliff, 339 S.W.3d 74 (Tex. 2011) ..................................................................35
In re Boyd Veigel, P.C., 575 Fed. Appx 393 (5th Cir. 2014) ..............................51
Interface Group, Inc. v. Mass. Port Auth., 816 F.2d 9 (1st Cir. 1987) .................37
Lewis v. Casey, 518 U.S. 343 (1996) .......................................................................52
Liberto v. D.F. Stauffer Biscuit Co., 441 F.3d 318 (5th Cir. 2006) .......................33
Loyd v. ECO Resources, Inc., 956 S.W.2d 110 (Tex. App. Houston
[14th Dist.] 1997, no pet.)..................................................................................28
Maddox v. Vantage Energy, LLC, 361 S.W.3d 752 (Tex. App.Fort Worth
2012, pet. denied) ..............................................................................................27
Mathis v. DCR Mortgage III Sub I, LLC, 389 S.W.3d 494 (Tex. App.
El Paso 2012, no pet.) ........................................................................................58
McCardell v. U.S. Dept. of Hous. & Urban Dev., 794 F.3d 510
(5th Cir. 2015) .....................................................................................................53
McCasland v. City of Castroville, 514 Fed. Appx 446 (5th Cir. 2013)...............37
MCI Telecommunications Corp. v. Texas Util. Elec. Co., 995 S.W.2d 647
(Tex. 1999).................................................................................................... 26, 28
MedImmune, Inc. v. Genentech, Inc., 549 U.S. 118 (2007) ...................................52
Methodist Hosps. of Dallas v. Wal-Mart Stores, Inc.,
CIV.A. 3:02-CV-0656-, 2003 WL 21266775 (N.D. Tex. May 30, 2003) ........26
Meyer v. WMCO-GP, LLC, 211 S.W.3d 302 (Tex. 2006) ....................................50
MJR Corp. v. B & B Vending Co., 760 S.W.2d 4 (Tex. App.
Dallas 1988, writ denied)..................................................................................27
Nalle v. Taco Bell Corp., 914 S.W.2d 685 (Tex. App.Austin 1996,
writ denied) ........................................................................................................35
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Natl Health Res. Corp. v. TBF Financial, 429 S.W.3d 125 (Tex. App.
Dallas 2014, no pet.) ..........................................................................................44
Neely v. Bankers Trust Co., 757 F.2d 621 (5th Cir. 1985) ....................................33
Northbrook Nat'l Ins. Co. v. Brewer, 110 S. Ct. 297 (1989) ..................................59
Northwest Airlines, Inc. v. County of Kent, Mich., 955 F.2d 1054
(6th Cir. 1992), affd, 510 U.S. 355 (1994).........................................................37
OConnor v. Smith, 427 Fed. Appx 359 (5th Cir. 2011).....................................54
Opulent Life Church v. City of Holly Springs, 697 F.3d 279 (5th Cir. 2012) ......55
Phillips v. Marine Concrete Structures, Inc., 895 F.2d 1033 (5th Cir. 1990)
(en banc) ............................................................................................................59
Rubin v. United States, 449 U.S. 424 (1981) .........................................................59
S. Texas Water Auth. v. Lomas, 223 S.W.3d 304 (Tex. 2007) ..............................28
Skelly Oil Co. v. Phillips Petroleum Co., 339 U.S. 667 (1950) ..............................40
Smith v. Livingston, No. 12-20379, 2015 WL 6437234
(5th Cir. Oct. 23, 2015) ......................................................................................41
Southwest Airlines Co. v. Texas Intl Airlines, Inc., 546 F.2d 84
(5th Cir. 1977) .......................................................................................................1
Stine v. Stewart, 80 S.W.3d 586 (Tex. 2002) .........................................................29
Tawes v. Barnes, 340 S.W.3d 419 (Tex. 2011) ......................................................26
Tenneco, Inc. v. Enterprise Prods. Co., 925 S.W.2d 640 (Tex. 1996) ...................50
Texas v. United States, 809 F.3d 134 (5th Cir. 2015) ...........................................25
Town of Flower Mound v. Stafford Estates, 135 S.W.3d 620 (Tex. 2004) ............55
Statutes
14 C.F.R Part 16......................................................................................................38
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14 C.F.R. 13.3, 13.5(a), 16.23(a), 16.29(a), 16.109...........................................38


28 U.S.C. 1292(a)(1) ........................................................................................... xii
49 U.S.C. 47107(a)(1) ................................................................................... 36, 38
49 U.S.C. 47107(a)(4) ..........................................................................................36
563 U.S. at 118 ........................................................................................................37
Wright Amendment Reform Act of 2006, PL 109-352, Oct. 13, 2006,
120 Stat 2011 ............................................................................................... passim
Other
BLACKS LAW DICTIONARY 979 (6th ed. 1990) .....................................................34

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JURISDICTIONAL STATEMENT
This Court has jurisdiction over the preliminary injunction rulings in
this case under 28 U.S.C. 1292(a)(1). That jurisdiction extends to other
rulings that are inextricably intertwined with the injunction rulings. See
Cardoni v. Prosperity Bank, 805 F.3d 573, 579 (5th Cir. 2015) (citing Ali v.
Quarterman, 607 F.3d 1046, 1048 (5th Cir. 2010)).

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ABBREVIATIONS AND RECORD REFERENCES


Southwest refers to Appellant Southwest Airlines Co.
Delta refers to Appellee Delta Air Lines, Inc.
City refers to Appellee City of Dallas.
DFW Airport refers to Dallas/Fort Worth International Airport.
ROA.___:___ refers to the Record on Appeal at the indicated page,
and where applicable, line number.
Lease refers to Exhibit 25, the Amended and Restated Lease of
Terminal Building Premises lease between Southwest and the City.
ROA.7219 et seq. Sublease refers to Exhibit 80, Southwests sublease of
gates formerly leased by United Airlines. ROA.7626 et seq.
Because the material terms of the Lease and Sublease are the same,
this brief follows the district courts convention and simply refers to the
Lease in discussion of Southwests and the Citys legal rights and
obligations.

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ISSUES PRESENTED
The Lease says:
Airline is granted the preferential use of its assigned Gate(s).
At those times that Airline has no scheduled use for one or
more of its assigned Gate(s), Airline will allow other scheduled
and non-scheduled airlines authorized by the City to use
Airport facilities to use such Gate(s), as circumstances and the
public interest may require, for loading and unloading only,
but in no event shall said use by others take precedence over
Airlines scheduled use[.]
and:
In case of a conflict between schedules of the Signatory Airline
and the Requesting Airline, the Signatory Airline will have
priority in use of its personnel and its Leased Premises.
1.

Did Delta have a right to sue under the Lease, given that it is not a
party to the Lease, not mentioned in the Lease, and the Lease makes
no express statement of any intent to benefit Delta?

2.

Did the trial court err by granting the City a preliminary injunction,
given that the City has made no decision to require accommodation,
and thus not triggered any obligation by Southwest to honor such a
request?

3.

Did the trial court err by granting Delta a preliminary injunction that
denied Southwest its preferential use rights and elevated those of
Delta a nonparty above Southwests?

4.

Did the trial court err by denying Southwest a preliminary injunction


to enforce its preferential use rights under the Lease?

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STATEMENT OF THE CASE


This case is about the enforcement of Southwests preferential rights
under the Lease against Delta, a stranger to the Lease with no such rights.
The plain terms of the Lease establish Southwests rights to fully use its
gates, as well as Deltas lack of authority to sue on the Lease or challenge
those rights. The history of Love Field and its regulation support
Southwests reading of the Lease. Because the Lease terms are clear and
consistent with the unique business context of Love Field operations, the
district court erred as a matter of law by not enforcing them and granting
Delta, a nonparty to the Lease, greater rights than Southwest, the actual
leaseholder.
A.

History of Southwest and Love Field


Southwest has paid an enormous cost, over almost fifty years, to keep

Love Field open and secure its current preferential lease rights. Indeed,
Love Field exists today because of Southwests dogged determination to
keep it operating in the 1970s and 1980s in the face of great opposition.1 See,
e.g., Southwest Airlines Co. v. Texas Intl Airlines, Inc., 546 F.2d 84, 102-03 (5th
Cir. 1977) (Wisdom, J.) (This is the eighth time in three years that a federal
1

See ROA.6831:1-17.

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court has refused to support the eviction of Southwest Airlines from Love
Field. Precisely worded holdings and deference to state authorities by the
federal judiciary have only generated more suits, appeals, and petitions for
rehearings. Once again, we repeat, Southwest Airlines Co. has a federally
declared right to the continued use of and access to Love Field, so long as
Love Field remains open.)
More recently, Southwest invested hundreds of millions of dollars to
rebuild and reinvigorate Love Field to better serve North Texas travelers.2
And, beginning in October 2014 with the expiration of the Wright
Amendment restrictions, Southwest added dozens of new nonstop routes
at Love Field, significantly benefitting North Texas consumers with more
low-fare travel options.3
Until

October

13,

2014,

the

Wright

Amendment

restricted

Southwests ability to fly nonstop to and from Love Field to a five-state


service area (later expanded to nine).4 These limits artificially suppressed

ROA.6823:4-23, 6824:3-13.
ROA.6989:10-15, 7004:10-7007:13.
4 The Wright Amendment, named for its sponsor, House Speaker Jim Wright of Fort
Worth, was signed into law in early 1980 to protect the newly-built DFW Airport
against competition from Love Field. Pub. L. No. 96-192, 29, 94 Stat. 35, 48-49 (1980);
see also Love Terminal Partners v. United States, 97 Fed. Cl. 355, 364 (2011). Controversial
2
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Southwests Love Field service far below the capacity of its leased gates.
When it became clear that the Wright Amendment was an outdated relic,
Southwest, the Cities of Dallas and Fort Worth, DFW Airport, and
American Airlines (American) reached a historic compromise on July 11,
2006, called the Five Party Agreement, in which they agreed to seek
legislation to repeal the Wright Amendment and free Southwest from most
of the limits on its Love Field operations.5
To reach that compromise, the parties agreed to permanently reduce
the number of gates at Love Field to twenty from thirty-two.6 In return for
Southwest agreeing to such a significant and permanent reduction in the
gates available to it, the parties agreed to (among other things): (1) remove
most geographic restrictions on flights from Love Field after October 13,
2014, (2) allocate to Southwest the preferential use of 16 gates under its
existing lease to be used for passenger operations, and (3) allocate two
gates to American and two gates to ExpressJet Airlines, Inc., a predecessor

from the beginning, the Wright Amendment was the subject of several amendments,
followed by repeal efforts. See Love Terminal Partners, 97 Fed. Cl. at 366.
5

ROA.7208 et seq.

ROA.7210 3, 7211 5.

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to United Airlines, Inc. (United).7 These were initial allocations, and the
Agreement imposed no restrictions on sale or transfer by the parties.
As part of the compromise, the Five Party Agreement also effectively
restricted Southwests service in the Dallas-Fort Worth market to Love
Field. Recognizing that DFW Airport and Love Field serve the same
geographic market (the very reason Congress enacted the Wright
Amendment), Section 10 provided that if Southwest leased gates at DFW
Airport, it had to give up an equivalent number of gates at Love Field (up
to eight gates).8
Finally, given the permanent reduction in Love Field gates from
thirty-two to twenty, and Southwests related commitment to operate only
at Love Field (at the risk of having to cede gates if it operated at DFW), the
Five Party Agreement contemplated future requests by other carriers
seeking to provide service at Love Field and provided that the lease terms
between the City and a Signatory Carrier (such as Southwest) would
control gate accommodation:
To the extent a new entrant carrier seeks to enter Love Field,
the City of Dallas will seek voluntary accommodation from its
ROA.7210 3.b.
8 ROA.7212 10.
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existing carriers to accommodate the new entrant service. If the


existing carriers are not able or are not willing to accommodate
the new entrant service, then the City of Dallas agrees to
require the sharing of preferential lease gates, pursuant to
Dallas existing lease agreements.9
Entirely focused on its hub at DFW Airport,10 Delta neither played
nor sought to play a role in these negotiations.11 As a result, Delta also had
no part in the later Congressional hearings about the legislation related to
the Five Party Agreement, and was not allocated gate space at Love Field.
Instead, the Five Party Agreement divided gates proportionally among
then-current users.12
Congress approved the Five Party Agreement by enacting the Wright
Amendment Reform Act (WARA),13 which codified many key provisions
of the Five Party Agreement. As set forth in the Five Party Agreement,
WARA protected the preferential lease of Signatory Airlines (including
Southwest), requiring that the terms of the Lease would control any later
dispute over gate space allocation. Specifically, in recognition of the fact

ROA.7210 3.b (emphasis added).


10 ROA.7000:23-7001:1.
11 ROA.6833:23-6834:2.
12 See ROA.7210 3.b.
13 ROA.7623 et seq. (Wright Amendment Reform Act of 2006, PL 109-352, Oct. 13,
2006, 120 Stat. 2011).
9

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that gates would likely become scarce resources due to the fixed number of
gates and increased demand for them, the Lease expressly included a
provision governing when, how and whether accommodation would be
required, and the Five Party Agreement provided that the city of Dallas
shall honor the scarce resource provision of the existing Love Field
Leases.14 Indeed, Congress went even further, providing that WARA:
shall not be construed to require the City of Dallas . . . to
modify or eliminate preferential gate leases with air carriers in
order to allocate gate capacity to new entrants or to create
common use gates, unless such modification or elimination is
implemented on a nationwide basis.15
In other words, WARA prohibits governmental interference with
Southwests preferential property rights at Love Field, unless the U.S.
Department

of

Transportation

(DOT)

or

the

Federal

Aviation

Administration (FAA) acts on a nationwide basis to modify or eliminate


preferential gate leases. There has been no such nationwide modification or
elimination of preferential use rights.
Accordingly, under the restrictions stated in the Five Party
Agreement and then codified in WARA, the City cannot add gates at Love
ROA.7624 5(a) (emphasis added).
ROA.7625 5(e)(2)(B) (emphasis added). WARAs references to gates address the
new gates to be leased after its enactment, see ROA.7624 5(a), 7625 (e)(2)(A).
14
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Field, and Southwest effectively cannot operate from any other airport in
the Dallas-Fort Worth area. As the district court noted, these growth
restraints are unique in United States commercial aviation.16
B.

Southwest Preferentially Leases Sixteen Love Field Gates


Moving forward pursuant to WARA, on February 13, 2009,

Southwest and the City entered into a lease for sixteen Love Field gates.17
Section 4.06.C of the Lease specifically grants Southwest the preferential
use of its assigned Gate(s), which means that Southwests use of its gates
takes precedence over that of any other airline:
At those times that [Southwest] has no scheduled use for one or
more of its assigned Gate(s), [Southwest] will allow other
scheduled or nonscheduled airlines authorized by the City to
use Airport facilities to use such Gate(s), as circumstances and
the public interest may require, for loading and unloading only,
but in no event shall said use by others take precedence over
Airlines scheduled use.18
Reinforcing this preferential property right, section 4.06.F.4.a of the Lease
makes clear that in case of a conflict between schedules of [Southwest]

ROA.6188-89.
17 ROA.7219 et seq. (Amended and Restated Lease of Terminal Building Premises).
The Lease term extends to September 30, 2028. ROA.7240 3.01.
18 ROA.7244 4.06.C (emphasis added).
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and [any other airline], [Southwest] will have priority in use of its
personnel and its Leased Premises.19
In addition to defining the preferential property rights leased by
Southwest from the City, the Lease also creates a process by which an
airline not currently operating at Love Field can apply for temporary
accommodation to use Southwests gates when Southwest is not using
them.20 That detailed process reinforces and emphasizes Southwests
preferential use rights.
The specific Lease section 4.06.F, entitled Accommodation of
Requesting Airlines says that a Requesting Airline may be allowed to
use unallocated or unused gate space in certain circumstances, but only at
such times that will not unduly interfere with [Airlines] operating
schedule[.]21 The City is designated to oversee and manage the evaluation
of an accommodation request, as follows:

the Requesting Airline must submit its request for gate space to
the City;22

ROA.7246 4.06.F.4.a (emphasis added).


20 See ROA.7245 4.06.C., F.
21 ROA.7245 4.06.F (emphasis added).
22 Id. 4.06.F.1.
19

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once the Requesting Airline has shown the City that it has
contacted all lease-holding airlines (identified as the Signatory
Airlines in the Lease) and has been unable to secure
accommodation, then the City will seek a voluntary
accommodation from one of the Signatory Airlines;23

if no Signatory Airline is able or willing to voluntarily


accommodate the Requesting Airline, the City may select a
Signatory Airline to accommodate the request, but the City
must provide a reason for its selection as well as the
opportunity for the Signatory Airline to comment on or dispute
the selection; 24

unless the City rescinds [its] selection within 30 days, the


Signatory Airline then will accommodate the Requesting
Airline by sharing a portion of its Leased Premises.25

As to Southwest, this entire process is subject to its preferential use rights


on the gates it leases, as this section of the Lease makes clear: In case of a
conflict between schedules of the Signatory Airline and the Requesting
Airline, the Signatory Airline will have priority in use of its personnel and
its Leased Premises.26
After a request is granted and again, consistent with Southwests
preferential use rights the Lease requires the City to conduct an ongoing
analysis of whether the Requesting Airlines continued use of the Signatory
Id. 4.06.F.2.
24 ROA.7246 4.06.F.3.
25 Id. 4.06.F.4.
26 ROA.7245 4.06.F (emphasis added).
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To support this analysis, the Lease

requires that the Signatory Airline give the City a monthly report tracking
[its] Gate assignment and Gate usage data[.]27 If a dispute arises about
schedule conflicts, the Lease requires the City to review available
information regarding the dispute(s) and, in good faith and in a nondiscriminatory manner render a decision, which will be binding on the
Signatory Airline and the Requesting Airline.28
The key witnesses at the preliminary injunction hearing for the
contracting parties the City, Southwest and United shared the same
understanding of Southwests preferential rights under the Lease and
Sublease. Southwests Vice-President of Airport Affairs, Bob Montgomery,
explained that, in Southwests view, the preferential-use right gives [the
leaseholder] the first right to operate [its] schedule as [it] sees fit and
support [its] operation.29 Uniteds Vice President of Corporate Real Estate,
Kate Gebo, testified that a Signatory Airline with a preferential lease has

Id.
28 ROA.7246 4.06.F.4.c.
29 ROA.6825:18-19.
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priority over anyone elses schedule.30 And Mark Duebner, the Citys
Director of Aviation responsible for Love Field, testified:
[W]e hold the position that the preferential lease gates give the
signatory carrier first dibs. So if they would want to expand
service, there would be some transition period where they
would be allowed to expand and the accommodation would
end, yes.31
Thus, all parties to the Lease and Sublease agree that a preferential
leaseholder has the ability to add additional flights to a specific gate at a
later point in time, even if such expansion would reduce or terminate a
previously made accommodation of another carrier. Tellingly, Delta read
the Lease that way as well.32
C.

Southwest Preferentially Leases Two More Gates


In mid-2014 Southwest negotiated with United to sublease two more

gates at Love Field.33 Delta (along with several other airlines) also
negotiated with United for those gates.34 United ultimately rejected Deltas

ROA.6761:6-12; see also ROA.6761:23-6762:1.


31 ROA.7041:7-11.
30

32

ROA.6568:12-6570:10 (And Mr. Anastas [manager at Delta] says, This is the key.
Delta will not be able to make long-term plans, because our schedule is the stepchild to
the signatory. ") (emphasis added); ROA.8741 (Ok to summarize what all this says . . .
if we are accommodated, we are always second fiddle, and will have to follow the
schedules of the Signatory.) (emphasis added).
33 ROA.6871:10-15.
34 ROA.6755:3-13, 6768:13-6769:5, 6770:12-6771:11.

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offer and instead reached an agreement in October 2014 to sublease the


gates to Southwest, increasing Southwests total Love Field gates to
eighteen.35 Southwests Sublease with United incorporates the terms of
Uniteds lease with the City, which contains, in all material respects,
identical terms to those in the Southwest Lease.36
Southwest and United submitted the Sublease and asset transfer
agreement to the Department of Justice for Hart-Scott-Rodino antitrust
clearance. The DOJ, after a thorough investigation and consultation with
the DOT, permitted the Sublease take effect without imposing any
conditions.37
D.

Southwests Post-Wright Amendment Expansion


From October 13, 2014 through August 9, 2015, Southwest carried out

an extensive pre-planned process to ramp up to its full post-Wright


ROA.7447 et seq. The Sublease itself dates from January 2015, after the City finally
consented to it. ROA.7626 et seq.
36 ROA.4762.
37 ROA.4763-4766. As required by federal law, the City has prepared a Competition
Plan with further analysis and detail about Love Fields efforts to facilitate
competition.
While Delta argues that this plan requires the City to force
accommodation on Southwest, that plan is informational only. Moreover, like the Five
Party Agreement and WARA, the Competition Plan is explicitly subject to the Citys
contractual accommodation rights and obligations as set forth in the Lease. See, e.g.,
ROA.7873 (In the future the City intends to accommodate requests for access by
applying the gate sharing provisions contained in the current lease provisions which
have been incorporated in Section 4.06.F of the new Restated Lease.).
35

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Amendment capacity at Love Field.38 Southwest expanded its operations


gradually because of the significant anticipated operational issues at the
newly-rebuilt airport.39 By the time of Deltas accommodation request, both
the City40 and Delta41 knew about Southwests intention to expand service
and fully utilize its gates.
As the last stage of this ramp up, on February 26, 2015, Southwest
began selling an additional sixteen flights from Love Field scheduled to
begin August 9, 2015, which brought the total number of flights on its gates
to 180 per day.42 Since August 9, Southwest has operated each of its
eighteen gates at full capacity.43 There is no factual dispute that
Southwests average of ten flights a day per gate means that it now
operates at the practical limits of its Love Field capacity, 44 and the district
court so recognized.45

ROA.6847:16848:15, 6916:3-8; ROA.6710:18-22.


ROA.6847:1-6848:15, 7066:17-7067:2.
40 ROA.7059:11-14, 7065:16-25, 7066:17-7067:2.
41 ROA.6710:18-22; ROA.7067:3-9; ROA.7776-77; ROA.8111.
42 ROA.6176; see also ROA.7818 (notifying Delta the very next day that Southwests
schedule would expand to 180 flights per day in August 2015).
43 ROA.6850:8-18.
44 ROA.6845:25-6846:7, 6855:11-16, 6914:22-6915:1, 6920:11-14, 6930:22-25 (Montgomery:
Southwest believes that the best that we can do is, with our most efficient activity, is to
get to about ten flights per day per gate at Love Field.); [ROA.6453:5-7 (Delta agreeing
38
39

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Consistent with the Five Party Agreement and WARA, Southwests


expansion has focused completely on Love Field. While Southwest
operates the majority of flights from that airport, it still has no presence at
the much larger DFW Airport. In the full Dallas-Fort Worth geographic
market a single market for commercial aviation which includes both Love
Field and DFW Airport Southwests share of the total gates is roughly ten
percent.46 Unlike Love Field, DFW Airport has abundant available gate
space, no restricted times of operation, and no ban on international travel.47
E.

Deltas Request for Accommodation


Deltas current request for accommodation at Love Field is its latest

attempt to obtain valuable gate space for no risk or investment. In 2013,


Delta lobbied the City to amend the Five Party Agreement and the
Signatory Airlines preferential leases to award Delta three gates.48 The City
rejected this proposal.

that 10 flights per day per gate is a lot)]; see also ROA.9058-9063 (stating that Delta
averages 7.7 flights a day per gate at Atlanta and that as they continue to try to cram
more flights into our existing gates, we will incur more gate changes, gate holdouts,
delays, and taxiway congestion.)
45 ROA.6176-77.
46 ROA.6989:2-8.
47 ROA.6560:4-15 (abundant gate space); ROA.6839:3-5 (no restriction on international
travel).
48 ROA.6510:16-20, 6511:16-6512:2, ROA.8011, 8017.

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In late 2013 and early 2014, both Delta and Southwest sought to
obtain two gates that the DOJ required American to divest as a condition of
its merger with US Airways.49 Even though Delta had been operating on
Americans gates under a month-to-month agreement, the DOJ rejected
Deltas bid for a permanent sublease because it was a legacy carrier already
serving the Dallas-Fort Worth market from DFW Airport (where it still
operates today).50 Delta also lobbied the City to convert the divested Love
Field gates into common use gates that Delta could monopolize.51 Again,
the City rejected this proposal.
Delta next hired former DOT officials to lobby the DOT to encourage
the City to force Deltas accommodation by Southwest.52 This tactic also
failed. Many months later, Delta would claim that the DOT had ordered
Deltas accommodation through two letters to the City; however, the DOT
disavowed them, explaining that the two DOT letters were not final
agency actions, and merely provided nonbinding agency guidance, which

ROA.6518:3-12; ROA.6656:14-17; ROA.6869:19-22.


50 ROA.6557:8-12; ROA.8729-32. American ultimately divested its two gates to Virgin
America Airlines effective October 2014.
51 ROA.6511:17-6512:21, 6515:3-15 (discussing Deltas proposal to reorder common-use
preferences to suit Delta). ROA.8081-82, 8089.
52 ROA.9751-56, (Dep. of Robert Rivkin).
49

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urged the City to make a timely decision on Deltas requests for


accommodation, but did not require the City to reach a particular
decision.53
Faced with the fact that its month-to-month agreement for use of
Americans gates would expire when American divested its gates, Delta
began to seek long-term accommodation at Love Field. On June 13, 2014,
Delta asked the City for gate access at Love Field so it could operate five
daily flights to its hub in Atlanta. Delta also demanded that the City change
Deltas expiring month-to-month lease into essentially permanent gate
access.54
When Delta made these requests, Southwest was well into its preplanned ramp up to full post-Wright Amendment capacity, but still had
underused gate space at that time. As a result, Southwest and United
agreed to give Delta temporary access under a license agreement from
October 13, 2014, through January 6, 2015. From the first day, Deltas gate

ROA.9022; see also ROA.9024, 9025, 9027, 9030 (same).


54 ROA.6442:10-12; see also ROA.6923:4-11.
53

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access was intended to be temporary, as Southwest had long planned to


operate all eighteen of its gates at full capacity.55
When this temporary license expired on January 6, United agreed to
let Delta continue to use its gates under a temporary license agreement for
180 more days, ending July 6, 2015. As Southwest explained in a February
2015 letter, the temporary license could not be materially extended beyond
July 6 because of the need to retrofit the space for Southwests published
(and sold) schedule starting in August.56 Nonetheless, several weeks before
July 6, Delta told Southwest and United that it would not vacate the space
to Southwest, and instead had every intention to stay there and fly to
Atlanta indefinitely.57 Delta even told the City that it would hire security
guards to physically stop Southwest from using the gate space when the
temporary license expired.58
F.

Procedural Background
Deltas threats prompted this litigation. On June 17, 2015, the City

sued Delta, Southwest, and others for declaratory relief related to Deltas

ROA.7366-7407; ROA.7408-46 (discussing Project Braveheart in 2013).


56 ROA.7821-22.
57 ROA.261-62.
58 ROA.72-73; ROA.1517-18.
55

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and Southwests operation of flights at Love Field.59 Two days later,


Southwest crossclaimed against Delta for trespass,60 and moved for a
preliminary injunction prohibiting Delta from trespassing on Southwests
gates and a declaration from this Court that Southwest is the sole lawful
operator of the gates after July 6, 2015.61 Delta then brought its own
motion for a preliminary injunction against Southwest,62 followed by a
crossclaim alleging that it was a beneficiary of Southwests Lease.63
At the trial courts insistence, Southwest reluctantly acquiesced to
extend Deltas temporary license to operate at Love Field until the district
court issued a decision after the preliminary injunction hearing.64 The
district court then held a three-day hearing on the parties requests for
preliminary injunctions on September 28-30, 2015.
The trial court issued an opinion and accompanying preliminary
injunction on January 8, 2016. The court found that Delta showed a
likelihood of success on its claim against Southwest for breach of contract,

ROA.37-119.
ROA.149-205.
61 ROA.217.
62 ROA.528.
63 ROA.1559-1614.
64 ROA.6165.
59
60

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as well as its related claim for declaratory judgment, based on Deltas


purported status as a third-party beneficiary of the Lease.65 The court went
on to reject Southwests application for temporary injunction with the
additional holding that there can be no trespass on preferential use
gates.66 It then entered an injunction in Deltas favor, the central part of
which ordered:
Southwest is hereby enjoined from evicting or otherwise
interfering with or preventing Deltas continued use of
Southwests gate(s) at Love Field, or otherwise interfering with
or preventing Deltas continued use of Southwests gate(s) to
operate Deltas five daily flights. Southwest is also enjoined
from adding additional flights on any Southwest gate(s) Delta
uses to operate its five daily flights.67
The opinion concluded with a remarkable judicial disapproval of
Congresss decisions in WARA:
To change this no-growth situation at Love Field, Congress will
need to act. The political powers-that-be can address and
correct these issues that face Love Field and new entrant
airlines through repealing legislation unique to this airport.
Without this change, new entrant airlines, the City, Signatory
Airlines, and the citizens of Dallas will continue to face
dilemmas like this one. The flying public deserves more
courage from its elected officials about travel to and from Love

ROA.6169, 6173.
66 ROA.6185.
67 ROA.6190.
65

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Field. The time for these elected officials to consider an end to


all constraints on Love Field is now.68
SUMMARY OF ARGUMENT
This case is about the enforcement of Southwests rights under its
preferential Lease at Love Field against Delta, a stranger to the Lease with
no

such

rights.

The

Lease

has

unambiguous

provisions

about

accommodation of other carriers on the assigned gates:


[Southwest] is granted the preferential use of its assigned
Gate(s). At those times that [Southwest] has no scheduled use
for one or more of its assigned Gate(s), [Southwest] will allow
other scheduled and non-scheduled airlines authorized by the
City to use Airport facilities to use such Gate(s), as
circumstances and the public interest may require, for loading
and unloading only, but in no event shall said use by others
take precedence over [Southwests] scheduled use[.]
and:
In case of a conflict between schedules of [Southwest] and the
Requesting Airline, [Southwest] will have priority in use of its
personnel and its Leased Premises.
Plainly, these provisions say nothing about Delta. And the key witnesses
for both Southwest and the City agreed that the Lease gives Southwest
priority over airlines requesting accommodation, even if such expansion by
Southwest would terminate a previously made accommodation.
68

Id.

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These terms flow directly from the unique legal framework created
by Congress for Love Field. In WARA, Congress struck a balance that,
among other matters: (1) strictly limits available Love Field gate space,
(2) effectively bars Southwest from expanding to DFW Airport, and
(3) requires the City to recognize the preferential rights of Signatory
Airlines the airlines operating at Love Field when WARA became law
if a new entrant wants to start operations there. Specifically, section 5(a) of
WARA requires adherence to the Lease in connection with any
accommodation decision. Following those Congressional commands, Love
Field has been rebuilt, Southwest has stayed only at Love Field, and the
City and Southwest have entered into leases that give Southwest
preferential use rights to eighteen gates at Love Field.
In granting Deltas motion for preliminary injunction and denying
Southwests, the district court committed two critical errors. First, it
improperly gave Delta the status of a third-party beneficiary under the
Lease, despite the fact that Delta is not a party to it, or even mentioned in it.
Second, the district court eviscerated Southwests right to use its
preferential lease gate space without interference, including the ability to

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gradually ramp up service on those gates after the expiration of the Wright
Amendment restrictions in October 2014.
Delta had no right to bring its claim. While the trial court found that
Delta could sue as a creditor third-party beneficiary of the Lease, that
holding ignores the presumption in Texas law against third-party
beneficiary status, the structure of the Lease (designed to create a neutral
process with no beneficiary in mind), the business context of the Lease
(where Southwest had no motive or duty to obligate itself for the benefit of
a competitor), and federal aviation law (which does not let private litigants
sue to enforce the underlying federal statute).
Even if Delta could assert claims under the Lease as a third-party
beneficiary, the district courts conclusion is wrongly premised on its
criticism of Congress rather than an evaluation of the Lease. The district
court attacked the balance struck by Congress in WARA, calling it
constraining to the point of being out of date, and asking [t]he political
powers that be [to] address and correct these issues that face Love Field
and new entrant airlines through repealing legislation unique to this
airport.

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Based on its judgment about WARA, the trial court effectively


rewrote the Lease to void Southwests preferential use rights. That rewrite
eviscerates Southwests rights in the carefully-drafted and negotiated Lease
between it and the City, by turning a temporary accommodation provision
for under-utilized gates into a permanent, below-market, guaranteed lease
for a nonparty, without regard to the leaseholders anticipated use of the
gates. By narrowly focusing on Deltas accommodation request at the time
it was made, the trial court required Southwest to give Delta an indefinite
accommodation a gate right greater than Southwests right as
leaseholder simply because Delta first requested accommodation before
Southwests ramp-up was complete. In so doing, the trial court found
against the plain language of the Lease, the purpose of WARA, and the
realities of the airline business. And in an unprecedented application of
Texas contract law, the trial courts construction of the Lease voids the
express preferential rights of a party to a contract in favor of giving even
greater rights to a stranger to that contract.
The result granting Deltas application for a preliminary injunction
and denying Southwests was premised on legal errors, and constitutes a
clear abuse of discretion.
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STANDARD OF REVIEW
A party seeking a preliminary injunction must show: (1) a substantial
likelihood of prevailing on the merits; (2) irreparable injury if the injunction
is not granted; (3) that the irreparable injury outweighs any harm to the
other side; and (4) granting the preliminary injunction will not disserve the
public interest. This Court reviews a district court's assessment of these
factors for abuse of discretion. Conclusions of fact are left undisturbed
unless clearly erroneous, while conclusions of law are reviewed de novo.
Cardoni, 805 F.3d at 579 (citing Bluefield Water Ass'n, Inc. v. City of Starkville,
577 F.3d 250, 25253 (5th Cir. 2009)). Accordingly, a district court abuses its
discretion if it relies on erroneous conclusion of law or misapplies the
factual or legal conclusions in its decision. Aransas Project v. Shaw, 775 F.3d
641, 663 (5th Cir. 2014).
ARGUMENT
A.

The district court erred in finding that Delta had a substantial


likelihood of success on its claims.
The district court erred in finding that Delta had a substantial

likelihood of success. Delta is not a third-party creditor beneficiary of the


Lease, and Southwest is not in breach much less, a perpetual breach of
any obligation under the Lease.
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As a matter of law, Delta is not a third-party beneficiary of the


Lease.

Despite the fact that Delta is not a party to the Lease, or even
mentioned in it, the district court let Delta pursue a claim under the Lease
based on its determination that Delta was a creditor third-party
beneficiary with standing to enforce the Lease.69 The district court was
wrong as a matter of law. The Lease makes no express statement of intent
to benefit Delta, as Texas law requires. And the district courts reading of
the Lease distorts the text and structure of the accommodation process in
Section 4.06.F in a way that is inconsistent with key principles of federal
aviation law that underlie the Leases gate accommodation process.70

ROA.6172. The designation as a creditor beneficiary matters because [t]here are


three types of third-party beneficiariesdonee, creditor, and incidental. Donee and
creditor beneficiaries may bring suit to enforce a contract; incidental beneficiaries may
not. Allan v. Nersesova, 307 S.W.3d 564, 571 (Tex. App.Dallas 2010, no pet.). Delta
cannot be a donee beneficiary because it did not receive a gift. See id. (A person is a
donee beneficiary only if a donative intent expressly or impliedly appears in the
contract.).
70 This argument goes to this Courts subject matter jurisdiction as well as Deltas
likelihood of success. As to jurisdiction, Delta had to establish its standing to sue in
order to obtain a preliminary injunction. See, e.g., Texas v. United States, 809 F.3d 134, 150
(5th Cir. 2015). Because Delta did not prove its status as a third-party beneficiary, it
failed to show its standing, and thus could not seek an injunction about Southwests
rights under the Lease. See Excel Willowbrook, LLC v. JP Morgan Chase Bank, 758 F.3d 592,
604 (5th Cir. 2014) (Non-third-party beneficiaries to contracts usually cannot show that
they have suffered an injury to a legally protected interest because contract law does not
recognize and compensate non-third-party beneficiaries for the injuries that they often
suffer when a contracting party fails to comply with a contract.) (Clement, J.,
concurring).
69

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The Lease makes no express statement of intent to benefit


any third party, including Delta.

The district court repeatedly said that Delta had no options or


remedy under the Lease.71 That should have been dispositive of Deltas
claim for breach of the Lease under third-party beneficiary law. Texas law72
presumes that a party who is not named in a contract has no rights under
it. See, e.g., Tawes v. Barnes, 340 S.W.3d 419, 425 (Tex. 2011) (Texas courts
have

maintained

presumption

against

third-party

beneficiary

agreements.); MCI Telecomm. Corp. v. Texas Utilities Elec. Co., 995 S.W.2d
647, 652 (Tex. 1999) ([T]here is a presumption against, not in favor of,
third-party beneficiary agreements.). The intention to contract or confer a
direct benefit to a third-party must be clearly and fully spelled out or
enforcement by the third party must be denied. Fleetwood Enterprises,
Inc. v. Gaskamp, 280 F.3d 1069, 1075 (5th Cir. 2002) (quoting MCI, 995
S.W.2d at 651).73 That demanding standard is not satisfied in this case.

ROA.6157, 6173.
Neither the parties nor the district court has disputed the application of Texas law to
the Lease.

71
72

See also Methodist Hosps. of Dallas v. Wal-Mart Stores, Inc., CIV.A. 3:02-CV-0656-, 2003
WL 21266775, at *7 (N.D. Tex. May 30, 2003) (finding no intent to directly benefit
plaintiff because [T]he detailed provisions of the agreement reflect the intentions of
[the contracting parties] to contract for themselves in order to carry out this
relationship, not to benefit any third party); Tawes, 340 S.W.3d 419, 428 (Tex. 2011)

73

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Delta made no showing that it was named in the Lease and thus
lacked the right to sue upon the Lease. Indeed, the Lease makes no express
statement that any third party has rights to enforce it.74 As such, Deltas
claim to third-party beneficiary status must rest on an inference from other
language in the Lease.
The district court focused on Section 4.06.F, which authorizes the City
to require Southwest to accommodate additional airlines at its preferentialuse gates if it has gate space available, concluding that Delta was a thirdparty beneficiary of this provision. But this Court squarely rejects the
proposition that a party becomes a third-party beneficiary merely because
it has a substantial interest in a contracts enforcement. Fleetwood
Enterprises, 280 F.3d 1069 at 1075 (quoting Loyd v. ECO Resources, Inc., 956

([T]he JOA Royalty Provision refers only to consenting and non-consenting parties
generally.); Maddox v. Vantage Energy, LLC, 361 S.W.3d 752, 758-59 (Tex. App.Fort
Worth 2012, pet. denied). ([T]he group composition could change on a daily or hourly
basis as mineral owners in neighborhoods participating in SFWA executed leases with
other companies.); Haile v. Disc. Shuttle, Inc., 05-98-00623-CV, 2000 WL 1035752, at *2
(Tex. App.Dallas July 25, 2000, no pet.) (While the contract may express an intent to
benefit Appellants, the obligation is not clearly and fully spelled out in the contract. The
contract does not identify the shuttle bus drivers who had existing contracts with TBS
or which contracts Feller disclosed to Noble on or before the date of closing.); MJR
Corp. v. B & B Vending Co., 760 S.W.2d 4, 15 (Tex. App.Dallas 1988, writ denied)
(denying third-party beneficiary status when it was not unmistakable that a benefit to
the third party was within contemplation of the primary contracting parties).
74 ROA.7291 14.20. Note that the Five Party Agreement expressly disclaimed creation
of any third-party beneficiaries. ROA.7215 11.

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S.W.2d 110, 134 (Tex. App. Houston [14th Dist.] 1997, no pet.)).75 Here,
no contract language says clearly that Section 4.06.F was intended to benefit
new entrant airlines. The district courts contrary analysis is thus
unsupportable.
That analysis begins with an erroneous conclusion: The Court finds
Delta is a creditor beneficiary because the duty owed to Delta is a
contractual obligation or some other legally enforceable commitment under
the Lease Agreement.76 This conclusion is a non sequitur and reflects the
district courts misunderstanding of third-party beneficiary law. By
definition, all third-party beneficiaries are owed contractual obligations;
the only purpose of the doctrine is to distinguish non-signatories who can
demand compliance with a contractual obligation from those who cannot.
Thus, declaring a party to be a creditor beneficiary because it is owed a
contractual obligation begs the question. In fact, the error is even worse,
because the alleged promisee must owe a separate obligation to the

See also S. Texas Water Auth. v. Lomas, 223 S.W.3d 304, 306 (Tex. 2007) (holding that
incidental benefits . . . do not confer the right to enforce the contract); accord MCI
Telecommunications Corp. v. Texas Utilities Elec. Co., 995 S.W.2d 647, 651 (Tex. 1999) (The
fact that a person might receive an incidental benefit from a contract to which he is not a
party does not give that person a right of action to enforce the contract.).
76 ROA.6172.
75

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plaintiff from the one sued upon. See, e.g., Stine v. Stewart, 80 S.W.3d 586,
590 (Tex. 2002) (preexisting promissory note); Allan v. Nersesova, 307 S.W.3d
564, 571 (Tex. App.Dallas 2010, no pet.) (separate provision in
condominium documents). Here, neither the City nor Southwest owed any
separate obligation to Delta.
Rather than rely on a separate obligation, the district court relied
on the alleged obligation in Section 4.06.F the very subject of Deltas
claim. This ruling fundamentally distorts third-party beneficiary doctrine.
The district courts analysis is founded on the mistaken belief that Section
4.06.F would be meaningless without a third-party beneficiary to enforce it:
If the City and Southwest as parties to the Lease Agreement did
not intend for a new entrant airline to have the right to
enforce this section, there would be no other way for the
accommodation procedure to work and no remedy for the
new entrant airline should the City and/or Southwest not
comply with their agreement.
There is no reasonable
interpretation of this accommodation provision other than that
the new entrant airline is in fact the only intended
beneficiary. Otherwise, this is superfluous language because
no one benefits from this provision.77
This analysis is wrong.

77

ROA.6173.

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First, it is unclear why the district court believed there would be no


other way for the accommodation procedure to work. In fact, the City
plainly has the power to enforce the accommodation procedure itself.
There is no need to recognize a third-party beneficiary to enforce the
accommodation procedure between the parties to the Agreement. See supra
pp. 8-9 (detailing that procedure).
For the same reason, the district court was wrong to conclude that
unless Delta is a third-party beneficiary with rights under Section 4.06.F,
the accommodation provision is superfluous language because no one
benefits from this provision.78 This interpretation overlooks the fact that
the City benefits from full utilization of the airport, and its right to seek
accommodation under Section 4.06.F if space is available for another
carriers use on a temporary basis. Ensuring full airport use benefits the
citizens of Dallas and satisfies the Citys duties under federal aviation law.
See infra p. 36. One can readily imagine why the City, out of self-interest,
would want to be able to force Southwest to share preferential-use gates if
space was going unused. Thus, the suggestion that Section 4.06.F could
only have been meant to benefit a new entrant airline is fallacious.
78

Id.

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Finally, the district court was wrong to conclude that it could bestow
third-party beneficiary status upon Delta simply because Delta would have
no remedy under the Lease otherwise.79 The point of the presumption
against third-party beneficiary status under Texas law is to prevent courts
from granting third-party rights that the parties did not intend to convey.80
b)

The district court distorted the text and structure of


Section 4.06.F.

Not only does Section 4.06.F lack the sort of explicit language that is
needed to overcome the presumption against third-party beneficiary rights,
but it affirmatively negates such an interpretation. A close examination of
Section 4.06.F reveals no rights to be enforced directly by any third party
against Southwest.
Section 4.06.F simply establishes a process for the City to review
accommodation requests, which may or may not result in an
accommodation order by the City. If such an order is issued, Southwest
may have an obligation to comply with it, but no such order has issued

Id.
80 In addition, the district courts conclusion that Delta would have no remedy unless
it was a third-party beneficiary is mistaken. As explained below, Delta could have
requested administrative action by the FAA if it believed the City had failed to provide
accommodation as required by federal aviation law. See infra p. 38.
79

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here. Far from granting any enforceable rights to third parties, the Lease
accommodation process demonstrates the contracting parties did not
intend to benefit any specific third party. See Brown v. Fullenweider, 52
S.W.3d 169, 170 (Tex. 2001) (per curiam). The district courts contrary
reasoning misconstrues the text and structure of Section 4.06.F.
Viewed as a whole, the text and structure of Section 4.06.F make clear
that no third party has any right to enforce the provisions of that section.
Properly read, any duty to accommodate Delta would arise only if the City
directed Southwest to accommodate Delta (which did not occur in this
situation); Delta has no self-executing right to compel its own
accommodation. This result is clear from the key provisions in Section
4.06.F, which were not addressed by the district court.
The first paragraph of Section 4.06.F contemplates that Southwest has
a qualified obligation, if it is not fully using its space, to accommodate a
requesting airline:
[If a new entrant airline requests to provide service], Airline
agrees to accommodate such Requesting Airline at its Leased
Premises at such times that will not unduly interfere with its
operating schedule and upon such reasonable terms as may be
agreed upon between Airline and the Requesting Airline taking

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into consideration all the


accommodation agreement.81

Page: 50

circumstances

Date Filed: 04/22/2016

of

such

an

This qualified obligation exists only if the accommodation will not unduly
interfere with [Southwests] operating schedule and only if Southwest
can reach an accommodation agreement with the new entrant. At most,
this language contemplates nothing more than an agreement to agree
between Southwest and a Requesting Airlinewhich is not enforceable
between signatories. See, e.g., Liberto v. D.F. Stauffer Biscuit Co., 441 F.3d
318, 323 (5th Cir. 2006); Neely v. Bankers Trust Co., 757 F.2d 621, 627 (5th Cir.
1985). It thus fails to create enforceable third-party rights.
The rest of Section 4.06.F confirms this conclusion. Anticipating that
Southwest might not grant a request for accommodation, as detailed above,
Section 4.06.F creates a procedure to be followed [t]o insure compliance
with this obligation.

See supra at 8-9. Everything in this procedure

contemplates a decision by the City of Dallas regarding a possible


accommodationnot a unilateral action by a new entrant. Suggesting that
this language represents the sort of clear and unequivocal language
necessary to confer third-party rights is groundless.

81

ROA.7245 4.06.F.

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As such, any enforceable accommodation requirement in Section


4.06.F could arise (at best) only if the City selected a Signatory Airline to
accommodate a Requesting Airline under Section 4.06.F(3)-(4); until then, a
Signatory Airline (like Southwest) has no enforceable obligation to
accommodate a new entrant under the Lease.
Moreover, a Requesting Airline has no right under Section 4.06.F to
compel the City to make an accommodation decision.

The procedure

specified by that section for accommodation decisions states that, when a


Requesting Airline has not been accommodated by a Signatory Airline,
the Director may select a Signatory Airline to accommodate the
Requesting Airline and, in that event, will send written notice to that
Signatory Airline to accommodate Requesting Airline . . . .82
This language gives the City the rightbut not the obligationto
require accommodation by a Signatory Airline under certain circumstances
where the airline is not fully using its leased space. Under Texas law, the
word may is ordinarily permissive.

See G.T. Leach Builders, LLC v.

Sapphire V.P., LP, 458 S.W.3d 502, 525 (Tex. 2015) ([W]e find no basis on
which to conclude that the parties intended the word may to be
82

ROA.7246 4.06.F.3.

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mandatory rather than permissive in this context.).83 This conclusion is


reinforced by the conditional phrase in that event, which also suggests
that the Citys selection is permissive rather than mandatory.

Taken

together, these terms imply that the City has no enforceable obligation to
make an accommodation decision in favor of a Requesting Airline.
Finally, Section 4.06.F.4 reinforces this interpretation when it details
the conditions under which an accommodation directive will be
implemented. Those conditions anticipate a conflict between schedules of
the Signatory Airline and the Requesting Airline,84 and that there may be
a dispute regarding the resolution of scheduling conflicts or the
reasonable fees and charges that may be assessed to a Requesting Airline.85
In that event, the Director (i.e., the City) is given authority to resolve such
a dispute, which will be binding on the Signatory Airline and the
Requesting Airline.

See also Iliff v. Iliff, 339 S.W.3d 74, 81 (Tex. 2011) (the permissive word may imports
the exercise of discretion.); Bank of New York v. Chesapeake 34771 Land Trust, 456 S.W.3d
628, 632 (Tex. App.El Paso 2015, pet. denied) ([T]he term may ordinarily indicates a
permissive construction.); Nalle v. Taco Bell Corp., 914 S.W.2d 685, 687 (Tex. App.
Austin 1996, writ denied) (The word may means possibility, permission, liberty, or
power; it does not indicate a mandatory requirement.) (citing BLACKS LAW
DICTIONARY 979 (6th ed. 1990)).
84 ROA.7246 4.06.F.4.a.
85 Id. 4.06.F.4.c.
83

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The dispute between Southwest and Delta over Deltas demand for
accommodation falls within this provision, but by granting Delta thirdparty beneficiary standing to sue for accommodation without first securing
a directive from the City, the district court has bypassedand essentially
nullifiedthis contractual dispute resolution procedure.
c)

The district courts interpretation is contrary to key


principles of federal aviation law from which the
accommodation provision of the Lease arise.

The accommodation language in Section 4.06.F derives from the


requirements of the Airport and Airway Improvement Act (AIAA) and
related airport federal grant assurances. The AAIA requires that airports
receiving federal funds, such as Love Field, assure the DOT and FAA in
writing that the airport will be available for public use on reasonable
conditions and without unjust discrimination. 49 U.S.C. 47107(a)(1).
However, it is settled in this Circuit and nationwide that the AAIA creates
no private right of action for alleged violations of the Act or the Grant
Assurances, including their requirements about accommodation language

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such as in Section 4.06.F. See McCasland v. City of Castroville, 514 Fed. Appx
446, 448-49 (5th Cir. 2013).86
Moreover, the Supreme Court holds that when a federal statute does
not allow a private right of action, a party cannot create one by claiming
third-party beneficiary status under a contract that simply incorporates
statutory obligations. In Astra USA v. Santa Clara County, 563 U.S. 110
(2011),

county

sued

pharmaceutical

manufacturers

for

alleged

overcharges in violation of pricing agreements derived from the


requirements of a federal statute. The Supreme Court held that the
plaintiffs had no standing as third-party beneficiaries to the contracts
between the manufacturers and the federal government, finding that the
applicable statute created no private right of action:
The Countys argument overlooks that the [agreements] simply
incorporate statutory obligations . . . and record the
manufacturers agreement to abide by them . . . A third-party
suit to enforce an HHS-drug manufacturer agreement,
therefore, is in essence a suit to enforce the statute itself. The
See also Northwest Airlines, Inc. v. County of Kent, Mich., 955 F.2d 1054, 1058 (6th Cir.
1992), affd, 510 U.S. 355 (1994) ([C]ongress intended that there would be no private
right of action under the AAIA; instead, [C]ongress intended to establish an
administrative enforcement scheme.); Interface Group, Inc. v. Mass. Port Auth., 816 F.2d
9, 14-15 (1st Cir. 1987) (We therefore agree with those courts that have held that [49
U.S.C. 47107(a)(4)86] does not create a private right of action.).
86

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absence of a private right to enforce the statutory ceiling price


obligations would be rendered meaningless if [health care
facilities] could overcome that obstacle by suing to enforce the
contracts ceiling price obligations instead.
563 U.S. at 118 (emphasis added).87

Similarly here, the absence of a

private right to enforce the AAIA and its grant assurances would be
rendered meaningless if Delta could overcome that obstacle by suing to
enforce the Leases accommodation terms as a third-party beneficiary. Id.
Contrary to the district courts conclusion, this result does not render
Section 4.06.F superfluous.88

First, the City has the right to require

accommodation under the appropriate circumstances. And Delta, along


with all other airlines, has a remedy if it believes it has not received proper
accommodation file an administrative complaint with the FAA alleging
that the City, as owner and operator of Love Field, has breached its Grant
Assurance obligations.89 Under federal law, the DOT and the FAA have

See also Armstrong v. Exceptional Child Center, Inc., 135 S. Ct. 1378, 1387-88 (2015)
(More fundamentally, however, the modern jurisprudence permitting intended
beneficiaries to sue does not generally apply to contracts between a private party and
the government. . . . Our precedents establish that a private right of action under federal
law is not created by mere implication, but must be unambiguously conferred.).
88 See ROA.6173.
87

See 14 C.F.R. 13.3, 13.5(a), 16.23(a), 16.29(a), 16.109 (detailing the FAAs
enforcement powers); see also Friends of East Hampton Airport, Inc. v. Town of East
Hampton, ___ F. Supp.3d ___, 2015 WL 3936346, *10 (E.D. N.Y. June 26, 2015)(because of
14 C.F.R Part 16, the lack of a private right of action to enforce grant assurances does
89

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the exclusive power to address such grievances.90 Allowing private


litigants to usurp that power would defeat the purpose of its exclusivity, as
the Supreme Court warned in Astra:
Recognizing the Countys right to proceed in court could
spawn a multitude of dispersed and uncoordinated lawsuits by
[healthcare facilities]. With [the Department of Health &
Human Services] unable to hold the control rein, the risk of
conflicting adjudications would be substantial.
563 U.S. at 120.
The Lease recognizes, incorporates, and implements all of these
concepts from state contract law and federal aviation law. The Lease is a
private contract between the City and Southwest about Southwests
preferential use of the Citys gates at Love Field. The accommodation
language in the Lease flows from a federal law that does not create a
private right of action, and the district court erred when it created such a
right through its misapplication of third party beneficiary law.

not leave an airport user without adequate recourse); 41 North 73 West, Inc. v. DOT, 408
Fed. Appx. 393, *2 (2d Cir. 2010) (FAA enforces compliance with . . . Grant Assurances
by applying procedures delineated in [14 C.F.R. Part 16].).
90 See, e.g., Airborne Tactical Advantage C. v. Peninsula Airport Commn, No. 05-CV-0166,
2006 WL 753016, at *1 (E.D. Va. Mar. 21, 2006) (Courts interpreting 47107 have
uniformly held that airport users have no right to bring an action in federal court
claiming a recipient airports violation of the 47107 grant assurances.) (collecting
cases).

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Deltas declaratory judgment claim does not let it create


rights that do not exist.

The district court also said that Deltas declaratory judgment claim
was a proper basis for the preliminary injunction, but this too was
incorrect. A party with no right to sue on a contract has no right to seek a
declaratory judgment about it; the operation of the Declaratory Judgment
Act is procedural only, and by enacting it, Congress enlarged the range
of remedies available in the federal courts but did not extend their
jurisdiction. E.g., Skelly Oil Co. v. Phillips Petroleum Co., 339 U.S. 667, 672
(1950). Accordingly, Delta could not overcome its lack of third-party
beneficiary status with a claim for declaratory judgment.
2.

As a matter of law, Southwest did not breach any


accommodation obligation under the Lease.

The unambiguous terms of the Lease and undisputed evidence about


performance shows that Southwest did not breach any accommodation
obligation under the Lease.
a)

Unambiguous Lease terms control.

No party alleged that the Lease was ambiguous. The district court
did not find that the Lease was ambiguous. When interpreting an
unambiguous contract, the court is limited to the plain language in the

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four corners of the document. E.g., Smith v. Livingston, No. 12-20379, 2015
WL 6437234 *2 (5th Cir. Oct. 23, 2015) (citations omitted). The language in
the four corners of the Lease is clear:

Southwest has the unambiguous right to fully use eighteen Love


Field gates over the full multi-year term of the Lease:
[Southwest] is granted the preferential use of its assigned
Gate(s). At those times that [Southwest] has no scheduled use
for one or more of its assigned Gate(s), [Southwest] will allow
other scheduled or nonscheduled airlines authorized by the
City to use Airport facilities to use such Gate(s), as
circumstances and the public interest may require, for loading
and unloading only, but in no event shall said use by others
take precedence over Airlines scheduled use.91

In case of a conflict between the schedules of the Signatory Airline


[Southwest] and the Requesting Airline, the Signatory Airline will
have priority in use of its personnel and its Leased Premises.92

Accommodation of a Requesting Airline is permitted only at such


times that will not unduly interfere with [Signatory Airlines]
operating schedule.93

ROA.7244 4.06.C (emphasis added)).


92 ROA.7246 4.06.F.4.a (emphasis added)).
93 ROA.7245 4.06.F (emphasis added)).
91

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No obligation to accommodate arises at all absent an order from the


City to accommodate Delta.94

Accommodation is never characterized as permanent, indefinite,


or in any way not tied to Southwests flight schedule.95 To the
contrary, the process expressly requires periodic re-evaluation by the
City of gate use.96

The Sublease has identical terms on these points.97 Put simply, Southwests
use of its leased gates has continuing and unrestricted priority over an
accommodation request.
The key witnesses for the City, Southwest and United the sole
parties to the Lease and Sublease at issue shared a common
understanding of the preferential rights that Southwest acquired under the
Leases. See supra pp. 10-11 (summarizing testimony of the Citys Mark
Duebner, Southwests Bob Montgomery, and Uniteds Kate Gebo). Based
on that understanding, Southwest and the City made massive investments
of time, money, and energy in Love Field. See supra p. 2, 12. See Anadarko

ROA.7246 4.06.F.3; see also supra pp. 32-33.


95 See ROA.7244-46.
96 ROA.7245 4.06.F.
97 ROA.4762.
94

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Petroleum Corp. v. Williams Alaska Petroleum, Inc., 737 F.3d 966, 971 (5th Cir.
2013) (We construe the express terms of an agreement, where reasonable,
to be consistent with the applicable course of performance.).
Southwests construction of the Lease also flows naturally from
WARA, which requires that the City manage Love Field consistent with the
Signatory Airlines contractual rights and obligations,98 so that any
decision about accommodating Delta must fully account for Southwests
preferential lease rights. WARA also prohibits accommodation that would
modify or eliminate preferential gate leases with air carriers in order to
allocate gate capacity to new entrants or to create common use gates,
unless such modification or elimination is implemented on a nationwide
basis.99 This language, which sets the commercial framework for Love
Field operations, further underscores the importance of the specific terms
of the Lease. See Al Rushaid v. National Oilwell Varco, Inc., 757 F.3d 416, 41921 (5th Cir. 2014) (emphasizing the importance of commercial context in
contract interpretation) (citing Houston Expl. Co. v. Wellington Underwriting
Agencies, Ltd., 352 S.W.3d 462, 469 (Tex. 2011)).

ROA.7624.
99 ROA.7625 5(e)(2)(B)(ii).
98

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Southwest did not breach the unambiguous terms of the


Lease.

A contract claim requires proof of breach and resulting harm. See, e.g.,
Natl Health Res. Corp. v. TBF Financial, 429 S.W.3d 125, 131 (Tex. App.
Dallas 2014, no pet.). Southwest did not breach the Lease when Delta
requested

accommodation,

as

Deltas

flights

were

voluntarily

accommodated at Love Field, consistently, through June 2015. See supra


p. 16. And Southwest did not anticipatorily breach in June 2015. As shown
above, under the plain terms of the Lease:
1.

Southwest only has to let an airline use its gates if, at that time,
it has no scheduled use;

2.

Delta has no right to accommodation if its proposed schedule


would unduly interfere with Southwests operating schedule;
and

3.

Deltas anticipated August 2015 schedule unduly interfered


with Southwests schedule, because at that time, Southwest
needed full access to its gates in order to implement its own
plans for additional flights.

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Because Southwest was fully using its gates as of August 9, it had no


accommodation obligation then, and could not have breached the Lease as
to Deltas accommodation request.100
Most important, as set forth above, Southwest had no obligation to
grant a request for voluntary accommodation. Any enforceable obligation
could arise only if the City ordered Southwest to accommodate Delta under
the procedure in Section 4.06.f which has not occurred. Thus, Southwest
is not in breach of the Lease, as a matter of law.
c)

At the very least, the district court erred as a matter of


law by imposing a perpetual accommodation, without
regard to Southwests right to expand service.

Even if the district court was justified in finding that Southwest


breached an obligation to accommodate Delta at the time of the original
accommodation request, there is no basis for its additional ruling that such
an obligation continues perpetually. At the very least, any accommodation
obligation expired on August 9, 2015, when Southwest reached full
capacity in its usage of its preferential use gates at Love Field.

At the district courts insistence, Southwest continued to accommodate Delta even


after June, through and after the preliminary injunction hearing. See supra p. 18.
100

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Specifically, the district court found that Southwests operating


schedule was fixed at the time of Deltas request and cannot be expanded
later to defeat Deltas right to accommodation; or, in its words: Southwest
cannot ramp up its flight schedule to thwart the pending accommodation
request by Delta.101 The necessary converse of this holding is that Delta (a
nonparty) can thwart (and in perpetuity, prevent) Southwests full use
simply by requesting accommodation at any point before Southwest has
achieved full use of the gates. This conclusion cannot be correct. It would
be absurd for Southwest to be permanently excluded from use of its
preferentially-leased gates based on a snapshot taken at a single moment in
time, even if Southwest subsequently decided to expand its own schedule
to use the space on which Delta was initially accommodated.
The district courts conclusion is incompatible with the unambiguous
provision that Southwest will have priority in use of the leased gates,102
the provision that an accommodation can only occur at such times that will
not unduly interfere with Southwests scheduled use, and the provision
that in no event shall [accommodated] use by others take precedence over

ROA.6178.
102 ROA.7246 4.06.F.4.a.
101

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[Southwests] scheduled use.103 The only acceptable reading, under the


plain language of the Lease, is to determine the right to accommodation
based on Southwests schedules on a rolling basis as they are published.
This reading draws support from Section 4.06.F, which states that in
order to facilitate the accommodation procedure outlined in that section
(for the City), Airline shall provide City with a monthly report tracking
Airlines Gate assignment and Gate usage data.104 This requirement
strongly implies that accommodation decisions will be continually
reassessed based on monthly utilization data. See also supra pp. 10-11
(witnesses explaining preferential lease rights).
The district court did not explain the basis for its decision to the
contrary; indeed, its holding on this point is not entirely clear. Although
the district court appears to hold that the undue interference decision
turns on published schedules at the time the accommodation request is
made,105 the court proceeded to evaluate evidence in the record
concerning Southwests schedules at several dates after the original request

ROA.7244 4.06(C).
104 ROA.7245-46 4.06.F.
105 ROA.6175.
103

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for accommodation.106 It is not clear whether the district court considered


these different dates material but it is very clear that the courts definition
of undue interference would be satisfied by the evidence that Southwest
announced its intention to increase flight operations to full capacity on
February 26, 2015 (for service effective August 9, 2015).107 The district court
simply refused to give effect to that evidence for the unsupported reason
that Southwest cannot ramp up its flight schedule to thwart the pending
accommodation request by Delta.108 There is neither legal authority nor
logical analysis in the district courts order to support this conclusion.
In short, the district court seems to have turned Section 4.06(F)
upside down. It held the preferential use rights are subject to the
accommodation provision contained in the Lease Agreement,109 when the
Lease expressly (and repeatedly) provides the reverse that the
accommodation obligation is subject to Southwests preferential use rights.
Moreover, such an accommodation obligation makes no sense in the
unique commercial context of Love Field, which must guide any

ROA.6175-77.
107 See ROA.6177; see also ROA.7818.
108 ROA.6178.
109 ROA.6177.
106

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interpretation of the Lease. See Al Rushaid, 757 F.3d at 421; Columbia Gas
Transmission Corp. v. New Ulm Gas, Ltd., 940 S.W.2d 587, 591 (Tex. 1996)
(interpreting contract when it is undisputed that the parties knew that a
huge volume of gas would be deregulated five years in the future).
When Southwest bargained for preferential use rights, it bargained
for the right to use its Love Field gates fully after WARA took full effect
(and shouldered the accompanying risk that passenger demand would not
increase). Consistent with its preferential use rights, Southwest planned
as the City and Delta knew to fully use its gates before Delta ever
requested accommodation. See supra pp. 12-13. Accommodation of Delta
may have been appropriate prior to Southwests full expansion, and Delta
in fact was accommodated during that time voluntarily, by Southwest
and United. But Delta had no right to extend that accommodation
indefinitely.
Indeed, the district courts conclusion, taken to its logical extreme,
would give Delta more rights to gate use an open-ended, permanent right
than Southwest, the actual leaseholder, who remains subject not only to
the specific terms and obligations of the Lease, but now also Deltas whim.
That result is inconsistent with a wide range of Texas cases about the
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appropriate scope of derivative contract rights.110 See generally Tenneco,


Inc. v. Enterprise Prods. Co., 925 S.W.2d 640, 646 (Tex. 1996) (We have long
held that courts will not rewrite agreements to insert provisions parties
could have included or to imply restraints for which they have not
bargained.).
B.

The Citys declaratory judgment claim does not create a basis for
injunctive relief.
In addition to ruling on Deltas claims, the district court concluded

that even if the Court could not grant Deltas motion, the City was
entitled to an injunction because it asks the Court to declare what the City
is required to do and will prevail on its declaratory judgment claims
once the Court determines and declares the Citys rights and
responsibilities pertaining to accommodation requests.111 But as with

See Bynum v. Prudential Resid. Serv., 129 S.W.3d 781, 793 (Tex. App.Houston [1st
District.] 2004, no pet.) ([A] third-party beneficiary will not have greater rights under a
contract than the party who bargained for their benefit.); Equitable Recovery, LP v.
Health Ins. Brokers of Texas, LP, 235 S.W.3d 376, 387 (Tex. App.Dallas 2007, pet. denied)
(Assignees stand in the shoes of their assignors and have no greater rights.);
(Cockrell v. Republic Mortgage Ins. Co., 817 S.W.2d 106, 113 (Tex. App.Dallas 1991, no
writ)) (A subrogee can have no greater rights than its subrogor.); Meyer v. WMCO-GP,
LLC, 211 S.W.3d 302, 306 (Tex. 2006) (Equitable estoppel cannot give non-parties a
greater right to arbitration than the parties themselves have.).
111 ROA.6186-87.
110

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Deltas claims, the Citys declaratory judgment claim fails to support the
preliminary injunction.
Fundamentally, if Delta did not establish a likelihood of success on
the merits, then there is no basis for an injunction in Deltas favor, no
matter who brings the claim. But the City is particularly ill-suited to bring
such a claim, as it has made no decision to require accommodation, and
thus not triggered any obligation by Southwest to honor such a request.
This undisputed fact has three legal consequences, each of which shows
that the City has no likelihood of success on a claim to enjoin Southwest.
First, the Citys claim is not ripe, because nothing has happened that
could justify such an injunction. See In re Boyd Veigel, P.C., 575 Fed. Appx
393, 396-97 (5th Cir. 2014) (dismissing, on ripeness grounds, a dispute
about a trustees fee because he had not yet demanded a fee, or threatened
legal action to recover a fee).
Second, in the language of contract law, the condition precedent to
any partys performance has not yet occurred. See Hohenberg Bros. Co. v.
George E. Gibbons & Co., 537 S.W.2d 1, 3 (Tex. 1976). Southwest cannot be in
breach of a conditional obligation that it is not yet required to perform.

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Third, the City cannot even establish standing to sue on this claim. Of
course, the City has standing to enforce at least some provisions of the
Lease against Southwest. But standing is not dispensed in gross. Lewis v.
Casey, 518 U.S. 343, 358 n.6 (1996). A plaintiff must have standing for each
claim and form of relief requested. See DaimlerChrysler Corp. v. Cuno, 547
U.S. 332, 352, (2006); Friends of the Earth, Inc. v. Laidlaw Envtl. Services (TOC),
Inc., 528 U.S. 167, 185 (2000). And one aspect of the standing requirements
is that parties opposite each other must have adverse legal interests.
MedImmune, Inc. v. Genentech, Inc., 549 U.S. 118, 127 (2007). But here, as the
district court summarized: The City simply moves for some sort of
injunctive relief, whatever the Court determines that to be, while the legal
issues are decided.112 The Citys only alleged injury arises from a lack of
any injunctive relief, not injunctive relief against Southwest, and this
allegation does not confer standing.
Additionally, the plaintiffs asserted injury must be fairly traceable
to the challenged action of the defendant. McCardell v. U.S. Dept. of
ROA.6166; see also ROA.475 (Citys request that the court grant the SWA TRO
Motion and grant the City's cross-motion for TRO by granting the same relief as sought
by the SWA TRO Motion). Only in the alternative did the City move for a TRO
allowing Delta to continue using Southwest's Love Field gates temporarily and barring
others from interfering in that temporary use. Id.
112

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Hous. & Urban Dev., 794 F.3d 510, 517 (5th Cir. 2015). Again, the Citys
alleged injury flows solely from its own decision to not require
accommodation,113 rather than any action by Southwest, so this
requirement is not satisfied either.114 The Citys claims are simply a tagalong to those asserted by Deltas, and do not create a basis for issuing
injunctive relief.
C.

The district court erred by not granting a preliminary injunction to


Southwest.
Once the district courts error regarding Deltas claims for breach of

the Lease and Declaratory Judgment are cured, Delta has no right to use
the preferential use gates and there is no basis to avoid the conclusion that
Southwest is entitled to a preliminary injunction on its trespass claim. Delta
said it would keep using Southwests preferential use gates after its license
expired.115 Those statements threaten trespass. See Beathard Joint Venture v.
W. Hous. Airport Corp., 72 S.W.3d 426, 432 (Tex. App.Texarkana 2002, no
pet.) (holding that an airport licensee committed a trespass by continuing
See ROA.6186 (Because the City has refused to take action on Deltas
accommodation request, the Court is forced to impose some sort of injunctive relief to
maintain order at Love Field.).
114 Southwest does not contend that the City lacks standing to bring its other declaratory
judgment claims against the DOT and FAA. Southwest takes no position on that issue,
and none of those claims are before the Court in this appeal.
115 ROA.261-62; see also ROA.72-73; ROA.1517-18.
113

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to use the licensed premises after its license expired). An injunction is the
remedy for such a threat:
It is settled policy that a person in possession of lands, using
and enjoying them will be protected from wrongful attempts by
others to invade the possession, or to destroy its use and
enjoyment. Such invasions have no plain and adequate remedy
except by injunction.
Cargill v. Buie, 343 S.W.2d 746, 749 (Tex. Civ. App.Texarkana 1960, writ
refd n.r.e.); Aguilar v. Trujillo, 162 S.W.3d 839, 851 (Tex. App.El Paso
2005, pet. denied) (Injunction is a proper remedy to restrain repeated or
continuing trespasses.); OConnor v. Smith, 427 Fed. Appx 359, 366-68 (5th
Cir. 2011) (affirming injunction against trespasser).
The district court said that there can be no trespass on preferential
use gates.116

It did not cite authority for that statement and there is

none.117 Under Texas law, a trespassers invasion of the plaintiffs property


is irreparable injury. See, e.g., Beathard, 72 S.W.3d at 432 (holding, as to an
airport gate license, that where a trespass invades the possession of a
persons land . . . the requirements of no adequate remedy at law and
ROA.6185. To the extent the district court meant to refer only to a preferential use
gate subject to a valid accommodation request, that argument is addressed elsewhere.
117 Texas law controls whether certain injuries qualify as irreparable for the purposes
of granting a preliminary injunction. Heil Trailer Intl Co. v. Kula, 542 Fed. Appx 329,
335 (5th Cir. 2013).
116

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irreparable damage are satisfied.); see also Opulent Life Church v. City of
Holly Springs, 697 F.3d 279, 297 (5th Cir. 2012) (potential loss of leasehold
interest established a substantial threat of irreparable harm).
Southwest also proved the other requirements for an injunction.
Delta has no private interest in someone elses private property no matter
how many flights Southwest should make from that property, or what
other operational or regulatory limits may exist. See Town of Flower Mound
v. Stafford Estates, 135 S.W.3d 620, 634 (Tex. 2004) ([T]he right to exclude
others . . . [is] one of the most essential sticks in the bundle of rights that
are commonly characterized as property. (quoting Dolan v. City of Tigard,
512 U.S. 374, 393 (1994)). And [c]learly, it is not against the public interest
to prevent further trespass in contravention of the states laws. OConnor,
427 Fed. Appx at 367.
Southwest proved its right to an injunction by establishing its
preferential property rights. See Beathard, 72 S.W.3d at 432 (affirming
permanent injunction when the Airport presented summary judgment
proof that it is the owner of the runway and taxiways, that [Defendant]s
license agreement expired January 1, 2000, and that [Defendant] continued
to use and allowed its tenants to use the runway and taxiways after
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January 1, 2000). Should additional proof be necessary, the record shows


far more; Southwest witness Bob Montgomery testified unrebutted about
three specific ways that continued accommodation of Deltas flights will
continue to harm Southwest network-wide delays, worsened customer
service, and accidents.
First, accommodating Deltas flights causes significant delays
throughout Southwests overall network.118 Mr. Montgomery testified that
since August 9, on most days Southwest flights coming to Love Field have
had to pull up short and hold anywhere from five minutes to . . . 57
minutes to wait for that gate to clear.119 These delays not only frustrate
Southwest travelers stuck on the runway, but impact the whole Southwest
network because those held out airplanes go on from Dallas to other
destinations, which means that airplane is going from place to place to
place all day long without a whole lot of recovery period.120 This, in turn,
delays Southwest passengers and flights across the country.121 Indeed,
Deltas own documents note that as airlines try to cram more flights into

ROA.6929:23-6936:1.
119 ROA.6934:9-13.
120 ROA.6934:14-23.
121 ROA.6934:23-25.
118

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[ ] existing gates, they will incur more gate changes, gate holdouts, delays,
and taxiway congestion.122
Second, Mr. Montgomery testified that accommodating Deltas flights
has damaged Southwests customer service reputation.123 When flights are
held out because overcrowded gates are occupied, Southwest must either
let the connecting flight leave without the customer still on the held-out
flight, or delay the departure of the connecting flight.124 Either way, the risk
of checked baggage missing the connection goes up, and Southwests
customer service reputation is harmed.
Third, Mr. Montgomery explained that accommodating Deltas
flights increases the risk of accidents, damaged equipment, and injuries to
employees on the aircraft ramp.125 Between August 9, 2015 and
September 29, 2015, there were two instances of equipment damage at the
gate Southwest shares with Delta.126 Although the risks of injury or
property damage are always present on an airport ramp, those risks
multiply when the number of turns per gate increases, and multiply even
ROA.6541:4-6542:3; ROA.9058.
123 ROA.6935:2-6936:8.
124 ROA.6935:2-15.
125 ROA.6936:9-23.
126 ROA.6936:24-6937:16.
122

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more when employees of two different airlines must coordinate transitions


throughout the day.127 Southwests accommodation of Delta has meant that
safety margins are being diminished, [and] risk is going up.128
Every case the district court cited about loss of goodwill or lost
business for Delta129 actually shows why Southwest has suffered
irreparable harm. Denying Southwest the use of its leased gates without
interference means Southwest loses the opportunity to do business at those
gates, and is thus harmed. The trial courts construction is, in essence, a
forfeiture of Southwests express rights, contrary to a basic principle of
Texas contract law. See, e.g., Mathis v. DCR Mortgage III Sub I, LLC, 389
S.W.3d 494, 507 (Tex. App.El Paso 2012, no pet.) ([P]reference should be
given to that construction which will avoid forfeiture.). Southwest proved
that the Lease gave it valid, enforceable, preferential use rights, and the
district court erred by concluding otherwise.
If this Court concludes that the district court erred in its construction
of the Lease, but has concerns about the effect on Delta of an injunction in
favor of Southwest, Southwest stands ready to make every reasonable
ROA.6937:24-6938:15; see also ROA.6939:14-24.
128 ROA.6939:10-11.
129 ROA.6182.
127

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concession. Specifically, it will readily agree to a thirty-day transition


period to allow the necessary logistical arrangements to be made to
facilitate a smooth operational transfer.
Clearly, the trial court fundamentally disapproved of what Congress
did in WARA. But its ruling was not the right way to show that
disapproval. When a statute has unambiguous terms, judicial inquiry is
complete. Phillips v. Marine Concrete Structures, Inc., 895 F.2d 1033, 1035
(5th Cir. 1990) (en banc) (quoting Rubin v. United States, 449 U.S. 424, 430
(1981)). This Court take[s] the intent of Congress . . . to be that which its
language clearly sets forth, because it cannot doubt that Congress meant
what it said. Id. (quoting Horton v. Liberty Mutual Ins. Co., 367 U.S. 348, 352
(1961) and Northbrook Nat'l Ins. Co. v. Brewer, 110 S. Ct. 297, 299 (1989)). The
district courts denial of Southwests application for preliminary injunction,
based on its disapproval of WARA, was a judicial assignment of
Southwests rights to Delta that simply went too far. See Commr of Internal
Revenue v. Mercantile Natl Bank, 276 F.2d 58, 63 (5th Cir. 1960) (reminding
that even if the trial court disagreed with the law, [T]he remedy lies with
the law making authority, and not with the courts.).
CONCLUSION
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For the foregoing reasons, Appellant respectfully requests that this


Court vacate the district courts preliminary injunction in favor of Delta,
grant the preliminary injunction in favor of Southwest, and remand for
further proceedings consistent with that ruling, and otherwise grant such
relief to Appellant as is just and proper.

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Respectfully submitted,
/s/ Eric W. Pinker, P.C.
Eric W. Pinker, P.C.
Texas Bar No. 16016550
epinker@lynnllp.com
David S. Coale
Texas Bar No. 00787255
dcoale@lynnllp.com
Kent D. Krabill
Texas Bar No. 24060115
kkrabill@lynnllp.com
Britta Erin Stanton
Texas Bar No. 24036976
bstanton@lynnllp.com
LYNN PINKER COX & HURST, LLP
2100 Ross Avenue, Suite 2700
Dallas, Texas 75201
214-981-3800 - Telephone
214-981-3839 Facsimile
Russell S. Post
Texas Bar No. 00797258
rpost@beckredden.com
BECK REDDEN LLP
1221 McKinney St., Suite 4500
Houston, Texas 77010
713-951-6292 Telephone
713-951-3720 Facsimile
Attorneys for Appellant
Southwest Airlines Co.

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CERTIFICATE OF SERVICE
The undersigned certifies that on April 22, 2016, the foregoing
Petition was filed with the Clerk for the United States Court of Appeals for
the Fifth Circuit, and that all counsel of record were served by electronic
means on that same date.
/s/ David S. Coale
David S. Coale

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CERTIFICATE OF COMPLIANCE
This brief complies with the type-volume limitation of Fed. R. App. P.
32(a)(7)(B) because this brief contains 12,408 words, excluding the parts of
the brief exempted by Fed R. App. P. 32(a)(7)(B)(iii). This brief complies
with the typeface requirements of Fed. R. App. P. 32(a)(5) and the type
style requirements of Fed. R. App. P. 32(a)(6) because this brief has been
prepared in a proportionally spaced typeface using Microsoft Word in
Palatino 14-point for text; 12-point for footnotes.
April 22, 2016
/s/ David S. Coale
David S. Coale
Attorney of Record for Appellant
4836-9673-7583, v. 13

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No. 16-10051

In the
United States Court of Appeals
for the Fifth Circuit

City of Dallas,
Plaintiff/Appellee,
v.
Delta Air Lines, Inc.,
Defendant/Appellee,
v.
Southwest Airlines Co.,
Defendant/Appellant.

APPELLANTS RECORD EXCERPTS

Eric W. Pinker, P.C.


David S. Coale
Kent D. Krabill
Britta Erin Stanton
LYNN PINKER COX & HURST, LLP
2100 Ross Avenue, Suite 2700
Dallas, Texas 75201

Russell S. Post
BECK REDDEN LLP
1221 McKinney St., Suite 4500
Houston, Texas 77010

Attorneys for Appellant


Southwest Airlines Co.

Case: 16-10051

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Date Filed: 04/22/2016

INDEX
TAB

Date

1.

Description

PAGE NO.

DOCKET
NO.
N/A

District Court Docket Sheet for


3:15-cv-02069-K

ROA 1-36
ROA 62056206
ROA 61506191

261

ROA 72087218
ROA 72197295

266-1

ROA 76237625

266-6

2.

01/19/16

Notice of Appeal

3.

01/08/16

Memorandum Opinion and


Order

4.

07/11/06

Five Party Agreement

5.

02/13/09

Amended and Restated Lease


of Terminal Building Premises
between City of Dallas and
Southwest Airlines Co.

6.

10/13/06

Wright Amendment Reform


Act of 2006

257

266-2

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DATED: April 22, 2016

Page: 3

Date Filed: 04/22/2016

Respectfully submitted,
/s/ Eric W. Pinker, P.C.
Eric W. Pinker, P.C.
Texas Bar No. 16016550
epinker@lynnllp.com
David S. Coale
Texas Bar No. 00787255
dcoale@lynnllp.com
Kent D. Krabill
Texas Bar No. 24060115
kkrabill@lynnllp.com
Britta Erin Stanton
Texas Bar No. 24036976
bstanton@lynnllp.com
LYNN PINKER COX & HURST, LLP
2100 Ross Avenue, Suite 2700
Dallas, Texas 75201
214-981-3800 - Telephone
214-981-3839 Facsimile
Russell S. Post
Texas Bar No. 00797258
rpost@beckredden.com
BECK REDDEN LLP
1221 McKinney St., Suite 4500
Houston, Texas 77010
713-951-6292 Telephone
713-951-3720 Facsimile
Attorneys for Appellant
Southwest Airlines Co.

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CERTIFICATE OF SERVICE
The undersigned hereby certifies that a true and correct copy of the
foregoing document was served via the Courts ECF system on counsel of record
on April 22, 2016.

/s/ Eric W. Pinker, P.C.


Eric W. Pinker

4820-7761-0032, v. 1

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APPEAL,CLOSED,EXH-ADM,HORAN,JURY,STAYED

U.S. District Court


Northern District of Texas (Dallas)
CIVIL DOCKET FOR CASE #: 3:15-cv-02069-K
City of Dallas v. Delta Airlines Inc et al
Assigned to: Judge Ed Kinkeade
Case in other court: USCA5, 16-10051
Cause: 05:551 Administrative Procedure Act

Date Filed: 06/17/2015


Date Terminated: 01/28/2016
Jury Demand: Defendant
Nature of Suit: 899 Other Statutes:
Administrative Procedure Act/Review or
Appeal of Agency Decision
Jurisdiction: U.S. Government Defendant

Plaintiff
City of Dallas

represented by Peter B Haskel


Dallas City Attorney's Office
1500 Marilla St
7th Floor
Dallas, TX 75201
214/670-3038
Email: peter.haskel@dallascityhall.com
LEAD ATTORNEY
ATTORNEY TO BE NOTICED
Bar Status: Admitted/In Good Standing
Charles Estee
Dallas City Attorney's Office
1500 Marilla St
7th Floor
Dallas, TX 75201
214/670-3519
Fax: 214/670-0622 FAX
Email: charles.estee@dallascityhall.com
ATTORNEY TO BE NOTICED
Bar Status: Admitted/In Good Standing
Christopher J Caso
Dallas City Attorney's Office
1500 Marilla St
7th Floor
Dallas, TX 75201
214/670-3508
Fax: 214/670-0622 FAX
Email: chris.caso@dallascityhall.com
ATTORNEY TO BE NOTICED
Bar Status: Admitted/In Good Standing
Jennifer A Brissette
City of Dallas
1500 Marilla St.
Suite 7DN
16-10051.1

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Dallas, TX 75201-6776
214-671-5004
Fax: 214-670-0622
Email: jennifer.brissette@dallascityhall.com
ATTORNEY TO BE NOTICED
Bar Status: Admitted/In Good Standing
Matthew Kablan Saliba
Dallas City Attorney's Office
1500 Marilla Street
7DN
Dallas, TX 75201
214-850-5935
Fax: 214-670-0622
Email: matthew.saliba@dallascityhall.com
ATTORNEY TO BE NOTICED
Bar Status: Admitted/In Good Standing
Petrina Lucretia Thompson
Dallas City Attorney's Office
1500 Marilla Street
Suit 7BN
Dallas, TX 75201
214-671-5003
Fax: 214-670-0622
Email: petrina.thompson@dallascityhall.com
ATTORNEY TO BE NOTICED
Bar Status: Admitted/In Good Standing
Stacy Jordan Rodriguez
Dallas City Attorney's Office
1500 Marilla Street
Suite 7DN
Dallas, TX 75201
214-670-3519
Fax: 214-670-0622
Email: stacy.rodriguez@dallascityhall.com
ATTORNEY TO BE NOTICED
Bar Status: Admitted/In Good Standing

V.
Defendant
Delta Air Lines Inc

represented by William B Dawson


Gibson Dunn & Crutcher LLP
2100 McKinney Ave
Suite 1100
Dallas, TX 75201
214/698-3100
Fax: 214/571-2900
Email: wdawson@gibsondunn.com
LEAD ATTORNEY
16-10051.2

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ATTORNEY TO BE NOTICED
Bar Status: Admitted/In Good Standing
Ashley Elizabeth Johnson
Gibson Dunn & Crutcher LLP
2100 McKinney Ave., Ste 1100
Dallas, TX 75201
214/698-3100
Fax: 214/571-2900
Email: ajohnson@gibsondunn.com
ATTORNEY TO BE NOTICED
Bar Status: Admitted/In Good Standing
Jennifer Trock
Pillsbury Winthrop Shaw Pittman LLP
1200 Seventeenth St NW
Washington, DC 20036
202-663-9179
Fax: 202-663-8007
Email: jennifer.trock@pillsburylaw.com
PRO HAC VICE
ATTORNEY TO BE NOTICED
Bar Status: Not Admitted
Karl G Nelson
Gibson Dunn & Crutcher
2100 McKinney Ave
Suite 1100
Dallas, TX 75201
214/698-3203
Fax: 214/571-2945
Email: knelson@gibsondunn.com
ATTORNEY TO BE NOTICED
Bar Status: Admitted/In Good Standing
Kenneth Quinn
Pillsbury Winthrop Shaw Pittman LLP
1200 Seventeenth St NW
Washington, DC 20036
202-663-8898
Fax: 202-663-8007
Email: kquinn@pillsburylaw.com
PRO HAC VICE
ATTORNEY TO BE NOTICED
Bar Status: Not Admitted
Robert C Walters
Gibson Dunn & Crutcher LLP
2100 McKinney Ave
Suite 1100
Dallas, TX 75201
214.698.3114
Fax: 214.571.2900
16-10051.3

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Date Filed: 04/22/2016

Email: RWalters@gibsondunn.com
TERMINATED: 06/29/2015
Bar Status: Admitted/In Good Standing
Russell H Falconer
Gibson, Dunn & Crutcher LLP
2100 McKinney Ave.
Suite 1100
Dallas, TX 75201
214-698-3170
Fax: 214-571-2958
Email: rfalconer@gibsondunn.com
ATTORNEY TO BE NOTICED
Bar Status: Admitted/In Good Standing
Defendant
Southwest Airlines Co

represented by Kent D Krabill


Lynn Tillotson Pinker & Cox LLP
2100 Ross Avenue, Suite 2700
Dallas, TX 75201
214/981-3800
Fax: 214/981-3839
Email: kkrabill@lynnllp.com
LEAD ATTORNEY
ATTORNEY TO BE NOTICED
Bar Status: Admitted/In Good Standing
Britta E Stanton
Lynn Tillotson Pinker & Cox LLP
2100 Ross Ave
Suite 2700
Dallas, TX 75201
214/981-3800
Fax: 214/981-3839
Email: bstanton@lynnllp.com
ATTORNEY TO BE NOTICED
Bar Status: Admitted/In Good Standing
Christopher W Patton
Lynn Tillotson Pinker & Cox LLP
2100 Ross Ave
Suite 2700
Dallas, TX 75201
214/981-3800
Fax: 214/981-3839
Email: cpatton@lynnllp.com
ATTORNEY TO BE NOTICED
Bar Status: Admitted/In Good Standing
Eric W Pinker
Lynn Tillotson Pinker & Cox LLP
2100 Ross Avenue, Suite 2700
Dallas, TX 75201
16-10051.4

Case: 16-10051

Document: 00513477355

Page: 9

Date Filed: 04/22/2016

214/981-3800
Fax: 214/981-3839
Email: epinker@lynnllp.com
ATTORNEY TO BE NOTICED
Bar Status: Admitted/In Good Standing
John T Cox , III
Lynn Tillotson Pinker & Cox LLP
2100 Ross Avenue, Suite 2700
Dallas, TX 75201
214/981-3805
Fax: 214/981-3839
Email: tcox@lynnllp.com
ATTORNEY TO BE NOTICED
Bar Status: Admitted/In Good Standing
Russell G. Herman
Lynn Tillotson Pinker & Cox LLP
2100 Ross Ave
Suite 2700
Dallas, TX 75201
214-981-3800
Fax: 214-981-3839
Email: rherman@lynnllp.com
ATTORNEY TO BE NOTICED
Bar Status: Admitted/In Good Standing
Stephen McClain Cole
LynnTillotsonPinkerCox, LLP
2100 Ross Avenue
Suite 2700
Dallas, TX 75201
214-981-3804
Fax: 214-981-3839
Email: scole@lynnllp.com
ATTORNEY TO BE NOTICED
Bar Status: Admitted/In Good Standing
Defendant
Virgin America Inc

represented by John Robert Robertson


Hogan Lovells US LLP
555 Thirteenth Street NW
Washington, DC 20001-1109
22/637-5774
Fax: 202/637-5910
Email: robby.robertson@hoganlovells.com
LEAD ATTORNEY
ATTORNEY TO BE NOTICED
Bar Status: Admitted/In Good Standing
Barry C Barnett
Susman Godfrey LLP
8115 Preston Road
16-10051.5

Case: 16-10051

Document: 00513477355

Page: 10

Date Filed: 04/22/2016

Suite 575
Dallas, TX 75225
866-754-1900
Email: bbarnett@susmangodfrey.com
ATTORNEY TO BE NOTICED
Bar Status: Admitted/In Good Standing
Defendant
American Airlines Inc

represented by Michael V Powell


Locke Lord LLP
2200 Ross Avenue, Ste 2200
Dallas, TX 75201-6776
214/740-8520
Fax: 214/740-8800
Email: mpowell@lockelord.com
LEAD ATTORNEY
ATTORNEY TO BE NOTICED
Bar Status: Admitted/In Good Standing
C Scott Jones
Locke Lord LLP
2200 Ross Ave
Suite 2800
Dallas, TX 75201-6776
214-740-8761
Email: sjones@lockelord.com
ATTORNEY TO BE NOTICED
Bar Status: Admitted/In Good Standing

Defendant
United Airlines Inc

represented by J Eric Gambrell


Akin Gump Strauss Hauer & Feld
1700 Pacific Ave
Suite 4100
Dallas, TX 75201-4618
214/969-2799
Fax: 214/969-4343 FAX
Email: egambrell@akingump.com
LEAD ATTORNEY
ATTORNEY TO BE NOTICED
Bar Status: Admitted/In Good Standing
John K Grantham
Akin Gump Strauss Hauer & Feld LLP
1111 Louisiana St
44th Floor
Houston, TX 77002
713/220-5800
Fax: 713/236-0822
Email: jgrantham@akingump.com
ATTORNEY TO BE NOTICED
Bar Status: Admitted/In Good Standing
16-10051.6

Case: 16-10051

Document: 00513477355

Page: 11

Date Filed: 04/22/2016

Defendant
Seaport Airlines Inc

represented by John Robert Robertson


Hogan Lovells US LLP
555 Thirteenth Street NW
Washington, DC 20001-1109
202/637-5774
Fax: 202/637-5910
Email: robby.robertson@hoganlovells.com
LEAD ATTORNEY
ATTORNEY TO BE NOTICED
Bar Status: Admitted/In Good Standing
Barry C Barnett
(See above for address)
ATTORNEY TO BE NOTICED
Bar Status: Admitted/In Good Standing

Defendant
United States Department of
Transportation

represented by David Michael Glass-DOJ


U.S. Dep't of Justice, Civ. Div., Fed. Progs.
Br.
20 Massachusetts Ave., N.W., Room 7200
Washington, DC 20530
202-514-4469
Email: david.glass@usdoj.gov
LEAD ATTORNEY
ATTORNEY TO BE NOTICED
Bar Status: Not Admitted
Susan K Ullman-DOJ
United States Department of Justice
20 Massachusetts Ave NW
Washington, DC 20530
202-616-0680
Fax: 202-616-8202
Email: susan.ullman@usdoj.gov
ATTORNEY TO BE NOTICED
Bar Status: Not Admitted

Defendant
Federal Aviation Administration

represented by David Michael Glass-DOJ


(See above for address)
LEAD ATTORNEY
ATTORNEY TO BE NOTICED
Bar Status: Not Admitted
Susan K Ullman-DOJ
(See above for address)
ATTORNEY TO BE NOTICED
Bar Status: Not Admitted

16-10051.7

Case: 16-10051

Document: 00513477355

Page: 12

Date Filed: 04/22/2016

Cross Claimant
Southwest Airlines Co

represented by Kent D Krabill


(See above for address)
LEAD ATTORNEY
ATTORNEY TO BE NOTICED
Bar Status: Admitted/In Good Standing
Britta E Stanton
(See above for address)
ATTORNEY TO BE NOTICED
Bar Status: Admitted/In Good Standing
John T Cox , III
(See above for address)
ATTORNEY TO BE NOTICED
Bar Status: Admitted/In Good Standing
Russell G. Herman
(See above for address)
ATTORNEY TO BE NOTICED
Bar Status: Admitted/In Good Standing
Stephen McClain Cole
(See above for address)
ATTORNEY TO BE NOTICED
Bar Status: Admitted/In Good Standing

V.
Cross Defendant
Delta Air Lines Inc

represented by William B Dawson


(See above for address)
LEAD ATTORNEY
ATTORNEY TO BE NOTICED
Bar Status: Admitted/In Good Standing
Jennifer Trock
(See above for address)
PRO HAC VICE
ATTORNEY TO BE NOTICED
Bar Status: Not Admitted
Karl G Nelson
(See above for address)
ATTORNEY TO BE NOTICED
Bar Status: Admitted/In Good Standing
Kenneth Quinn
(See above for address)
PRO HAC VICE
ATTORNEY TO BE NOTICED
Bar Status: Not Admitted
16-10051.8

Case: 16-10051

Document: 00513477355

Page: 13

Date Filed: 04/22/2016

Russell H Falconer
(See above for address)
ATTORNEY TO BE NOTICED
Bar Status: Admitted/In Good Standing
Counter Claimant
Southwest Airlines Co

represented by Kent D Krabill


(See above for address)
LEAD ATTORNEY
ATTORNEY TO BE NOTICED
Bar Status: Admitted/In Good Standing
Britta E Stanton
(See above for address)
ATTORNEY TO BE NOTICED
Bar Status: Admitted/In Good Standing
John T Cox , III
(See above for address)
ATTORNEY TO BE NOTICED
Bar Status: Admitted/In Good Standing
Russell G. Herman
(See above for address)
ATTORNEY TO BE NOTICED
Bar Status: Admitted/In Good Standing
Stephen McClain Cole
(See above for address)
ATTORNEY TO BE NOTICED
Bar Status: Admitted/In Good Standing

V.
Counter Defendant
City of Dallas

represented by Peter B Haskel


(See above for address)
LEAD ATTORNEY
ATTORNEY TO BE NOTICED
Bar Status: Admitted/In Good Standing
Charles Estee
(See above for address)
ATTORNEY TO BE NOTICED
Bar Status: Admitted/In Good Standing
Christopher J Caso
(See above for address)
ATTORNEY TO BE NOTICED
Bar Status: Admitted/In Good Standing

16-10051.9

Case: 16-10051

Document: 00513477355

Page: 14

Date Filed: 04/22/2016

Jennifer A Brissette
(See above for address)
ATTORNEY TO BE NOTICED
Bar Status: Admitted/In Good Standing
Matthew Kablan Saliba
(See above for address)
ATTORNEY TO BE NOTICED
Bar Status: Admitted/In Good Standing
Petrina Lucretia Thompson
(See above for address)
ATTORNEY TO BE NOTICED
Bar Status: Admitted/In Good Standing
Counter Claimant
Delta Air Lines Inc

represented by William B Dawson


(See above for address)
LEAD ATTORNEY
ATTORNEY TO BE NOTICED
Bar Status: Admitted/In Good Standing
Ashley Elizabeth Johnson
(See above for address)
ATTORNEY TO BE NOTICED
Bar Status: Admitted/In Good Standing
Jennifer Trock
(See above for address)
ATTORNEY TO BE NOTICED
Bar Status: Not Admitted
Karl G Nelson
(See above for address)
ATTORNEY TO BE NOTICED
Bar Status: Admitted/In Good Standing
Kenneth Quinn
(See above for address)
ATTORNEY TO BE NOTICED
Bar Status: Not Admitted
Robert C Walters
(See above for address)
TERMINATED: 06/29/2015
Bar Status: Admitted/In Good Standing
Russell H Falconer
(See above for address)
ATTORNEY TO BE NOTICED
Bar Status: Admitted/In Good Standing

16-10051.10

Case: 16-10051

Document: 00513477355

Page: 15

Date Filed: 04/22/2016

V.
Counter Defendant
City of Dallas

represented by Peter B Haskel


(See above for address)
LEAD ATTORNEY
ATTORNEY TO BE NOTICED
Bar Status: Admitted/In Good Standing
Charles Estee
(See above for address)
ATTORNEY TO BE NOTICED
Bar Status: Admitted/In Good Standing
Christopher J Caso
(See above for address)
ATTORNEY TO BE NOTICED
Bar Status: Admitted/In Good Standing
Jennifer A Brissette
(See above for address)
ATTORNEY TO BE NOTICED
Bar Status: Admitted/In Good Standing
Matthew Kablan Saliba
(See above for address)
ATTORNEY TO BE NOTICED
Bar Status: Admitted/In Good Standing
Petrina Lucretia Thompson
(See above for address)
ATTORNEY TO BE NOTICED
Bar Status: Admitted/In Good Standing

Cross Claimant
Delta Air Lines Inc

represented by William B Dawson


(See above for address)
LEAD ATTORNEY
ATTORNEY TO BE NOTICED
Bar Status: Admitted/In Good Standing
Ashley Elizabeth Johnson
(See above for address)
ATTORNEY TO BE NOTICED
Bar Status: Admitted/In Good Standing
Jennifer Trock
(See above for address)
ATTORNEY TO BE NOTICED
Bar Status: Not Admitted
Karl G Nelson
16-10051.11

Case: 16-10051

Document: 00513477355

Page: 16

Date Filed: 04/22/2016

(See above for address)


ATTORNEY TO BE NOTICED
Bar Status: Admitted/In Good Standing
Kenneth Quinn
(See above for address)
ATTORNEY TO BE NOTICED
Bar Status: Not Admitted
Robert C Walters
(See above for address)
TERMINATED: 06/29/2015
Bar Status: Admitted/In Good Standing
Russell H Falconer
(See above for address)
ATTORNEY TO BE NOTICED
Bar Status: Admitted/In Good Standing

V.
Cross Defendant
Southwest Airlines Co

represented by Kent D Krabill


(See above for address)
LEAD ATTORNEY
ATTORNEY TO BE NOTICED
Bar Status: Admitted/In Good Standing
Britta E Stanton
(See above for address)
ATTORNEY TO BE NOTICED
Bar Status: Admitted/In Good Standing
John T Cox , III
(See above for address)
ATTORNEY TO BE NOTICED
Bar Status: Admitted/In Good Standing
Russell G. Herman
(See above for address)
ATTORNEY TO BE NOTICED
Bar Status: Admitted/In Good Standing
Stephen McClain Cole
(See above for address)
ATTORNEY TO BE NOTICED
Bar Status: Admitted/In Good Standing

Counter Claimant
Delta Air Lines Inc

represented by William B Dawson


(See above for address)
LEAD ATTORNEY
16-10051.12

Case: 16-10051

Document: 00513477355

Page: 17

Date Filed: 04/22/2016

ATTORNEY TO BE NOTICED
Bar Status: Admitted/In Good Standing
Ashley Elizabeth Johnson
(See above for address)
ATTORNEY TO BE NOTICED
Bar Status: Admitted/In Good Standing
Jennifer Trock
(See above for address)
ATTORNEY TO BE NOTICED
Bar Status: Not Admitted
Karl G Nelson
(See above for address)
ATTORNEY TO BE NOTICED
Bar Status: Admitted/In Good Standing
Kenneth Quinn
(See above for address)
ATTORNEY TO BE NOTICED
Bar Status: Not Admitted
Robert C Walters
(See above for address)
TERMINATED: 06/29/2015
Bar Status: Admitted/In Good Standing
Russell H Falconer
(See above for address)
ATTORNEY TO BE NOTICED
Bar Status: Admitted/In Good Standing

V.
Counter Defendant
Southwest Airlines Co

represented by Kent D Krabill


(See above for address)
LEAD ATTORNEY
ATTORNEY TO BE NOTICED
Bar Status: Admitted/In Good Standing
Britta E Stanton
(See above for address)
ATTORNEY TO BE NOTICED
Bar Status: Admitted/In Good Standing
John T Cox , III
(See above for address)
ATTORNEY TO BE NOTICED
Bar Status: Admitted/In Good Standing

16-10051.13

Case: 16-10051

Document: 00513477355

Page: 18

Date Filed: 04/22/2016

Russell G. Herman
(See above for address)
ATTORNEY TO BE NOTICED
Bar Status: Admitted/In Good Standing
Stephen McClain Cole
(See above for address)
ATTORNEY TO BE NOTICED
Bar Status: Admitted/In Good Standing
Cross Claimant
Delta Air Lines Inc

represented by William B Dawson


(See above for address)
LEAD ATTORNEY
ATTORNEY TO BE NOTICED
Bar Status: Admitted/In Good Standing
Ashley Elizabeth Johnson
(See above for address)
ATTORNEY TO BE NOTICED
Bar Status: Admitted/In Good Standing
Jennifer Trock
(See above for address)
ATTORNEY TO BE NOTICED
Bar Status: Not Admitted
Karl G Nelson
(See above for address)
ATTORNEY TO BE NOTICED
Bar Status: Admitted/In Good Standing
Kenneth Quinn
(See above for address)
ATTORNEY TO BE NOTICED
Bar Status: Not Admitted
Robert C Walters
(See above for address)
TERMINATED: 06/29/2015
Bar Status: Admitted/In Good Standing
Russell H Falconer
(See above for address)
ATTORNEY TO BE NOTICED
Bar Status: Admitted/In Good Standing

V.
Cross Defendant
Southwest Airlines Co

represented by Kent D Krabill


(See above for address)
16-10051.14

Case: 16-10051

Document: 00513477355

Page: 19

Date Filed: 04/22/2016

LEAD ATTORNEY
ATTORNEY TO BE NOTICED
Bar Status: Admitted/In Good Standing
Britta E Stanton
(See above for address)
ATTORNEY TO BE NOTICED
Bar Status: Admitted/In Good Standing
John T Cox , III
(See above for address)
ATTORNEY TO BE NOTICED
Bar Status: Admitted/In Good Standing
Russell G. Herman
(See above for address)
ATTORNEY TO BE NOTICED
Bar Status: Admitted/In Good Standing
Stephen McClain Cole
(See above for address)
ATTORNEY TO BE NOTICED
Bar Status: Admitted/In Good Standing
Cross Defendant
represented by J Eric Gambrell
(See above for address)
LEAD ATTORNEY
ATTORNEY TO BE NOTICED
Bar Status: Admitted/In Good Standing

United Airlines Inc

John K Grantham
(See above for address)
ATTORNEY TO BE NOTICED
Bar Status: Admitted/In Good Standing

Date Filed

06/17/2015

1 (p.37)

06/17/2015

2 (p.120)

Docket Text
COMPLAINT against All Defendants filed by City of Dallas. (Filing fee $400;
Receipt number 0539-6873976) Clerk to issue summons(es). In each Notice of
Electronic Filing, the judge assignment is indicated, and a link to the Judges
Copy Requirements is provided. The court reminds the filer that any required
copy of this and future documents must be delivered to the judge, in the manner
prescribed, within three business days of filing. Unless exempted, attorneys who
are not admitted to practice in the Northern District of Texas must seek
admission promptly. Forms, instructions, and exemption information may be
found at www.txnd.uscourts.gov, or by clicking here: Attorney Information Bar Membership. If admission requirements are not satisfied within 21 days, the
clerk will notify the presiding judge. (Haskel, Peter) (Entered: 06/17/2015)
CERTIFICATE OF INTERESTED PERSONS/DISCLOSURE STATEMENT
by City of Dallas. (Haskel, Peter) (Entered: 06/17/2015)
16-10051.15

Case: 16-10051

Document: 00513477355

Page: 20

Date Filed: 04/22/2016

06/17/2015

3 (p.122)

New Case Notes: A filing fee has been paid. File to Judge Kinkeade. Pursuant to
Misc. Order 6, Plaintiff is provided the Notice of Right to Consent to Proceed
Before A U.S. Magistrate Judge (Judge Horan). Clerk to provide copy to plaintiff
if not received electronically. (axm) (Entered: 06/18/2015)

06/18/2015

4 (p.124)

Summons Issued as to American Airlines Inc, Delta Airlines Inc, Seaport


Airlines Inc, Southwest Airlines Co, United Airlines Inc, Virgin America Inc.
(axm) (Entered: 06/18/2015)

06/18/2015

5 (p.136)

Summons issued as to Federal Aviation Administration, United States


Department of Transportation, U.S. Attorney, and U.S. Attorney General. (axm)
(Entered: 06/18/2015)

06/18/2015

6 (p.148)

ADDITIONAL ATTACHMENTS to 1 (p.37) Complaint (Civil Cover Sheet) by


Plaintiff City of Dallas. (Haskel, Peter) Modified on 6/19/2015 (gr). (Entered:
06/18/2015)

06/19/2015

8 (p.149)

ANSWER to 1 (p.37) Complaint with Jury Demand filed by Southwest Airlines


Co. Unless exempted, attorneys who are not admitted to practice in the Northern
District of Texas must seek admission promptly. Forms and Instructions found at
www.txnd.uscourts.gov, or by clicking here: Attorney Information - Bar
Membership. If admission requirements are not satisfied within 21 days, the
clerk will notify the presiding judge. CROSSCLAIM against Delta Airlines Inc
filed by Southwest Airlines Co (Krabill, Kent) (Entered: 06/19/2015)

06/19/2015

9 (p.206)

CERTIFICATE OF INTERESTED PERSONS/DISCLOSURE STATEMENT


by Southwest Airlines Co. (Krabill, Kent) (Entered: 06/19/2015)

06/19/2015

10 (p.208)

MOTION for Temporary Restraining Order Against Delta Air Lines, Inc.,
MOTION for Injunction Preliminary and Permanent Injunctions Against Delta
Air Lines, Inc. filed by Southwest Airlines Co (Attachments: # 1 (p.37) Proposed
Order) (Krabill, Kent) . (Entered: 06/19/2015)

06/19/2015

11 (p.214)

Brief/Memorandum in Support filed by Southwest Airlines Co re 10 (p.208)


MOTION for Temporary Restraining Order Against Delta Air Lines, Inc.
MOTION for Injunction Preliminary and Permanent Injunctions Against Delta
Air Lines, Inc. (Krabill, Kent) (Entered: 06/19/2015)

06/19/2015

12 (p.233)

Appendix in Support filed by Southwest Airlines Co re 11 (p.214)


Brief/Memorandum in Support of Motion, 10 (p.208) MOTION for Temporary
Restraining Order Against Delta Air Lines, Inc. MOTION for Injunction
Preliminary and Permanent Injunctions Against Delta Air Lines, Inc. (Krabill,
Kent) (Entered: 06/19/2015)

06/19/2015

13

ELECTRONIC ORDER EXPEDITING RESPONSE AND REPLY


DEADLINES : re: 10 (p.208) MOTION for Temporary Restraining Order
Against Delta Air Lines, Inc.. Responses due by NOON 6/23/2015. Replies due
by NOON 6/24/2015. (Ordered by Judge Ed Kinkeade on 6/19/2015) (chmb)
(Entered: 06/19/2015)

06/22/2015

14 (p.268)

NOTICE of Attorney Appearance by Michael V Powell on behalf of American


Airlines Inc. (Filer confirms contact info in ECF is current.) (Powell, Michael)
(Entered: 06/22/2015)

06/22/2015

15 (p.270)

NOTICE of Attorney Appearance by John Robert Robertson on behalf of Virgin


America Inc. (Filer will update contact info in ECF.). Party Virgin America, Inc.
16-10051.16

Case: 16-10051

Document: 00513477355

Page: 21

Date Filed: 04/22/2016

added. (Robertson, John) (Entered: 06/22/2015)


06/22/2015

16 (p.271)

NOTICE of Attorney Appearance by David Michael Glass-DOJ on behalf of


Federal Aviation Administration, United States Department of Transportation.
(Filer confirms contact info in ECF is current.). Party U.S. Dep't of Transp. &
FAA added. (Glass-DOJ, David) (Entered: 06/22/2015)

06/22/2015

17 (p.273)

NOTICE of Attorney Appearance by Barry C Barnett on behalf of Virgin


America Inc. (Filer confirms contact info in ECF is current.) (Barnett, Barry)
(Entered: 06/22/2015)

06/23/2015

18 (p.275)

MOTION DISQUALIFICATION filed by City of Dallas with


Brief/Memorandum in Support. (Haskel, Peter) (Entered: 06/23/2015)

06/23/2015

19 (p.301)

Appendix in Support filed by City of Dallas re 18 (p.275) MOTION


DISQUALIFICATION (Haskel, Peter) (Entered: 06/23/2015)

06/23/2015

20 (p.450)

RESPONSE filed by City of Dallas re: 10 (p.208) MOTION for Temporary


Restraining Order Against Delta Air Lines, Inc. MOTION for Injunction
Preliminary and Permanent Injunctions Against Delta Air Lines, Inc. (Haskel,
Peter) (Entered: 06/23/2015)

06/23/2015

21 (p.479)

Appendix in Support filed by City of Dallas re 20 (p.450) Response/Objection


(Haskel, Peter) (Entered: 06/23/2015)

06/23/2015

22 (p.528)

Emergency MOTION for Temporary Restraining Order and a Preliminary


Injunction against Southwest Airlines Co filed by Delta Airlines Inc
(Attachments: # 1 (p.37) Proposed Order) (Falconer, Russell) (Entered:
06/23/2015)

06/23/2015

23 (p.534)

Brief/Memorandum in Support filed by Delta Airlines Inc re 22 (p.528)


Emergency MOTION for Temporary Restraining Order and Response to
Southwest Airlines' Application for Injunctive Relief, 10 (p.208) MOTION for
Temporary Restraining Order Against Delta Air Lines, Inc. MOTION for
Injunction Preliminary and Permanent Injunctions Against Delta Air Lines, Inc.
(Falconer, Russell) (Entered: 06/23/2015)

06/23/2015

24 (p.586)

Appendix in Support filed by Delta Airlines Inc re 23 (p.534)


Brief/Memorandum in Support of Motion, for Temporary Restraining Order
(Falconer, Russell) (Entered: 06/23/2015)

06/23/2015

25

***VACATED PER 31 (p.860) ORDER*** ELECTRONIC ORDER


EXPEDITING RESPONSE AND REPLY DEADLINE: re: 18 (p.275)
Emergency Motion for Disqualification and Brief in Support. Responses due by
6/24/2015. Replies due by 6/25/2015. (Ordered by Judge Ed Kinkeade on
6/23/2015) (chmb) Modified docket text on 6/25/2015 (bdb). (Entered:
06/23/2015)

06/23/2015

26

***VACATED PER 31 (p.860) ORDER*** ELECTRONIC ORDER


EXPEDITING RESPONSE AND REPLY DEADLINE: re: 22 (p.528)
Emergency MOTION for Temporary Restraining Order and Response to
Southwest Airlines' Application for Injunctive Relief. Responses due by
6/25/2015. Replies due by 6/26/2015. (Ordered by Judge Ed Kinkeade on
6/23/2015) (chmb) Modified docket text on 6/25/2015 (bdb). (Entered:
06/23/2015)

16-10051.17

Case: 16-10051

06/23/2015

Document: 00513477355

Page: 22

Date Filed: 04/22/2016

Cross Motion for Temporary Restraining Order filed by City of Dallas. See
document 20 (p.450) for image. (ykp) (Entered: 06/23/2015)

06/23/2015

27

***VACATED PER 31 (p.860) ORDER*** ELECTRONIC ORDER


EXPEDITING RESPONSE AND REPLY DEADLINE: re: 20 (p.450) Cross
Motion for Temporary Restraining Order. Responses due by 6/25/2015 Replies
due by 6/26/2015. (Ordered by Judge Ed Kinkeade on 6/23/2015) (chmb)
Modified docket text on 6/25/2015 (bdb). (Entered: 06/23/2015)

06/23/2015

28

***CANCELLED PER 31 (p.860) ORDER*** ELECTRONIC ORDER


SETTING HEARING: A Hearing on all pending Motions for Temporary
Restraining Order set for 6/29/2015 at 10:00 AM before Judge Ed Kinkeade.
(Ordered by Judge Ed Kinkeade on 6/23/2015) (chmb) Modified docket text on
6/25/2015 (bdb). (Entered: 06/23/2015)

06/23/2015

29

ELECTRONIC Minute Entry for proceedings held before Judge Ed Kinkeade:


Telephone Conference held on 6/23/2015. (Court Reporter: Not Recorded) (No
exhibits) Time in Court - :25. (chmb) (Entered: 06/24/2015)

06/24/2015

30 (p.858)

NOTICE of Attorney Appearance by John K Grantham on behalf of United


Airlines Inc. (Filer will update contact info in ECF.) (Grantham, John) (Entered:
06/24/2015)

06/24/2015

31 (p.860)

ORDER: The current deadlines for responding and replying to these pending
motions for injunctive relief as well as the motion for disqualification are hereby
vacated. Southwest's Verified Application for Temporary Restraining Order,
Preliminary Injunction, and Permanent Injunction Against Delta: Responses due
on or before 7/17/2015. Replies due by 7/31/2015. Dallas' Cross-Motion for
TRO: Responses due on or before 7/17/2015. Replies due by 7/31/2015. Delta's
Emergency Motion for a TRO and a Preliminary Injunction Against Southwest:
Responses due on or before 7/17/2015. Replies due by 7/31/2015. Dallas'
Emergency Motion for Disqualification: Responses due on or before 7/1/2015.
Replies due by 7/7/2015. The hearing on the motions for injunctive relief set for
10:00 a.m., Monday, 6/29/2015, is cancelled pending further order of the Court.
(Ordered by Judge Ed Kinkeade on 6/24/2015) (ykp) Modified response date on
6/24/2015 (ykp). (Entered: 06/24/2015)

06/24/2015

32 (p.863)

Application for Admission Pro Hac Vice with Certificate of Good Standing
(Filing fee $25; Receipt number 0539-6887724) filed by Delta Airlines Inc
(Attachments: # 1 (p.37) Proposed Order for Admission Pro Hac Vice) (Quinn,
Kenneth) (Entered: 06/24/2015)

06/24/2015

33 (p.868)

NOTICE of Attorney Appearance by J Eric Gambrell on behalf of United


Airlines Inc. (Filer confirms contact info in ECF is current.) (Gambrell, J)
(Entered: 06/24/2015)

06/24/2015

34 (p.870)

Application for Admission Pro Hac Vice with Certificate of Good Standing
(Filing fee $25; Receipt number 0539-6888286) filed by Delta Airlines Inc
(Attachments: # 1 (p.37) Exhibit(s) Certificate of Good Standing, # 2 (p.120)
Proposed Order for Admission Pro Hac Vice) (Trock, Jennifer) (Main Document
34 replaced on 2/18/2016; pdf flatten) (axm). (Entered: 06/24/2015)

06/24/2015

35 (p.875)

NOTICE of Attorney Appearance by Kenneth Quinn on behalf of Delta Airlines


Inc. (Filer confirms contact info in ECF is current.) (Quinn, Kenneth) (Entered:
06/24/2015)

16-10051.18

Case: 16-10051

Document: 00513477355

Page: 23

Date Filed: 04/22/2016

06/24/2015

36 (p.877)

NOTICE of Attorney Appearance by Jennifer Trock on behalf of Delta Airlines


Inc. (Filer confirms contact info in ECF is current.) (Trock, Jennifer) (Entered:
06/24/2015)

06/25/2015

38 (p.879)

SUMMONS Returned Executed as to American Airlines Inc; served on


6/23/2015. (Haskel, Peter) (Entered: 06/25/2015)

06/25/2015

39 (p.881)

SUMMONS Returned Executed as to Delta Airlines Inc; served on 6/22/2015.


(Haskel, Peter) (Entered: 06/25/2015)

06/25/2015

40 (p.883)

SUMMONS Returned Executed as to Seaport Airlines Inc; served on 6/23/2015.


(Haskel, Peter) (Entered: 06/25/2015)

06/25/2015

41 (p.885)

SUMMONS Returned Executed as to United Airlines Inc; served on 6/23/2015.


(Haskel, Peter) (Entered: 06/25/2015)

06/25/2015

42 (p.887)

SUMMONS Returned Executed as to Federal Aviation Administration ; served


on 6/23/2015. (Haskel, Peter) (Entered: 06/25/2015)

06/25/2015

43 (p.889)

SUMMONS Returned Executed as to United States Department of


Transportation ; served on 6/23/2015. (Haskel, Peter) (Entered: 06/25/2015)

06/25/2015

44 (p.891)

SUMMONS Returned Executed as to Virgin America Inc ; served on 6/23/2015.


(Haskel, Peter) (Entered: 06/25/2015)

06/29/2015

45 (p.893)

NOTICE of Agreed Resolution re: 18 (p.275) MOTION DISQUALIFICATION


filed by City of Dallas, Delta Airlines Inc (Falconer, Russell) (Entered:
06/29/2015)

06/29/2015

46 (p.897)

Unopposed MOTION to Withdraw as Attorney by Robert C. Walters filed by


Delta Airlines Inc (Attachments: # 1 (p.37) Proposed Order) (Falconer, Russell)
(Entered: 06/29/2015)

06/29/2015

47 (p.902)

NOTICE of Attorney Appearance by Russell H Falconer for William B. Dawson


on behalf of Delta Airlines Inc. (Falconer, Russell) (Entered: 06/29/2015)

06/29/2015

48 (p.903)

ORDER granting 46 (p.897) Unopposed MOTION to Withdraw as Attorney.


Accordingly, it is ORDERED that Robert C. Walters is allowed to withdraw as
lead counsel for Delta, and William B. Dawson is substituted in as Delta's lead
counsel in this action. (Ordered by Judge Ed Kinkeade on 6/29/2015) (twd)
(Entered: 06/29/2015)

06/30/2015

49

ELECTRONIC ORDER granting 32 (p.863) Application for Admission Pro Hac


Vice of Kenneth Quinn. If not already done, Applicant must register as an ECF
User within 14 days (LR 5.1(f)). (Ordered by Judge Ed Kinkeade on 6/30/2015)
(chmb) (Entered: 06/30/2015)

06/30/2015

50

ELECTRONIC ORDER granting 34 (p.870) Application for Admission Pro Hac


Vice of Jennifer Trock. If not already done, Applicant must register as an ECF
User within 14 days (LR 5.1(f)). (Ordered by Judge Ed Kinkeade on 6/30/2015)
(chmb) (Entered: 06/30/2015)

07/02/2015

51 (p.904)

NOTICE of Attorney Appearance by Jennifer A Brissette on behalf of City of


Dallas. (Filer confirms contact info in ECF is current.) (Brissette, Jennifer)
(Entered: 07/02/2015)

07/09/2015

52 (p.906)

FIRST AMENDED ANSWER to 1 (p.37) Complaint, with Jury Demand filed by

16-10051.19

Case: 16-10051

Document: 00513477355

Page: 24

Date Filed: 04/22/2016

Southwest Airlines Co, CROSSCLAIM against Delta Airlines Inc filed by


Southwest Airlines Co, COUNTERCLAIM against City of Dallas filed by
Southwest Airlines Co (Attachments: # 1 (p.37) Exhibit(s) 1, # 2 (p.120)
Exhibit(s) 2, # 3 (p.122) Exhibit(s) 3, # 4 (p.124) Exhibit(s) 4, # 5 (p.136)
Exhibit(s) 5, # 6 (p.148) Exhibit(s) 6, # 7 Exhibit(s) 7, # 8 (p.149) Exhibit(s) 8)
(Krabill, Kent) (Entered: 07/09/2015)
07/13/2015

53 (p.1216)

Joint Notice of STIPULATION Regarding Extension of Time for Delta to


Answer or Otherwise Respond to City of Dallas' Original Complaint by City of
Dallas, Delta Air Lines Inc. (Falconer, Russell) (Entered: 07/13/2015)

07/13/2015

54 (p.1219)

NOTICE of Attorney Appearance by John Robert Robertson on behalf of


Seaport Airlines Inc. (Filer confirms contact info in ECF is current.). Party
Seaport Airlines, Inc. added. (Robertson, John) (Main Document 54 replaced on
2/18/2016; pdf flatten) (axm). (Entered: 07/13/2015)

07/14/2015

55 (p.1221)

STIPULATION Extending Time for Virgin America and Seaport Airlines to File
an Answer to the Complaint by City of Dallas, Seaport Airlines Inc, Virgin
America Inc. (Barnett, Barry) (Entered: 07/14/2015)

07/14/2015

56 (p.1224)

STIPULATION Extending Time Within Which to Move, Answer or Otherwise


Plead in this Action by American Airlines Inc. (Powell, Michael) (Entered:
07/14/2015)

07/14/2015

57 (p.1226)

SUMMONS Returned Executed as to Federal Aviation Administration ; served


on 6/25/2015. (Haskel, Peter) (Entered: 07/14/2015)

07/14/2015

58 (p.1229)

SUMMONS Returned Executed as to United States Department of


Transportation ; served on 6/25/2015. (Haskel, Peter) (Entered: 07/14/2015)

07/14/2015

59 (p.1233)

STIPULATION Extending Time to File Answer by United Airlines Inc.


(Grantham, John) (Entered: 07/14/2015)

07/16/2015

60 (p.1235)

Motion to Dismiss Counterclaims for Failure to State a Claim filed by City of


Dallas with Brief/Memorandum in Support. (Estee, Charles) (Entered:
07/16/2015)

07/17/2015

61 (p.1244)

RESPONSE filed by City of Dallas re: 22 (p.528) Emergency MOTION for


Temporary Restraining Order and Response to Southwest Airlines' Application
for Injunctive Relief (Haskel, Peter) (Entered: 07/17/2015)

07/17/2015

62 (p.1268)

RESPONSE filed by Southwest Airlines Co re: 22 (p.528) Emergency MOTION


for Temporary Restraining Order and Response to Southwest Airlines'
Application for Injunctive Relief, 23 (p.534) Brief/Memorandum in Support of
Motion, 20 (p.450) Response/Objection (Attachments: # 1 (p.37) Exhibit(s) 1, #
2 (p.120) Exhibit(s) 2, # 3 (p.122) Exhibit(s) 3, # 4 (p.124) Exhibit(s) 4) (Krabill,
Kent) (Entered: 07/17/2015)

07/17/2015

63 (p.1395)

RESPONSE filed by Delta Air Lines Inc re: MOTION for Temporary
Restraining Order (Johnson, Ashley) (Entered: 07/17/2015)

07/17/2015

64 (p.1419)

Appendix in Support filed by Delta Air Lines Inc re 63 (p.1395)


Response/Objection to the City's Motion for Temporary Restraining Order
(Attachments: # 1 (p.37) Declaration(s) of Ashley Johnson, # 2 (p.120)
Exhibit(s) A, # 3 (p.122) Exhibit(s) B) (Johnson, Ashley) (Entered: 07/17/2015)

07/20/2015

65 (p.1462)
16-10051.20

Case: 16-10051

Document: 00513477355

Page: 25

Date Filed: 04/22/2016

SUMMONS Returned Executed as to United States Department of


Transportation and Federal Aviation Administration. (ran) (Entered: 07/20/2015)
07/20/2015

66 (p.1471)

ANSWER to 1 (p.37) Complaint,,,, filed by Delta Air Lines Inc. Unless


exempted, attorneys who are not admitted to practice in the Northern District of
Texas must seek admission promptly. Forms and Instructions found at
www.txnd.uscourts.gov, or by clicking here: Attorney Information - Bar
Membership. If admission requirements are not satisfied within 21 days, the
clerk will notify the presiding judge., COUNTERCLAIM against City of Dallas
filed by Delta Air Lines Inc (Falconer, Russell) (Entered: 07/20/2015)

07/21/2015

67 (p.1557)

CERTIFICATE OF INTERESTED PERSONS/DISCLOSURE STATEMENT


by Delta Air Lines Inc. (Falconer, Russell) (Entered: 07/21/2015)

07/27/2015

68

07/27/2015

69 (p.1559)

ANSWER to Crossclaim filed by Delta Air Lines Inc. Related document: 52


(p.906) Amended Answer to Complaint, Crossclaim, Counterclaim,,,,
CROSSCLAIM against Southwest Airlines Co filed by Delta Air Lines Inc,
COUNTERCLAIM against Southwest Airlines Co filed by Delta Air Lines Inc
(Falconer, Russell) (Entered: 07/27/2015)

07/31/2015

70 (p.1615)

REPLY filed by City of Dallas re: MOTION for Temporary Restraining Order
(Haskel, Peter) (Entered: 07/31/2015)

07/31/2015

71 (p.1626)

REPLY filed by Southwest Airlines Co re: 10 (p.208) MOTION for Temporary


Restraining Order Against Delta Air Lines, Inc. MOTION for Injunction
Preliminary and Permanent Injunctions Against Delta Air Lines, Inc.
(Attachments: # 1 (p.37) Exhibit(s) 1) (Krabill, Kent) (Entered: 07/31/2015)

07/31/2015

72 (p.1662)

Joint MOTION for Discovery and Entry of Proposed Discovery and Scheduling
Order filed by City of Dallas, Delta Air Lines Inc, Southwest Airlines Co
(Attachments: # 1 (p.37) Proposed Order) (Falconer, Russell) (Entered:
07/31/2015)

07/31/2015

73 (p.1672)

REPLY filed by Delta Air Lines Inc re: 22 (p.528) Emergency MOTION for
Temporary Restraining Order and Response to Southwest Airlines' Application
for Injunctive Relief (Johnson, Ashley) (Entered: 07/31/2015)

07/31/2015

74 (p.1692)

Appendix in Support filed by Delta Air Lines Inc re 73 (p.1672) Reply


(Attachments: # 1 (p.37) Declaration(s) of Ashley Johnson, # 2 (p.120)
Exhibit(s) A, # 3 (p.122) Exhibit(s) B, # 4 (p.124) Exhibit(s) C, # 5 (p.136)
Exhibit(s) D, # 6 (p.148) Exhibit(s) E, # 7 Exhibit(s) F, # 8 (p.149) Exhibit(s) G,
# 9 (p.206) Exhibit(s) H, # 10 (p.208) Exhibit(s) I, # 11 (p.214) Exhibit(s) J)
(Johnson, Ashley) (Entered: 07/31/2015)

08/04/2015

75 (p.1903)

STIPULATION Extending Time by City of Dallas, Southwest Airlines Co.


(Krabill, Kent) (Entered: 08/04/2015)

ELECTRONIC ORDER: The Court hereby sets a hearing for September 28-29,
2015, at 9:00 a.m., before Judge Ed Kinkeade, to address the parties' outstanding
motions: (1) Defendant Southwest Airlines Company's Verified Application for
Temporary Restraining Order, Preliminary Injunction, and Permanent Injunction
Against Delta Airlines, Inc. (Doc. No. 10); (2) Defendant Delta Airlines, Inc.'s
Emergency Motion for a Temporary Restraining Order and a Preliminary
Injunction Against Southwest Airlines Co. (Doc. No. 22); and (3) Plaintiff City
of Dallas' Cross-Motion for TRO [sic] (Doc. No. 20). (Ordered by Judge Ed
Kinkeade on 7/27/2015) (chmb) (Entered: 07/27/2015)

16-10051.21

Case: 16-10051

Document: 00513477355

Page: 26

Date Filed: 04/22/2016

08/04/2015

76 (p.1906)

Unopposed MOTION for Leave to File Amended Answer and Response filed by
Southwest Airlines Co (Attachments: # 1 (p.37) Exhibit(s) A, # 2 (p.120)
Exhibit(s) B part 1, # 3 (p.122) Additional Page(s) Ex B part 2, # 4 (p.124)
Proposed Order) (Cole, Stephen) (Entered: 08/04/2015)

08/06/2015

77 (p.2352)

DISCOVERY AND SCHEDULING ORDER: Plaintiff City of Dallas ("the


City") and Defendants Southwest Airlines Co. ("Southwest") and Delta Air
Lines, Inc. ("Delta") have each filed a motion for temporary injunctive relief
regarding Delta's request for accommodation at Love Field Airport. Southwest
and Delta have entered a Gate Use License Agreement permitting Delta to
continue to operate five flights a day out of Love Field until September 30, 2015.
The Court has set a hearing on September 28-29, 2015, regarding the injunction
motions filed in this matter. (Ordered by Judge Ed Kinkeade on 8/6/2015) (ndt)
(Entered: 08/07/2015)

08/10/2015

78 (p.2359)

MOTION to Dismiss for Lack of Jurisdiction and for Failure to State a Claim
filed by City of Dallas (Haskel, Peter) (Entered: 08/10/2015)

08/10/2015

79 (p.2362)

Brief/Memorandum in Support filed by City of Dallas re 78 (p.2359) MOTION


to Dismiss for Lack of Jurisdiction Motion to Dismiss for Failure to State a
Claim, 66 (p.1471) Answer to Complaint, Counterclaim,,,, (Haskel, Peter)
(Entered: 08/10/2015)

08/10/2015

80 (p.2395)

ADDITIONAL ATTACHMENTS to 71 (p.1626) Reply, by Defendant


Southwest Airlines Co. (Krabill, Kent) (Entered: 08/10/2015)

08/10/2015

81 (p.2416)

ADDITIONAL ATTACHMENTS to 71 (p.1626) Reply, by Defendant


Southwest Airlines Co. (Krabill, Kent) (Entered: 08/10/2015)

08/11/2015

82

ELECTRONIC ORDER granting 76 (p.1906) Southwest Airlines' Motion for


Leave to File Amended Answer and Response. (Unless the document has already
been filed, clerk to enter the document as of the date of this order.) (Ordered by
Judge Ed Kinkeade on 8/11/2015) (chmb) (Entered: 08/11/2015)

08/11/2015

83

(Document Restricted) Sealed Attorney Contact Information (Sealed pursuant to


SO 19-1, statute, or rule) filed by Delta Air Lines Inc (Dawson, William)
(Entered: 08/11/2015)

08/11/2015

84 (p.2437)

08/11/2015

85

08/11/2015

86 (p.2747)

Amended Combined Response to Delta Airline Inc's 22 (p.528) Motion for a


Temporary Restraining Order and Preliminary Injunction and the City of Dallas'
20 (p.450) Alternative Cross-Motion for TRO filed by Southwest Airlines Co.
(twd) (Entered: 08/11/2015)

08/11/2015

87

(Document Restricted) Sealed Attorney Contact Information (Sealed pursuant to


SO 19-1, statute, or rule) filed by Southwest Airlines Co (Krabill, Kent)
(Entered: 08/11/2015)

SECOND AMENDED ANSWER to 1 (p.37) Complaint, with Jury Demand filed


by Southwest Airlines Co, CROSSCLAIM against Delta Airlines Inc filed by
Southwest Airlines Co, COUNTERCLAIM against City of Dallas filed by
Southwest Airlines Co. (Attachments: # 1 (p.37) Additional Page(s)) (twd)
(Entered: 08/11/2015)
(Document Restricted) Sealed - Attorney Contact Information (Sealed pursuant
to SO 19-1, statute, or rule) filed by United Airlines Inc (Grantham, John)
(Entered: 08/11/2015)

16-10051.22

Case: 16-10051

Document: 00513477355

Page: 27

Date Filed: 04/22/2016

08/11/2015

88 (p.2779)

Appendix in Support filed by Southwest Airlines Co re 86 (p.2747) Amended


Combined Response. (twd) (Entered: 08/11/2015)

08/11/2015

89

(Document Restricted) Sealed Attorney Contact Information (Sealed pursuant to


SO 19-1, statute, or rule) filed by Seaport Airlines Inc, Virgin America Inc
(Barnett, Barry) (Entered: 08/11/2015)

08/11/2015

90

(Document Restricted) Sealed Attorney Contact Information (Sealed pursuant to


SO 19-1, statute, or rule) filed by City of Dallas (Caso, Christopher) (Entered:
08/11/2015)

08/11/2015

93

(Document Restricted) Attorney Contact Information (Sealed pursuant to SO


19-1, statute, or rule) filed by Federal Aviation Administration, United States
Department of Transportation (Glass-DOJ, David) (Entered: 08/11/2015)

08/12/2015

94 (p.2877)

STIPULATION Extending Time by City of Dallas, Southwest Airlines Co.


(Krabill, Kent) (Entered: 08/12/2015)

08/17/2015

97 (p.2880)

ANSWER to Crossclaim filed by Southwest Airlines Co. Related document: 69


(p.1559) Answer to Crossclaim,,,, Counterclaim, (Cole, Stephen) (Entered:
08/17/2015)

08/27/2015

122 (p.2937)

Joint MOTION for Protective Order filed by City of Dallas, Delta Air Lines Inc,
Southwest Airlines Co (Attachments: # 1 (p.37) Proposed Order) (Stanton,
Britta) (Entered: 08/27/2015)

08/27/2015

123 (p.2969)

Witness List by City of Dallas. (Haskel, Peter) (Entered: 08/27/2015)

08/27/2015

124 (p.2971)

MOTION to Compel Expedited Discovery from DOT and FAA filed by City of
Dallas with Brief/Memorandum in Support. (Attachments: # 1 (p.37) Appendix)
(Haskel, Peter) (Entered: 08/27/2015)

08/27/2015

125

ELECTRONIC ORDER EXPEDITING RESPONSE DEADLINE re: 124


(p.2971) MOTION to Compel Expedited Discovery from DOT and FAA.
Responses due by noon on 9/2/2015. There shall be no reply. (Ordered by Judge
Ed Kinkeade on 8/27/2015) (chmb) (Entered: 08/27/2015)

08/27/2015

126 (p.3009)

NOTICE of Hearing Wtinesses filed by Federal Aviation Administration, United


States Department of Transportation (Glass-DOJ, David) (Entered: 08/27/2015)

08/27/2015

127 (p.3011)

Witness List by Southwest Airlines Co. (Stanton, Britta) (Entered: 08/27/2015)

08/27/2015

128 (p.3014)

Witness List by Delta Air Lines Inc. (Johnson, Ashley) (Entered: 08/27/2015)

08/28/2015

129 (p.3017)

MOTION to Expedite Discovery from Defendant United Airlines, Inc. filed by


Delta Air Lines Inc (Attachments: # 1 (p.37) Proposed Order) (Johnson, Ashley)
(Entered: 08/28/2015)

08/28/2015

130 (p.3023)

Brief/Memorandum in Support filed by Delta Air Lines Inc re 129 (p.3017)


MOTION to Expedite Discovery from Defendant United Airlines, Inc.
(Attachments: # 1 (p.37) Declaration(s) of Russell Falconer, # 2 (p.120)
Exhibit(s) A, # 3 (p.122) Exhibit(s) B) (Johnson, Ashley) (Entered: 08/28/2015)

08/29/2015

131

ELECTRONIC ORDER EXPEDITING RESPONSE DEADLINE re: 129


(p.3017) MOTION to Expedite Discovery from Defendant United Airlines, Inc..
Responses due by 9/2/2015. There shall be no reply. (Ordered by Judge Ed
Kinkeade on 8/29/2015) (chmb) (Entered: 08/29/2015)

16-10051.23

Case: 16-10051

Document: 00513477355

Page: 28

Date Filed: 04/22/2016

08/31/2015

132 (p.3049)

RESPONSE AND OBJECTION filed by Southwest Airlines Co re: 60 (p.1235)


Motion to Dismiss for Failure to State a Claim (Krabill, Kent) (Entered:
08/31/2015)

08/31/2015

133 (p.3055)

Amended COUNTERCLAIM against City of Dallas filed by Delta Air Lines Inc
(Dawson, William) (Entered: 08/31/2015)

09/02/2015

134 (p.3092)

RESPONSE filed by Federal Aviation Administration, United States Department


of Transportation re: 124 (p.2971) MOTION to Compel Expedited Discovery
from DOT and FAA (Attachments: # 1 (p.37) App. Pt. 1, # 2 (p.120) App. Pt. 2, #
3 (p.122) App. Pt. 3) (Glass-DOJ, David) (Entered: 09/02/2015)

09/02/2015

135 (p.3265)

RESPONSE AND OBJECTION filed by United Airlines Inc re: 129 (p.3017)
MOTION to Expedite Discovery from Defendant United Airlines, Inc.
(Attachments: # 1 (p.37) Declaration(s) Declaration of John K. Grantham, # 2
(p.120) Exhibit(s) Exhibit A) (Grantham, John) (Entered: 09/02/2015)

09/03/2015

136 (p.3287)

Designation of Experts by Southwest Airlines Co. (Krabill, Kent) (Entered:


09/03/2015)

09/03/2015

137 (p.3295)

MOTION to Dismiss , MOTION to Dismiss for Lack of Jurisdiction , Motion to


Dismiss for Failure to State a Claim() filed by City of Dallas with
Brief/Memorandum in Support. (Haskel, Peter) (Entered: 09/03/2015)

09/03/2015

138 (p.3299)

Brief/Memorandum in Support filed by City of Dallas re 133 (p.3055)


Counterclaim, 137 (p.3295) MOTION to Dismiss MOTION to Dismiss for Lack
of Jurisdiction Motion to Dismiss for Failure to State a Claim (Haskel, Peter)
(Entered: 09/03/2015)

09/04/2015

139 (p.3334)

NOTICE of Attorney Appearance by Susan K Ullman-DOJ on behalf of Federal


Aviation Administration, United States Department of Transportation. (Filer
confirms contact info in ECF is current.) (Ullman-DOJ, Susan) (Entered:
09/04/2015)

09/04/2015

140 (p.3337)

NOTICE of Attorney Appearance by Christopher W Patton on behalf of


Southwest Airlines Co. (Filer confirms contact info in ECF is current.) (Patton,
Christopher) (Entered: 09/04/2015)

09/04/2015

141 (p.3339)

NOTICE of Attorney Appearance by Stacy Jordan Rodriguez on behalf of City


of Dallas. (Filer confirms contact info in ECF is current.) (Rodriguez, Stacy)
(Entered: 09/04/2015)

09/08/2015

142 (p.3340)

ORDER denying as moot 78 (p.2359) Plaintiff's Motion to Dismiss Delta's


Original Counterclaims. (Ordered by Judge Ed Kinkeade on 9/8/2015) (axm)
(Entered: 09/08/2015)

09/08/2015

143 (p.3342)

NOTICE of Attorney Appearance by C Scott Jones on behalf of American


Airlines Inc. (Filer confirms contact info in ECF is current.) (Jones, C) (Entered:
09/08/2015)

09/08/2015

144 (p.3344)

Amended COUNTERCLAIM against Southwest Airlines Co filed by Delta Air


Lines Inc, CROSSCLAIM against Southwest Airlines Co, United Airlines Inc
filed by Delta Air Lines Inc (Dawson, William) (Entered: 09/08/2015)

09/09/2015

145 (p.3366)

MOTION for Leave to File Third Amended Crossclaim Against Delta Air Lines
filed by Southwest Airlines Co (Attachments: # 1 (p.37) Exhibit(s), # 2 (p.120)
Proposed Order) (Patton, Christopher) (Entered: 09/09/2015)
16-10051.24

Case: 16-10051

Document: 00513477355

Page: 29

Date Filed: 04/22/2016

09/09/2015

146 (p.3632)

REPLY filed by City of Dallas re: 60 (p.1235) Motion to Dismiss for Failure to
State a Claim (Haskel, Peter) (Entered: 09/09/2015)

09/10/2015

147 (p.3638)

ORDER granting 124 (p.2971) Motion to Compel Expedited Discovery from


DOT and FAA; granting 129 (p.3017) Motion to Expedited Discovery.
Responses to discovery requests, including document production, must be
completed on or before 9/21/2015. Defendant United Airlines Inc must make a
corporate representative available pursuant FED. R. CIV. P. 30(b)(6) on or
before 9/24/2015. (Ordered by Judge Ed Kinkeade on 9/10/2015) (axm)
(Entered: 09/10/2015)

09/10/2015

148 (p.3640)

CONFIDENTIALITY AGREEMENT AND STIPULATED PROTECTIVE


ORDER. (Ordered by Judge Ed Kinkeade on 9/10/2015) (axm) (Entered:
09/10/2015)

09/11/2015

149 (p.3657)

CERTIFICATE of Conference re 145 (p.3366) MOTION for Leave to File Third


Amended Crossclaim Against Delta Air Lines by Christopher W Patton on
behalf of Southwest Airlines Co (Patton, Christopher) (Entered: 09/11/2015)

09/11/2015

150 (p.3659)

MOTION for Leave to File Supplemental Complaint filed by City of Dallas with
Brief/Memorandum in Support. (Attachments: # 1 (p.37) Exhibit(s)) (Haskel,
Peter) (Entered: 09/11/2015)

09/11/2015

151 (p.3776)

ADDITIONAL ATTACHMENTS to 150 (p.3659) Motion for Leave to File by


Plaintiff City of Dallas. (Haskel, Peter) (Entered: 09/11/2015)

09/11/2015

152 (p.3778)

STIPULATION Extending Time by United Airlines Inc. (Grantham, John)


(Entered: 09/11/2015)

09/11/2015

153

09/11/2015

154 (p.3780)

Emergency MOTION for Protective Order filed by City of Dallas with


Brief/Memorandum in Support. (Haskel, Peter) (Entered: 09/11/2015)

09/11/2015

155 (p.3801)

Appendix in Support filed by City of Dallas re 154 (p.3780) Emergency


MOTION for Protective Order (Haskel, Peter) (Entered: 09/11/2015)

09/12/2015

156

ELECTRONIC ORDER EXPEDITING RESPONSE DEADLINE Re: 154


(p.3780) Emergency MOTION for Protective Order . Responses due by 10:00
a.m. on Sunday September 13, 2015. There shall be no reply. (Ordered by Judge
Ed Kinkeade on 9/12/2015) (chmb) (Entered: 09/12/2015)

09/13/2015

157 (p.3839)

RESPONSE filed by Delta Air Lines Inc re: 154 (p.3780) Emergency MOTION
for Protective Order (Dawson, William) (Entered: 09/13/2015)

09/13/2015

158

ELECTRONIC ORDER EXPEDITING RESPONSE AND REPLY


DEADLINES Re: 150 (p.3659) MOTION for Leave to File Supplemental
Complaint. Responses due by 9/17/2015. Replies due by 9/21/2015. (Ordered by
Judge Ed Kinkeade on 9/11/2015) (chmb) (Entered: 09/11/2015)

ELECTRONIC ORDER - Before the Court is Plaintiff City of Dallas'


Emergency Motion for Protective Order Regarding 30(b)(6) Deposition Topics
Nos. 1 and 18 (Doc. No. 154). After careful consideration of the motion,
response and supporting appendices, and the applicable law, the Court DENIES
the motion. As to Topic No. 18, the Court orders Defendant Delta Air Lines,
Inc., to postpone questioning on this topic until the continuation of the deposition
at issue, which is tentatively scheduled for September 22, 2015. (Ordered by
Judge Ed Kinkeade on 9/13/2015) (chmb) (Entered: 09/13/2015)

16-10051.25

Case: 16-10051

Document: 00513477355

Page: 30

Date Filed: 04/22/2016

09/14/2015

159

ELECTRONIC ORDER granting 145 (p.3366) Motion for Leave to File Third
Amended Crossclaim Against Delta Air Lines. (Unless the document has already
been filed, clerk to enter the document as of the date of this order.) (Ordered by
Judge Ed Kinkeade on 9/14/2015) (chmb) (Entered: 09/14/2015)

09/14/2015

160 (p.3849)

THIRD AMENDED CROSSCLAIM against Delta Air Lines Inc filed by


Southwest Airlines Co. (Attachments: # 1 (p.37) Exhibit) (bdb) (Entered:
09/14/2015)

09/14/2015

161 (p.4110)

Administrative Record consisting of Certified Index of the Administrative


Record filed by Federal Aviation Administration, United States Department of
Transportation. (Ullman-DOJ, Susan) (Entered: 09/14/2015)

09/14/2015

162 (p.4123)

ANSWER to Complaint filed by Virgin America Inc. Unless exempted,


attorneys who are not admitted to practice in the Northern District of Texas must
seek admission promptly. Forms and Instructions found at
www.txnd.uscourts.gov, or by clicking here: Attorney Information - Bar
Membership. If admission requirements are not satisfied within 21 days, the
clerk will notify the presiding judge. (Robertson, John) (Entered: 09/14/2015)

09/14/2015

163 (p.4192)

ANSWER to 1 (p.37) Complaint filed by Seaport Airlines Inc. Unless exempted,


attorneys who are not admitted to practice in the Northern District of Texas must
seek admission promptly. Forms and Instructions found at
www.txnd.uscourts.gov, or by clicking here: Attorney Information - Bar
Membership. If admission requirements are not satisfied within 21 days, the
clerk will notify the presiding judge. (Robertson, John) (Entered: 09/14/2015)

09/14/2015

164 (p.4260)

STIPULATION Extending Time by American Airlines Inc, City of Dallas.


(Powell, Michael) (Entered: 09/14/2015)

09/14/2015

165 (p.4262)

MOTION to Dismiss for Lack of Jurisdiction or to Transfer. MOTION to Stay


filed by United States Department of Transportation, Federal Aviation
Administration (Attachments: # 1 (p.37) Brief in Support of Motion to Dismiss,
# 2 (p.120) Appendix to Motion to Dismiss, # 3 (p.122) Proposed Order)
(Ullman-DOJ, Susan) Modified on 9/15/2015 (aaa). Modified filers and docket
text on 9/15/2015 (aaa). (Entered: 09/14/2015)

09/14/2015

166 (p.4417)

CERTIFICATE OF INTERESTED PERSONS/DISCLOSURE STATEMENT


by Virgin America Inc. (Robertson, John) (Entered: 09/14/2015)

09/14/2015

167 (p.4419)

CERTIFICATE OF INTERESTED PERSONS/DISCLOSURE STATEMENT


by Seaport Airlines Inc. (Robertson, John) (Entered: 09/14/2015)

09/14/2015

168

MOTION to Stay filed by United States Department of Transportation, Federal


Aviation Administration (see document 165 (p.4262) for image). (aaa) (Entered:
09/15/2015)

09/15/2015

169

ELECTRONIC ORDER EXPEDITING RESPONSE DEADLINES Re: 165


(p.4262) MOTION to Dismiss for Lack of Jurisdiction or to Transfer and for a
Stay. Any Responses due by 3:30 p.m., on September 21, 2015. There shall be no
reply unless ordered by the Court. Further, courtesy copies if required under
Judge Kinkeade's specific requirements must be delivered to the Clerk's Office
by close of business on September 21, 2015. (Ordered by Judge Ed Kinkeade on
9/15/2015) (chmb) (Entered: 09/15/2015)

09/16/2015

170 (p.4421)
16-10051.26

Case: 16-10051

Document: 00513477355

Page: 31

Date Filed: 04/22/2016

MOTION for Extension of Time to File Response/Reply to 137 (p.3295)


MOTION to Dismiss MOTION to Dismiss for Lack of Jurisdiction Motion to
Dismiss for Failure to State a Claim filed by Delta Air Lines Inc with
Brief/Memorandum in Support. (Attachments: # 1 (p.37) Proposed Order)
(Johnson, Ashley) (Entered: 09/16/2015)
09/17/2015

171 (p.4426)

ANSWER to 1 (p.37) Complaint,,,, filed by American Airlines Inc. Unless


exempted, attorneys who are not admitted to practice in the Northern District of
Texas must seek admission promptly. Forms and Instructions found at
www.txnd.uscourts.gov, or by clicking here: Attorney Information - Bar
Membership. If admission requirements are not satisfied within 21 days, the
clerk will notify the presiding judge. (Powell, Michael) (Entered: 09/17/2015)

09/17/2015

172 (p.4442)

CERTIFICATE OF INTERESTED PERSONS/DISCLOSURE STATEMENT


by American Airlines Inc identifying Corporate Parent/Other Affiliate American
Airlines Group Inc. for American Airlines Inc. (Powell, Michael) (Entered:
09/17/2015)

09/17/2015

173

ELECTRONIC ORDER granting 170 (p.4421) Delta Air Lines, Inc.'s Motion for
an Extension of Time to Respond to City of Dallas' Motion to Dismiss.
Responses due by 10/23/2015. (Ordered by Judge Ed Kinkeade on 9/17/2015)
(chmb) (Entered: 09/17/2015)

09/17/2015

175 (p.4444)

OBJECTION filed by United States Department of Transportation re: 150


(p.3659) MOTION for Leave to File Supplemental Complaint (Ullman-DOJ,
Susan) (Entered: 09/17/2015)

09/17/2015

177 (p.4461)

ANSWER to 1 (p.37) Complaint,,,, filed by United Airlines Inc. Unless


exempted, attorneys who are not admitted to practice in the Northern District of
Texas must seek admission promptly. Forms and Instructions found at
www.txnd.uscourts.gov, or by clicking here: Attorney Information - Bar
Membership. If admission requirements are not satisfied within 21 days, the
clerk will notify the presiding judge. (Grantham, John) (Entered: 09/17/2015)

09/17/2015

178 (p.4520)

CERTIFICATE OF INTERESTED PERSONS/DISCLOSURE STATEMENT


by United Airlines Inc identifying Corporate Parent/Other Affiliate United
Continental Holdings, Inc. for United Airlines Inc. (Grantham, John) (Entered:
09/17/2015)

09/17/2015

179 (p.4522)

RESPONSE filed by Delta Air Lines Inc re: 150 (p.3659) MOTION for Leave to
File Supplemental Complaint (Johnson, Ashley) (Entered: 09/17/2015)

09/18/2015

180 (p.4525)

Consent MOTION to Extend Time respond to document discovery filed by


Federal Aviation Administration, United States Department of Transportation
(Attachments: # 1 (p.37) Proposed Order) (Ullman-DOJ, Susan) (Entered:
09/18/2015)

09/18/2015

181

ELECTRONIC ORDER - Before the Court is Defendant U.S. Department of


Transportation and Federal Aviation Administration's ("DOT") Consent Motion
for an Extension to Respond to Document Requests (Doc. No. 180). The Court
GRANTS the motion in so far as it extends the deadline for DOT to complete
production in response to Plaintiff City of Dallas' ("City") First Requests for
Production of Documents directly to the City. In so far as any document,
privilege log, or other item must be sent to the Court for in camera inspection,
the deadline of Monday, September 21, 2015, remains unchanged and the
Motion is DENIED as to that deadline. (Ordered by Judge Ed Kinkeade on
16-10051.27

Case: 16-10051

Document: 00513477355

Page: 32

Date Filed: 04/22/2016

9/18/2015) (chmb) (Entered: 09/18/2015)


09/18/2015

182 (p.4529)

NOTICE of Attorney Appearance by Peter B Haskel for Petrina Thompson on


behalf of City of Dallas. (Haskel, Peter) (Entered: 09/18/2015)

09/18/2015

183 (p.4530)

NOTICE of Attorney Appearance by Peter B Haskel for Matthew Saliba on


behalf of City of Dallas. (Haskel, Peter) (Entered: 09/18/2015)

09/20/2015

184 (p.4531)

RESPONSE filed by Delta Air Lines Inc re: 168 MOTION to Stay re 165
(p.4262) MOTION to Dismiss for Lack of Jurisdiction or to Transfer and for a
Stay, 165 (p.4262) MOTION to Dismiss for Lack of Jurisdiction or to Transfer
and for a Stay (Falconer, Russell) (Entered: 09/20/2015)

09/21/2015

185 (p.4536)

RESPONSE filed by Southwest Airlines Co re: 165 (p.4262) MOTION to


Dismiss for Lack of Jurisdiction or to Transfer and for a Stay (Patton,
Christopher) (Entered: 09/21/2015)

09/21/2015

186 (p.4552)

RESPONSE filed by City of Dallas re: 165 (p.4262) MOTION to Dismiss for
Lack of Jurisdiction or to Transfer and for a Stay (Attachments: # 1 (p.37)
Exhibit(s) Appendix) (Haskel, Peter) (Entered: 09/21/2015)

09/21/2015

187 (p.4601)

REPLY filed by City of Dallas re: 150 (p.3659) MOTION for Leave to File
Supplemental Complaint (Haskel, Peter) (Entered: 09/21/2015)

09/22/2015

188

ELECTRONIC ORDER - The Court hereby orders that Defendant DOT and
FAA file a Consolidated Reply to the Responses filed by Southwest, Delta and
the City of Dallas as to 165 (p.4262) DOT and the FAA's MOTION to Dismiss
for Lack of Jurisdiction, to Transfer or Stay. Replies due by 3:00 p.m. on
September 23, 2015. (Ordered by Judge Ed Kinkeade on 9/22/2015) (chmb)
(Entered: 09/22/2015)

09/22/2015

189 (p.4613)

ANSWER to Counterclaim filed by Southwest Airlines Co. Related document:


144 (p.3344) Counterclaim, Crossclaim, ANSWER to Crossclaim filed by
Southwest Airlines Co. Related document: 144 (p.3344) Counterclaim,
Crossclaim (Cole, Stephen) (Entered: 09/22/2015)

09/23/2015

190 (p.4691)

REPLY filed by Federal Aviation Administration, United States Department of


Transportation re: 165 (p.4262) MOTION to Dismiss for Lack of Jurisdiction or
to Transfer and for a Stay (Ullman-DOJ, Susan) (Entered: 09/23/2015)

09/25/2015

191 (p.4703)

Emergency MOTION for in Camera Review in Connection with its Motion for
an Order that Certain Document Produced by the City of Dallas are not
Privileged filed by Delta Air Lines Inc (Johnson, Ashley) (Entered: 09/25/2015)

09/25/2015

192 (p.4707)

Emergency MOTION for Discovery Motion for an Order that Certain


Documents Produced by the City of Dallas Are Not Privileged filed by Delta Air
Lines Inc (Attachments: # 1 (p.37) Proposed Order Proposed Order) (Johnson,
Ashley) (Entered: 09/25/2015)

09/25/2015

193 (p.4712)

Brief/Memorandum in Support filed by Delta Air Lines Inc re 192 (p.4707)


Emergency MOTION for Discovery Motion for an Order that Certain
Documents Produced by the City of Dallas Are Not Privileged (Johnson, Ashley)
(Entered: 09/25/2015)

09/27/2015

194 (p.4725)

NOTICE of Attorney Appearance by Stephen McClain Cole for Russell Herman


on behalf of Southwest Airlines Co. (Cole, Stephen) (Entered: 09/27/2015)

16-10051.28

Case: 16-10051

Document: 00513477355

Page: 33

Date Filed: 04/22/2016

09/27/2015

195

(Document Restricted) Sealed Response re: 191 (p.4703) Motion for Discovery,
192 (p.4707) Motion for Discovery (Sealed pursuant to SO 19-1, statute, or rule)
filed by City of Dallas (Attachments: # 1 (p.37) Appendix to City of Dallas'
Responses to Delta Airlines, Inc.'s Motion for in Camera Review and Motion for
an Order that Certail City Documents are not Privileged) (Haskel, Peter)
(Entered: 09/27/2015)

09/27/2015

196 (p.4727)

TRIAL BRIEF by Southwest Airlines Co. (Stanton, Britta) (Entered:


09/27/2015)

09/27/2015

197 (p.4733)

Exhibit List Joint by City of Dallas, Delta Air Lines Inc, Southwest Airlines Co.
(Cole, Stephen) (Entered: 09/27/2015)

09/28/2015

198 (p.4759)

Agreed STIPULATION Stipulations of Fact and Evidence among Delta,


Southwest, and the City of Dallas by City of Dallas, Delta Air Lines Inc,
Southwest Airlines Co. (Falconer, Russell) (Entered: 09/28/2015)

09/28/2015

199 (p.4767)

Exhibit List Joint Amended by Delta Air Lines Inc. (Falconer, Russell) (Entered:
09/28/2015)

09/28/2015

200 (p.4793)

MOTION for Protective Order to Close the Courtroom and Seal Evidence filed
by Southwest Airlines Co (Krabill, Kent) (Entered: 09/28/2015)

09/28/2015

201 (p.4798)

STIPULATION Extending Time by Delta Air Lines Inc, United Airlines Inc.
(Grantham, John) (Entered: 09/28/2015)

09/28/2015

202

ELECTRONIC Minute Entry for proceedings held before Judge Ed Kinkeade:


Preliminary Injunction Hearing held on 9/28/2015. Attorneys: William Dawson,
Ashley Johnson, Karl Nelson and Russ Falconer for Delta Airlines; Kent Krabill,
Britta Stanton, and Chris Patton for Southwest Airlines; Peter Haskell and
Charles Estee for the City of Dallas; John Grantham and Eric Gambrell for
United Airlines; Robby Robertson for Virgin America and Seaport Airlines;
Michael Powell and C. Scott Jones for American Airlines; and Susan Ullman and
Charles Enloe for DOT and FAA. Injunction hearing to continue on Tuesday
September 29, 2015 at 9:00 a.m. (Court Reporter: Todd Anderson) (Exhibits
admitted) Time in Court - 6:22. (chmb) (Entered: 09/28/2015)

09/29/2015

203

ELECTRONIC Minute Entry for proceedings held before Judge Ed Kinkeade:


2nd Day of Preliminary Injunction Hearing held on 9/29/2015. Attorneys:
William Dawson, Ashley Johnson, Karl Nelson and Russ Falconer for Delta
Airlines; Kent Krabill, Britta Stanton, and Chris Patton for Southwest Airlines;
Peter Haskell and Charles Estee for the City of Dallas; John Grantham and Eric
Gambrell for United Airlines; Robby Robertson for Virgin America and Seaport
Airlines; Michael Powell and C. Scott Jones for American Airlines; and Susan
Ullman and Charles Enloe for DOT and FAA. Injunction hearing to continue on
Wednesday September 30, 2015 at 9:00 a.m. (Court Reporter: Todd Anderson)
(Exhibits admitted) Time in Court - 6:12. (chmb) (Entered: 09/29/2015)

09/30/2015

204

ELECTRONIC Minute Entry for proceedings held before Judge Ed Kinkeade:


3rd Day of Preliminary Injunction Hearing held on 9/30/2015. Attorneys:
William Dawson, Ashley Johnson, Karl Nelson and Russ Falconer for Delta
Airlines; Kent Krabill, Britta Stanton, and Chris Patton for Southwest Airlines;
Peter Haskell and Charles Estee for the City of Dallas; John Grantham and Eric
Gambrell for United Airlines; Robby Robertson for Virgin America and Seaport
Airlines; C. Scott Jones for American Airlines; and Susan Ullman and Charles
Enloe for DOT and FAA. Hearing Concluded. (Court Reporter: Todd Anderson)
16-10051.29

Case: 16-10051

Document: 00513477355

Page: 34

Date Filed: 04/22/2016

(Exhibits admitted - Returned to Parties. The Parties will return a complete set to
get a complete set to the Court no later than October 7, 2015.) Time in Court 6:20. (chmb) (Entered: 09/30/2015)
09/30/2015

205

ELECTRONIC ORDER: The Court held a Preliminary Injunction Hearing on


September 28, 29, and 30th, 2015, in this case. The Parties are hereby
ORDERED to submit Closing Briefs in this case no later than 5:00 p.m. October
7, 2015. (Ordered by Judge Ed Kinkeade on 9/30/2015) (chmb) (Entered:
09/30/2015)

10/02/2015

206 (p.4801)

NOTICE of Attorney Appearance by Kent D Krabill on behalf of Southwest


Airlines Co. (Filer confirms contact info in ECF is current.) (Krabill, Kent)
(Entered: 10/02/2015)

10/02/2015

207 (p.4803)

Court's Exhibit List from Preliminary Injunction Hearing held September 28, 29
and 30, 2015. (chmb) (Entered: 10/02/2015)

10/06/2015

208 (p.4814)

Unopposed Motion for Extension of Time to File Answer to Cross-Claim filed


by United Airlines Inc (Attachments: # 1 (p.37) Proposed Order) (Grantham,
John) (Entered: 10/06/2015)

10/06/2015

209 (p.4818)

Court's Amended Exhibit List from Preliminary Injunction Hearing held


September 28-30, 2015. (chmb) (Entered: 10/06/2015)

10/07/2015

210

ELECTRONIC ORDER granting 208 (p.4814) Motion for Extension of Time to


File Answer to Cross-Claim. United Airlines Inc answer to Cross-Claim due
11/13/2015. (Ordered by Judge Ed Kinkeade on 10/7/2015) (chmb) (Entered:
10/07/2015)

10/07/2015

211 (p.6226)

Notice of Filing of Official Electronic Transcript of Preliminary Injunction


Hearing, Vol. 1 Proceedings held on 9-28-15 before Judge Kinkeade. Court
Reporter/Transcriber Todd Anderson, Telephone number 214-753-2170. Parties
are notified of their duty to review the transcript. A copy may be purchased from
the court reporter or viewed at the clerk's office public terminal. If redaction is
necessary, a Redaction Request - Transcript must be filed within 21 days. If no
such Request is filed, the transcript will be made available via PACER without
redaction after 90 calendar days. If redaction request filed, this transcript will not
be accessible via PACER; see redacted transcript. The clerk will mail a copy of
this notice to parties not electronically noticed. (297 pages) Redaction Request
due 10/28/2015. Redacted Transcript Deadline set for 11/9/2015. Release of
Transcript Restriction set for 1/5/2016. (jta) (Entered: 10/07/2015)

10/07/2015

212 (p.6524)

Notice of Filing of Official Electronic Transcript of Preliminary Injunction


Hearing, Vol. 2 Proceedings held on 9-29-15 before Judge Kinkeade. Court
Reporter/Transcriber Todd Anderson, Telephone number 214-753-2170. Parties
are notified of their duty to review the transcript. A copy may be purchased from
the court reporter or viewed at the clerk's office public terminal. If redaction is
necessary, a Redaction Request - Transcript must be filed within 21 days. If no
such Request is filed, the transcript will be made available via PACER without
redaction after 90 calendar days. If redaction request filed, this transcript will not
be accessible via PACER; see redacted transcript. The clerk will mail a copy of
this notice to parties not electronically noticed. (286 pages) Redaction Request
due 10/28/2015. Redacted Transcript Deadline set for 11/9/2015. Release of
Transcript Restriction set for 1/5/2016. (jta) (Entered: 10/07/2015)

10/07/2015

213 (p.6811)
16-10051.30

Case: 16-10051

Document: 00513477355

Page: 35

Date Filed: 04/22/2016

Notice of Filing of Official Electronic Transcript of Preliminary Injunction


Hearing, Vol. 3 Proceedings held on 9-30-15 before Judge Kinkeade. Court
Reporter/Transcriber Todd Anderson, Telephone number 214-753-2170. Parties
are notified of their duty to review the transcript. A copy may be purchased from
the court reporter or viewed at the clerk's office public terminal. If redaction is
necessary, a Redaction Request - Transcript must be filed within 21 days. If no
such Request is filed, the transcript will be made available via PACER without
redaction after 90 calendar days. If redaction request filed, this transcript will not
be accessible via PACER; see redacted transcript. The clerk will mail a copy of
this notice to parties not electronically noticed. (313 pages) Redaction Request
due 10/28/2015. Redacted Transcript Deadline set for 11/9/2015. Release of
Transcript Restriction set for 1/5/2016. (jta) (Entered: 10/07/2015)
10/07/2015

214 (p.4829)

Closing Brief filed by Seaport Airlines Inc re 205 Order, (Robertson, John)
Modified per attorney on 10/7/2015 (jrr). (Entered: 10/07/2015)

10/07/2015

215 (p.4831)

CLOSING BRIEF OF VIRGIN AMERICA, INC. filed by Virgin America Inc re


205 Order, (Robertson, John) Modified text per attorney on 10/7/2015 (ykp).
(Entered: 10/07/2015)

10/07/2015

216 (p.4854)

Brief/Memorandum in Support filed by City of Dallas re 205 Order, (Haskel,


Peter) (Entered: 10/07/2015)

10/07/2015

217 (p.4879)

Brief/Memorandum in Support filed by Federal Aviation Administration, United


States Department of Transportation re 205 Order, Closing Brief of DOT
(Ullman-DOJ, Susan) (Entered: 10/07/2015)

10/07/2015

218 (p.4886)

Brief/Memorandum in Support filed by Southwest Airlines Co re 205 Order,


(Krabill, Kent) (Entered: 10/07/2015)

10/07/2015

219 (p.4917)

MOTION to supplement the hearing record filed by Delta Air Lines Inc with
Brief/Memorandum in Support. (Attachments: # 1 (p.37) Exhibit(s) Appendix of
supplemental exhibits, # 2 (p.120) Proposed Order) (Falconer, Russell) (Entered:
10/07/2015)

10/07/2015

220 (p.5106)

TRIAL BRIEF Closing Brief by United Airlines Inc. (Grantham, John) (Entered:
10/07/2015)

10/07/2015

221 (p.5122)

MOTION for Leave to File a brief with additional pages filed by Delta Air Lines
Inc with Brief/Memorandum in Support. (Attachments: # 1 (p.37) Proposed
Order, # 2 (p.120) Exhibit(s) Delta's proposed brief) (Falconer, Russell)
(Entered: 10/07/2015)

10/09/2015

222

ELECTRONIC ORDER EXPEDITING RESPONSE DEADLINE re: 221


(p.5122) MOTION for Leave to File a Brief With Additional Pages. Responses
due by 10/13/2015. There shall be no Reply unless ordered by the Court.
(Ordered by Judge Ed Kinkeade on 10/9/2015) (chmb) (Entered: 10/09/2015)

10/09/2015

223

ELECTRONIC ORDER EXPEDITING RESPONSE DEADLINE re: 219


(p.4917) MOTION to Supplement the Hearing Record. Responses due by
10/13/2015. There shall be no Reply unless ordered by the Court. (Ordered by
Judge Ed Kinkeade on 10/9/2015) (chmb) (Entered: 10/09/2015)

10/09/2015

224 (p.5185)

Administrative Record consisting of Amended Certified Index of Administrative


Record filed by Federal Aviation Administration, United States Department of
Transportation. (Ullman-DOJ, Susan) (Entered: 10/09/2015)
16-10051.31

Case: 16-10051

Document: 00513477355

Page: 36

Date Filed: 04/22/2016

10/09/2015

225 (p.5200)

Unopposed MOTION for Leave to File Belated Answer to Southwest's Third


Amended Crossclaim filed by Delta Air Lines Inc with Brief/Memorandum in
Support. (Attachments: # 1 (p.37) Exhibit(s) A - Proposed Answer, # 2 (p.120)
Proposed Order) (Johnson, Ashley) (Entered: 10/09/2015)

10/13/2015

226

10/13/2015

227 (p.5254)

ANSWER to Crossclaim filed by Delta Air Lines Inc. Related document: 160
(p.3849) Crossclaim. (axm) (Entered: 10/13/2015)

10/13/2015

228 (p.5302)

RESPONSE filed by Southwest Airlines Co re: 221 (p.5122) MOTION for


Leave to File a brief with additional pages, 219 (p.4917) MOTION to
supplement the hearing record (Krabill, Kent) (Entered: 10/13/2015)

10/13/2015

229 (p.5306)

RESPONSE filed by City of Dallas re: 221 (p.5122) MOTION for Leave to File
a brief with additional pages, 219 (p.4917) MOTION to supplement the hearing
record (Haskel, Peter) (Entered: 10/13/2015)

10/15/2015

230

ELECTRONIC ORDER granting 221 (p.5122) Motion for Leave to File a Brief
With Additional P ages. (Unless the document has already been filed, clerk to
enter the document as of the date of this order.) (Ordered by Judge Ed Kinkeade
on 10/15/2015) (chmb) (Entered: 10/15/2015)

10/15/2015

231 (p.5310)

10/20/2015

232

10/20/2015

233 (p.5367)

Appendix A re: Hearing Record filed by Delta Air Lines Inc. (axm) (Entered:
10/20/2015)

10/23/2015

234 (p.5550)

MOTION to Amend/Correct Supplement the Hearing Record filed by Southwest


Airlines Co with Brief/Memorandum in Support. (Cole, Stephen) (Entered:
10/23/2015)

10/23/2015

235 (p.5598)

NOTICE of Joinder in Defendant Southwest Airlines Co.'s Motion to Supplement


the Hearing Record (Unopposed) filed by United Airlines Inc (Grantham, John)
(Entered: 10/23/2015)

10/23/2015

236 (p.5600)

RESPONSE filed by Delta Air Lines Inc re: 137 (p.3295) MOTION to Dismiss
MOTION to Dismiss for Lack of Jurisdiction Motion to Dismiss for Failure to
State a Claim (Johnson, Ashley) (Entered: 10/23/2015)

10/23/2015

237 (p.5632)

RESPONSE filed by Delta Air Lines Inc re: 234 (p.5550) MOTION to
Amend/Correct Supplement the Hearing Record (Johnson, Ashley) (Entered:
10/23/2015)

10/24/2015

238 (p.5636)

REPLY filed by Southwest Airlines Co re: 234 (p.5550) MOTION to


Amend/Correct Supplement the Hearing Record (Cole, Stephen) (Entered:

ELECTRONIC ORDER granting 225 (p.5200) Motion for Leave to File Belated
Answer to Southwest's Third Amended Crossclaim. (Unless the document has
already been filed, clerk to enter the document as of the date of this order.)
(Ordered by Judge Ed Kinkeade on 10/13/2015) (chmb) (Entered: 10/13/2015)

Post-Hearing Brief/Memorandum in Support filed by Delta Air Lines Inc re 22


(p.528) Emergency MOTION for Temporary Restraining Order and a
Preliminary Injunction against Southwest Airlines Co. (axm) (Entered:
10/15/2015)
ELECTRONIC ORDER granting Delta Air Lines Inc.'s 219 (p.4917) Motion to
Supplement the Hearing Record. (Unless the document has already been filed,
clerk to enter the document as of the date of this order.) (Ordered by Judge Ed
Kinkeade on 10/20/2015) (chmb) (Entered: 10/20/2015)

16-10051.32

Case: 16-10051

Document: 00513477355

Page: 37

Date Filed: 04/22/2016

10/24/2015)
10/26/2015

239

ELECTRONIC ORDER denying as moot 200 (p.4793) Motion for Protective


Order to Close the Courtroom and Seal Evidence. (Ordered by Judge Ed
Kinkeade on 10/26/2015) (chmb) (Entered: 10/26/2015)

10/28/2015

240

ELECTRONIC ORDER granting 234 (p.5550) Motion to Supplement the


Hearing Record. (Unless the document has already been filed, clerk to enter the
document as of the date of this order.) (Ordered by Judge Ed Kinkeade on
10/28/2015) (chmb) (Entered: 10/28/2015)

10/28/2015

241 (p.5639)

Exhibit 470 re: Hearing Record by Defendant Southwest Airlines Co. (axm)
(Entered: 10/28/2015)

11/05/2015

242 (p.5683)

REPLY filed by City of Dallas re: 137 (p.3295) MOTION to Dismiss MOTION
to Dismiss for Lack of Jurisdiction Motion to Dismiss for Failure to State a
Claim (Haskel, Peter) (Entered: 11/05/2015)

11/11/2015

243 (p.5694)

MOTION for Extension of Time to File Response/Reply to 144 (p.3344)


Counterclaim, Crossclaim filed by United Airlines Inc (Attachments: # 1 (p.37)
Proposed Order) (Grantham, John) (Entered: 11/11/2015)

11/12/2015

244

ELECTRONIC ORDER - Before the Court is Defendant United Airlines, Inc.'s


Motion for Extension of Time to Answer Cross-Claim. The motion is
GRANTED in part. United Airlines Inc.'s Answer or Response is due no later
than November 27, 2015. There shall be no further extensions of this deadline.
(Ordered by Judge Ed Kinkeade on 11/12/2015) (chmb) (Entered: 11/12/2015)

11/13/2015

245 (p.5698)

MOTION for Immediate Stay of FAA Proceedings as to its Notice of


Investigation, MOTION for expedited ruling, and Status Report filed by City of
Dallas (Attachments: # 1 (p.37) Appendix) (Haskel, Peter) Modified text on
11/16/2015 (dsr). (Entered: 11/13/2015)

11/16/2015

246

ELECTRONIC ORDER EXPEDITING RESPONSE DEADLINE re: 245


(p.5698) MOTION to Stay MOTION expedite and stay MOTION to Expedite .
Any Responses shall be filed by NOON on Wednesday November 18, 2015.
There shall be no reply. (Ordered by Judge Ed Kinkeade on 11/16/2015) (chmb)
(Entered: 11/16/2015)

11/18/2015

247 (p.5801)

RESPONSE filed by Delta Air Lines Inc re: 245 (p.5698) MOTION to Stay
MOTION expedite and stay MOTION to Expedite (Dawson, William) (Entered:
11/18/2015)

11/18/2015

248 (p.5805)

RESPONSE filed by Southwest Airlines Co re: 245 (p.5698) Motion for


Immediate Stay of FAA Proceedings as to its Notice of Investigation, MOTION
for expedited ruling, and Status Report. (Cole, Stephen) Modified text on
11/18/2015 (dsr). (Entered: 11/18/2015)

11/18/2015

249 (p.5808)

RESPONSE AND OBJECTION filed by Federal Aviation Administration,


United States Department of Transportation re: 245 (p.5698) MOTION to Stay
MOTION expedite and stay MOTION to Expedite (Ullman-DOJ, Susan)
(Entered: 11/18/2015)

11/25/2015

250 (p.5820)

MOTION to Seal Certain Confidential Exhibits Admitted at the Preliminary


Injunction Hearing filed by Southwest Airlines Co (Attachments: # 1 (p.37)
Exhibit(s) Redacted Exhibit 3, # 2 (p.120) Exhibit(s) Redacted Exhibit 66, # 3

16-10051.33

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Date Filed: 04/22/2016

(p.122) Proposed Order) (Herman, Russell) (Entered: 11/25/2015)


11/27/2015

251 (p.5854)

MOTION to Dismiss for Lack of Jurisdiction Delta's cross-claims, Motion to


Dismiss for Failure to State a Claim() filed by United Airlines Inc (Grantham,
John) (Entered: 11/27/2015)

11/27/2015

252 (p.5858)

Brief/Memorandum in Support filed by United Airlines Inc re 251 (p.5854)


MOTION to Dismiss for Lack of Jurisdiction Delta's cross-claimsMotion to
Dismiss for Failure to State a Claim (Grantham, John) (Entered: 11/27/2015)

11/27/2015

253 (p.5885)

Appendix in Support filed by United Airlines Inc re 252 (p.5858)


Brief/Memorandum in Support of Motion (Attachments: # 1 (p.37) Additional
Page(s) APP. 147-224) (Grantham, John) (Entered: 11/27/2015)

12/16/2015

254 (p.6112)

ORDER: Before the Court is Defendant Southwest Airlines Co.'s Motion to Seal
Certain Confidential Exhibits Admitted at the Preliminary Injunction Hearing
(Doc. No. 250 (p.5820) ). The Court GRANTS the motion. Exhibits 3 and 66 are
hereby sealed. (Ordered by Judge Ed Kinkeade on 12/16/2015) (sss) (Entered:
12/17/2015)

12/18/2015

255 (p.6113)

RESPONSE filed by Delta Air Lines Inc re: 251 (p.5854) MOTION to Dismiss
for Lack of Jurisdiction Delta's cross-claimsMotion to Dismiss for Failure to
State a Claim (Falconer, Russell) (Entered: 12/18/2015)

01/04/2016

256 (p.6137)

REPLY filed by United Airlines Inc re: 251 (p.5854) MOTION to Dismiss for
Lack of Jurisdiction Delta's cross-claimsMotion to Dismiss for Failure to State a
Claim (Grantham, John) (Entered: 01/04/2016)

01/08/2016

257 (p.6150)

MEMORANDUM OPINION AND ORDER: The following motions are before


the Court: (1) Defendant Southwest Airlines Co.'s Verified Application for
Temporary Restraining Order, Preliminary Injunction, and Permanent Injunction
Against Delta Air Lines, Inc. (Doc. 10 (p.208) ); (2) Plaintiff City of Dallas'
Verified Cross Motion for [Temporary Restraining Order] (Doc. No. 20 (p.450)
); and (3) Defendant Delta Air Lines, Inc.'s Emergency Motion for a Temporary
Restraining Order and a Preliminary Injunction Against Southwest Airlines Co.
(Doc. No. 22 (p.528) ). The Court DENIES Southwest's motion for preliminary
injunction. The Clerk of the Court is hereby directed to terminate the City's
motion for preliminary injunction as moot. The Court GRANTS Delta's motion
for preliminary injunction. Southwest is hereby enjoined from evicting or
otherwise removing Delta from Southwest's gate(s) at Love Field, or otherwise
interfering with or preventing Delta's continued use of Southwest's gate(s) to
operate Delta's five daily flights. Southwest is also enjoined from adding
additional flights on any Southwest gate(s) Delta uses to operate its five daily
flights. (Ordered by Judge Ed Kinkeade on 1/8/2016) (ctf) (Entered: 01/08/2016)

01/08/2016

258 (p.6192)

ORDER: In accordance with the Court's Memorandum Opinion and Order of this
same date, the Court GRANTS (1) Defendant Delta Airlines, Inc.'s Emergency
Motion for a Temporary Restraining Order and a Preliminary Injunction Against
Southwest Airlines Co. and (2) Plaintiff City of Dallas' Verified Cross-Motion
for [Temporary Restraining Order]. It is FURTHER ORDERED that, pursuant to
Rule 65(c) of the Federal Rules of Civil Procedure, Defendant Delta Airlines,
Inc. post a bond in the amount of one hundred thousand dollars ($100,000) on or
before 1/15/2016, at 4:00 P.M., to secure payment of any damages sustained if
Defendant Southwest Airlines Co. is found to have been wrongfully enjoined. It
is FURTHER ORDERED that, pursuant to Rule 65(c) of the Federal Rules of
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Civil Procedure, Plaintiff City of Dallas post a bond in the amount of one
hundred dollars ($100) on or before 1/15/2016, at 4:00 P.M., to secure payment
of any damages sustained if Defendant Southwest Airlines Co. is found to have
been wrongfully enjoined. (Ordered by Judge Ed Kinkeade on 1/8/2016) (ctf)
(Entered: 01/08/2016)
01/12/2016

259 (p.6194)

ORDER REQUIRING SCHEDULING CONFERENCE AND REPORT FOR


CONTENTS OF SCHEDULING ORDER: The Joint Report shall be filed no
later than 10 days from the date of the scheduling conference. (Ordered by Judge
Ed Kinkeade on 1/12/2016) (axm) (Entered: 01/12/2016)

01/13/2016

260 (p.6200)

Surety Bond in the amount of $100,000 posted by Delta Air Lines Inc. (axm)
(Entered: 01/14/2016)

01/19/2016

261 (p.6205)

NOTICE OF INTERLOCUTORY APPEAL as to 257 (p.6150) Memorandum


Opinion and Order, 258 (p.6192) to the Fifth Circuit by Southwest Airlines Co.
Filing fee $505, receipt number 0539-7318960. T.O. form to appellant
electronically at Transcript Order Form or US Mail as appropriate. Copy of NOA
to be sent US Mail to parties not electronically noticed. IMPORTANT ACTION
REQUIRED: Provide an electronic copy of any exhibit you offered during a
hearing or trial that was admitted into evidence to the clerk of the district court
within 14 days of the date of this notice. Copies must be transmitted as PDF
attachments through ECF by all ECF Users or delivered to the clerk on a CD by
all non-ECF Users. See detailed instructions here. (Exception: This requirement
does not apply to a pro se prisoner litigant.) Please note that if original exhibits
are in your possession, you must maintain them through final disposition of the
case. (Stanton, Britta) (Entered: 01/19/2016)

01/20/2016

262 (p.6207)

CERTIFICATE OF INTERESTED PERSONS/DISCLOSURE STATEMENT


by Federal Aviation Administration, United States Department of Transportation.
(Ullman-DOJ, Susan) (Entered: 01/20/2016)

01/25/2016

263 (p.6209)

NOTICE of Attorney Appearance by Eric W Pinker on behalf of Southwest


Airlines Co. (Filer confirms contact info in ECF is current.) (Pinker, Eric)
(Entered: 01/25/2016)

01/25/2016

264

01/26/2016

(Document Restricted) Amended Sealed Attorney Contact Information (Sealed


pursuant to SO 19-1, statute, or rule) filed by Southwest Airlines Co (Krabill,
Kent) (Entered: 01/25/2016)
USCA Case Number 16-10051 in USCA5 for 261 (p.6205) Notice of Appeal
filed by Southwest Airlines Co. (axm) (Entered: 01/26/2016)

01/28/2016

265 (p.6211)

ORDER OF ADMINISTRATIVE CLOSURE AND STAYING CASE. The


Court hereby stays this action pending the results of the appeal. Pursuant to LR
79.2 and LCrR 55.2, exhibits may be claimed during the 60-day period following
final disposition (to do so, follow the procedures found at Exhibit Guide). The
clerk will discard exhibits that remain unclaimed after the 60-day period without
additional notice. (Clerk to notice any party not electronically noticed.) (Ordered
by Judge Ed Kinkeade on 1/28/2016) (ran) (Entered: 01/28/2016)

02/02/2016

266 (p.7125)

Electronic Copy of Admitted Hearing or Trial Exhibit(s) re 261 (p.6205) Notice


of Appeal, List of Admitted Hearing Exhibits filed by Delta Air Lines Inc,
Southwest Airlines Co. Exhibits are available for public inspection at the clerk's
office. (Attachments: # 1 (p.37) Exhibit(s) 1-24, # 2 (p.120) Exhibit(s) 25, # 3
(p.122) Exhibit(s) 28-45, # 4 (p.124) Exhibit(s) 48-63, # 5 (p.136) Exhibit(s)
16-10051.35

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66-69, # 6 (p.148) Exhibit(s) 70-77, # 7 Exhibit(s) 80-88, # 8 (p.149) Exhibit(s)


90-93, # 9 (p.206) Exhibit(s) 94-98, # 10 (p.208) Exhibit(s) 110, # 11 (p.214)
Exhibit(s) 112-117, # 12 (p.233) Exhibit(s) 118-137, # 13 Exhibit(s) 138-150, #
14 (p.268) Exhibit(s) 151-162, # 15 (p.270) Exhibit(s) 163-219, # 16 (p.271)
Exhibit(s) 220-229, # 17 (p.273) Exhibit(s) 231-246, # 18 (p.275) Exhibit(s)
260-318, # 19 (p.301) Exhibit(s) 322-400, # 20 (p.450) Exhibit(s) 403, # 21
(p.479) Exhibit(s) 411-438, # 22 (p.528) Exhibit(s) 443, # 23 (p.534) Exhibit(s)
446-465, # 24 (p.586) Exhibit(s) 466-604, # 25 Exhibit(s) 605-607, # 26
Exhibit(s) 608-611, # 27 Exhibit(s) 612-631, # 28 Exhibit(s) 638, # 29 Exhibit(s)
641-683, # 30 (p.858) Exhibit(s) 684-710, # 31 (p.860) Exhibit(s) 713-740, # 32
(p.863) Exhibit(s) 742-759, # 33 (p.868) Exhibit(s) 765-794, # 34 (p.870)
Exhibit(s) 795) (Krabill, Kent) (Entered: 02/02/2016)
02/03/2016

267 (p.6213)

Transcript Order Form: re 261 (p.6205) Notice of Appeal transcript not


requested. (Krabill, Kent) (Main Document 267 replaced on 2/4/2016; pdf
flatten) (axm). (Entered: 02/03/2016)

02/08/2016

268 (p.6214)

SUGGESTION OF BANKRUPTCY Upon the Record as to Seaport Airlines,


Inc. by City of Dallas. (Haskel, Peter) (Entered: 02/08/2016)

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TAB 2

Date Filed: 04/22/2016

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UNITED STATES DISTRICT COURT


NORTHERN DISTRICT OF TEXAS
DALLAS DIVISION
CITY OF DALLAS,
Plaintiff,
v.
DELTA AIR LINES, INC., SOUTHWEST
AIRLINES CO., VIRGIN AMERICA INC.,
AMERICAN AIRLINES, INC., UNITED
AIRLINES, INC., SEAPORT AIRLINES,
INC., UNITED STATES DEPARTMENT
OF TRANSPORTATION, AND THE
FEDERAL AVIATION
ADMINISTRATION,
Defendants.

Civil Action No. 3:15-cv-02069-K

SOUTHWEST AIRLINES CO.S NOTICE OF APPEAL


______________________________________________________________________________
Pursuant to Federal Rule of Appellate Procedure 4(a), Southwest Airlines Co. gives
notice that it appeals to the United States Court of Appeals for the Fifth Circuit from the Order
entered on January 8, 2016 (Docket Nos. 257 & 258), as well as any prior judgments, opinions,
rulings, or orders subsumed therein.

SOUTHWEST AIRLINES CO.S NOTICE OF APPEAL

Page 1

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DATED: January 19, 2016

Respectfully submitted

/s/ Britta Erin Stanton


John T. Cox, III (tcox@lynnllp.com)
Texas Bar No. 24003722
Kent D. Krabill (kkrabill@lynnllp.com)
Texas Bar No. 24060115
Britta Erin Stanton (bstanton@lynnllp.com)
Texas Bar No. 24036976
Stephen M. Cole (scole@lynnllp.com)
Texas Bar No. 24078358
Christopher Patton (cpatton@lynnllp.com)
Texas Bar No. 24083634
Russell Herman (rherman@lynnllp.com)
Texas Bar No. 24083169
LYNN TILLOTSON PINKER & COX, LLP
2100 Ross Avenue, Suite 2700
Dallas, TX 75201
Telephone: 214.981.3830
Facsimile: 214.981.3839
ATTORNEYS FOR DEFENDANT
SOUTHWEST AIRLINES CO.

CERTIFICATE OF SERVICE
The undersigned hereby certifies that on January 19, 2016, the foregoing document was
served on all counsel of record through the Courts ECF system.

/s/ Britta Erin Stanton


Britta Erin Stanton
4827-7483-6012, v. 2

SOUTHWEST AIRLINES CO.S NOTICE OF APPEAL

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TAB 3

Date Filed: 04/22/2016

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IN THE UNITED STATES DISTRICT COURT


NORTHERN DISTRICT OF TEXAS
DALLAS DIVISION
CITY OF DALLAS,

Plaintiff,

v.

DELTA AIRLINES, INC., SOUTHWEST


AIRLINES CO., VIRGIN AMERICA

INC., AMERICAN AIRLINES, INC.,

UNITED AIRLINES, INC., SEAPORT


AIRLINES, INC., UNITED STATES

DEPARTMENT OF

TRANSPORTATION, and THE

FEDERAL AVIATION

ADMINISTRATION,

Defendants.

Civil Action No. 3:15-CV-2069-K

MEMORANDUM OPINION AND ORDER


The Court is asked by Plaintiff City of Dallas, Defendant Southwest Airlines
Co., and Defendant Delta Air Lines, Inc. to grant a preliminary injunction, each party
requesting different relief.

The following motions are before the Court:

(1)

Defendant Southwest Airlines Co.s Verified Application for Temporary Restraining


Order, Preliminary Injunction, and Permanent Injunction Against Delta Air Lines,
Inc. (Doc. 10); (2) Plaintiff City of Dallas Verified Cross-Motion for [Temporary
Restraining Order] (Doc. No. 20); and (3) Defendant Delta Air Lines, Inc.s
Emergency Motion for a Temporary Restraining Order and a Preliminary Injunction
1

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Against Southwest Airlines Co. (Doc. No. 22).

The Court held an evidentiary

hearing (injunction hearing) on these pending motions for injunctive relief on


September 28-30, 2015.

The Court has carefully considered the motions, the

responses, the replies, supporting appendices, pleadings, applicable law, and evidence
offered at the injunction hearing. Because the equitable factors related to injunctive
relief weigh heavily in favor of Delta and not Southwest, the Court hereby GRANTS
Deltas motion for preliminary injunction and DENIES the motion for injunctive
relief filed by Southwest. The City requests any one of several alternative forms of
injunctive relief including the relief requested by Delta. Because the equitable factors
also weigh in favor of the City, the Court GRANTS the Citys motion.
I.

Factual and Procedural Background


History of Love Field and The Wright Amendment

Love Field Airport (Love Field) was originally constructed as a United States
Army airbase during World War I. Plaintiff City of Dallas (City) has owned and
operated Love Field since 1928. In the 1960s, the federal government ordered the
cities of Dallas and Ft. Worth to designate one airport from which federally regulated
air carriers could serve both cities. The cities were unable to agree on the designation
of either Love Field or the airport in Ft. Worth as the airport to serve both cities. But
the cities did agree to construct a new airport, Dallas-Ft. Worth International Airport
(DFW Airport), which ultimately opened in 1974. Every federally certified airline
then operating at Love Field and the Ft. Worth airport agreed to relocate their
2

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operations to DFW Airport. At that time, Defendant Southwest Airlines Company


(Southwest) flew only within the State of Texas, so it was not a federally certified
air carrier. Although the other airlines left Love Field, Southwest continued its Texasonly flight operations from Love Field.
With the enactment of the Airline Deregulation Act of 1978, Southwest
announced plans to expand its Love Field flight operations to airports outside of
Texas.

In response to that announcement and in an effort to protect the

development of DFW Airport, Congress passed the Wright Amendment in 1979;


named for Jim Wright, a congressman from Ft. Worth who was later Speaker of the
House.

The Wright Amendment restricted interstate flights from Love Field to

Louisiana, Arkansas, Oklahoma and New Mexico, the four states surrounding Texas.
In several later amendments to the Wright Amendment, direct service from Love
Field to Alabama, Kansas, Mississippi and Missouri was allowed. During this time of
restricted flight operations, other air carriers moved in and out of Love Field, but
Southwest remained.
Reforming and Repealing the Wright Amendment
At the suggestion of Congress in 2006, Dallas and Ft. Worth began working on a
recommendation for a long-term solution to the Wright Amendments flight
restrictions at Love Field. The result was an agreement entered into between the City
of Dallas, the City of Ft. Worth, DFW Airport Board, Southwest, and Defendant

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American Airlines (American) on July 11, 2006 (Five Party Agreement).


Important terms of the Five Party Agreement include the following:
1. A reduction in the total number of gates at Love Field from 32 to 20.
2. A prohibition of the subdivision of a gate in any form, including the use of
hardstands which permit an airline to ground load/unload their
passengers.
3. The allocation of 16 preferential use gates to Southwest, two preferential
use gates to American, and two preferential use gates to ExpressJet
Airlines, Inc..
4. A limitation on flight operations to the hours of 6:00 a.m. to 11:00 p.m.
5. A prohibition of international flights originating from Love Field.
In addition to these terms, the Five Party Agreement refers to the possibility of a
new entrant airline seeking space to operate at Love Field under the new gate
limitations:
To the extent a new entrant carrier seeks to enter Love Field,
the City of Dallas will seek voluntary accommodation from its
existing carriers to accommodate the new entrant service. If the
existing carriers are not able or are not willing to accommodate the
new entrant service, then the City of Dallas agrees to require the
sharing of preferential lease gates, pursuant to Dallas existing lease
agreements.
The Five Party Agreement does not define the term preferential use even though it
is used in that agreement. At the time of the Five Party Agreement, three airlines had
Lease Agreements with the City to use Love Field gates and space. (These airlines
with Lease Agreements are referred to herein as Signatory Airlines.) Unlike the
4

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Five Party Agreement, the Lease Agreement does define the term preferential use as
meaning the Signatory Airline has primary, but not sole, use of the leased space.
After the Five Party Agreement was formalized, the parties presented their
agreement to Congress as the collaborative local effort for reforming and/or repealing
the Wright Amendment.

Several, though not all, provisions of the Five Party

Agreement were ultimately incorporated into the Wright Amendment Reform Act
(WARA), which officially repealed the Wright Amendment when it was adopted on
October 13, 2006; but maintained the long-distance flight restrictions from Love
Field for eight more years until October 2014. Just as in the Five Party Agreement,
WARA addressed new entrant airlines needing space to operate at the now gate
restricted Love Field, specifically providing that, [t]o accommodate new entrant air
carriers, the city of Dallas shall honor the scarce resource provision of the existing Love
Field leases. (Emphasis added.) The substantive provisions regulating flights in and
out of Love Field were incorporated into WARA. The provisions of the Five Party
Agreement which were not incorporated into and adopted by WARA are simply
contractual obligations between the five parties that are independent of WARA, and
do not include Delta.
Post-WARA Changes
Certain changes to the original preferential gate assignments have occurred since
the Five Party Agreement was entered into and WARA was enacted. There were
three airlines which entered into Lease Agreements with the City for preferential
5

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use of the 20 gates at Love FieldExpressJet Airlines, Inc. (ExpressJet), American,


and Southwest. In 2008, the ExpressJet gates were acquired by Continental Airlines,
and then by Defendant United Airlines, Inc. (United) as part of its merger with
Continental. With the merger, United became obligated as a successor to a Signatory
Airline regarding all obligations under the Lease Agreement for those two gates.
American is still a Signatory Airline, but in May 2014, Defendant Virgin America,
Inc. (Virgin) subleased Americans two gates pursuant to a federal divestiture order
related to the American and U.S. Airways merger which began in 2013 and was
approved in 2014. This action effectively removed American Airlines from flying out
of Love Field. (Southwest and Delta both sought those two American gates during
the divestiture proceedings and both were rejected by the Department of Justice and
the federal court.) Virgin then entered into a gate usage agreement with Defendant
Seaport Airlines allowing it to operate two flights daily from Virgins two gates.
Southwest continues to have a Lease Agreement with the City for preferential use of
16 gates.
Terms and Provisions of the Lease Agreement
The terms of each Lease Agreement for gates between the City and the respective
Signatory Airline are essentially identical, according to the City.

The Signatory

Airline has either exclusive use or preferential use of its leased space at Love Field, as
described in the Lease Agreements. Exclusive use pertains to that leased space that
the Signatory Airline has the sole right to use. Preferential use, on the other hand,
6

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applies to those leased spaces where the Signatory Airline is considered the primary,
but not sole, user. Under each Lease Agreement, no Signatory Airline has exclusive
use of any gate, only preferential use. There is exclusive use leased space at Love
Field; but, there are no exclusive use gates at Love Field.
Just as both the Five Party Agreement and WARA recognized the limitations
created by the gate restrictions, each Lease Agreement addresses the possibility of
Love Field facilities becoming a scarce resource. The Lease Agreement anticipates a
new entrant air carrier (Requesting Airline) may seek to provide service at Love
Field with the new gate restrictions.

Recognizing the need for open access and

uniform treatment, the Lease Agreement goes further and provides a procedure in
Section 4.06F when accommodation is sought by a Requesting Airline.

This

procedure requires the Requesting Airline first exhaust all reasonable efforts to secure
a voluntary arrangement for accommodations from each Signatory Airline.

If the

Requesting Airlines attempt for voluntary accommodation fails, then the Citys
Director of Aviation (Director) will notify each Signatory Airline that if a voluntary
accommodation is not made within the 30-day time frame under each Lease
Agreement, the Director will select one of the Signatory Airlines to fulfill the
accommodation request. Notice will then be sent to the selected Signatory Airline
which will have 10 days to comment on or dispute the Directors choice.

The

Signatory Airline must accommodate the Requesting Airline unless the Director

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rescinds his selection. The accommodation procedure does not specify options or
remedies the Requesting Airline might have if the Director rescinds his selection.
Deltas First Accommodation Request
Beginning July 2009, Delta entered into a month-to-month sublease with
American for partial use of its two gates, which allowed Delta to begin service from
Love Field. Delta enjoyed uninterrupted service from Love Field under this monthto-month arrangement. But Deltas service was placed in jeopardy when its monthto-month sublease with American was set to end on October 12, 2014, the effective
date of Americans divesting sublease with Virgin for those two gates. Delta began
contacting the Signatory Airlines, as well as Virgin, on June 13, 2014, to request
voluntary accommodation for its five daily flights, but that effort was unsuccessful.
In a letter dated July 16, 2014, Delta requested the City initiate the mandatory or
forced accommodation procedure set forth in each Lease Agreement with the
Signatory Airlines. Following Section 4.06F, Mr. Mark Duebner (Mr. Duebner),
Director of the Citys Department of Aviation, notified the Signatory Airlines that
unless Delta was accommodated within 30 days, Mr. Duebner would select one
Signatory Airline to comply with the accommodation order.

On September 18,

2014, Delta informed Mr. Duebner in a letter that no accommodation had been
made even though the 30-day deadline had passed. Delta emphasized the urgency of
the situation with American terminating its agreement with Delta effective October
12, 2014. Delta also reminded Mr. Duebner that the Department of Aviation has
8

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previously assured us that we would be accommodated, and we are relying on that


commitment. With no sublease or voluntary or forced accommodation in place,
Delta entered into temporary gate usage agreements with different air carriers at Love
Field at various points in time to ensure continued service, all while reasserting its
accommodation request to the City.
During this time, United was operating only seven daily flights out of its two
leased gates. On September 19, 2014, Mr. Duebner notified United in a letter that
the City selected United to accommodate Delta on one of its gates. Mr. Duebner
stated that the Citys decision was based on Uniteds actual gate usage at that time
and he told United that the accommodation must be made within 30 days. The day
before that notification, on September 18, 2014, United entered into a gate usage
agreement with Southwest for its use of Uniteds two gates only for overflow purposes
or irregular operations; United continued to operate its flights from both gates.
On September 23, 2014, Mr. Bob Montgomery (Mr. Montgomery), Vice
President of Airport Affairs for Southwest, sent a letter to Mr. Duebner disputing and
disagreeing with the Citys decision to force United to accommodate Delta on these
two gates Southwest had contracted to use for overflow or irregular operations. To
bolster Southwests argument, Mr. Montgomery pointed to Southwests recent gate
usage agreement with United, Southwests own desire and intent to ramp up its
flight operations, and his interpretation of the Lease Agreement language providing
only an accommodation process for requests, but not an actual requirement of the
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Signatory Airline to accommodate. The next day, September 24, 2015, Southwest
CEO Mr. Gary Kelly emailed Mr. AC Gonzalez, City Manager, that Southwest was
not happy with the Citys decision:
It has come to my attention that once again, as recently as this
week, [the City] has taken steps to frustrate and impede Southwest
Airlines growth and success. Further, the [C]ity has acted in a
manner that again puts us in adverse positions legally.
The 43-year history of Southwest Airlines has been a constant
struggle to overcome [sic] with the City of Dallas.
If anyone from the City Managers Office or the Aviation Dept.
had attended the program we hosted for Dallas leaders two weeks
ago at our $100 million+ new training and operations center, they
would have learned that Southwest, based on 2013 accumulated
data:
--generated over $4 billion in local economic activity
--contributed $2 billion to the Dallas area GDP
--aided in the creation of over 22,000 jobs
--paid $1 billion in salaries, wages, and benefits to 8,000 Dallas
area Employees
--paid $42 million in taxes in the Dallas area
--supported 428 local civic and charitable organizations with
cash and/or free travel
All of the above has been accomplished without financial
incentives or tax abatements asked for or offered. In return, Dallas
has, by choicenot necessity, elected to reward competitors that
have contributed nothing to Dallas while denying Southwest the
opportunity to grow from Dallas Love Field, the airport
[Southwest] first saved from elimination by the [C]ity and then
[Southwest] rebuilt at no cost to the city.
We thought that after working so hard to resolve the historic
dispute between Dallas and Ft. Worth over our airports and then
investing so massively to reinvent Love Field that we were finally
past these acrimonious hardships with our hometown. After 43
years of this, we have Dallas fatigue. We are moving on to focus
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our corporate investments in those markets that place a value on


them and their corporate residents.
On September 26, 2014, United sent a letter to the City objecting to the Citys
requirement that United accommodate Delta. United stated both of the gates would
be fully utilized as of October 13, 2014, pointing to Uniteds flight operations and
the recent gate usage agreement with Southwest for overflow or irregular operations
on those gates. United said that Delta could not be accommodated and asked the
City to rescind its directive.

On September 27, 2014, Southwest offered $120

million cash consideration for the preferential use of both United gates at Love Field,
which was accepted by United on September 29, 2014.

The City acquiesced to

Southwests demands on September 29, 2015, and decided to rescind the September
19 accommodation order to be implemented by United. In a letter dated September
29, 2014, the City notified Delta that it could no longer be accommodated on
Uniteds gates because of Uniteds recently provided flight schedules which included
the new gate usage agreement between Southwest and United.
Deltas Second Accommodation Request
Section 4.06F provides no options or alternatives for a Requesting Airline in the
case of the Director rescinding his selection. After the City rescinded its original
September 19 accommodation directive to United, Delta made a second request for
forced accommodation with the City. Delta sent Mr. Duebner a letter dated October
2, 2015, asserting that the City had obligations under Section 4.06 of the [Lease
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Agreement], the Five Party Agreement, the Citys recent promise to accommodate
Delta, its commitment in its Airline Competition Plan filed with the [FAA]. . ., its
Airport Improvement Program grant assurances, and Federal law to act on Deltas
accommodation request and designate a Signatory Airline to share its gate space with
Delta on a more permanent basis. The City began another accommodation process
on December 1, 2014, and sent a letter to Virgin, United and Southwest stating that
Deltas accommodation request had triggered the formal accommodation process set
out in Section 4.06F. The City stated that if none of the Signatory Airlines would
voluntarily accommodate Delta, the City would choose one to accommodate Delta.
None of the Signatory Airlines offered to voluntarily accommodate Delta in response
to that letter.
The City Asks DOT for Guidance on Accommodation Request
On December 8 and 11, 2014, the City contacted Defendant Department of
Transportation (DOT) by phone for help and guidance on how to handle air carrier
access at Love Field, specifically as it related to Deltas accommodation request. The
DOT responded with a letter dated December 17, 2014, outlining what the DOT
understood the Citys obligations to be regarding competition at Love Field.
Specifically, the DOT stated that the City had legal obligations to accommodate
Delta, which included the Citys obligations under the federal Competition Plan
statute and also the grant assurances the City made in relation to grants under the
Airport Improvement Program.

The DOT emphasized the importance of


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accommodating a requesting airline and ensuring competition at this constrained


airport. As for the length of any accommodation, the DOTs position was that an
accommodated airline is entitled to an ongoing similar pattern of service as long as
the carrier continues to operate the accommodated flights.
Southwests Sublease of Uniteds Two Gates Takes Effect
Although none of the Signatory Airlines agreed to voluntary accommodate Delta
after Mr. Duebners December 1 letter, the City chose not to select any of the airlines
to comply with the accommodation request, even though that accommodation is
required under Section 4.06F2: [T]he Director will notify all Signatory Airlines in
writing that if Requesting Airline is not accommodated within thirty (30) days from
the receipt of the notice, the Director will select one of the Signatory Airlines to comply
with the request for accommodation in a non-discriminatory manner. (Emphasis added.)
Then on January 28, 2015, Southwest entered into a Sublease Agreement with
United for Southwests preferential use of Uniteds two gates, which formalized the
$120,000,000 deal agreed to on September 29. The United Lease Agreement with
the City required the City to approve any sublease before that sublease could take
effect.

On January 28, the City consented to that Sublease Agreement between

United and Southwest.


The City Seeks DOT Guidance a Second Time
Although the City refused to select a Signatory Airline to accommodate Delta, Mr.
Peter Haskell, the Assistant City Attorney, emailed the DOT on February 26, 2015,
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asking for further guidance on the Citys federal and legal obligations and also the
proper duration for Deltas requested accommodation. The DOT sent another letter
to the City on June 15, 2015, again explaining the DOTs interpretation of the Citys
obligations. The DOT reiterated that the grant assurances and the Competition Plan
statute both require the City to accommodate a requesting airline if a voluntary
accommodation cannot be arranged. The DOT also stated that the City is required
to accommodate a requesting carrier unless Love Fields facilities are fully-utilized at
the time of the request, or the signatory carriers at the time of the request are selling
tickets for future flights fully-utilizing the facilities.

The DOT specifically noted

that the City should not consider a Signatory Airlines unscheduled future expansion
plans because it may give a signatory carrier the ability to block a competitors
accommodation request by deciding or asserting, after a request is made, that it will
expand service.
accommodation,

Finally, the DOT restated its position on the length of


which

is

that

once

accommodated

at

Love

Field,

the

accommodated carrier is entitled to an ongoing similar pattern of service as long as


the carrier continues to operate the accommodated flights and that the
accommodated carrier should not be pushed out by incumbent carriers at a later
date.

The DOT concluded its response with a reminder that it is the Citys

responsibility to decide how to act on Deltas request.

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City of Dallas Files This LawsuitTell Us What to Do!


Ultimately, none of the Signatory Airlines (meaning an airline having a Lease
Agreement with the City for use of Love Field space and gates) or Virgin (having a
Sublease Agreement with American) offered to voluntarily accommodate Delta and
the City refused to force an accommodation choosing not to follow the guidance the
City solicited from the DOT. Delta continued to operate flights from Love Field
under a temporary gate usage agreement with United to use one of its preferential use
gates for 180 days to operate Deltas five daily flights; Southwest offered to honor the
temporary 180 day gate usage agreement after the effective date of the Sublease
Agreement. This temporary gate usage agreement was set to expire on July 6, 2015.
As the expiration date loomed closer, Southwest rejected Deltas requests to extend it.
Continuing to press the accommodation request with the City, Delta told the City it
would refuse to cease operations at Love Field on July 7, 2015, because it had a right
to accommodation. In an attempt to avoid what it says would be potential chaos at
Love Field beginning July 7, 2015, the City filed this lawsuit on June 17, 2015,
seeking declaratory relief related to, among other things, its legal obligations and
rights with respect to the Five Party Agreement, WARA, the Lease Agreements and
federal regulations and laws affecting Love Field; essentially the City is asking this
Court to Please tell us what to do. On June 19, 2015, Southwest filed the pending
Verified Application for Temporary Restraining Order, Preliminary Injunction, and
Permanent Injunction Against Delta. The City filed the pending Cross-Motion for
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TRO [sic] on June 23, 2015. On the same date, Delta filed the pending Emergency
Motion for a Temporary Restraining Order and a Preliminary Injunction Against
Southwest.
Taking into account the complexity of this case and the importance of this matter
to the citizens of Dallas and the Metroplex, the Court urged the parties to come to a
temporary agreement related to Deltas gate usage at Love Field in order to allow the
parties adequate time to brief the injunctive relief requests and responses, as well as
allow the Court time to conduct a hearing.

Southwest and Delta reached a

temporary gate usage agreement whereby Southwest would permit Delta to continue
operating its five flights daily until the Court rules on the pending motions for
injunctive relief.

The Court conducted a three-day hearing on the motions on

September 28-30, 2015.


II.

Legal Standard

The purpose of a preliminary injunction is to preserve the status quo and thus
prevent irreparable harm until the respective rights of the parties can be ascertained
during a trial on the merits. Serna v. Tex. Dept. of State Health Services, Vital Statistics
Unit, No. 1-15-CV-446-RP, 2015 WL 6118623, at 13 (W.D. Tex. Oct. 16, 2015)
(quoting Exhibitors Poster Exch., Inc. v. Natl Screen Serv. Corp., 441 F.2d 560, 560 (5th
Cir. 1971)). To be entitled to a preliminary injunction, the movant must satisfy each
of the following equitable factors:

(1) a substantial likelihood of success on the

merits; (2) a substantial threat of irreparable injury; (3) the threatened injury to the
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movant outweighs the threatened harm to the party sought to be enjoined; and (4)
granting the injunctive relief will not disserve the public interest. Canal Auth. of State
of Fla. v. Callaway, 489 F.2d 567, 572 (5th Cir. 1974); see also Tex. Med. Providers
Performing Abortion Servs. v. Lakey, 667 F.3d 570, 574 (5th Cir. 2012) (quoting
Bluefield Water Assn, Inc. v. City of Starkville, Miss., 577 F.3d 250, 252-53 (5th Cir.
2009)). Because a preliminary injunction is an extraordinary remedy, it should not
be granted unless the movant has clearly carried the burden of persuasion on all
four requirements. Bluefield Water, 577 F.3d at 253 (quoting Lake Charles Diesel, Inc.
v. Gen. Motors Corp., 328 F.3d 192, 195-96 (5th Cir. 2003)). Failure to sufficiently
establish any one of the four factors requires this Court to deny the movants request
for a preliminary injunction.

See Enter. Intl, Inc. v. Corporacion Estatal Petrolera

Ecuatoriana, 762 F.2d 464, 472 (5th Cir. 1985).

Any factual findings and/or

conclusions of law the Court makes herein are not binding at a trial on the merits.
Jonibach Mgmt. Trust v. Wartburg Enterprises, Inc., 750 F.3d 486, 491 (5th Cir. 2014).
III.

Analysis

At this juncture, the Court is only concerned with the need for immediate relief
pending a trial on the merits.
The Citys Request
The City moves for injunctive relief in the form of the Court granting either the
relief requested by Southwest, or alternatively, the relief requested by Delta, or
further in the alternative, the Court limiting both Southwests and Deltas flight
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operations in order to prevent double-booking and limit interference with gate rights.
The City takes no position on precisely what the injunctive relief should be. The
City simply moves for some sort of injunctive relief, whatever the Court determines
that to be, while the legal issues are decided.
Deltas Request
Delta seeks injunctive relief against Southwest to freez[e] the status quo . . .
allowing Delta to continue operating its limited schedule of five daily flights . . .
pending final resolution of this proceeding. Delta specifically asks the Court to issue
a preliminary injunction prohibiting Southwest from (1) evicting Delta from its
gate(s) at Love Field, (2) expanding its flight operations at Love Field, or (3) any
other action inconsistent with Deltas right to long term accommodation.
Southwests Request
Southwest seeks injunctive relief against Delta to protect Southwests property
rights and to protect the rights of the flying public. Specifically, Southwest seeks a
preliminary injunction prohibiting Delta from trespassing on Southwests gates at
Love Field after the expiration of the temporary gate usage agreement.
A. Deltas Motion for Preliminary Injunction
1. Likelihood of Success on the Merits
In establishing a substantial likelihood of success, the movant is not
required to prove [his] entitlement to summary judgment for purposes of
preliminary injunction. Byrum v. Landreth, 566 F.3d 442, 446 (5th Cir. 2009); see also
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Janvey v. Alguire, 647 F.3d 585, 595-96 (5th Cir. 2011). The district court look[s] to
standards provided by the substantive law to determine likelihood of success on the
merits. Janvey, 647 F.3d at 596 (quoting Roho, Inc. v. Marquis, 902 F.2d 356, 358
(5th Cir. 1990)).
At the time Delta filed its motion, it had not yet filed an answer or any
counter- and/or crossclaims. At the time of the injunction hearing, Delta had filed its
amended cross-claims against Southwest seeking or asserting:

(1) a declaratory

judgment that the Sublease Agreement between United and Southwest violated the
Lease Agreements; (2) a declaratory judgment that Delta is entitled to be
accommodated; (3) a claim for breach of the Southwest Lease Agreement; and (4) a
claim for tortious interference with the United Lease Agreement. The Court need
only consider whether Delta has a likelihood of success on the merits of one of its
claims.

See Ramada Franchise Sys., Inc. v. Jacobcart, Inc., Civ. No. 3:01-CV-306-D,

2001 WL 540213, at *1 (N.D. Tex. May 17, 2001)(Fitzwater, J.).


To establish a breach of contract claim under Texas law, the party must prove:
(1) the existence of a valid contract; (2) that the [party] performed or tendered
performance; (3) that the other party breached the contract; and (4) that the party
was damaged as a result of the breach. Cordero v. Avon Products., Inc., No. 15-40563,
2015 WL 6530721, at *2 (5th Cir. Oct. 29, 2015). A party must establish its privity
to the contract or its status as a third-party beneficiary in order to sue for breach of
contract. Maddox v. Vantage Energy, LLC, 361 S.W.3d 752, 756-57 (Tex.App.Ft.
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Worth 2012). Deltas breach of contract claim is based on the Lease Agreement
entered into by the City and Southwest. Because Delta is not a signatory to the
Lease Agreement, the Court must determine as a threshold matter that Delta has
standing as a third-party beneficiary to enforce the Lease Agreement.
a. Is Delta a Third-Party Beneficiary?
Texas courts have traditionally presumed that a party contracts only for its
own benefit and have therefore maintained a presumption against third-party
beneficiary agreements.

Id. at 757.

Unless there is clear and unequivocal

representation that the contracting parties intended to directly benefit a third-party,


courts will not infer such intent in order to confer third-party beneficiary status.
Tawes v. Barnes, 340 S.W.3d 419, 425 (Tex. 2011). The contract does not need to
specifically name the third-party, but it must adequately describe or designate the
third-party. Maddox, 361 S.W.3d at 757. A third-party beneficiary is either a donee
beneficiary or creditor beneficiary. Id. When the completed contracted performance
comes to the party as a pure donation, that party is a donee beneficiary. Id. (citing
MCI Telecomms. Corp. v. Tex. Util. Elec. Co., 995 S.W.2d 647, 651 (Tex. 1999)).
When the contracted performance satisfies a duty or legally enforceable commitment
owed to the party by the promisee, the party is considered a creditor beneficiary. Id.
A party is not a third-party beneficiary if it simply benefits incidentally from the
contract. Maddox, 361 S.W.3d at 757.

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Delta contends that a new entrant airline is an intended, contemplated,


and/or third-party beneficiary of the Lease Agreement between the Signatory Airline
and the City. Delta contends that its request for voluntary accommodation from
Southwest, beginning in June 2014, satisfied Deltas obligations as a new entrant
airline or Requesting Airline under Section 4.06F. Delta, the City and Southwest
disagree as to the exact definition of new entrant airline. The Five Party
Agreement, WARA, and the Lease Agreement do not define new entrant airline.
The Court must first define new entrant airline before it can address the third-party
beneficiary analysis.
i. New Entrant Airline Defined
Delta defines new entrant airline as any airline that is not a Signatory Airline
in a Lease Agreement with the City. Southwest defines new entrant airline as an
airline that does not currently operate at Love Field.

The City does not offer a

definition, but instead asks the Court to define it. The Lease Agreement uses the
term new entrant airline in Section 4.06F interchangeably with Requesting
Airline, but the Lease Agreement does not define new entrant airline. The Lease
Agreement does define Requesting Airline in Section 1.50, but the definition is
limited, stating only that the term has the meaning given to it in Section 4.06F. The
Lease Agreement provides in Section 4.06F:
Airline and City agree that although most of the airline areas
in the Terminal Building [at Love Field] are or will be leased to
Signatory Airlines for their exclusive or preferential use, and
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Terminal Building facilities [which includes gates] at the Airport


may become a scarce resource if a new entrant airline (Requesting
Airline) requests to provide service at the Airport. In such
circumstances, Airline agrees to accommodate such Requesting
Airline as its Leased Premises at such times that will not unduly
interfere with its operating schedule and upon such reasonable
terms as may be agreed upon between Airline and the Requesting
Airline[], taking into consideration all the circumstances of such an
accommodation agreement. . . . To insure compliance with this
obligation and to provide open access and uniform treatment for
all airline tenants, the following [accommodation] procedure is
established. . . .
By signing the Lease Agreement which contains this language, all parties
acknowledge the potential scarce resources at Love Field. The language is clear that
the purpose of the accommodation procedure is to insure there would be open access
for an airline requesting accommodation for gate space at Love Field in light of the
gate limitations and overall constraints which the parties all recognized.

The

language discusses the potential scarcity of Love Field facilities because most are or
will be leased to Signatory Airline for their exclusive or preferential use. Because of
this, the Signatory Airline agrees to provide space to a new entrant airline seeking to
provide service at Love Field. There is no language limiting the new entrant airline to
one not currently operating at Love Field. The Lease Agreement language does not
limit the parties accommodation obligation to an airline not currently operating at
Love Field. Such a narrow construction of new entrant airline is unreasonable and
too restrictive in light of the language of section 4.06F of the Lease Agreement. The
Court agrees with Deltas proposed definition of new entrant. Although the Lease
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Agreement language is not artfully drafted, the Court finds new entrant airline to
mean any airline that is not a Signatory Airline in a Lease Agreement with the City
and an airline needing space at Love Field to provide service.
ii. Is Delta Able to Bring Breach of Contract Claim as a New
Entrant Airline?
Having defined new entrant airline, the Court now turns to whether Delta,
as a new entrant airline, can be a third-party beneficiary to the Lease Agreement
and bring its breach of contract claim. The Court finds Delta is a creditor beneficiary
because the duty owed to Delta is a contractual obligation or some other legally
enforceable commitment under the Lease Agreement. See Stine v. Stewart, 80 S.W.3d
586, 589 (Tex. 2002).

Section 4.06F specifically provides that when an

accommodation request is made, Southwest as the Signatory Airline agrees to


accommodate the Requesting Airline, here Delta, at times that would not unduly
interfere with Southwests schedule. This agreement by Southwest satisfies a duty or
legally enforceable commitment owed to Delta once Delta made that accommodation
request in compliance with section 4.06F. The Court finds the Lease Agreement is
clear and unequivocal that the City and the Signatory Airlines intended to directly
benefit a new entrant airline or Requesting Airline, in this case Delta, with this
accommodation provision. See Tawes, 340 S.W.3d at 425.
Delta would not simply benefit incidentally from the accommodation
provision.

See Stine, 80 S.W.3d at 589.

The parties drafted an accommodation

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procedure that would be triggered upon a request from a new entrant airline and
this was incorporated into the Lease Agreement. The purpose of that procedure is
explained in the Lease Agreement as providing a new entrant airline access to scarce
space at Love Field.

Obviously, the Lease Agreement does not specifically name

Delta as a beneficiary, but it does adequately describe or designate Delta by use of


the term new entrant airline or Requesting Airline. See Maddox, 361 S.W.3d at
757. If the City and Southwest as parties to the Lease Agreement did not intend for
a new entrant airline to have the right to enforce this section, there would be no
other way for the accommodation procedure to work and no remedy for the new
entrant airline should the City and/or Southwest not comply with their agreement.
There is no reasonable interpretation of this accommodation provision other than
that the new entrant airline is in fact the only intended beneficiary. Otherwise, this
is superfluous language because no one benefits from this provision. The Court finds
at this preliminary stage that Delta has standing to bring its breach of contract claim
against Southwest as a third-party beneficiary.
b. Did Southwest Breach the Lease Agreement?
The Court now turns to Southwests alleged breach of the agreement.

To

establish a substantial likelihood of success on the merits of its breach of contract


claim, Delta must to prove:

(1) the existence of a valid contract; (2) that Delta

performed or tendered performance; (3) that Southwest breached the contract; and
(4) that Delta was damaged as a result of the breach. See Cordero, No. 15-40563,
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2015 WL 6530721, at *2. There is no dispute that a contract, the Lease Agreement,
exists and the Court has already determined Delta is a third-party beneficiary, so the
first factor is established.

As for Deltas performance, the record establishes that

Delta performed its obligation under the accommodation procedure in section 4.06F
by contacting all Signatory Airlines and any airline subleasing gate space from a
Signatory

Airline

beginning

June

13,

2014,

to

try

to

secure

voluntary

accommodation.
Section 4.06F provides that the Signatory Airline agrees to accommodate such
Requesting Airline at its Lease Premises at such times that will not unduly interfere
with its operating schedule. The Lease Agreement does not define unduly interfere
with. The Court finds it very interesting that former Mayor Laura Miller testified
about this exact phrase in the Lease Agreement at the Congressional subcommittee
hearing on reforming the Wright Amendment Act. In response to a subcommittee
members question about the meaning of the undefined and vague term unduly
interfere with, Ms. Miller testified:
Well it was crafted by the Dallas City Attorneys Office and
we understand, since it has never been tested, we have never had a
conflict; that we should, if we are responsible, create a very clear policy
using this as the template for how we are in real terms going to be executing
this. This [term] gives us the authority to tell [a Signatory Airline],
you have to make room. But I think that like other airports like
you cited that have this issue of capacity, we need to have a very clear
policy in place so that the tenants have a clear expectation for how its going
to work when the director say we shall make room for [a Requesting Airline]
and this is how we are going to do it.
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Ex. 631, p. 0052. As we now know, the City wholly failed to craft any policy, let
alone a clear one, setting forth how the accommodation procedure and process would
work in reality. This vague language about unduly interfere with was drafted by
the City itself and was noted by at least one concerned subcommittee member of
contributing to Southwest [being] in the catbird seat.

And worse, then Mayor

Laura Miller acknowledged the need for the City, if we are responsible, [to] create a very
clear policy . . . for how we are in real terms going to be executing this. Now in this case, the
Court is asked to follow through with what the City should have done years ago.
i. Unduly Interfere With Defined
The Court concludes, for purposes of this preliminary injunction, that unduly
interfere with in section 4.06F means the requested flight accommodation can fit
within the Signatory Airlines existing published schedule, at the time the
accommodation request is made, without causing the Signatory Airlines existing
schedule to reach maximum usage.

The evidence establishes that Southwest

considers maximum usage or full utilization of gates at Love Field to be 10 flights


daily per gate. The Court finds Delta provided evidence that, at several points in
time after its initial accommodation request in June 2014, Southwest was able to
accommodate Deltas five daily flights on Southwests 16 gates without unduly
interfering with Southwests existing operating schedule.
At the time of the Deltas original accommodation request in June 2014,
Southwest was flying approximately seven flights daily out of 16 gates. The evidence
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shows that as of October 1, 2014, prior to the repeal of the Wright Amendment,
Southwest operated 118 flights daily out of 16 gates, approximately seven flights
daily per gate. That flight schedule would certainly have permitted accommodation
of Deltas five flights daily without reaching Southwests interpretation of full
utilization as 10 flights daily from each gate. The Court recognizes this was before
the lifting of domestic flight distance restrictions and Southwest planned to increase
its flight operations. Even if the Court considers Southwests post-WARA increased
flight operations schedule, there was room in Southwests schedule to accommodate
Delta. The evidence shows that Southwest was operating 149 flights daily out of 16
gates as of November 3, 2014. That is nine flights daily per gate. Once the Sublease
Agreement between United and Southwest took effect at the end of January 2015,
Southwest was operating 153 flights daily out of 18 gates or 8.5 flights daily per gate.
It was not until February 26, 2015, that Southwest announced it was increasing flight
operations to 180 flights daily out of 18 gates beginning August 9, 2015.
Southwests claim that Deltas five flights daily unduly interferes with Southwests
operations is simply not supported by the evidence. Up until its announcement on
February 26, 2015 of increased flight operations, the evidence establishes that
Southwest was able to accommodate Delta without unduly interfering with
Southwests own operations.
Taking the Courts definition of unduly interfere with into consideration,
Southwest could have voluntarily accommodated Deltas five flights without unduly
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interfering with Southwests schedule when the initial request was made in June
2014. Southwests schedule still allowed for accommodation of Deltas five flights
without undue interference if the Court were to consider Southwests schedules at
each of the following points in time: June 13, 2014, November 3, 2014, and January
28, 2015. Southwest did not announce plans to increase its flight operations to 180
flights daily out of 10 gates until February 26, 2015. It was not until August 2015,
over one year after Deltas first voluntary accommodation request in June 2014, that
Southwests increased operating schedule actually reached full utilization of 10
flights daily from each gate.
Under the Lease Agreement, preferential use of airport facilities means the
Signatory Airline is the primary, but not sole, user. Exclusive use means the airline
has the sole right to use the space. There are no exclusive use gates at Love Field.
Southwest has preferential use of the gates it leases from the City and subleases from
United.

Therefore, Southwest is considered to be the primary, but not sole, user of

the gates. Southwest does not have an unfettered right to the gates it has leased; and,
despite Southwests argument to the contrary, the preferential use rights are subject
to the accommodation provision contained in the Lease Agreement, which Southwest
agreed to and signed. Southwests position is that accommodation is not required as
long as they are using the gates at full utilization of 10 flights daily out of each gate.
Southwest did not fully utilize its gate space until, at the earliest, its announcement
on February 26, 2015 of increased flight operations, or, at the latest, until August
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2015 when the actual increase was fully realized. Southwest cannot ramp up its
flight schedule to thwart the pending accommodation request by Delta.
As testimony from the Congressional subcommittee hearing on reforming the
Wright Amendment Act revealed, these accommodation procedures were intended to
help fit those people in when a Requesting Airline makes an accommodation
request. Also during the subcommittee hearing, certain City officials, government
representatives, and local business leaders stated that competition at Love Field
would be ensured if the Five Party Agreement was enacted into legislation. Mr. Herb
Kelleher, then-CEO of Southwest, testified at the hearing. He testified that [A]ny
carrier that is desirous now of serving Love Field can easily be accommodated even
after those [12] gates come down, limiting Love Field to 20 gates. In response to a
question involving a very similar scenario as to that which the Court has before it
today, Mr. Kelleher testified,
And it is very simple. There is no mystery to the way it operates,
and that is, I can show you Southwest Airlines schedule, gate schedules,
we have got hours on our gates where another carrier could operate
there. . . . And we would simply be told by the City of Dallas, you have
got these vacant spaces in your gate utilization and by golly you are
going to put another carrier in there.
Subcommittee member responded, They would be able to tell you that?

Mr.

Kelleher answered, That is the way it works, oh, yes absolutely. Ex. 631, p. 0054.
Apparently at that time, Mr. Kelleher understood Southwests obligations, as well as
the Citys. In spite of that understanding, no accommodation ever happened.
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Southwest agreed in Section 4.06F that it would accommodate a new entrant


airline when accommodation would not unduly interfere with its own operating
schedule. As the Court has found, Southwests schedule would clearly accommodate
Delta when it made its initial request for voluntary accommodation in accordance
with Section 4.06F, and for several months after. Delta has established Southwest
did not comply with its contractual obligation and, therefore, breached Section
4.06F, the accommodation provision, of the Lease Agreement.
c. Was Delta Harmed by Southwests Breach?
Delta has shown that it suffered harm, the fourth element of breach of contract,
because there is no longer available gate space at Love Field able to accommodate its
current flight operations. Delta has indicated a desire to expand its service at Love
Field, but as it stands, there is arguably no possibility that Delta will be able to
expand. Southwest currently leases or subleases 18 gates, and Virgin subleases the
remaining two gates.

The evidence indicates that because Virgin subleased those

gates under very different circumstances involving a forced divestiture from


American, and the DOJ specifically rejected Delta (and Southwest) from subleasing
those gates from American, the only possibility for accommodation of Delta comes
from Southwest.
At this point, Delta will be locked out of Love Field. Testimony at the injunction
hearing established that accommodations are common at other airports, and those
accommodations can take many forms, such as subdividing a gate, using hardstands
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to load/unload passengers, or building additional brick-and-mortar gates. None of


these options are available at Love Field because of the terms of WARA and the Five
Party Agreement. The Court finds Southwest and the City are playing a game of
musical chairs with Love Field gate space, and with Virgins chairs not in play in
this game, theres no chair for DeltaSouthwest occupies all 18 gates and the City
consents. The Court finds Delta has established it suffered harm from Southwests
failure/refusal to follow its contractual obligation under section 4.06F of the Lease
Agreement.
Having established all four factors of a breach of contract claim, the Court
concludes that Delta has established a substantial likelihood of success on the merits
of its breach of contract claim against Southwest.
Even if Delta did not make a sufficient showing on its breach of contract claim,
the Court finds Delta has established a substantial likelihood of success on the merits
of its declaratory judgment claim that it is entitled to be accommodated by
Southwest. The Declaratory Judgment Act provides: In a case of actual controversy
within its jurisdiction, . . . any court in the United States, upon the filing of an
appropriate pleading, may declare the rights and other legal relations of any
interested party seeking such declaration, whether or not further relief is or could be
sought. 28 U.S.C. 2201(a). The party seeking the declaratory judgment must
have suffered an invasion of a legally protected interest, which is traditionally
thought to be capable of resolution through the judicial process, and is currently fit
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for judicial review. Crane v. Napolitano, 3:12-CV-2347-O, 2013 WL 1744422, at


*13 (N.D. Tex. Apr. 23, 2013)(OConnor, J.) (quoting Natl Rifle Assn of America v.
Magaw, 132 F.3d 272, 280 (6th Cir. 1997)).

As previously set out, the Courts

discussion of new entrant airline, unduly interfere with, and Southwests


obligation under Section 4.06F of the Lease Agreement regarding accommodation
hold true to Deltas claim for declaratory judgment. As it pertains to injunctive relief,
Delta has shown that, as a new entrant or Requesting Airline, Southwest had an
obligation under the Lease Agreement to accommodate Delta at the time of its
request because such accommodation would not unduly interfere with Southwests
existing flight schedule. Delta has shown a substantial likelihood of success on the
merits of its (1) breach of contract claim against Southwest and (2) declaratory
judgment claim that it is entitled to be accommodated by Southwest.
2. Substantial Threat of Irreparable Harm
The second factor in the preliminary injunction analysis is a threat of
irreparable harm. To establish this factor, Delta must show a significant threat of
injury from the impending action, that the injury is imminent, and that money
damages would not fully repair the harm. Humana, Inc. v. Jacobson, 804 F.2d 1390,
1394 (5th Cir. 1986). Irreparable injury may be established where damages cannot
be easily calculated. Miller Paper Co. v. Roberts Paper Co., 901 S.W.2d 593, 602 (Tex.
App.Amarillo 1995, no writ). Where the potential damage to a partys business
cannot be easily calculated, such as loss of good will, a legal remedy is
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inadequate. T-N-T Motorsports, Inc. v. Hennessey Motorsports, Inc., 965 S.W.2d 18, 24
(Tex. App.Houston [1st Dist.] 1998, pet. denied).
Delta has established that immediate and irreparable harm may result if it is
prohibited from operating its current schedule of five flights and is forced out of Love
Field during the pendency of this case. Thousands of passengers, both traveling to
and from Love Field, would have to be refunded or rebooked if Delta is forced to
discontinue its service at Love Field. Loss of business and goodwill are immeasurable
through money damages.

Simmons v. Quixtar, Inc., No. 4:07CV389, 2007 WL

3256244, at *5 (E.D. Tex. 2007).

If Delta is forced to discontinue service

immediately from Love Field, the extent of lost business Delta would suffer plus the
extent of loss of goodwill cannot be known. See Henson Patriot Ltd. Co. LLC v. Medina,
Civ. Action No. SA-14-CV-534-XR, 2014 WL 4546973, at *5 (W.D. Tex. Sept. 11,
2014). Without an injunction, Delta would have no adequate remedy at law because
it will most certainly suffer a loss of business and goodwill.
Despite Southwests argument to the contrary, the Court does not find Deltas
harm minimized or eliminated simply because it has or can secure gate space at DFW
Airport. The Court need not address Southwests one marketplace argument at this
juncture.

The Court is addressing the requested injunctive relief based on

accommodation at Love Field as required under the Lease Agreement. The Lease
Agreement does not contemplate accommodation at DFW Airport; not one word is
said that the accommodation procedure includes consideration of DFW Airport,
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whether a party has access to gate space at DFW Airport, and DFW Airport is not a
party to these Lease Agreements in this case.
To deny Deltas injunctive relief would remove Delta from Love Field and,
were the Court or a jury to ultimately determine Delta has a right to accommodation,
Delta would have lost business and endured negative impact to its name and brand
during that period. The Court also agrees with Delta that it would have to fight an
uphill battle to make the public aware of its presence once again at Love Field. All
of this would undoubtedly cause Delta to suffer great injury in such a way that is
immeasurable and could be irreparable. Therefore, the Court finds that the risk of
substantial threat of irreparable harm weighs heavily in favor of Delta.
3. Balance of Harms and the Public Interest
The Court now turns to the balance of harms, considering whether the
threatened injury to Delta outweighs the threatened harm to Southwest.

As

previously discussed, the Court found the potential harm Delta would likely suffer
upon being removed from Love Field is greatdamage to reputation, name, brand
and overall goodwill in addition to monetary harm. Southwest argues it will suffer
harm in the form of cancelled flights or untold delays or inability to fully utilize its
gate if it is forced to continue allowing Delta to fly its five flights daily.

First,

Southwest has suffered no harm as it relates to an inability to fully utilize its gates.
Not only has Southwest been able to fully utilize its 18 gates with its own schedule
of 180 flights daily, Delta has operated its five flights daily, for a total of 185 flights
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daily out of 18 gates. Furthermore, the evidence before the Court does not establish
Southwest has suffered any harm or the threat of harm in the form of cancelled
flights because of Deltas use of the gates.

At the injunction hearing, Southwest

offered testimony that it has experienced some flight delays as well as two instances
of equipment damage due to Deltas presence at the gates.

Assuming without

deciding these flights delays and equipment damage have harmed or threaten to harm
Southwest, this in no way outweighs the threatened harm to Delta if it is forced to
leave Love Field while these legal issues are resolved. Although Southwest may not
be able to run its flights and operations as efficiently as it would like because of
Deltas presence, that factor simply does not outweigh the potential harm to Delta
from removing it from Love Field altogether.
In considering the public interest, the Court finds the chaos and inconvenience
of disrupted service by removing Delta from Love Field before the legal issues are
decided would be a great disservice to the public.

Forcing Delta to cease flight

operations at Love Field would necessarily require its passengers to be rebooked on a


Delta flight from another airport or to have their ticket purchase refunded, requiring
them to find alternate travel arrangements, possibly at greater expense if on shortnotice. Also, Love Field is owned by the City which obviously vests its citizens with
an interest in the airport and issues surrounding it.
The Court finds the balance of harms and the public interest both weigh
heavily in favor of Delta.
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In conclusion, the Court finds Delta has established all four equitable factors
entitling it to injunctive relief.

Therefore, the Court grants Deltas motion for

injunctive relief and the requested relief that Southwest be enjoined from evicting or
otherwise removing Delta from Southwests gate(s) at Love Field, or otherwise
interfering with or preventing Deltas continued use of Southwests gate(s) to operate
Deltas five daily flights.
B. Southwests Motion for Preliminary Injunction
Also pending before the Court is Southwests competing motion for preliminary
injunction, which was filed first before either the Citys motion or Deltas motion.
To establish entitlement to a preliminary injunction, Southwest must satisfy all four
equitable factors to obtain a preliminary injunction. See TGI Fridays Inc. v. Great
Northwest Restaurants, Inc., 652 F.Supp.2d 763, 767 (N.D. Tex. 2009)(Fitzwater,
C.J.).
Southwest cannot establish a likelihood of success on the merits of its trespass
claim against Delta because Delta is not trespassing at this point. The gates are not
exclusive use, but rather preferential use; there can be no trespass on preferential use
gates. Southwests payment of $120,000,000 to sublease Uniteds two gates does not
convert those gates from preferential use to exclusive use. Though expensive, trespass
would not lie for a preferential use gate which is subject to accommodation.
Southwests other argument that Delta is a trespasser because it is invading the
possession of [Southwests] property, and that requires no additional showing of
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irreparable injury, also fails. Southwest must show a significant threat of injury from
the impending action, that the injury is imminent, and that money damages would
not fully repair the harm. Humana, 804 F.2d at 1394. Southwest fails to make this
showing.

The Court does not find that Southwest has established a substantial

likelihood of success on the merits of its trespass claim against Delta. The Court has
also previously determined that the balance of harms and public interest weight
heavily in favor of Delta; therefore, Southwest would be unable to satisfy all four
equitable factors.
The Court finds that Southwest has not proven all the equitable factors to
establish entitlement to a preliminary injunction. See TGI Fridays, 652 F.Supp.2d at
767. Accordingly, the Court denies Southwests motion for preliminary injunction.
C. Citys Motion for Preliminary Injunction
In its motion, the Citys requested injunctive relief includes an injunction
allowing Delta to continue using Southwests Love Field gates temporarily and
barring all others from interfering in that temporary use.

Because the City has

refused to take action on Deltas accommodation request, the Court is forced to


impose some sort of injunctive relief to maintain order at Love Field.
The Court has already determined that Deltas motion for injunctive relief should
be granted. However, even if the Court could not grant Deltas motion, the Court
grants the Citys motion, finding that the City has satisfied each of the equitable
factors to establish entitlement to injunctive relief. In its Original Complaint, the
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City seeks declaratory judgment relief from this Court. Specifically, the City requests
the Court declare the Citys rights and responsibilities under the Five Party
Agreement, WARA, the DOT letters, the Lease Agreements, the Sublease Agreement,
the grant assurances and other obligations to the DOT and FAA, and any other
applicable federal law as related to accommodation requests, the Signatory Airlines
preferential use rights and the Citys consent to the Sublease Agreement. It is well
established there is a dispute between Delta and Southwest. Essentially, the City
asks the Court to declare what the City is required to do. Ultimately, the Court will
make such declarations giving the clarification and certainty being sought. Therefore,
the Court finds that the City will prevail on its declaratory judgment claims once the
Court determines and declares the Citys rights and responsibilities pertaining to
accommodation requests made by Delta as well as any future requests. The first
equitable factor has been established.
To establish irreparable harm, the City must show a significant threat of injury
from the impending action, that the injury is imminent, and that money damages
would not fully repair the harm. Humana, 804 F.2d at 1394. Irreparable injury may
be established where damages cannot be easily calculated. Miller Paper, 901 S.W.2d
at 602. Removing Delta from Love Field will negatively impact the flying public who
have paid tickets flying into/out of Love Field. In turn, this likely would negatively
impact the reputation of Love Field and the City, which owns Love Field. The Court
finds the City faces the threat of irreparable harm if Delta is removed from Love Field
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while the legal issues are determined. Finally, the balance of harms and the public
interest weigh in favor of granting injunctive relief. The harm or threat of harm to
Southwest is minimal in comparison to potential chaos if injunctive relief were not
granted and Delta was removed. Furthermore, some amount of certainty among the
flying public as to the gate situation and generally flight operations at Love Field is in
the public interest.
The Court finds all four equitable factors were established entitling the City to
injunctive relief.

The Court finds that a preliminary injunction order enjoining

Southwest from evicting or otherwise removing Delta from Southwests gate(s) at


Love Field, or otherwise interfering with or preventing Deltas continued use of
Southwests gate(s) to operate Deltas five daily flights is the proper injunctive relief
in this case. This is the same injunctive relief requested by Delta which the Court
granted on Deltas motion. So, even if the Court did not to grant Deltas motion, the
Court grants the Citys motion for injunctive relief.
As previously stated, none of these factual findings and/or conclusions of law are
binding at a trial on the merits.
IV.

Conclusion

Love Field is unique in that it is the only airport in the United States that is
controlled by a federal statute and is gate-constrained, thereby freezing growth. Love
Field is in that respect the most unique airport in the world; no other airport has to
deal with the Congressionally mandated no-growth and limited hourly flight
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restrictions. Assuming WARA is constitutional since no one is attacking the statute


at this point, the constraints imposed on this airport by WARA are constraining to
the point of being out of date.

These are political constraints, not constraints

resulting from business related development. Love Field does not have the expansion
options available to other airports which allow future growth.
As Delta so succinctly stated, At most airports, accommodation is not the
equivalent of access. Love Field is the exception to this rule. Unless circumstances
change, accommodation is the only means by which Delta can have long-term access
with any certainty at Love Field. These airlines understandably fight tooth-and-nail
for virtually non-existent expansion of gate space. The City clearly does not want to
force accommodation on any airline, particularly one that has paid $100s of millions
in improvements to Love Field and controls 90% of the airports flights. Southwest is
a model for running an airline. Understandably it is aggressively trying to gain 100%
of the gates at Love Field. Mr. Montgomery of Southwest testified that Southwest
would buy the last two gates at Love Field and control all 20 if it could. Southwest is
contractually and legislatively bound to not expand to DFW Airport without
relinquishing preferential use of its gates at Love Field. As Southwest has said, there
may be a time when no future accommodations can be made at Love Field. Today is
not that time. With the evidence before the Court, the Court finds Southwest must
accommodate Delta under the Lease Agreement it signed because an accommodation
would not have unduly interfered with Southwests operations schedule at the time,
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nor Southwest may not add flights after the accommodation request is made to
thwart the accommodation. The Court also finds Deltas five flights currently do not
unduly interfere with Southwests schedule.
Love Field will continue to face these challenges being so severely gate
constrained. To change this no-growth situation at Love Field, Congress will need to
act. The political powers-that-be can address and correct these issues that face Love
Field and new entrant airlines through repealing legislation unique to this airport.
Without this change, new entrant airlines, the City, Signatory Airlines, and the
citizens of Dallas will continue to face dilemmas like this one. The flying public
deserves more courage from its elected officials about travel to and from Love Field.
The time for these elected officials to consider an end to all constraints on Love Field
is now.
The Court DENIES Southwests motion for preliminary injunction. The Clerk
of the Court is hereby directed to terminate the Citys motion for preliminary
injunction as moot. The Court GRANTS Deltas motion for preliminary injunction.
Southwest is hereby enjoined from evicting or otherwise removing Delta from
Southwests gate(s) at Love Field, or otherwise interfering with or preventing Deltas
continued use of Southwests gate(s) to operate Deltas five daily flights. Southwest
is also enjoined from adding additional flights on any Southwest gate(s) Delta uses
to operate its five daily flights. Furthermore, Southwest must inform the Court in
writing within five (5) days of any reduction and/or change in Southwests flights
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operations at Love Field so that the Court can evaluate what the Court considers to
be full utilization of the gates and other leased space at Love Field. Reduction and/or
change in flight operations includes, but is not exclusive of, destinations, hours of
flights, and number of flights each day. Furthermore, pursuant to Rule 65(c) of the
Federal Rules of Civil Procedure, Delta must post a bond in the amount of one
hundred thousand dollars ($100,000) on or before January 15, 2016, at 4:00 P.M.,
to secure payment of any damages sustained if Southwest is found to have been
wrongfully enjoined. Also pursuant to Rule 65(c) of the Federal Rules of Civil
Procedure, the City must post a bond in the amount of one hundred dollars ($100)
on or before January 15, 2016, at 4:00 P.M., to secure payment of any damages
sustained if Southwest is found to have been wrongfully enjoined.
SO ORDERED.
Signed January 8th, 2016.
______________________________________
ED KINKEADE
UNITED STATES DISTRICT JUDGE

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16-10051.7211

Case: 16-10051
Document: 00513477355 Page: 92 Date Filed: 04/22/2016
Case 3:15-cv-02069-K Document 266-1 Filed 02/02/16 Page 74 of 80 PageID 7690
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16-10051.7212

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16-10051.7213

Case: 16-10051
Document: 00513477355 Page: 94 Date Filed: 04/22/2016
Case 3:15-cv-02069-K Document 266-1 Filed 02/02/16 Page 76 of 80 PageID 7692
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16-10051.7214

Case: 16-10051
Document: 00513477355 Page: 95 Date Filed: 04/22/2016
Case 3:15-cv-02069-K Document 266-1 Filed 02/02/16 Page 77 of 80 PageID 7693
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16-10051.7215

Case: 16-10051
Document: 00513477355 Page: 96 Date Filed: 04/22/2016
Case 3:15-cv-02069-K Document 266-1 Filed 02/02/16 Page 78 of 80 PageID 7694
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UNDER NO CIRCUMSTANCES SHALL ANY PARTY BE


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SWA 00084594
16-10051.7216

Case: 16-10051
Document: 00513477355 Page: 97 Date Filed: 04/22/2016
Case 3:15-cv-02069-K Document 266-1 Filed 02/02/16 Page 79 of 80 PageID 7695
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16-10051.7217
SWA_00084595

Case: 16-10051
Document: 00513477355 Page: 98 Date Filed: 04/22/2016
Case 3:15-cv-02069-K Document 266-1 Filed 02/02/16 Page 80 of 80 PageID 7696
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SWA 00084596
16-10051.7218

Case: 16-10051

Document: 00513477355

Page: 99

TAB 5

Date Filed: 04/22/2016

Case: 16-10051
Document: 00513477355 Page: 100 Date Filed: 04/22/2016
Case 3:15-cv-02069-K Document 266-2 Filed 02/02/16 Page 1 of 147 PageID 7697

AMENDED

AND RESTATED
Airport

LEASE OF TERM1NAL
Use and Lease

BUILDING PREMISES

Agreement

by and between

CITY OF DALLAS

and

SOUTH WEST

AIRLINES

CO

Robert

Exhibit 025
3:15-cv-2069-K

Montgomery

Exhibit

25

9/hub

16-10051.7219
SWA_00085

029

Case: 16-10051
Document: 00513477355 Page: 101 Date Filed: 04/22/2016
Case 3:15-cv-02069-K Document 266-2 Filed 02/02/16 Page 2 of 147 PageID 7698

TABLE OF CONTENTS
Page

.1

RECITALS

Article

DEFINiTIONS

Article

RIGHTS

AND

PRIVILEGES

Section

2.01

UseofAirport

Section

2.02

Ground

Section

2.03

Rights

Section

2.04

Limitations

Section

2.05

Ingress

Section

2.06

Sales

Reserved

13

on Use of Airport

15

or Distribution of Food

3.01

Term and

Section

3.02

Airlines

Section

3.03

Surrender

Section

3.04

Airlines

and Beverages

and

RetaiL

Items

15

Upon

Rights

of Leased
Right

to

17

Date

Effective

or

Expiration

Early Termination of

17

Agreement

17

Premises

Remove

17

Property

LEASED PREMISES

Article

4.01

Leased

Airlines

the Love

4.02
4.03

Section

4.04

Pre-LFMP

Section

4.05

Post-LFMP

Section

4.06

Gate

Section

4.07

Covenant

Section

4.08
4.09

City Right

Premises

of the Rental

Proration

Preferential

the Terminal Building

in

Upon Completion

Use Aircraft

Against

of the
18

Common

Use Aircraft

of

18

the Terminal Building

Use and Accommodation

AND

Prior to Completion

Program

Cost of

Preferential

Use Space

Parking
Parking

Positions
Positions

of Other Airlines

19

20
20
20
23

Liens

24

of Entry

Substitution

RENTALS

in

Modernization Program

Field

Section

Article

Premises

Field Modernization

Leased

Airlines

Love

Section

13

by City

and Egress

Section

Section

12

Services

Handling

TERM

Article

Section

11

24

of Exhibits

FEES
25

General

Section

5.01
5.02

Section

5.03

Terminal

Section

5.04

Apron

Section

5.05

LandingFee

26

Section

5.06

Other

27

Section

5.07

Payment

Section

Section
Section

Building

6.01
6.02

Space

Rentals

25
26

Fees

Fees and Charges

28

Provisions

RECALCULATION

Article

25

Report

Statistical

OF RENTALS

AND

FEES

General

29

Annual

29

Budget

1I

DAL

Use and

Lease

Agreement-Southwest

SWA_00085030
16-10051.7220

Case: 16-10051
Document: 00513477355 Page: 102 Date Filed: 04/22/2016
Case 3:15-cv-02069-K Document 266-2 Filed 02/02/16 Page 3 of 147 PageID 7699

Section

6.03

Mid-Year

Section

6.04

Terminal Building

Section

6.05

Section

6.06

Landing Fee Rates

Section

6.07

Application

Section

6.08

Aviation

Section

6.09

Year-End Adjustment

Rate

Rental

Rates

Apron

32
33

of Revenues

34

Cap

Capital Fund

34

to Actual

7.01

Love

Section

7.02

Post

Section

7.03

Future Capital Improvements

LFMP

Capital

Existing

Section

8.02

Pre-LFMP

Section

8.03

Post-LFMP

Maintenance

Section

8.04

Post-LFMP

Maintenance

Premises

39
41

Leased

As

Premises Conveyed

Maintenance

44

Is

44

Obligations
Obligations

of City

44

Obligations

of Airline

46

INDEMNIFICATION

Article

9.01

Section

10

Indemnification

10.01

General

Section

10.02

Insurance

Section

10.03

No Waiver

11

49

of City

INSURANCE

Section

51
for Subcontractors

Requirements

of Responsibility

or Liability

DAMAGE OR DESTRUCTION OF LEASED

Section

11.01

Damage

Section

11.02

City Property Insurance

or Destruction

of Leased

and

Affiliates

51

52

PREMISES
Premises

53
53

12 TERMINATION

Section

12.01

Termination by City

Section

12.02

Remedies

Section

12.03

Survival

Section

12.04

Termination by Airline

Section

12.05

13

14

Right

Available

54

of the Obligation

of Airline to

54

to City

Remove

of Airline

55
56

Property

57

ASSIGNMENT AND SUBLETTING

13.01

Section

Article

IMPROVEMENTS
37

to Leased

Improvements

8.01

Article

CAPITAL

Field Modernization Program

Section

Article

35

OPERATION AND MAINTENANCE

Article

Article

and Settlement

PROGRAM AND OTHER

Section

Article

31

Fee Rates

LOVE FIELD MODERNIZATION

Article

30

Adjustments

Assignment

and Subletting

58

MISCELLANEOUS PROVISIONS

Section

14.01

Section

14.02

Competitive Access

Section

14.03

Compliance

with Law

Section

14.04

Compliance

with

Rules

and Regulations

59
59
59

Environmental

Regulations

60

111

DAL

Use and

Lease

Agreement-Southwest

16-10051.7221
SWA_0008503

Case: 16-10051
Document: 00513477355 Page: 103 Date Filed: 04/22/2016
Case 3:15-cv-02069-K Document 266-2 Filed 02/02/16 Page 4 of 147 PageID 7700

63

Section

14.05

Nondiscrimination

Section

14.06

Payment

Section

14.07

Right

Section

14.08

Consents and Approvals

Section

14.09

Rights

Section

14.10

Notices

Section

14.11

Citys

Section

14.12

Force Majeure

Section

14.13

Non-Waiver

66

Place

66

to Lease

to United

Reserved

Government

States

65
65
65

to City

65
to Audit

Right

66

Books and Records

66

Section

14.14
14.15

Section

14.16

Exclusiveness

Section

14.17

Titles

Section

14.18

Severability

Section

14.19

Operation

Section

14.20

Successors

Section

14.2.1

Relationship

Section

14.22

Conflict

Section

14.23

Gift

Section

14.24

Construction

Section

14.25

Venue

Section

14.26

Counterparts

Section

14.27

Condemnation

Section

14.28

No Partnership

Section

14.29

Brokerage

Section

14.30

Quiet Enjoyment

Section

14.31

Most Favored Nations

Section

64

of Taxes

of Payments

Remedies

to be Nonexclusive

67

of Airlines

67

Rights

67
67
67

of Airport

and Assigns

68

of Parties

68
68

of Interest

to Public

68

Servant
and Application

of

69

Terms

69
69
69
Joint

Venture

or Joint

Enterprise

70
70
70
70
71

Contract Claim

Section

14.32

Notice

.of

Section

14.33

Entire

Agreement

Section

14.34

Subordination

71
71

72

SIGNATURES PAGE

iv

DAL Use and Lease

Agreement-Southwest

SWA_00085032
16-10051.7222

Case: 16-10051
Document: 00513477355 Page: 104 Date Filed: 04/22/2016
Case 3:15-cv-02069-K Document 266-2 Filed 02/02/16 Page 5 of 147 PageID 7701

OF EXHIBITS

LIST

ATTACHMENTS

RESOLUTIONS

Page

Resolution

No

08-3403

approved

by the Dallas City Council

EXHIBIT

Airport

EXHIBIT

Pre-LFMP

EXHIBIT

Post-LFMP

EXHIBIT D-1

Pre-LFMP

Leased

Premises Drawings

EXHIBIT D-2

Pre-LFMP

Leased

Premises Tabulation

EXHIBIT E-1

Post-LFMP

Leased

Premises Drawings

EXHIBIT E-2

Post-LFMP

Leased

Premises Tabluation

EXHIBIT

Terminal Space and Gate

EXHIBIT

Statistical

EXHIBIT H-i

Conceptual

EXHIBIT H-2

Computational

EXHIBIT

Summary

EXHIBIT

Remain Overnight

EXHIBIT

Chapter

ATTACHMENT

DAL

Use and Lease

on December

10

2008

Layout and Cost Center Plan

76

Terminal Area Plan

77

Terminal Area Plan

Phasing

78

79

of Areas and Rentals

of

107

Areas

108

Plan

of Operation

114

of the Calculation

Illustration

of Rates

of the Calculation

and Maintenance

Parking

2-86 of the Dallas City Code

Insurance

101

102

Report Format

Illustration

73

Requirements

and Charges

of Rates

and Charges

Responsibilities

115

116

119

122

123

125

Agreement-Southwest

16-10051.7223
SWA_00085033

Case: 16-10051
Document: 00513477355 Page: 105 Date Filed: 04/22/2016
Case 3:15-cv-02069-K Document 266-2 Filed 02/02/16 Page 6 of 147 PageID 7702

AMENDED AND RESTATED

BUILDING

OF TERMINAL

LEASE

PREMISES

Airport Use and Lease Agreement

Amended

This

made

and entered

and Restated
by and

into

of Terminal Building

Lease

between

the

the

of

City

City

DalLas

hereinafter

defined

and referred to

hereinafter

defined

and referred to as the AirLine The

to herein

as

and Southwest

Parties and each of the City and

as the

Premises

Texas

City

AirLine

Co

Airlines

and

Airline

individuaUy

Agreement

this

is

corporation

municipal

Texas corporation

are sometimes referred

sometimes referred to

is

as

Party
RECITALS

WHEREAS
Airport which

is

WHEREAS
United

is

Located

Airline

States

engaged

WHEREAS

on

11

July

Airport Board

American

entered

Southwest

Substance

among

other

things

Amendment

Act of

the

Fort

Worth

the

The

City of Fort

International Airport Board

Joint Statement

Inc

Worth

Incorporating

Between the Parties to Resolve

commonly

legislation

Worth

Dallas-Fort

and American Airlines

City of Dallas

and

restrictions

referred

to

on

air

wherein
service

The

as

at

Wright

the

Amendment Reform

City agreed

in

the

with Southwest

for among other things

grant Southwest

Law 109-352

commonly known

as the

Wright

was signed into law and

terms and conditions set forth

Lease

Among The

Public

13 2006

2006

Wright

Terminal Leases

Use and

federal

existing

On October

Reform

WHEREAS

DAL

in

of

Existing

agreed to seek to eliminate

thereto

by

into

Leases

TerminaL

Love Field the Five Party Agreement

Dallas

affecting

parties

the Airport previously entered

the

Co Southwest

15 2006

authorized

and

serving

City

of persons

transportation

certificated or otherwise

2001

the

City

Airlines

imposed on the Airport since 1979

other

to provide

the

is

air

and

WHEREAS
restrictions

Existing

2006

Southwest

Issues

the

forth

WHEREAS
Amendment

airlines

dated August

of the June

of the Terms

set

Airport

with

and other

Texas and

County

business

American Airlines Inc and DFW

Amendment

the Wright

and

such

into that certain Contract

Co

Airlines

in

and referred to as

defined

hereinafter

of commercial

business

air carrier

to engage

the City Airline

International

the

scheduLed

as

Government

WHEREAS

the

in

Field

Dallas

the City of Dallas

in

is

Love

of Dallas

of Terminal Building Premises

Lease

the

owner

the

and mail

property cargo
the

City

in

Five

the

be

lifted

Party Agreement

to extend

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interstate flight
in

Act of

accordance

2006 and

amendments

Airlines Inc

LFMP

herein

Terminal

Leases

of the

their Existing

Reform

to negotiate

and ExpressJet

of the costs

that

on October 13 2014

Wright Amendment

American

recovery

and American options

Act of 2006 provides

wilL

of the

ExpressJet
defined
until

and

to

2028 and

Agreement-Southwest

16-10051.7224
SWA_00085034

Case: 16-10051
Document: 00513477355 Page: 106 Date Filed: 04/22/2016
Case 3:15-cv-02069-K Document 266-2 Filed 02/02/16 Page 7 of 147 PageID 7703

WHEREAS
Airlines

WHEREAS
of TerminaL
Terminal

this

WHEREAS

LFMP

and

portions

alternative

WHEREAS

for

LFMP

will

rates

the

and charges
of the

use

area

parking

Airport

scheduled

with
air

WHEREAS

DAL

Use and

Lease

with

Southwest

which the

use

has

City
for

defined

with

the

express

to

accomplishing

its

the

City

Terminal
for

criteria

is

Airport

the

at

Council

the

preferred concept

and

agreed

both

to enter

this

and after the

during

new

incorporate

and the
airlines

into

Five Party Agreement

gates

Airport

approved

recommendations

Term Sheet

other

to

alternative

and

City

Option

airfield

the

develop
terminal
using

and

the

provide

for

terms

area aircraft
Airport
such

other

terms of the Five Party Agreement and

the

grant

City

Airport and

DalLas

Airports

with

improvements

and

consultant

TARPS

to the

in Exhibit

limited

2006

of

to as the

Option

as

intent of the

of the

and allocate the

not

requested

the

in

and use

Act

inctuding the

and Southwest

City

terms negotiated

capital

of said

in

recommendation that

things

or

2014

by October

requirements

redevelopment

08-1877 the

outlined
but

the

future

Airline

carrier

WHEREAS

approved

for

the

and conditions and

this

as

the

and Southwest

City

Reform

terminal

Program

effort Southwest retained consultants

No

operations

including

are consistent

WHEREAS

other

define

methodology

develop guidelines

connection

the

2006 and

Act of

plan referred

establishing

terminal

Term Sheet

to the

LFMP

the

consistent

provisions that

space

existing

LFMP

of the

Amendment

paralle

requirements

airline

ongoing

of

City and

the

satisfy

pursuant

to the

implementation

in

for

the consensus

would among

that

TARPS

and

layouts

the

by

establishing

and

Lease
in

the significant

Modernization

Field

area master plan

the

of

Amendment Reform

Wright

been identified by

has

Love

toward completion

on June 25 2008 by Resolution

WHEREAS
Agreement
pertaining

conceptual

negotiated

adopted

the

of the

Program Study or

layout that

Term Sheet

for

to

agreed

modernization

to as the

Wright

terminal

and modernization

expansion

conceptual

of the

enactment

the

inctuding

referred

enactment

to perform

Area Redevelopment

explore

Airport

program

following

consultants

terminal

to Continenta

Airlines existing

of

may have with City

Airline

the City and Southwest

and Southwest agreed to work

City

to and restatement

leases

Agreement

Party

of the

Airport

WHEREAS
retained

amendment

an

is

and any other

Five

years from the

eight

were

Agreement

the

in

of

the

at

ob

Lease rights and

its

and

Building

redevelopment

assigned

and

Premises

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faciLities

subsequently

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Inc

certain

it

facilities

in

rights

the

privileges

and services

conduct of AirLines business

in

as

and

is

willing

the

to grant Airline

consideration

on December

10

such

hereinafter

2008

by

rights

privileges

stated

Resolution

No

and services upon the terms

and

08-3403

the

Dallas

City

CounciL

Agreement

Agreement-southwest

16-10051.7225
SWA_00085035

Case: 16-10051
Document: 00513477355 Page: 107 Date Filed: 04/22/2016
Case 3:15-cv-02069-K Document 266-2 Filed 02/02/16 Page 8 of 147 PageID 7704

NOW

THEREFORE

herein

defined

described

herein

to the Airtines

and understood

DAL

Use

and Lease

for

and

in

the Citys

consideration

grant

the Airlines

operations

of the

to Airline

payment

to

the

City

right

to

to

use

the City of applicable

at the Airport and the

by and between

Citys Lease

of the

and

mutual covenants

AirLine

Airline

certain

of the

rents charges
herein

Leased Premises

portions

of the

Airport

and fees related

contained

it fs

agreed

as follows

Agreement-Southwest

16-10051.7226
SWA_00085

036

Case: 16-10051
Document: 00513477355 Page: 108 Date Filed: 04/22/2016
Case 3:15-cv-02069-K Document 266-2 Filed 02/02/16 Page 9 of 147 PageID 7705

DEFINITIONS

Article

addition

In

the words and phrases

to

and phrases wherever

1.01

Affiliate

of or under common

IATA
term

During such

of time

period

use

may

time

be considered

obligated

as

with

.02

Aircraft

Arrivals

Aircraft

for
flight

the

first

exist

DAL

or

the

not

use and Lease

be charged

30

thirty

meeting the

apprised
Affiliate

purposes

in

not

entitled to
Affiliates

Airline

of determining

the

any

flight

meteoroLogical

arrival

at

arrives

at

in

AlL fLights

accordance

with

for

Section

of this

Airline

vote

MIl

an

Air

shall

no

shall

be

or of the
defined

as

statistics

shall

Airport of any

airlines aircraft
to the Airport

service

passenger

or returns to the Airport because

disabLed

training

5.05 of this

this

an aircraft

reason or

aircrew

be

status

voting

shaLL

of

ferried

aircraft

on

be considered

an

Agreement

Agreement

and that

is

identified

Agreement

Airport means

or expanded

such

hereunder

separate

or other precautionary

conducted

and charges

of an Affiliate

maintenance at the Airport or ii to repLace

from the Airport

Dallas

Love

Field

attached

be modified

DalLas

in

Texas

the

or expanded

rates

and

as

generaLly

in Exhibit

depicted

part hereof

as

it

now

exists

or

future

means the cost centers

of caLculating

as

and made

hereto

from time to time

Airport Cost Centers

hereafter

the

scheduled

charges

of any joint

that

Agreement

Mil

and

rates

fees

to

of any

payment

notice

operational

AirLines

provides
that

related

as

unless

with the terms

the

Affiliate

of an
of this

airline

of calculating

written

Airport

at the Airport

airlines

accordance

of any designation

be

major

same fees

process

or

the

at

major airline

no

without

purposes

prior

purposes

writing

will

to

days

that

such

in

at the

for

definition

for

means

include

and costs for the purposes

may

of Airline

hereunder

Airline

or subsidiary

Partner

as Airline

of another

between

relationship

any reconciliation

for

name

an Affiliate

as

Airline means the entity that has executed

modified

1.05
revenues

have

TransportAssociation

Code-Sharing

trade

similar

an Affiliate

of Airline

Airport Layout and Cost Center PLan

may be

is

long as the airline

scheduLed

paragraph

.04

the

afforded

relationship
for

and charged

ArrivaL

.03
in

as

mechanical

empty

scheduled

this

that

shall

classified

City

Aircraft Arrivals

maintenance
in

of

Airlines

however

provided

Affiliate

designation

result

consolidated

and
the

otherwise

an

removal of any such


herein

words

following

parent
Air

International

Airport

one party with Airline

as

times to keep City

all

be

is

as Airline provided

livery

company

give

Business that

the

at

or substantially
similar

rights

charges

space

Business

Transportation

at

that

be considered

at any

Airline

or premiums and shaLL

fees charges

or shared

longer

the

the purpose of this Agreement

shares an

Airline or

shall

have the

shall

as Airline and

Airline

shall

above

RecitaLs

the

for

Transportation

above defines

or clause

Affiliate

additional

FAA

by the

Air

with

or substantially

defined

is

with

code

under the same

same

the

either clause

use

control

operates

and uses

means any

designator

flight

otherwise

hereof

in

defined

Agreement

in this

meanings

foLlowing

such

used

and

to be used

charges

more

in

accounting

hereunder

particuLarly

as

such

described

forAirport
areas now

below

Agreement-Southwest

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Admiflistration means
and administering

maintaining

the

and overhead

administrative

all

not

Airport System

costs of operating
to one of the

chargeabLe

directly

Airport Cost Centers

means the runways

Airfield
than

Apron Area and other teased apron areas navigational

the

and warning

utilized

now

for

and

exists

as

it

Apron Area
hydrant

in

Exhibit

and associated

Buildings

or availabLe

Parking
structures

parking

as

be

may

they

they

will

as

exist

of the

Effective

depicted

1.06

in

depicted

Exhibit

Date

to

the

aLL

by the

replacements

of the

Use and

Lease

LFMP

of the

RON

in

Air Transpqrtation

of the

The

the

as

as

parking

they

as

now

automobile

public

public automobile

as they

LFMP

as

now

a5

exist

depicted

as depicted

parking
in

depicted

Exhibit

in

wiLl

or as

access

and

thereto

and

Building
of the

upon completion

or expanded

Airport System

services
all

now
as

Cedar

roadway

serving the Terminal

exist

it

as

and

it

Exhibit

currently

in

thereof

services

Springs
as they

LFMP

as

from time to time

operated or controlled

facilities

Business

compLex
Exhibit

in

or any interest

heliport and aviation faciLities

owned

downtown

in

the terminal

may be modified

airport

terminaL

passenger

depicted

means

and improvements
therewith

means the

accommodating

as they

time hereafter
properties

Area

and curbsides

Exhibit

all

and users

Airport tenants

Agreement

LFMP

loop roadways

Airport and the Citys

1.07

DAL

with

City in connection

Executive

associated

from time to time

of this

Airport System means

City together

and

apron pavement

the Airport

at

staging

upon completion

or as they

therein now or from time

extensions

paid by City as

from time to time

areas

parking

vehicle

Terminal Roadways
and the terminal

as

the

faciLities

means the other buildings and ground areas of

Transportation

or expanded

upon completion

Road
now exist

or partially

wholLy

aircraft

to other

Terminal Building means


exists

and

purpose

Use Aircraft Parking Positions

or expanded

Ground

ft

will exist

modified

Areas

ft

for lease

and surface

and ground transportation


Exhibit

such

Terminal Building upon completion

Preferential

or as they may be modified

exist

new

clear

Lighting

from time to time

or expanded

the

is

fencing

designation

taxitanes

Leased

Airport

the

including

Other
the

means

system serving

fueLing

depicted

cost of which

modified

be

for

aids hazard

blast

of aircraft avigation easements

taxiing

or acquired

or installation

may

and

off

taking

therewith

and fencing

roads

security

landing

connection

in

construction

acquisition
it

airfield

and safety areas

zones
Land

devices

and apron areas other

taxiways taxitanes

whole or
and

in

part by

additions

or to be provided

provided

includes

all

the

Dallas

Airport

heliport

shaU

have the meaning

described

in

Section

2.01

Agreement-Southwest

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Amortizat means

1.08
CapitaL

the

over

Improvement

the

UsefuL

annuaL

LeveL

of the

Life

the net cost of

required to recover

charge

Improvement

CapitaL

the

at

Cost

Citys

of

CapitaL

1.09

Annual

TerminaL Buildingfleaujrement

Bonds

means the

1.10

GeneraL
other

with

LFMP Bonds
interest and principaL

.11

of

$100000
1.12

maximum

jy

administrative

aLL

the

right

Texas

to the jurisdiction

chief

Department

Use Space

by the

fuLL

faith

or capitaL

or series

asset

net

one year

CMGLW

or

1000 pound

units

means the current

or fraction

thereof

of

or such
of City

executive

of Aviation

other

the

over

officer

board

agency

Airport

of the

authority

or

System

City exercising

direct

and the Airport System

means those portions of the Leased

Premises

that

aLL

airLines

to use

1.16

Connector

1.17

Consumer Price Index


ALL

has the

meaning

described

in

Section

means the Consumer

Items ExcLuding

U.S Department of Labor

Energy

Bureau of Labor

and Food

Price

not

Statistics for the

7.01.C

Index

seasonaLLy

U.S

City

Averages

for

adjusted pubUshed by

most recently availabLe tweLve-

period

1.18
funds

the

Street

JournaL

CapitaL

in

expressed

means the

of the

Common

Urban Consumers

month

DAL

may succeed

oversight

1.15

weight

the

instruments

funding

by City at the Airport which has

Landing Weigjt

Gross

or

and certificated by the FAA

by AirLine

City Manager

1.14

of more than

Life

notes

Agreement

FaciLities

or constructed

means the City of DaLLas

entity which

the

UsefuL

Landing

gross

operated

other

from and secured

means any capitaL improvement

acquired

bonds

means

non-LFMP CapitaL Improvements

or

are payabLe

forth in the

Maximum

Certificated

.13

share

or assets

or more and

aLLowabLe

aircraft

private

in

and

notes

bonds

of which

GARB5

or

to finance

City

Agreement

means

Capital Improvement

of reLated improvements

by the

this

as set

Bonds

Revenue

payments

and credit of Southwest

each

described

meaning

of

combination

issued

accordance

in

totaL

Airport

instruments

funding

undertaken

cost

have the

shaLL

6.04

Section

Cost

current

or

Lease

Bond

successor

Improvement

Use and

of Capital

Revenue

is

pLaced

means
Index

pubLication
in

for

CapitaL

Improvements
rated

of 22-year
thereto

as of

financed

bonds

September

with

pubLished
30th

of the

other

daiLy

in

fiscaL

Airport
the

year

WaLL
the

service

Agreement-Southwest

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Dallas

1.19

Area Rapid Transit

DART

or

has

the

described

meaning

Section

in

7.01.C

Date

1.20
that

certifies

the

of Beneficial

LFMP

or any

Occupancy

DBO

or

thereof

portion

is

means the dates on which the

substantially

and ready

complete

Director

for

public

and use

occupancy

Debt

1.21

Service

means

GARB

the

Debt Service

of

combination

total

means the annual interest

principal

and

sinking

fund

means the annual interest

principal

and

sinking

fund

reserve

fund

requirements on GARBs and

LFMP
on LFMP

requirements

Debt

1.22

Debt Service
Bonds

Reserve

Service

GARB
established

Debt Service
to the

pursuant

LFMP
established

Fund means
Reserve

to the

pursuant

Reserve

authorizing

combination

total

Fund

documents

authorizing

Debt Service

the

of

means any debt service


GARBs

for any

Fund

issued by the

means any debt service

documents

for any LFMP

City

reserve

Bonds issued

by

and

fund
the

LFAMC
1.23
which has

Department

of City or by

1.27
Replacement

and

means the organizational

administration

or

DOT

organization

.28

Lease

means the Citys


duties

the

of the

Citys

the

same

City

Airport System

means the United

having

entity of the

States

Department
as

responsibiLities

the

of

the

or authority

means the date

Repair

Reserve

Account

Exclusive

Use

to

board

of Aviation

or his or her designee

Director

which

may

may be

assigned

by

or such
the

succeed

subsequently

City

to the

Airport

Date

Emergency

Director

and authority

agency

any

Effective

the soLe right

Use and

successor

the

of City over

1.26

has

whom

to

officer

jurisdiction

operation

DOA

of Transportation

any

Director

1.25

Manager

or

of Transportation

Department

DAL

or

Transportation

other

the

for

responsibility

1.24
of

of Aviation

Department

set forth Section

Replacement
to be maintained

Space

means those

3.01

Reserve means
in

the

amount

portions of the

the

of

of this

Agreement

DOAs Emergency

Repair

$5000000

Leased

Premises

that

Airline

use

Agreement-Southwest

SWA 00085
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040

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FAA

.29
the

having

same

.31

Facilities

Payments means amounts owed

October
as the

year

Year

Fiscal

1St

Dallas

and ending

the

1.34

Governmental

forth in Section

set

organization

.B.2

7.01

by Southwest to the LFAMC

Lavatories

cleaning
aircraft

maintenance

1.36

Services

under

the

Love

1.37
government

Field

Airport

created

Code

for the

1.38

Love

Field

and Southwest pursuant

at

1.40

is

water

services

off

of

Loading

in-flight

catering

and preconditioned

incLuding

air

or routine

on-caLL

Use

Parking

Space

PreferentiaL

Positions Leased

to Airline

Use

Space
to

pursuant

of

facilities

Program DeveLopment

total

number

under

rentaLs

MN
fees

or
at

Ch

the

LFMP

means the

431

of

locaL

Texas

the

LFMP

means the ongoing

program of

undertaken by the

City

Agreement

means those

and charges

Airlines

LFAMC

the Airport being

the immediately preceding


Signatory

or

Subchapter

bonds to finance

issuing

to terminaL

to the

of the

City

operating

Signatory

paid

by

the

that

Airlines

AirLines

Signatory

Year and

Fiscal

at

aLl

Airport

represent
at

any

account

and

their

no fewer

time that

Mu

required

Net

limited

to

Cost means
actual

incurred for deveLopment

the

total

construction

capitat
costs

study analysis review

fees testing and inspection fees construction

Use and Lease

fueling

into-plane

potable

ExcLusive

Modernization Program

the Airport during

consultation

the

Aircraft

the

Malorfty-in-Interest or

50% of the

power

on and

following

Modernization Corporation
by

purpose of

and renovations

1.39

governmentaL

and 4.05 hereof

4.04

Transportation

for at least 66 2/3%

or City

hereto

means any of the

Premises means

corporation

improvements

4.06

Section

other similar ground

Use Space and PreferentiaL Use


4.02

in

Parties

ground

period

year or such other

calendar

services

Leased

4.01

twelve-month

the

by ordinance

mail or cargo

baggage

providing

of aircraft and any

the interior

and means

means any federal state county

Airport or the

Handling

year

30th of the foLLowing

described

Agency

ticketing

incLuding

fiscaL

establish

may

meaning

the

over

Ground

aircraft

Common

has the

jurisdiction

passengers

DAL

meaning

September

Council

City

Gate

servicing

not

has

to Citys

refers

1.33

1.35

but

any successor

or

Agreement

body with

than

Administration

Agreement

commencing

Affiliates

Aviation

FAA

Facilities

1.32

Sections

Federal
of the

.30

FaciLities

fiscal

means the

responsibilities

cost of each

architectural

Capitat improvement

and engineering

design or planning

management fees

efforts

fees

incLuding
expenses

program management

permit fees and

other direct

or

Agreenient-5outhwest

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alLocabLe

or state

federaL

and/or

fund

1.41

current
the

protection

Passenger

Faciity

and Maintenance

expenses

Airport

services

DOA

the

which

accepted

generally

related

directLy

determined

depreciation

payments

accumuLation of reserves

CaM

1.42

DOAs

current

.43

Lieu

capital

in

1.44

Facility

Passenger

approved

Preferential

1.46
is

the

foLlowing

Use

the

areas

as

Use

and

or

PFC

at the

aircraft

FARs

promulgated

which
in

are

be

shalL

effect

any

for

for the

charges

and

City

i.e

Maintenance

twentyfive

Reserve

percent

25%

imposed from time to

means any charge

Airport pursuant

thereunder

to the

Aviation

Safety

for

appLied

1990 as amended
from time to time

from the imposition and

derived

of

Expenses

enacted November

means the revenues


the

with

services

any altowance

include
or

agents

expenses

accordance

in

whose

plan then

Operation

months

and Maintenance

101-508

by

Lease

Airline Leased

Terminal
defined

in

areas

the
as

Use Space

in

Use

4.02

Section

various

Space means

Airline Leased

Terminal
defined

means the

as

purposes

and
and

collection

provided

Building
in

Section

and Pre-LFMP

but

for

of
in

square

footage

of Post-LFMP

Exclusive

Use

Space

those

not the

portions

of the

Leased Premises

4.01

the

Pre-LFMP
Use

of

where

sole user

total

square

footage

of Pre-LFMP

shown on Exhibit D-2 and consisting of the

Common

total

Post-LFMP

Space

Use

Space means
as

total

on Exhibit E-2 and consisting of the

Post-LFMP

Common

to be the primary

Pre-LFMP

Space

Building as shown

and Post-LFMP

Space

Preferential

Premises

PreferentiaL

DAL

in

contemplated

1.47
Leased

Post-LFMP

Premises

the following

Airline

Charges

DOAs

of three

Pub

Revenues

for

PFC applications

1.45
Leased

PFC

not

Improvements

the

means

Charge

enplaning

the implementing regulations

overhead

Airport

aLlocation

shalt

Expenses

CapitaL

of any paying

charges

of the

cost

services

and suppLies used

departments

City

administration

and

and wages

police protection

reasonable

as

reasonabLe

aLl

repairing

salaries

Citys airport facilities

administrative

taxes

amount

Facility

Act of 1990

to

replacements

Account
the

welL

as

means

thereto

services

reasonable

other

to the

budget of Operation

Passenger

Expansion

of

in

time by City on passengers


Capacity

and

and Maintenance

Reserve

annual

among

alLocated

City-wide

for

to be maintained

Account
the

with

Operation

any

used

any

if

maintaining

Cost of materials

the

premiums

allocabLe

reasonaby

however

provided

fairly

the

to the Airport

practices

accounting

or

accordance

in

be

shaLl

Expenses1

operating

professional

expenses

and any other depository bank pertaining


of

less

financing costs

user charges

necessarily limiting

utilities

insurance

OM

or

of

accrued

without

including

operations equipment

Charges

ExDenses

or

paid

administrative

services

or other

Improvement

Capital

contractuaL

benefits

current

the

Operation

administering

fire

grants-in-aid

finance

and necessary

fringe

and allocable out-of-pocket

fees interest during construction

ExcLusive

Use

Space

totaL

of

Pre-LFMP

Space

Agreement-southwest

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48

Program
the

of

expectations

LFMP

arrangements

generat

and establishes the

1.49

Manual

Definition

but

including

of facilities

agreement of those parties regarding


further defined

in

1.50

Section

Revenue

.52

SignatoryAirlines

Agreement and

Term

.55

Airlines

1.57

Improvement

over

to each

accounting

practices

improvements

to

the

CapitaL

controt

and

serving

such

other

regularLy

scheduled

time

means

the

through

aircraft

the

between

sum

the

at

of this

3.01

have

entered
to this

5.02

Agreement

Daflas and Southwest

City of

of aU

.B.3

identicaL

Section

in

7.01

Airport

2008

dated June 25

CMGLW

of

which

substantially

flights

described

Program

the

forth in Section

set

meaning

estimated

by

the

of time

period

process

Director

caLcuLating

by

and faciLities

Aircraft

of

Arrivals

atE

that
In

the

cost

and

fees

Loading

25

under

this

major

repairs

and major

roLLing

wilt

airport

Agreement
UsefuL

Life

20

years

security systems or

stock

equipment computers and peripheralsS

Life

major renovation

years

baggage equipment

Capital

accepted

be assigned the following

twenty.five

bridges

of

UsefuL

generaL

based on generaLLy

rates

City will

7.01.B.1

buildings and faciUties twenty

pavement

years

is

set forth Section

the Amortization

of

as passenger

vehicLes

the

Program as

of time

has the

purposes

equipment1

documents

that

4.06.E

Section

in

the Airport

City that

Modernization

period

buiLdings

of existing

new major equipment


10 years

of

Improvement

For

Program Development

set forth in Section

the

Terminal Building financed

pavement

aircraft

or reconstruction

cLimate

Field

means

to be recovered

be assigned

airLines

have the meaning

shalt

Weight

stated

PDA

the

in

Modernization

FieLd

described

meaning

means the Term Sheet

Love

Useful Life
is

the Love

of

has the

with

operating

Trust Agreement

1.58

new

Sheet

all

Agreement

means the period

Total Landed

1.56

means

Rep

the

Regarding

as defined

means the

and

phasing

and controL the LFMP

LFAMC and Southwest

City

implementation

Agreement

are currently

Term

1.54

Signatory

and Lease

Statistical

.53

Co

Credit

projects

implement

Budget

the

that provides

hereof

.A

.51

Use

between

schedule

to

PDA

or

Airlines has the meaning

Requesting

into an Airport

Airlines

7.01

used

and LFMP

Agreement

dated November 10 2008

Agreement

to cost

the methods

ScheduLe

Program Development

comprehensive document

limited

not

defines

Scope LFMP

LFMP

means

ARFF vehicles

years

10
DAL

Use and

Lease

Agreement-

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2.01 Use

Section

As

common
utilize

long as
with

the

of

transportation

United

The

the

of landing

use

of other

to

aircraft

the

and mail hereinafter

equipment

in

may
the

for

otherwise

or

commerciaL

sometimes referred

as

to

air

Air

the foUowing

roadways

runways

taxiways runway

and

and other conveniences

services

improvements

of

business

hereby include

granted

facilities

its

certificated

carrier

in

the Airport

using
and

tenants

air

engage

areas aprons

field

facilities

aviation

scheduLed

Government

privileges

and provisions hereof the Airline

terms

space

of

property cargo
The

the

and general

exclusive

business

States

persons

lights beacons

with

airlines

Airlines

Business

Transportation

taxiway

than

other

the

by

accordance

in

scheduled

of conducting

purpose

fLying

does so

it

Airport

authorized

PRIVILEGES

of Airport

other

all

AND

RIGHTS

Article

for

landing taxiing and takeoffs of aircraft

The

landing taking-off

and other equipment

The
cleaning

testing

used

by

engines

and systems subject

aircraft

or other equipment

engine

towing

flying taxiing
in

its

maintaining

repairing
including

AirLine

of

operation

run-ups and emergency

to Section
of Airline

2.04.E
in

include

to

servicing

maintenance

of

hereof loading unloading

areas on the Airport designated

of aircraft

Business

Air Transportation

its

conditioning

and unloading

loading

exterior aircraft

and

aircraft

parking

and

aircraft

of

staging

by the Director

such

for

purposes

The

training of personnel

employees of Airlines contract

The
or in conjunction

nominee

of radio

of

its

Air

prior written

Agency

the

In

modification

aids or

event

sale

for

compLiance

with existing

may

including

use

by

only sell

with

of such

propellants

Airline

facilities

Business

to eLiminate

The

airLine

who

or airLines

in

or on the

provided

simiLar rights
interference

such

in

laws

or

purchase

aircraft

engines

that any

interior

granted
the

and

for

Airport or through

and

meteoroLogicaL

use by AirLine

instaLLations

alone

by Ah-line

expense
at the

shall

in

aeriaL

the conduct

be subject

to

the

or exterior shalL not interfere with the

to

Director

of

disposaL

connection

tenants

other

may

require

or otherwise
accessories

items

oiL

gasoLine

the conduct of

with

and any appLicabLe

aforementioned

The

including

or

any GovernmentaL

removaL

relocation

or

interference

exchange

Airline

the

at AirLines

are lessees

Leased Premises

however

of the Director and whether

approval

navigation

Airport

and

Transportation

by AirLine

providers

and data communications equipment

telephone

equipment

navigation

other

any

to be employed

maintenance and operation

instalLation
with

by or

employed

service

its

grease
Air

Transportation
provided

agreement therefore
to

obtaining

Signatory

fuels

or

Business in

however

that

Airlines

of services

oiL greases

gasoLine

lubricants

or personal
Lubricants

property of any

fueLs

propeLLants

nature

food

11
DAL

Use and

Lease

Agreement-Southwest

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machines
for the

Air

its

and

granted

other

and

beverages
conduct of

in

Transportation
discharge

of the

The

instalting

maintaining

between

as to location

suitable

of the

The

this

Airliners Air

the

agent

rights

It

has executed

is

or

nominee

its

not accessibLe

of vending

to the pubLic
items onLy to

granted

specifically

City

the

The

aircraft

Director

except

at

shall

or activity

to the

Such

Director

City

rights

that

exercised

and Airline such

however
on

that

in

provided

the last

on Leased

shall

signs

be uniform
City

any appLicable

criteria

is

for or related

necessary
2.02

by Airline

not

shall

or by another

party

be considered

grant another

unless and until

to

hereof

other party shaLL

Airline

behalf

its

of Airliners

expense

complywith

provisions of Section

may be

as

Airliners

business

its

and

Director

herein

provided
aforesaid

of

operated

Premises

may deem

such

airline

other airline

shall

and operation

facility

by
not

AirLine

be

used

of modifications

necessary or prudent

for the

and

its

by

Airline

or

its

and

preparation
subsidiaries

nominee
sale

of

on

to

subject

land

meats

for

separate

forsuch purposes

finishes
for

the

and improvements
operation

of

its

in

Leased

AirLine

business

to the

subject

7.02.B

Ground Handling Services


Ground

airLines

of the

approvaL

of Airlines choice

Airport System signage

subject

between

purpose

construction

of Section

2.02

the

Leased

as Airline

by the

maintenance

installation
for

aboard

consumption

agreement

any of the

communication

of

and mail to and from the Airport

and maintenance
representing

to Airline
as

to the

nominee

of the

approvaL

published

Business

alone or

cost to City by Airline

lessees on the Airport

and lease agreement with City

use

The
from

written

installation

approved

as

Transportation

right to exercise

other

prior

by Airline however

designated

Section

is

space

baggage

including

conduct of any other operation

The

provisions

the

in

herein

privileges

beverages and sundry food

area subject

or through

directly

property

and be consistent with

The

Premises

Airline

systems

or identifying signs

and location

type

ordinances

leased

the

subsection

of advertising

Premises

the

cargo

to

Subject

or other

Airlines

of said

transportation

sentence of

AirLines

to

and

rights

by the AirLine

that such

locations in the terminal

installation

passengers

size

its

imposed upon Airline

and operation
provided

of

maintaining and operation without

any other Signatory

employees

in

exercise

herein

obUgatons

or convenient

necessary

the

and making available foods

installing

with

conjunction

systems

in

employees or contractors

The
in

and

Use Space

Exclusive

purpose of providing

Airlines

parts or supplies
Business

the

Airlines

in

equipment

serving

Handling of Airline by Others


the

Airport or

other

companies

Airline

may

Ground

contract

HandLing

with

or receive

Services

for

from

AirLines

12
DAt Use and Lease

Agreement-Southwest

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aircraft

that Airline

provided

of such

representative
or other

company

ritten

have obtained

shall

with

agreement

Ground
Services

to aircraft

written

notice

into

City

written

agreement

as

insurance

of Others

or

using

designated

other airline

with

City prior

Director

to ensure

operating

Ground

his

designated

other airline

or shall have

permit

Handling

or

that such

Services

with

entered

Airline

Airline

may

provide

Ground

Handling

Airport provided

that

Airline

provides

advance

of such

representative

has obtained

valid

to conducting

Agreement

this

to the

efforts

by Airline
the

such

in

required

his

notice

valid

City

to commencing

airlines

to the Director

written

reasonable

uses

from the

prior

Handling

of other

to ensure that

best efforts

advance

provides

arrangements and

shall

arrangements and

operating

at the

operations

its

insurance

provide

uses

its

permit or has entered


Airlines

Airport
for such

coverage

Ground

Services

Handling

2.03

Section

Reserved

Rights

by City

Concession Operations

its

itself

limited

and

agents

otherwise

as

Except

its

franchisees

vending

machines

displays

areas accessible

including

areas

telephones

pay

systems advertising

operated

by

City or

its

concessions

public

nominees

Airlines prior consent

manner

that

materially

in

and

as

providing

impede

holdrooms

that

Use

the Terminal

services

not

shall

exercise

egress

Building

and baggage claim


be Located

or

or

Use Space

Space or Exclusive

or

ingress

passenger

and carts

shops

jetbridges

shall

City

in

but not

telecommunications

data

no concession

Preferential

any

and

to

right

including

retail

and baggage carts

agrees that

City

exclusive

services

specialty

voice

use

the

reserves

City

concession

all

baggage lockers

that

without

will

operate

by the public such

however

provided

to

and news/gift

to food/beverage

herein

provided

such

right

in

business

Airlines

operations

City shall

scheduled
Airlines

airline

on selecting concessionaires

and that maximize revenues


limit

or preclude

may

it

City

Eniployee
to be

for

facilities

Section

the

for

use of such

its

2.04

it

aLL

Parking

that

deems

airports

Airport

soliciting

the

provide

necessary

and appropriate

whatever

concessions
facilities

its

Director

or

in

and other Airport tenants


facilities

own employees

Limitations

Nothing

at Locations

herein

City reserves
shaLL

preclude

Nothing

for

Signatory

of passenger

service

herein

shall

services

by City

consultation

the

services

providing whatever

owned

and

other

input from the


level

highest

and other

City through

such

developed an area or areas at the Airport as common

the employees of Airline


charge

as

from operating

desire at any and

develop or cause

at the

operations

passenger

and provide

concessions

aLL

operate

with Airline

may

facilities

for

parking

right to assess

Airline

reasonable

from providing parking

on or off the Airport

on Use of Airport

13
DAL

Use and

Lease

Agreement-Southwest

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046

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Airline Service

International

that

acknowledges

an

emergency

to

voluntary

operational

conduct

thereon

aircraft

noise

generated

reserves

unreasonable

its

or

Use

of

omission

at or about the

protection

any

on the

Insurance
will

and

operations

poLicy

Airline

Waste

close

or reguLation

of the

compliance
shall

with

also be

in

is

as

from the
City

the

and

Airport

Airports

which

the

activities

due regard

having

to the

flights

practicabLe

with

manner

adhere

airline

passenger

operations
to be

believes

AirLine

of

case

to

efforts

much

in

noise

system

the

the

premium

Environmental

applicable

compliance

in

with

not knowingly

schedules

of or knowingly

dispose

whether

installed

by equipment

shall

system

fire

systems

security

Airport

permit any act

insurance

or other casuaLty

fire

of the

or accessibility

conditioning

of

any act or

policies

be furnished

shall

to

part thereof

not

used

air

conduct

its

permit

and hoses and

or the

Airline

with

Airport or any

shall

and

hydrants

with any

in

not knowingly

the effectiveness

Premises

Compliance

and diligence

shall

heating
fire

Leased

together

Airline

Disposal

system

or conflict

which

of

Airline

interfere with

may
aLarm

invalidate

due care

use

shall

electrical

taken from or products

treated

properly

faith

proximity

reduce

for

that

purpose

as

ReguLations

applicable

provisions

respect

waste material
or

of

Sections

to

such

defined
14.03

aircraft

its

shall

or products

unLess

hereinafter

disposal of any

permit

with

or solid

liquid

into the sanitary or storm sewers at the Airport unless such

be

generated

or in conjunction

activities

in

to

Premises

Leased

Requirements

City copies

waste matenaL

Premises

efforts

on or within

on request covering

Airline

any

use good

control and reduce as

Leased

noise in

agrees that except

scheduled

preclude

neighborhoods

its

Airport that

or located

by

in

sprinkler system

upon the Airport that


maintained

its

in

City

system

sewage

system

instaLled

of

all

will

time

of the

Facilities

and operations

drainage

delays

shall

it

of aircraft

level

Airline

and

understands

Airline

discriminatory

activities

and

locaL

to contest

right

related

the

Therefore

Airport that

levels

and support

with

cooperate

if

the

at

from operations

emanating

conducted

Airline

curfew

noise

1100 pm and 600 am

between

for

or weather

reduce

or

neighborhoods near the Airport

noise sensitive

the Airport for the conduct of

use

Curfew

Noise

Voluntary

attempting to control

is

City

and

not

shaLl

service

passenger

Abatement

Noise

noise

commercial

international

non-stop

Airline

disposal
All

and

such

first
is

in

disposal

14.04

of

this

Agreement
Flammable
flammable
working

for

such

for

purposes

and

Underwriters

facilities

Liquids
the

said

in

in

approved

safety compliance

kept and stored

safety

Airline

enclosed

requirements during

constructed
Fire

within

liquids

24-hour

accordance

not
of

keep or store during


the

period
with

Any such
of

liquids

type

Leased
except

standards

Governmental

by

containers

shall

portion

approved

flash

by

in

storage

established

Agency

having

Premises

the

any 24-hour
in

excess

faciLities

by the
authority

point

of less than

Underwriters

especially

National

with

period

of Airlines

Board

to inspect

100F

of

such

shall

be

Laboratories

14
DAL

Use and

Lease Agreement-Southwest

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Engine Run-ups
time periods

during

approved

Advertising
sale of any services

Other
shall

be limited to

Except

accordance

in

with

Section

or

2.01

herein Airlines use of the Airport


of passengers

persons

which compete

with City

to the transportation

not enter into

shall

of people

transportation

activities

tenants and other

unless

users

by the Director

approved

under the

14.01

For

of the

Airline

sublessees

employees

agents

its

and assigns

Premises

machinery and equipment

used

For Airlines passengers


egress to areas

leased exclusively

and

areas

public

passengers

guests

For
privilege of ingress
leased

exclusively

cOmmon

use

privilege

shall

in

by

Airlines

of

suppliers

and egress

to

Airline

or

its

to engage

or
in

vehicles

to

furnishing

any

of

of

such

service

and

facilities

furnishers

the

such

or

supplies and services

Egress

The

service

for

or vehicle

on behalf

or perform under the provisions hereof

of

This

furnishers

to Airline

ingress and egress

airline

or

the

for

provided
of services

machinery or equipment of such suppLiers and

of furnishing

Ingress

furnishers

and to areas and

of materials

enjoyed or extended to any person


act

extend

use

and to

the pubLic areas of the Airport and to areas and facilities

suppliers

extend to vehicles

and

materials

or preferentially to Airline

No Unauthorized

any

shall

privilege

for

those of other airlines

and invitees

their business

not be used

This

of ingress and

and to areas provided

to Airline
with

Business

the privilege

invitees

common

in

public areas

extend to Airlines aircraft

shalt

Transportation

gests and

and

subcontractors

contractors

right

Air

its

or preferentially

facilities

public

This

in

guests and invitees

of Airlines passengers

authorized

of ingress and egress

privileges

the privilege of ingress and egress to the

Leased

Airport and to the

vehicles

performing

and regulations adopted by

rules

hereof the following

to the Airport are hereby granted

respect

used

and to the

the other provisions hereof

to

provisions of Section

permitted

shall

Director

to advertise or promote the

to the

of any revenue from Airport passengers

Subject

with

Premises

related

expressly provided

Airline

only at locations and

run-ups

2.05 lngess and Egress

Section

City

otherwise

as

the Leased

services

by the

approved

engine

Director

necessary or convenient

activities

Citys development

otherwise

by the

those

except

aircraft

perform

not use

shall

and mail by air and

property cargo
in

Airline

or products

shalt

advance

or as otherwise

by aircraft

cargo

Airline
in

provided

engaging
Airline

in

that

any

for

above

activity

Airline

unless expressly authorized

is

or
not

by the

Director

Section

2.06

Sales or Distribution of Food

and Beverages

and Retail Items

15
DAL

Use and

Lease

Agreement-Southwest

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048

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Catering

In-Flight
air

either with

passengers

with

at the

Airline

serving

its

own

The

in

Director

Airline

distribution

to

agrees

concessionafres

operating

at

the

installation

of

permitting

Airline

space

approvaL

be

2.06
is

utilized

the sale

purchase such
the

food

of food

similar

products

Retail

merchandise

sold

The

saLe

the

event

by any

that

Director

of Citys

This

by

Airline

provided

from Citys

at

all

Section

of food

as

Except
the

however

Airport

of

from

and used by

notwithstanding

all

Laws

from the

by AirLine
lounge

City

in

provided

event

this

unless written
Airtine

concessionaires

of gross saLes as Airports

Airline

Airline

preclude

prohibited

that in such

by

and beverage

food

otherwise

is

public
approval

or beverages

leases

exclusiveLy

by Airline

with

accessible

applicable

from Citys food and beverage

at

not

areas exclusiveLy

or service

Airline

written

after consultation

Provisions of this

comply with

to the

cost

advance

provision shall
in

beverages

aircraft

at no

the

writing

passengers

same percentage

AirLine

with

beverages

distribution

or beverages

to passengers

Items

shall

of Airlines

and/or beverages

Airport or pay Airport the

provide

in

by certain

from the

obtained

The

beverages

Lounges

permitted

and/or

the

beverages

in

machines

vending

alcoholic

including

and/or

Airport

or contractors

distribution of atcoholic

be expressLy

the

thereof

to Airline

are on board

Director

food

such

purchase

its

companies

catering

In-flight

for

catering

agreement or the equivalent

be permitted

shalt

by the

requested

If

Airlines employees

Section

who

food

of

holdrooms

passenger

in-f light

Beverages

and beverages

of food

sale

The
Airline

services

catering

be limited to Airlines passengers

shalt

to

into an operating

in-flight

to provide

right

with others

or by contract

Distribution of Food and

Sale or

shalL

staff

have the

shaLL

Airport shaLl enter

City prior to commencing

the

AirLine

agrees

operating

concessionaires

to
at

that

the Airport

shalL

selL

not

concessionaires

or

distnbute

unless written

any

types

approval

is

of

retail

obtained

items

or

from the

Director

16
DAL

Use and Lease

Agreement-Southwest

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Case 3:15-cv-02069-K Document 266-2 Filed 02/02/16 Page 22 of 147 PageID 7718

TERM

Article

3.01 Term and

Section

The Term of

Date

existing

3.02

Section

Upon

cease

Airlines

as specificalLy

condition

similar

damage

of Leased

of the

as

when

3.04

Section

Airlines

AirLine

property
portable
repair

aircraft

jet-bridges

damage

30

rentaL

after the

days

Premises

authority

of the Airport as herein

the

surrender

public

Leased

granted

Premises

and

not caused

enemy

the

term

trade

this

also

in

excepting

by negligence

or

for

if

owned

tooLs

by AirLine

machinery

wILL

City

not be

shaLt

removaL unLess

personaL

Airline

shalt

owing City any rentaL

AirLine

aLLow

all

equipment

that

by it provided

AirLine

such

and upon termination

Agreement

fixtures

thereon

and

Agreement

hereof

of

or any part thereof

removal

date

termination

of AirLines rights

alt

and tear excepted

wear

ramps

to the

pursuant

Agreement

of

beLow

3.04

shaLL

the

or

and supplies placed

from such

resuLting

fees or additionaL

hereof

Date

Property

during

Loading

materials

buildings

alL

faciLities

and supersede

restate

or agents

Remove

to

be entitled

shaLL

God

empLoyees

Right

and

AirLine

reasonable
act of

from the Leased

to remove

hereof

Agreement

received

its

amend
Effective

Agreement

this

Section

in

of the

2008 the Effective

Premises

by fLood fire earthquake

misconduct of the AirLine

of

services

provided

as

or Early Termination

Expiration

Leased Premises

termination

Upon

be deemed to

shalt

or early termination

3.03 Surrender

Section

Upon

Rights

to use the

except

and

30 2028

on October

retroactively

of Terminal BuiLding Premises

expiration

privileges

shalt

Lease

commences

Agreement

and ends September

Airlines

and

this

Date

Effective

more than

not

time

additionaL

is

thirty

mutuaLLy

agreed upon

If

or

in

such

time

AirLine
as

Agreement

or in

reasonable

notice

the

or retain the

without

becoming

notice
be

event

assumes

City

property

within

LiabLe

for

any

from the City within

toss

such

sixty

to be aban1oned

and

or

possession

City

days

may

after

Leased

of the

cost

of and

of the

for

be occasioned
any

appropriate

of the

same

termination

of or expiration

Premises

public

paying

after the

days

City

warehouse

to

after termination
dispose

30

and Director

damage which may

property

60

thirty

AirLine

may remove such property


same in its own possession at the

possession and remove

deemed

its

upon between

agreed

to AirLine

deposit

to take

to remove

faiLs

mutuaLLy

the

upon

prior

or eLsewhere

for

account of AirLine

thereby
rentaL

Agreement

as required

of this

by

If

AirLine

fees upon

fails
prior

the property shaLL

Law

17
DAL

Use and

Lease

Agreement-Southwest

16-10051.7240
SWA_00085

050

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Case 3:15-cv-02069-K Document 266-2 Filed 02/02/16 Page 23 of 147 PageID 7719

LEASED PREMISES

Article

4.01

Section

Love

Leased

Airlines

Use Space

Exclusive
for

Airline

excLusive

its

Space

Use

use the

as shown

made

reference

in

for

part hereof

its

Space

made

reference

for

use

its

LFMP Common Use

Space

Use Space

as

listed

and City hereby Leases to

City

the Pre-LFMP

BuiLding

Exhibit

in

hereby

Airline

attached

D-2

Exclusive

and

hereto

by

areas

be prorated

the

as

Listed

Pre-LFMP

the

BuiLding

in Exhibit

attached

D-2

leases to

hereby

City

hereto

and

hereby leases from City and City hereby leases to

AirLine

other

shown

TerminaL

in

and

from City and

Leases

purposes

aLl

areas in the

airlines the
Exhibit

in

part hereof

shaLL

the TerminaL

as

various

for

with

hereby Leases from


in

Exhibit D-1

in

Use Space

made

and by reference

Common

of the

Prior to Completion

purposes

aLL

the

use

common

in

and

D-1

shown

as

part hereof

Common
Airline

for

areas

Use Space

preferential

Use

Preferential
by

the Terminal Building

in

Airline

various

Exhibit

Preferential
AirLine

Premises

Modernization Program

Field

for

aLt

among

D-1

and

as

Listed

in

Rental

purposes

TerminaL
Exhibit

costs

D-2

attached

associated

with

hereto

Pre-LFMP

with

using the space in accordance

airLines

Pre

the

BuiLding

Section

4.03

and Rocation

Demolition
in

areas depicted

Exhibit

reLocations

take

changes

Airlines

in

reasonably

changes

citing

under

the

Section

this

Leased

effective

date

of the

be subject

D-2

Airlines

place

Pre-LFMP

to periodic
the

obligation

and

Program

to confirm

those

space Leased

for

obLigations

accordance

As

substitute

comparable

of Exhibit D-2

in

Leased

ALL

as demoLitions

Modernization

provide

rentaL

adjustment

Premises

to change

Field

City wilL

on versions

rental

Leased

are subject

Airlines

changes

but in no event shall

of Exhibits D-1

the

as shown

to AirLine

shaLL

versions

4.02

take

4.01

of Exhibit

Field

of Airhnes
Exhibit D-2

in

implementation of the Love

Premises

acceptabLe

versions

Section

Listed

to faciLitate

pLace

premises

and

D-1

with

revised

such

exceed the amount

in

the

initiaL

and D-2

Leased

Premises

in

the Terminal Buildingjjpon

of the Love

Competion

Modernization Program

Exclusive

or any

portion

exclusive

shown
hereof

use

thereof

the various

in Exhibit E-1
for

and

Use Space
Airline

as

portion

Space

as

listed

in

Exhibit

Cfty

the Post-LFMP

E-2 attached

hereto

Modernization

hereby leases to
Exclusive

Use

and by reference

Program
for

AirLine

Space
made

its

as

part

purposes

aLL

thereof

use

preferential

of the Love Field

completion

areas in the TerminaL BuiLding

Preferential

or any

Upon

hereby Leases from City and

the

shown

in

Use Space

AirLine

various

corripLetion

of

the Love

FieLd

Modernization

hereby teases from City and City hereby Leases

areas

Exhibit E-1

Upon

in

the

and as

TerminaL BuiLding

Listed

in

Exhibit

the Post-LFMP

E-2 attached

hereto

to

Program

AirUne

for

Preferentiat

its

Use

and by reference

18
DAL

Use and Lease

Agreement-5outhwest

16-10051.7241
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Case: 16-10051
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Case 3:15-cv-02069-K Document 266-2 Filed 02/02/16 Page 24 of 147 PageID 7720

made

part hereof

for

Common
or any

common

use

in

Use

Space

made

with

part hereof

be prorated

shaLl

and subject

to change

be mutualLy

shall

changes

and E-2 which

Exhibits

this

Agreement

substitution

in

Phased
areas depicted
Leased

The

Premises

current

and

E-1

and pLaced

E-2

service

Each such

specified in Section
4.02

shaU be subject

Section

4.03

aLL

Common

prorated

Use

among

LFMP

the

other

is

placed

of exhibits

above

4.02

AirLines

of the Rental

to

during
not

airLine

percent

equaLly

Eighty

percent

20% of

among

the

80

the

beneficiaL

revised

of

versions

which

by AirLine

Airlines

authorized

once so

exhibit

into and shalL

be

part of

service

be subject

Common

based

change

and

for

pLanning
of

phase

substitute

versions

space

is

of Exhibits
date

exhibit substitution

with such

design
LFMP

the

the effective

citing

to the

The

Program occurs

on

discrete

with

Premises

into Post-LFMP AirLine

Modernization

each

AirLine

completion

space

and

revised

Airline Leased

FieLd

to

accordance

Common

users of such

Twenty
apportioned

and foLLowing

incLuding

into

Cost of

of Exhibits

versions

and accepted

be incorporated

rentaL obLigations
in

process which

space tabuLations

and

incorporated

As

provide

shalL

to periodic adjustment

CAD-based

Love

subject

being

are preLiminary

of construction

Director

WiLL

considerations

service

E-2

to

Subject

of the design for the

additionaL

of Post-LFMP

of the

those areas

substitution

Space
the

for

and

substitute

and each such

as

Exhibit E-2

witL

Proration

Prior

and Occupancy
listed in

compLetion

with

Use Space

replaced

it

the City

in

confirming

exhibit

as impLementation

pLan

sequencing

the

by

hereto

Parties

of the

and

E-1

phases

phasing

construction

compLeted

in

by the

Completion

Exhibit

in

signed

and

E-1

once reviewed

exhibits

exhibit to this Agreement

be considered

shall

revised

its

4.03

and construction

provide

and actual

drawings

such

Exhibits

compLetion
will

City

Common

Section

Upon

Airline

Upon

the

agreement

substitute

as

representative

confirmed

Letter

by

and City

herewith

ALL

in

for

and by reference

hereto

Post-LFMP

with

pLanning design

provide

facilities

as-built

herewith

incorporated

be confirmed

shall

terminal

and E-2 based on

E-1

be

be incorporated

shaLL

of the LFMP

occupancy

the City wilL

LFMP

set forth

Program

the Post-I.FMP Common

BuiLding

E-2 attached

Drawings and Area TabuLations

Premises

LFMP

Modernization

FieLd

City hereby leases to Airline

accordance

in

space

agreed upon by AirLine

elements of the

terminaL

of the

Love

TerminaL

in Exhibit

and area tabuLations


resuLt

as

and

costs assodated with

RentaL

AfrIlne Leased

Post-LFMP

the

in

Listed

using the

airLines

The space drawings

Change

areas

and as

purposes

alt

among

All

shaLL

for

the

airLines

Exhibit E-1

in

of the

Upon compLetion

hereby Leases from City

AirLine

other

as shown

Sce

Use

thereof

portion

purposes

all

of such

procedure

Leased under this Section

revised

versions

of Exhibit

Use Space

of the

LFMP

Use Gates described

the aggregate
in

Section

rentaL

4.06.E

cost of
shaLL

be

as foLlows

the

aggregate

airlines

of the

rentaL

cost

of the

space

shaLl

be

of the

space

shatL

be

using the space

aggregate

renta cost

19
DAL

Use

and

Lease

Agreement-southwest

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052

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the

among

apportioned

airlines

the

using

on enptaned

based

space

revenue

passengers

The
annually

adjusted
year

en planed
is

passenger

available

with

all

use

entrant

new

passenger

case

to

to the

use

associated

the

with

aircraft

and unloading
in

by

movement

cost
for

passengers

entitled

estimate

City shall
of

any

actual

to use

common

adjust Airlines

has

the

Affiliates

use

new

of the

enplaned

reported

of aircraft

Use

new
LFMP

by the

prohibit access

ramp

and ramp

adjacent

to

and

Aircraft

hereby leases to

City

Parking

Positions

limitations of Section

that Airline

of

other

airlines

shall

or

4.06

at the

all

not

most convenient

park aircraft

aircraft

would

below

of loading

purpose

and egress to and from

traffic

to and from the

equipment

Area

Airlines Apron Area for the

ingress

and

equipment

Use

and mail provided

cargo

immediately

Exhibit

to the

Subject

have the preferential

Positions.

Parking

in

shalt

Terminal Building

Preferential

within

Airline

Terminal Apron

shown

Aircraft
aircraft

baggage

Positions

pavement

Use Aircraft

use the

to park

as would

aircraft

Parking

apron

positions

of Airlines
right

passengers

manner

such

positions

of airlines

airline

phase of the LFMP

first

of Preferential

preferential

have the

shall

number
shall

Airport

entrant

Use Aircraft

Preferential

Building to be created

Parking
Airline

as enptaned

enplaned passengers

teased hotdrooms in the

preferentially

Post-LFMP

for Airlines

Terminal

City

to the

the

new

as the

of the

parking

Designation
Airline

revenue

use

80% rental

percent

include

City wilt

period

airline

including

Preferential

completion

its

4.05

Section

of the eighty

or decrease in the

entrant

time

such

shall

the Airport for which data

at

period

of each

September

in

place

adjustments

be

shall

space

Affiliates

adjustment

new

of

Such

use

at the Airport

4.04 Pre-LFMP

Prior

next

passengers

until

airline

history

Section

right

the

In

airlines enptaned

entrant

by Airlines

prior to the

above

described

take

shall

twelve-month

common

such

alt

Year

Fiscal

Airlines share

of

the event of an increase

space

rental

space

determination

of

adjustments

next

the most recent

enptaned

passengers

rental cost

Such

the

enplaned passengers

In

common

for

for

figures

making

In

associated
Airline

October

the

Term

the

throughout

be effective

to

for prorating

basis

parking

prohibit

the

and the

taxiway

Terminal Building

Section

4.06

Gate

one passenger
parking

more

Gate

Definition

of

hoidroom

and one passenger

position

than one

Use and Accommodation

Gates
aircraft

shall

not

be

simultaneously

of Other

For the

purposes

loading

at

of this Agreement

bridge

i.e

subdivided

Airlines

supporting

gate

any time and

no

may

not

Gate

is

defined

one preferential
be used

hardstand

as

aircraft

to accommodate

operations

except

as

20
DAL

Use and

Lease

Agreement-Southwest

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SWA_00085

053

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Case 3:15-cv-02069-K Document 266-2 Filed 02/02/16 Page 26 of 147 PageID 7722

immediately below

provided

Remain

parking

of the

available

twenty

maintenance or unforeseen

RON

parking

based

Exhibit

the

on

Preferentiaf

Gates
Gates Airline

assigned

assigned
use

Airport facilities

for

loading

after an
enter

an

into
in

liability

with

agreement

the

use of the

of Leased

the

In

reduce the
the

From

from the

Southwest

shall

preferentiaL
all

to be used

In

Airport and the

Southwest

shall

as

this

which

of

the

all

to

use

said

preferential use of

one or more

for

authorized

others

by

take

of

its

by City to

and

insurance

to

over

precedence

the term scheduled

use

mean

shall

Gate and

at

airline

user to

Airline

indemnify

from

of the

each airlines passenger


have the preferential use

be used

for each

of

Gates

it

LFMP

construction

shall

uses

The

process

within

its

current
is

shown

existing

in

sixteen

central

leasehold

16

shalL

shall

Gates

two

of

have

American

shall

the preferential use

divestment

with

of

Gates at the

as part of the

concourse
the

LFMP

City to determine

at the Airport during

AirLine

have the

operations

plan for Southwests

Exhibit

agreement

Commencing October

operations
of

after consultation

phasing

order to

have the preferential use

substantial

new

American

Gates

airlines passenger

Southwests

have the sole discretion

implementation

15

and Continental

an entirely

in

30 2010 approximately
Amendment Reform Act of 2006

Wright

and Continental

Gates

voluntarily

September

through

Agreement

to

agreed

terms of that

the

implement

to

necessary

Southwest

of Terminal Building Premises

for

consideration

LFMP

Lease

existing

Gates

need to construct

shall

use

airlines

Agreement American and

have the preferential use of two


Gates

to

City

and the public interest may require

preferential use of fifteen

three

of

Southwest

of two

shall

the

granted

is

or nonscheduled

adequate

of enactment

date

have the

use

provided

airline

Gates

their

of Gates

Date of

four years

2010

under

number

Effective

Gates

Five Party

rights

gate

to provide

Airline

as

basis

and managed by

scheduled

of this subsection

purposes

each

by

service

premises

Transitioning

surrender

Airline

no

circumstances

no event

in

weather

air

passenger

time up to thirty 30 minutes before an aircraft arrives


Gate Further Airline may require such non-preferential

of

leaves

aircraft

but

only

to

due

preferential use

Gates leased

of

has

Airline

as

on

for

originally

airlines

scheduled

Gates

such

For the

use

amount

reasonable

that

allow.other

will

to use

and unloading

Airlines scheduled

times

thereon

remain unassigned

shall

to the Use of Gates

Rights
those

At

share

airlines

RON parking

for

scheduled

uses that do not involve

and assigned to

pro-rata

were

that

RON

over such

rights

hardstands

utilizing

flights

remain under the

shall

spaces

be accommodated

or other

RON parking positions


however that two
accommodate charter and other nonsignatory

its

i.e

and cannot

gates

be allocated

shall

positions

in

depicted

any

parking

from

airline

operations

emergencies

RON

give Airline any leasehold

shall

Agreement

preclude

or for irregular

training

RON

Parking

in this
shalt

Nothing

spaces

maintenance
one

Overnight

City and nothing

of

control

be permitted

shalt

all

phases

Gate use throughout

reserves

the

right

to alter

of

the
this

21
DAL

Use and

Lea5e

Agreement-southwe5t

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054

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plan as

deems necessary

it

aUocation

concourse

terminaL

that

ensure

the

Airtine

facilities

on or before

that

agree

at

the Airport wiU be

accommodate

Airport can

of Gates

number

total

its

be Limited

shall

the

to

4.06.D.1

set forth in Section

City and

that

provided

existing

or demolished as necessary

20

twenty

onLy

30 2010

September

modified

Gates

for

to

passenger

airline

the

Airport

service

To
the

City

accommodate

then

the

also

City agrees

to

for

in

To
such

Common
virtue of termination

Common

be established

by

entrant

Section

extent

airLine

In

such

Gate

Citys

roLe

in

the

report

with

obLigation

fot

that

and
is

aLL

Director

accommodated
one of the

new

below

entrant

to

the

If

service

Space and Gates

at the

Leased
use

to City

Airport revert

City-managed

Gates for the

to use

rights

City

Use Gate

Preferentiat

or for

Agreement

any other

reason

by

cease
Gate

the

shaLL

to terms and per use charges

subject

to

to

not

wILL

unduLy

such

interfere with

its

City

the Airport

scheduLe

operating

1-4

and uniform

open access

In

data

usage

treatment

for

scarce

at

Leased

its

and upon such


into

Airlines taking

agreement
beLow AirLine shall

and Gate

assignment

their

the Airport

at

AirLine

Requesting

for

may become

an accommodation
in

AirLines

service

to provide

most

that aLthough

agree

to Signatory

and the Requestthg

AirLine

procedure outLined
Gate

at

AirLine requests

accommodate

of such

provide

be Leased

Building faciLities

upon between

agreed

and

AirLine

WILl

order to faciLitate
provide

with

City

To insure compLiance
alL

tenants the

airLine

requests

for airLine

accommodation

in

the

terminaL

faciLities

be

wiLL

DOA

In

the

lessees

established

by the

contacted

Airlines

of this

agrees

AirLines
to

ALL

received

Gates

ReqestingAirines

circumstances

tracking

procedure

Lowing

If

Requesting

accommodation

monthLy
this

airline

may be

as

the

all

4.06.E

the

PreferentiaL Use

common

to

under the controL of

of

AirLine

times

terms

consideration

of the

any

use and TerminaL

entrant

such

at

reasonabLe

of AirLines

TerminaL BuiLding are or

areas in the

circumstances

Premises

Section

in

at

airline

existing

accommodate

to

service

City

new

if

for

provided

to begin
its

below

4.06.E

be converted

or expiration

excLusive or preferentiaL
resource

as

from

Agreement

this

Accommodation
of the

service

that

Use Gates

Use

seeks

carrier

or are not wiLLing

require the sharing

shaLL

gates

term of

remaining

become

the

entrant

accommodation

voLuntary

are not abLe

as provided

control

new

extent

new

the

carriers

existing

the

seek

will

the

event the Requesting

airLines
wiLL

and has exhausted

notify

within

Signatory

aLL

thirty
AirLines

Signatory

30

days

has demonstrated

Airline
aLL

reasonabLe

Airlines

in

efforts

writing

that

to
if

to the

DOA

Requesting

with

the

request

for

it

is

AirLine

from the receipt of notice the Director

to comply

that

has

secure accommodations

accommodation

will
in

not

seLect
non-

22
DAL

Use

and

Lease

Agreement-5outhwest

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Case 3:15-cv-02069-K Document 266-2 Filed 02/02/16 Page 28 of 147 PageID 7724

manner

discriminatory

end of

At.the

been

accommodated

accommodate
The

selected

was

said notice

of

incLude

to

The

period
of

its

on

the

or dispute

position

necessary

effective

Requesting

personnel

of

Leased

its

the

and

facilities

shared

Signatory

Airlines

direct

administration
to

enter

Airline

and

regarding

the

which

AirLine

improvements

in

shalt

thereto

Mainst

not

with

cause

to arise

this

faith

provision

be binding

30

thirty

by sharing

day

portion
aircraft

reasonably

equipment

conditions

priority

and

Airline
of

use

in

its

costs

will
in

and which

Airline

require such
Airline

from

Directors

review

available

fees and

charges

including

but

or

any

not Limited
Airline

in

the

information

manner

other

of the

Requesting

or

but not limited


notice

regarding

render

of
the

decision

matter regarding

Section

to

and the

for

adequate

fees and charges

including

or
the

Airline

use

receipt of written

non-discriminatory

on

aLlowance

provide

liability

provision

to

be based

Requesting

to

these reasonable

the

on the Signatory

will

reasonable

plus

may

scarce resource

and

such

reasonable

rendered

services

for

Signatory

regarding

effect

AirLine

Requesting

Airline

Signatory

to

efforts

this

to

pursuant

manner

Airline

the

carrier

faith

good

its

Requesting

Director

good

acceptabLe

resource
will

4.07 Covenant

Section

the

disputes

said

area holdroom

have

another

contract

above and upon

4.06.F.4.a

after receipt

days

of the Signatory

will

assess the

may

and indirect

dispute

disputes

scarce

with

the event of

In

such

use

wilt

the

matter regarding

Section

Airline

and equitable

Airline

an agreement

premises

10

folLowing

schedules

accommodate

to

and to indemnify

any other

to

between

Further the Signatory

into

insurance

particular Signatory

Airline

to the

subject

an appropriate

subleased

to

notice

of said

Premises

under

charges

receipt

within

make-up

baggage

Signatory

The Signatory
fees

selection

the Requesting

space

reasonable

in

such

and other appurtenant

conflict

Signatory

accommodation

have ten

wiLl

Airline

Signatory

the

why

the

seLection

positions

the

requested

If

such

bridge

of such

Airline

and

paragraph

use

case

In

the

counter

days

Airline

rescinds

loading

passenger

the

for

30

from the

not

accommodate

to

to that

notice

has

Airline

Requesting

Airline

reason or reasons

accommodate

wilt

Leased Premises ticket

parking

written

thirty

the

Signatory

Director

AirLine

Signatory

notice

selected

comment

Unless
the

such

in

the

if

Signatory

send

will

within

Airline

period

day

select

may

that event

in

30

thirty

Director

Requesting

Director wILL

Airline

and

AirLine

Requesting

the

said

4.06.F.4.a

this

above

Airline

Liens

nor
out

of

permit
or accrue

any

lien

against

from any action

the
or use

Leased
thereof

Premises
by AirLine

or

any

or any

23
DAL

Use and

Lease

Agreement-Southwest

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056

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contractor

sub-contractor

contest

vaLidity

the

4.08

Section

With

the

twenty-four

24

performance
and

reentry shall

may

enter

upon the

Parties agree
to this

advance

notice

to

that Airline

Airline

upon AirLines Leased Premises

may

termination
trespass

hereunder

or

the

cause

unduly

in

good

faith

of

Citys

Agreement and

of action

for

emergency

interfering with

to or connected

incidental
exercise

of this

or canceLLation

nor give Airline

in

in

except

without

at any time for any purpose necessary

Substitution

amendment

hours

of Airlines obligations

not constitute

4.09

The
an

City

however

provided

lien

of Entry

operations

functions

Section

of any alLeged

City Right

circumstances
Airlines

supplier or agent

with

governmental
such

entry

damages against

or

City

of Exhibits

that the

substitution

of exhibits

as

described

herein

does not constitute

Agreement

24
DAL

Use

and

Lease

Agreement-Southwest

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057

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Case 3:15-cv-02069-K Document 266-2 Filed 02/02/16 Page 30 of 147 PageID 7726

5.01 General

Section

hereunder and

granted

the

set-off

month

the statistical
at

operations
with

purposes

The

eLsewhere

herein

landing

Leased
of

undertakings

Premises

City

rights

facilities

agrees to pay City

Airline

and

in this ArticLe

Director

on

or

inforniation listed below relative

to

its

in

writing to the

the Airport for the


in

provided

that

the

recalculated

as

and

privileges

without

deduction

according

the

to

Report

submit

shall

of

hereof

Statistical

Airline

use

and fees as set forth

rentals

5.02

Section

the

for

of Article

procedures

the

for

consideration

In

or

AND REPORTS

FEES

RENTALS

Article

information

statistical

required

fees and other

attached

and by

hereto

below

in

to be submitted by the Airline

charges

Total

number

domestic

Total

number

of

Total

number

of Aircraft

Total

CMGLW

for

Total

pounds

of

enplaned

month
made

addition

to

and

at the

hereof

other

any

for

aLL

information
in

calcuLating

Airport

revenue

depLaned

and charter

part

each month for Citys use

to Airlines operations

pertinent

day of each

format consistent

in

reference

be

shall

10th

tenth

nonscheduLed

scheduled

calendar

immediately preceding

Exhibit

the

before

and

non-revenue

passengers

Tota pounds

5.03 Terminal

Section

Pre-LFMP
September

ending
Terminal

Building

date

air

cargo

Arrivals

of aircraft

by type

and deplaned

shall

For the
pay

City

D-2 monthly
2008

Fiscal
for

its

space

is

space

existing

shall

D-2

2008 and

and adjacent

rent based

space

as shown in Exhibit

in

October

provided

to the

on the schedule

however

no longer

be charged

for

Pre-LFMP

of

that any

rent as of the

vacated and demolished

Beginning

Space Pre-LFMP

Year commencing

terminal

vacated and demolished to accommodate the LFMP


such

and

Space Rentals

Airline

of October

revenue passengers

of aircraft

enplaned and deplaned

Terminal Rentals

30 2009

as

by type

of air mail enplaned

Building

and through

connecting

Arrivals

Aircraft

as listed in Exhibit

rental rates in effect


space

of

originating

October

Preferential

2009

Use Space

Airline

and

shall

pay

Pre-LFMP

City

Common

its

Use

Space

in

Exclusive
the

Use

Terminal

25
DAL

Use and

Lease

Agreement-Southwest

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rentaL

listed

as

Building

rates per

Exhibit

in

Counter

Ticket

$15.00
$15.00

D-2

As

The

5.00

Ramp

0.50

space

continue

talcutation

initial

share

4.03

Section
rates

the

for

as

of Airlines

AirLines

its

listed

in

Exhibit

under

to facUtate

with

the

procedures

monthly terminaL

Terminal Building calculated

each

shown

phase

rent based

space

in

FieLd

4.01 shaLl be

4.01 .D

of the

PreferentiaL Use

LFMP

on the

accordance

Airline

and

Space

on the

based

Exhibit

in

Love

of the

under Section

Building

Year

Fiscal

is

of Section

of each

Post-LFMP

TerminaL

Section

this

irTipLementation

Upon completion

in

under Section

Leased

initiaLly

for space Leased


the

Use Space

Use Space
E-2

space

or reconstruction

pLace

accordance

ExcLusive

Common

AirLines

rentaL obtigation

take

Terminal Rentals

Post-LFMP

of

aLL

to

rentaU obLigations

in

adjustment

Post-LFMP

of the

to appLy

and relocations

Program

City for

pay

Area

vacated for demolition

Post-LFMP
shaLL

$10.00

Canopy

to periodic

subject

Restrooms

UnencLosed

demotitions

Modernization

$10.00

Bag Screening
Support

StairweLLs

is

annual

following

$20.00

Queuing

CLaim

Bag Make-Up

such

Offices

$20.00

These rates shaU

the

on

Other Offices

Operations

until

based

Building

Ticket

AirLine

rent

space

Hotdrooms

Baggage

4.01

the TerminaL

foot for

square

monthly terminal

D-2

in

proration

annuaL

with

its

rentaL

Section

6.04

hereof

5.04 Apron Fees

Section

Apron Fees

Pre-LFMP
of existing

pre-LFMP

aircraft

Post-LFMP
shaR pay City

AirLine

fees

based

on the

accordance

Section

with

for

pay

Fees

Post-LFMP
apron

6.05

positions

fee

Upon

compLetion

PreferentiaL Use
rate

for

be assessed

wiLl

by the

City for the

use

by AirLine

the

of

LFMP

the

Aircraft

or any

Parking

portion

Positions

Apron Area caLcuLated

each

thereof

monthLy
FiscaL

apron

Year

in

hereof

5.05 Landing Fees


Pre-LFMP

shalL

Apron
its

annuaL

Section

parking

No fees or charges

City

for

its

use

Landing Fees
of the

AirfieLd

Until

monthLy

the

compLetion the

Landing

first

phase of the LFMP

fees based on the following

annuaL

Airline

Landing

fees rates

FY 2009

$1.00 per 1000 pounds

of

CMGLW

26

LUse and

Lease

Agreement-Southwest

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FY 2010
FY 2011
first

phase

pay

for

City

its

each

caLcuLated

of the

Landing Fees

use of the AirfieLd

Year

FiscaL

Utilities

With respect

machinery and

faciLities

AirLine

which

may be

charges
assessed

or metered

City wILL

be

Use

illumination
calculated

number

or

which

be

will

of AirLines

within

forth the

amount

construed

as

of such

LFMP

of the

phase

on the

annuaL

Airline

fee rate

Landing

hereof

6.06

contained

in

fine

or

Agreement

or the

expense

same may be added


part of the

by City in the

of the

rental

basic

Other
the

for

consultation

use

City

reserves

the

City-provided

AirLine

from implementing charges


with

of written

provided

however

such

regardtng
at

annual rates and charges

fine

interest

right

the

to assess

basis

City

any time during the

setting

be

not

shall

and

such
fiscaL

as set forth in ArticLe

or has incurred any

for or City

AirLine

damages
this

AirLine

year

were

to

agrees

Nothing

City

shaLL

to the

sum or sums

the

Agreement

if it

or

or agreements

and penalties

and services

charges

neg

contrary

constitute
as

required

is

failure

covenants

of

due under

equipment
for

payment

AirUne agrees to pay


costs

same remedies

faciLities

be reimbursed to City

reason of the

by

provision shaLL

this

the

City because

from the Director

sum or sums

or omission

rent thereafter

with

kilowatt-

per

against

such

or reimburse

or expense

under

estimated

or penaLty

Agreement

aLt

be

wiLL

rate
the

feasible

promptly

that

than

other

rental

equipment

notice

City has paid any

If

this

incLuding

same manner and

of other

by City with

receipt

resut of any act

sums incurred

additionaL

recoverabLe

services

base

any one or more of the conditions

of

Use Space

and mechanically

has agreed to pay

to any instalLment

ExcLusive

cost in dolLars

electric

Parts 1540 and 1542 shaLL

obUgations

as

so incurred

estimated

the

in

by the

by the City

utiLity

of the

separateLy

furnished

established

Any fines or penalties assessed

to contest

incurs any
fuLfilL

incLuded
kilowatts

economically

is

Rent and Charges

or

in

the

or penaLty

which AirUne

and

utiLities

meteredincluding
for

are

charges

scheduLe

bilLing

Spacecharges

City

such

if

metered

for

equipment

AirLine-instatted

electricity gas and other utitity

thereof
biLls

UtiLity

rating

covenants and agreements of

conditions

charges

by

it

use

separateLy

of Airlines

days

the

Use

power

where

to perform or

this

not

and any

Premises

depending on

month and

Airlines right

any sum or sums


of Airline

areas

with 49 CFR

30

thirty

waiving

for

Fines or Penalties

or expense

obLigations

aLong

first

water sewage

alL

to AirLine

the

instaLled

Additiona

City

Section

Leased

its

to pay

provided

per

noncompliance

by AirLine

to

Common

on

hours

of operating

Meters

every

Landing

with

frequentLy

in

be

to

is

City based

by

Less

and

Space

Security

paid

monthLy

fees based

to AirLine

as appropriate

and services

For equipment

refusal

CMGLW

compLetion of the

agrees

charged

paid monthLy

PreferentiaL

to pay

CMGLW

of

5.06 Other Fees and Charges

Section

hour

of

Upon

accordance

in

$1.25 per 1000 pounds


$1.50 per 1000 pounds

LFMP

of the

Post-LFMP
shalL

DBO

through

so

and the
Each

additionaL

and
rent
part

originaLly

pay reasonabLe
subject

shaLL

to prior

preclude

pubLish such

the

charges

of this Agreement

27
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Use and

Lease

Agreement-Southwest

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060

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5.07 Payment

Section

Provisions

Terminal BuildingicntaIs
for exclusive
Area Fees
from the

be due and payabte

shall

on the

Fees

Landing

month

and

month

as

shall

Landing

on or before

City

be transmitted

required

Section

in

to

the

to recover

City

for each

10th

the

due date

date when

full

use

and Apron

space

advance

without

invoice

be sent

to

the

of

be due and payable

shati

the

day of the

last

Statistical

without

preceding
for the

Report

AU

other

days

fees and charges

rentals

of the

date

Payment

payment

actually

The

acceptance

hereunder

required
therefor

of any

payment

made

of Airlines report and computations

due from Airline or preclude


and that

inaccurate

of the invoice

Lesser

amount

Airline

was

from

property

Later

owed

overpayment

accrue

payment

Form
shall

in

Airlines monthly

from verifying the accuracy

Amounts

on Overdue

may

month

day foUowing

with

together

30

thirty

Airlines report was

any such

Interest
of the

City

any additional

that

demonstrating

days

month

rental payments

Building

common

hereof

5.02

within

not preclude

shall

or from recovering

and

day

fees

of City to Verify Airlines

Right
by Airline

Terminal

prorated

of each

tenth

Other Fees and Charges


be due and payable

shall

first

for

City

from the

invoice

Fees

and Aptpn

and preferential use space and

use

is

interest at the

rate of

not received

.5% per month

within

five

5business

from the due date

until

made

Payment

Directors

Any payment

Payments

office

or such

shall

other

be made to the order of 1City of Dallas and


place

as

may

be

designated

by the

Director

from time to time

28
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Use

and

Lease

Agreement-Southwest

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RECALCULATION

Article

Effective
facilities

are completed

and fees

will

For

estimates

of costs

AirLine

Least

at

purposes

rate

and

be provided

30

to Airline

DOAs

financial

March

31

the

6.02

Annual

process

The

Landing
the

Fee

Apron Fees

discussions

Annual Budget

The

is

with

shall

its

the

annual

of the

audit
audit

Fees

Landing

approach

prior

to

as

will

be

illustrated

1-1-2

costs assigned

Administration

to the
fifty

percent

and ii fifty percent

Cost

50%
50% based

based

on
on

by cost center

Expenses

adopt an AnnuaL Budget


and Landing

Fee rates

and include

caLcuLation

are the

or before

written

Fiscal

for

the Airport and establish

Such budget

any

revisions

Signatory

Airlines

of Terminal

rates

resulting

Building rentaL

and fees

Terminal
shall

rates

of the

take

from Citys budget

copy of such

with

from and after the beginning

for

procedures

of each

April

estimate

reviewing

Fiscal

of the TotaL

adopted
and

Apron Fees

Fiscal

Year for which

Year

and adopting

the

Signatory

Landed Weight

for

the

AnnuaL Budget

Airlines

Signatory

shall

submit

AirLines

for

the

Year

May

of each

proposed AnnuaL Budget

Estimated

center

and

Fees

rate-making

by cost center

OEM

with AirLine

On or before
Airlines

Apron

Exhibit

in

revenues

be effective

foLLowing

Director

succeeding

settlement

incurred and will

annual

the

to

adopted

On
to the

Rates
residual

promptLy furnish the

shaLl

together

rate that

Rental
center

share of direct

year City shaLL

Director

Annual Budget

to complete

DOA

of

Budget

Building rental rates


into account Citys

set forth in
basis

For finaL

of the

completion

efforts

rentals and fees

share of nonairline

Each

best

Year

Fiscal

rentals

be provided

shall

costs and expenses

actuaL
the

on the

weight and

to the other Airport Cost Centers as foLLows

on the proportionate

Section

of

be made

wiLl

terminal

airline

and procedures

principles

Landed

of LFMP

Year thereafter

year

cost

airline

calculating

be aLLocated

proportionate

based

basis

which phase

in

Fiscal

of the

beginning

use

Building

with

the

of total

H-i and computationally

Exhibit

In

will

shall

each

calculations

possible following

City

Terminal

accordance
in

conceptually

prior to the

calendar

subsequent

AirLine
in

purposes

as

for

based on
the

be made on the

soon

as

and

service

Year

Fiscal

partiaL

and estimates

days

will

statements

of the

in

and recalculated
setting

expenses

thirty

Year or

Fiscal

and placed

calculations

all

caLculated

the

be reviewed

ArticLe

Center

FEES

6.01 General

Section

this

AND

OF RENTALS

incLuding

for

the

FiscaL

Year

succeeding

Airport Operation

the proposed

allocation

City shalL
Fiscal

submit to the Signatory

Year

and Maintenance

of administrative

including

Expenses

and other

by

indirect

cost
costs

29
DAL

Use and Lease

Agreement-Southwest

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Case 3:15-cv-02069-K Document 266-2 Filed 02/02/16 Page 35 of 147 PageID 7731

to the

assigned

Administration

Cost Center

AnnuaL bond debt seriice

if

any and any

associate

fund

deposits

required

Amortization

Estimated
BuiLding

schedule

be undertaken by
in

required

accordancewith

Within
distribution of the

the

meeting
between

for

be made effective

Mid-Year

Building

the

event

Rental
or

for

the

in

15

fifteen

after

days

Airlines

to

shalL

made

the

of the

meeting

Director

shall

will

at the

second meeting

and the

Airlines

of

the

any

DaLlas

to the

City

Annual Budget

Year

Fiscal

nonetheLess

by the

of

go

City

first

the

the

day

days

Signatory

10

ten

information

do not

Airlines

days

after the

scheduLe

Airlines

Signatory

after

raised

Manager
has

not

been adopted by the

proposed

CounciL
of

the

effect

in

30

Airlines

to questions

with the requested

Airlines

request

Signatory

respond

the

concerning

within thirty

be heLd

shall

Signatory

information

in

such

on

that

date

Dallas

fees calcuLated

Any subsequent

the AnnuaL Budget

adopting
Fiscal

and

rentals

shalL

Year

Rate Adjustments

percent

baLance

day

first

the

additional

meeting

at

any

time during

Fiscal

10% or more

Fee Rate
of

such

or the
Fiscal

Year

from the estimates


Landing

Year

the

Fee Rate

provided

that

used
such
such

costs

totaL

Total Landed Weight

or Airfield or the aggregate

the Apron

Rate

down

ten

than

and so notify the Director within

Signatory

retroactive

that

Apron Area

by City to vary

Apron

rate

caLculated

Year

meeting of the Signatory

second

after the

If

Budget

herewith

budget adjustments

In

rentaL

BuiLding

FiscaL

no sooner

convene

request

meeting

any reason

of the

as

accordance

6.03

to the Airport proposed to

and 6.06

6.05

convene

the second

Director

the

If

Section

Airlines
shaLl

At the second

AnnuaL

said

City Council
in

Director

the Annual Budget

concur with

meeting

Year

FiscaL

Year incLuding the information

Fiscal

succeeding

but

shall

Terminal

Airline

succeeding

of the Terminal

the

time

Director

meeting and provide

first

concerning

second

6.04

Signatory

the

meeting

the

during

6.02

by the Director

notice

first

Sections

reasonabLe

the

If

Annual Budget

the

for

report

the

for

than

Annual Budget

discuss the

Upon

caLcuLation

rate

the

other

beLow

7.03.D

Section

Fee

Landing

sources

Fees

the succeeding

with

preLiminary

and

Fees

aLL

and Landing

of the CapitaL Improvements

during

City

accordance

from

revenues

Apron Fees

RentaLs

funded assets

of City

of

aLl

in setting

rates

of the

airlines

is

the TerminaL

may be adjusted

adjustment

is

deemed

Terminal
projected
BuiLding

either up
necessary

30
DAL

Use and

Lease

Agreement-Southwest

16-10051.7253
SWA_00085

063

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Case 3:15-cv-02069-K Document 266-2 Filed 02/02/16 Page 36 of 147 PageID 7732

by

An

City

upward

avaiLable

from such

centers

For

written

notice

warrant

only be used

recover

the

adjustment

City

basis

for the

adjustments

putting

rate

such

adjustments

shaLL

City wILL

and

Signatory

wiLL

provide

such

UnLess

rate mid-year

wILL

revenues

adequate

of the

the

into effect

Limit

that

costs

totaL

provide

adjustments

Terminal Building

Rental

Terminal Buildingost
by adding

to ensure

estimated

airUne-supported
with

AirLines

30

thirty

written

advance

days

circumstances

extraordinary

more than

to no

adjustments

be
cost

Year

FiscaL

6.04

Section

to

such

before

additionaL

once each

fees

each

of the

expLanation

shaH

adjustment

the foLLowing

together

The

annuaL

Direct and

Rates

totaL

costs

the TerminaL

of

wiU be caLcuLated

Building

amounts

Indirect

and Maintenance

Operation

aUocabLe

Expenses

to

the

TerminaL BuiLding

in

Debt Service

alLocabLe

Amortization

of the Net Cost of each

to the

Terminal BuiLding on or after October

the

AnnuaL repLenishment
the

Emergency

Fund and/or
their

Terminal

required

the LFMP

Requirement

is

Terminal

caLculated

by

of the

the

the

TerminaL

Building

net deficit

in

folLowing

Account
Reserve

Service

to restore those

funds to

and

the TerminaL

The

Reserve

GARB Debt

Fund as necessary

Requirement

Buildthg

subtracting

Maintenance

and

Fund

Reserve

to the

50%

percent

Fifty

Annual

aLLocabLe

service

2008

Debt Service Reserve

baLances

in

CapitaL Improvement pLaced

of the Operations

and RepLacement

Repair

Building

Roadways

annuaL

amounts

from the

concession

revenues

cost center

Terminal

BuiLding

costs

of

the

generated

in

the

totaL

Terminal Building

Seventy-five

retaiL advertising

75% of

percent

TerminaL BuiLding incLuding

but not

and other

One hundred

aLL

Limited to food

misceLLaneous

100%

percent

termthaL

of

the

beverage
concessions

nonairLine

news

gifts speciaLty

and services

terminaL

buiLding

space

rentaLs

Prior

remaining

re-LFMP

to the

Other

RentaLs

anciLLary

Interest

and benefidat

compLetion

AirLine

income

under Section

TerminaL

on

the

occupancy

5.03.A

of the

entire

LFMP

any

hereof

BuiLding revenues

GARB Debt

Service Reserve

Fund LFMP

Debt

Service

31
DAL

Use and

Lease

Agreement-southwest

16-10051.7254
SWA_00085

064

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Case 3:15-cv-02069-K Document 266-2 Filed 02/02/16 Page 37 of 147 PageID 7733

Fund

Reserve

of seventy-five

totaL

Parking

Ground Transportation

Et

TerminaL

BuiLding

in

cost

centers

wiLl

Annual
Requirement

shalL

then

City shaLl then

which

Section

shall

Terminal

Building

be divided

by total

equate

net

and

Section

in

generated

to offset
the

during

Airfield

Annual Budget

the

the

AnnuaL

the

annuaL

attributable to each of the

percentage
basis

revenues

be credited

wiLL

this

annual

required

Rates

Rental
the

the

for

scheduLe

deveLop

to the

The

6.06.B
an

in

the

and

and

BuiLding

of

Repair

two

Process

6.02

Terminal BuiLding rentaL rate

average

described

be agreed upon on

Section

in

75%

percent

and Emergency

Account

Area Cost Center

Requirement

Requirement described

described

Reserve

Fund allocable to the TerminaL

Reserve

Replacement

and Maintenance

Operating

The

Airline

Post-LFMP

Annual

BuiLding
the

Year

FiscaL

of rentaL rates

by type of space

TerminaL Building rentaL

average

Terminal

Leased Space to determine

the weighted average

rate

using

the

of

folLowing

criteria

weighting

Weight
Ticket

Counter

6.05

Apjpn

1.00

Baggage CLaim

0.75

Other Offices

0.75

and Other Support

the

0.50

Baggage Make-up

0.50

StairwelLs

0.25

Canopy unenclosed

Fee Rates

Apron Area Costs


together

1.00

Queuing

F-toldrooms

Operations

Section

Ticket

Airline

folLowing

annuaL

The

costs of the Apron Area wiLt

totaL

be caLcuLated

by adding

amounts

Direct and indirect Operation

and Maintenance

Expenses

aLlocable

to the

Apron Area

in

the

Debt Service

aLlocab

Amortization

of the

to the

Net

Emergency

Fund and/or
their

Cost of each

Apron Area on or after October

Annual replenishment
the

required

Repair
the

LFMP

baLances

2008

allocabLe

Reserve

Reserve
to

the

Annual Apron Area Requirement

if

any

CapitaL Improvement placed

in

seMce

and

of the Operations

and RepLacement
Debt Service

Apron Area

and Maintenance

Fund

the

GARB Debt

Fund as necessary

to

Reserve
Service

Account
Reserve

restore those funds

to

Apron Area

The

annua Apron Area Requirement

wiLL

then

32
DAL

Use

and

Lease

Agreement-Southwest

16-10051.7255
SWA_00085

065

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be caLculated

amounts

the folLowing

by subtracting

Apron fees charged

Other

income

Operating

Annual
divided

Apron Fee rate per

Total
the

together

aircraft

parking

costs

Apron Area

of the

Apron Area

users of the

any

Service

Reserve

Fund LFMP

Service

and

Repair

Apron Area

Annual Apron Area Requirement


Aircraft

position

Debt

and Emergency

Account

for

Parking
the

20

Positions

then be

shalt

to determine

the

Year

FiscaL

Landing Fee Rate

6.06

Section

The
Use

of PreferentiaL

if

Reserve

to the

Rate

Rental

ApfQn

totaL number

by the

annual

Fund aUocabte

Reserve

Replacement

GARB Debt

on the

and Maintenance

total

Airline

non-Signatory

Apron Area revenues

ancillary

Interest

Fund

Reserve

to

from the

Costs

Airfield

costs of the

totaL

AirfieLd

wilL

be

calcutated

by adding

amounts

annuaL

foLLowing

The

Direct and indirect Operation

and Maintenance

aUocable

Expenses

to the

Afrfietd

Debt Service aLLocabLe

Amortization
in

the

Airfield

Annual replenshment
Repair

and/or

LFMP

required

Annual
caLculated

of the Operations
Reserve

Debt Service Reserve


allocable

the

foLLowing

Fund

and Maintenance

the

GARB Debt

Fund as necessary

Airfield

Requirement

Airfield

by subtracting

to the

service

in

2008

and Replacement

balances

AirfieLd

Net Cost of each CapitaL Improvement pLaced

of the

on or after October

Emergency
the

to the

The

amounts

Fund

Reserve

Service

to restore those

Reserve
funds

the

Fund

to their

and

Annual

from the

Airfield
total

Requirement

AirfieLd

costs

wilt

then

caLcuLated

be

in

above
GeneraL aviation

Non-Signatory

Other

Service

Reserve

and RepLacement

Fund

Airline

ancilLary

Interest

landing

Airfield

income
Operating

Reserve

fuel fLowage

on the

fees

fees

revenues

if

GARB Debt

and Maintenance

Fund altocabte

to the

any
Service

Reserve
AirfieLd

Reserve

Account

Fund
and

the

LFMP

Emergency

Debt
Repair

and

33
DAL

Use and

Lease

Agreement-southwest

16-10051.7256
SWA_00085

066

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Case 3:15-cv-02069-K Document 266-2 Filed 02/02/16 Page 39 of 147 PageID 7735

of seventy-five

total

Ground

Parking
Airfield

described

described

Requirement
cost

Transportation

Requirement

centers

described

in

Section

be agreed

will

upon

The

on an

annual

by

Landed

Total

6.07

Section

For

the

proceedings

of

Weight

the

Terminal

Building

attributable to each of the two


the

during

Annual Budget

Process

all

The Annual

Airfield
to

subject

to the

Signatory

Requirement

determine

Airlines

the

shaLl

landing

then be divided
fee

rate for the

in

of

purposes

order of

of the

GARB Debt
instruments

that

may be

Fund

Account

to

applied

the

foLlowing

in

the

revenues

Airport System

outstanding

and

and Maintenance

to maintain

current

annual

Service

Fund

baLance

budget

operating

to pay

GARB Debt

from time to time by the

issued

of City contained

covenants

funds

and

priority

to pay Operation

OM Reserve
25%

currently

Revenue

Aviation

OM Account
percent

of GARB5

issuance

into the

the following

Agreement

this

the

authorizing

Revenues

of

Application

be deposited

accounts

five

in

the Annual

Year

Fiscal

shall

generated

to offset

Annual

the

percentage
basis

net revenues

be credited

and

Section

this

6.04.B

Annual Landing Fee Rate


the

of the
will

6.02

Section

in

in

75%

percent

Area Cost Center

Expenses

the

Airport

Service

months

three

to

equaL
for

on

bonds

notes

or debt

Airport System

Capital

any

City to fund

twenty-

System

Improvements

GARB

Debt

Fund established

Reserve

Southwest
Service

Facilities

Dollars

Aviation
Airport System

Capital

of

support

made

Fund

Reserve

fund

to

Account

by Southwest

Repair

to

or

restore

the

GARB

Debt Service

GARBs

Reimbursement

Payments

Emergency
to Five MilLion

Service
in

under the

Replacement

Reserve

reimburse
Facilities

Southwest
Agreement

for

LFMP

with the

to replenish the balance

Debt

LFAMC

in this

fund

$5000000
Capital

Fund

alt

Improvements and

subject

to the

cap described

Section

6.08

Aviation

in

Capital

Section

Fund

remaining
for

revenues

any other

lawful

to

be

used

purposes

pay the

of the

Net

Costs of

Airport System

6.08

Cap

34
DAL

Use and

Lease Agreement-Southwest

16-10051.7257
SWA_00085

067

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Case 3:15-cv-02069-K Document 266-2 Filed 02/02/16 Page 40 of 147 PageID 7736

Under the rate-making


that

anticipated
System
Areas

the

in

cost

of the

mechanism

generate

amount

25% of the

of DaLLas

Aviation

sum of

of the

net revenues

in

the

the

Fund to be used

to fund

from

net

less

its

revenues

incurred

deficits

any

Costs of future

Net

the Airport

Other

the

estimated

is

of

operation
of

These net revenues

the

it

Buildings

Ground Transportation

Parking

revenues

above

in this ArticLe

net revenues

Airport and the Heliport

Executive

CapitaL

described

surplus annual

25% of Terminal concession

and

center

City

approximate

center

operation

wilL

Area cost

by the City in the


fLow

wilL

to the credit

Airport System

CapitaL

Improvements and other Lawful Airport System purposes

From the Effective


without
other

limit

in

by the

capped

be

wilL

at

change

percent

in

however

that

for

30

the

the Consumer

credited

the

the

to

Capital

airlines

in

the

ending

balance

the

In

as

additional

of

cost

airline

fees

number

reaching

this

City

in

that

fees

Fiscal

shall

Aviation

tawful

amount

fees for that

in

funds

capitaL

at

purpose

City

shaLL

Should

with

as the
AirLines

amount

an

amount
such

during

application

notwithstanding

million

in

such

capital

the

an aggregate
plus

apron

by the total
FiscaL

funds

Year

resuLt

in

capitat funds shalL

excess

cap

the

that

and be available to

System

and Settlement

to Actual

Cost Accounting
with

$30

to

terminal

during

agreed

rentaLs

during

excess

$30

of

the

milLion

transferred

Year divided

Airlines

in

shall

should

Airlines

of terminal

any remaining

the

be

that resuLts

FiscaL

of additional

floor

passenger

to the Airport

AirLine

to

total

be

beLow

moneys

the

further

is

Fund to
shall

aLLocation of such

Signatory
it

by

reserved

baLance

calcuLation

cost center

with the

However

be limited

the

below

Year exceed

the finaL

the

Airport by such Signatory

the

Fund

relating

furnish

shalL

Signatory
the

6.09

in

6.09

the

date

that

of

capitaL funds shalL

excess

Year

FiscaL

cap

Section

Section 6.09

in

the airLines

to

as

Fiscal

particular
such

Section

defined

passenger

paid by the

Capital

of

by City in consuLtation

described

Year

in

cap

the

described

process

Capital

the

inflation such

for

adjusted
to

the

over
in

be

Longer

moneys do not cause

such

as

in

excess

described

process

subject

further credits

as

enpLaned

cap

become

6.09 Year-End Adjustment

Year

settLement

baLance

no

for

in

project

commenced

not have

shaLL

2014

Connector

the

CapitaL

thereafter

the batance

30

September

and

the

cap

the

projects

such

infLation

to the extent

million

the

infLation

cause

Aviation

be increased

of

as of

project

the

in

Connector and

the

LFMP

particuLar project

moneys

for

CapitaL Fund

Aviation

Year-End Actual
FiscaL

rate

cost per enpLaned

$3.00

the

any

Section

Fund and

excess

of passengers
in

for

$30

per enpLaned

of $3.00

remain

the

process

such

landing

plus

annual

to be determined

credits

such

below and

the

for

adjusted

fees and landing

settLement

appLication

the

Fund and applied

apron

annual

for

the

purposes

of either of these

rate annual settlement

the

in

adjusted

the Revenue
rentals

6.08.C

Capital

extent

cap

Fund to exceed

remain

cap

to the

For the

improvement

should construction

in

funding

any moneys accumulated

moneys accumuLated

to Section

subject

Index

Price

interchange

milLion

$30

for

in FY 2015
the ending baLance
2015 dollars which amount shaLL

milLion

$30

and

purpose

exceed

that

201

FY 2014 funds may accumulate

through

Effective

Cedar Springs/Mockingbird

September

of this Agreement

CapitaL Fund shaLl excLude

the Aviation

provided

Date

CapitaL Fund to provide

Aviation

Improvements

Capital

Fund

the

As soon

an accounting

as

possible following

of the

costs

the

cLose of each

and expenses

actuaLLy

35
DAL

Use

and

Lease

Agreement-Southwest

16-10051.7258
SWA_00085

068

Case: 16-10051
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Case 3:15-cv-02069-K Document 266-2 Filed 02/02/16 Page 41 of 147 PageID 7737

incurred

such

the

of the

Rate

revenues

If

calculation

and

during

required
in

as

by an

Payment

recalculated

Lump sum to AirUne

Airline
requirements
paid

during

required
Airline

as

to

Airline of
in

based

within

recalculated

and payable

the

of the

Rate

Fiscal

the

audited

and landed

caLculation

on those

meeting of the

financial

weights

of Terminal

and

in this ArticLe

Year based

convene

based

60

in

during
BuiLding

recaLculate

shaLL

actuaL

and

costs

to discuss the

airLines

Fees or Charges

than

the

amount

costs and

days

of the

revenues
caLcuLation

than

on actual
sixty

costs and

60

excess

of such

amount

final

days

rentals

of AirLines

revenues
of the

such

the

and

billed

fees and

rentaLs

charges
be

shalL

paid

settLement

Fees or Charges Deficiencies

amount

the

such

to

Subject

fees and charges

of AirLines

the event that Airlines

less

within

Rentals

Excess

to City of Rental

Year were

by Airline

more

sixty

Payment

FiscaL

Fee

event that Airlines rentals

the

on actuaL

set forth in 6.01


the

components

City shaLL

airLine

Year were

FiscaL

for

required

set forth in 6.01


the

of the

enplaned passengers

and the Landing

to

reconciLed

settLement

year-end

City

paid

to each

charges

reaLized

actualLy

and actual

System

respect

requested

of the

requfrements

credits

the Apron Fee Rate

fees

rates

other

Airport

Year with

Fiscal

RentaL

and

revenues

statements

Subject

fees and charges


rentals
deficiency

fees
shall

to the

biLled

and

and charges
be

billed

to

date of invoice

36
DAL

Use and Lease

Agreement-southwest

16-10051.7259
SWA_00085069

Case: 16-10051
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Case 3:15-cv-02069-K Document 266-2 Filed 02/02/16 Page 42 of 147 PageID 7738

7.01 Love

Section

FieLd Modernization

GeneraL
Modernization
the Airport

compLex
other

major capital program

further described

as

the

incLuding

terminaL

Program

Definition

Development

of finish-out

it

finance

to

determine

systems

LFMP

the

The

ManuaL

be issued

created

the

Love

of the

LFMP

Key elements

the

to

airlines

and the

finaL

Program

Code and intends

to

time as Southwest and City

the proposed

of

systems and

alL

Airport Modernization

FieLd

such

at

and

roadways

Agreement

of

of Texas Transportation

431

thecosts

of

portion
shaLL

Program Definition

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copy

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and

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to

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standard

use

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in

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and Southwest are currently

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LOVE FIELD MODERNIZATION

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fund

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37
DAL

Use

arid

Lease

Agreement-Southwest

16-10051.7260
SWA_00085

070

Case: 16-10051
Document: 00513477355 Page: 142 Date Filed: 04/22/2016
Case 3:15-cv-02069-K Document 266-2 Filed 02/02/16 Page 43 of 147 PageID 7739

LFMP

the

impLement
Southwest

revenue bond index

at

The DART Connector

the

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the Airport

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if

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ca

toward

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terminal

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on

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Lemmon Avenue

of the

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through

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the

rate

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revenues

up to the amount

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of the

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not

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Lemmon Avenue

Lemmon Avenue

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6.06

make

relocations

order to provide

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reasonable

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construction

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and demolition

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fee

agrees

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the

City

shall

rate

base

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reasonable

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credit

during
by

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the

construction
relocations

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at the Airport to accommodate


to minimize

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to

activities

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once

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site

to complete
such

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immediately

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customers may be inconvenienced

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Improvements
in

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relocations

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fuLfilL

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of this

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generates

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to fund

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transit

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toward the LFMP

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the Connector

mover connector

peopLe

repayment of accrued

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premises

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for

Airlines

is

use in carrying

38
DAL

Use and

Lease

Agreement-southwest

16-10051.7261
SWA_00085

071

Case: 16-10051
Document: 00513477355 Page: 143 Date Filed: 04/22/2016
Case 3:15-cv-02069-K Document 266-2 Filed 02/02/16 Page 44 of 147 PageID 7740

out

its

initiate

Airport

renovations

any

7.02

The

in

LFMP

by the

contemplated

Section

the

at

operations

Post-LFMP

will

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that

with

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writing

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conditions

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delayed

to such

apply

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the

commencing
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to award

proposes

director

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approved

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shall

construction

all

work

construction

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their

respective

and employees
their interests
against

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for the

interests

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loss

against

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risk

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requested

bond and

of the

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Provisions
with

contractor

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in

or

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of

all

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alternative

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directors

officers

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work

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with

by

payment

officers

as

agents

officials

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accordance

or

and any performance or

connection

in

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compLete

The

Director

officiaLs

agents

injury to persons or damages

construction

work

or conditioned

Contract

or any of their

performance

to the

consents

for such

contractor

contractor

delayed

or misconduct

their

construction

furnish

performance

withheld

by death

resulting

of the

performance
contractor

with

to furnish

hold harmless

may appear

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further agrees

of the

and surety by the

may appear

occasioned

of or in connection

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entered

negligence

with

together

work

provisions requiring

to indemnify

or

or discriminatorily

any contract

name

Standard Construction

contracts

Director

make any

and the

substance

aforesaid

Parties

submit or cause to be submitted to the

first

contractor

be unreasonably

Required
in

to entering

plans and specification

Application

bond

payment

form

by Airline

by the

modifications

unreasonably
to

connection

in

required

future

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permits

application

such

for

require the

shall

shall

work

contract

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unless the

to

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costs

all

to in the

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not

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construction

proposed

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itself

for the

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work

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shall

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provisions

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or

bear

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or agreed

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by Airline

proposed changes

conditioned

withheld
following

be made

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to the

or improvements

be expressly provided

except as may otherwise

improvements

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of the

to

Premises

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in

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for

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desire to undertake

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of the

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construction

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implementation period

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design and construction

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Program Development

and Southwest regarding


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and

property

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completion
persons
shall

requirements

arising

work

out

against

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thereof

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as

employees

out

of the

or cause
contained

the
in

39
DAL

Use and

Lease

Agreement-Southwest

16-10051.7262
SWA_00085

072

Case: 16-10051
Document: 00513477355 Page: 144 Date Filed: 04/22/2016
Case 3:15-cv-02069-K Document 266-2 Filed 02/02/16 Page 45 of 147 PageID 7741

Attachment
insured
such

Insurance

Airline

shalt

of the

by

or

it

to be included

or cause

reasonably
the

at

required

contractor

including

approved

the

commencement

to the

prior

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thereof

performance

Risk of Loss
the

to

prior

as

successor-in-interest
officiaLs

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without

cost

to

agents

any such

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or

shalt

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of

with

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be coordinated

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loss

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or repair such

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by

or any

may appear

City

its

by

Loss

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officers

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to such

or

any such

damage caused

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work

such

alL

their directors

of

or any directors

or

reserves

damage

caused

repair or repLace

or

Loss

to

damage

or

any

officiaLs

caused

or any directors

the

by

officers

the right to either require City to repair

damage

and

itseLf

bilL

the

of

cost

City for

repair

and

Preparation

to

deliver

shaLl

and

shall

at

constructed

on the

shall

acceptable

aLL

and

hard

and

specifications

meet

the

City

shall

by

the

issued

by the

improvements

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of Dallas
for

to

All

the

Agreement

of

including

and

set

code

work performed

shall

completion

it

be prepared by
of construction

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reasonably

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improvements

on

plans

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current

drawings
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to

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from material

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for

plans

CD-Rom and
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and improvements to the Leased

building

construction

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of as-built

specifications

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keep
in

Texas Upon

complete

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made

and specifications

plans

State

set

Director
reports of the

progress
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the

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provide

plans and
Premises

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paper copy

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or

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delivered

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provide

format and

permits

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be

to

during

any

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architects

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cause

times

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improvements

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to be

accordance

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to his inspection during

of Loss or
or

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to any

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risk

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and empLoyees

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or

operation

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agrees that

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and subject

assume

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agents

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to

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compliance

or work

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completion

officers

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contract

been completed

has

it

City

as additional

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construction

any

workmanship

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in

by the Director

plans and specifications


Director

by

in

Airport

be performed

shall

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and Workmanship

of Materials

its

quality and

first-class

attached

contractor

QuaLity

performed

Requirements
include

may be

as

provisions

performance

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owned

fixtures

therein

by the City upon the

City Building Official


so constructed

The

Improvements

of
trade

or

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whichever

which

date that
date that

date

is

alterations
shalt

certificate
Airline

has

and

modifications

remain

the

property

of

has

been

beneficially occupied

the

of occupancy

earliest

40
DAL

Use and

Lease

Agreement-Southwest

16-10051.7263
SWA_00085

073

Case: 16-10051
Document: 00513477355 Page: 145 Date Filed: 04/22/2016
Case 3:15-cv-02069-K Document 266-2 Filed 02/02/16 Page 46 of 147 PageID 7742

Saiev

Construction
modifications

alterations

other

City
reserves

of the

in

the

cause

in

disruption

do so free

whatsoever to

with

conjunction

Agreement
the

prior

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CIP

benefit

03 .F of this

the

DOA

airline

that

shall

year

shaLL

of

minimaL

for

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at the

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The

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adjustment

CIP

5-Year
in

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in

at

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of this

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for

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its

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prepares
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provided

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to the Signatory

of the

airlines

set forth

process

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repairs

other

for

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and users

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Airport as further

submit the 5-Year

part

faciLities

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improvements

Program the 5-Year

be designated

parking

or

aLt

Airport including

faciLities

business

such

of

with

also report

the

roadways
required

updated 5-Year CIP addressing

wilL

been requested

CIP and governed

by and

by Section

be subject

and

centersnamely

to the

consideration/disapproval

of

may
in

then
the

do disapprove

re-submit

such

immediately following

Terminal

Building

Majority-in-Interest
project

disapprove

cost centers but Signatory

1.39 of this Agreement

DOA

disapproval

the

Majority-in-Interest do not

If

airline-supported

the

Projects or portions of projects in the 5-Year CIP associated

cost

airline-supported

of Section

or
one

and

Agreement

7.03.C

designated

areas

representatives

pubLic and Airport tenants

Annual Budget process regarding

Projects

one

Airfieldshalt

Sections

making

and charges
an

and

period

and improve

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designated

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and coordinate

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due consideration

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to

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during

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shalt

5-year

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liability

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ensuing

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repair

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to

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and

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out

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modifications

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the Airport

as necessary

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five-year

the

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in

with AirLines construction

pLanned CapitaL Improvements

Airport regarding

certain

to be carried
at

may expand

City

City wilL

or

the safety

for

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occasioned

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and additions

for

work

operations

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from any

to

barriers

erect

or

area

cost

cooperation

any

to be

or air operations

of terminal

benefit or maintain

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of the Airport in the interest of the

operation

rolLing

not

and apron pavements

taxiway

sole

its

requires work

post guards

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of

performance

locations so as to provide

such

at

Premises that

right in

systems and other infrastructure

shaLt

at

but

construction

General

runway

such

Airlines

7.03 Future

Section

make

to

incl.uding

airport

Make

to

the Leased

City shaLl exercise


wiLL

Right

right

improvements

own expense

its

Director

the

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safety or security

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performed

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or where
will at

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approved

safeguards

of work

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taxiway

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performed

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project
project

the
in

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accordance

associated

with

with the

meeting the requirements


the
to

with

of

project shall be deferred


the

year provided

Signatory
that in the

Airlines

event

for
for

there

is

41
DAL

Use and Lease

Agreement-Southwest

16-10051.7264
SWA_00085

074

Case: 16-10051
Document: 00513477355 Page: 146 Date Filed: 04/22/2016
Case 3:15-cv-02069-K Document 266-2 Filed 02/02/16 Page 47 of 147 PageID 7743

of that

no disapproval

DOA may proceed

project

of

the

cost

and Terminal
and

Airlines

Signatory

other

in

Projects

Ground Transportation

Areas Parking
disapproval

the

Majority-in-Interest in that

by

project

with

the

immediateLy foUowing

centersnamely

may proceed

with

such

the

year

BuiLdings

not be subject

RoadwaysshaLl

City

Other

to the prior
at

projects

its

discretion

Review

CIP
6.02

hereof

Year CIP for the


the scope
centers

the

CIP for

proposed
of the

year

any of the

regarding

deemed

be

shall

the

projects

of Airlines

of the

on the

project

the

costs of the

with

the

maintenance

to such

which

being

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faciLities

air carrier

requesting

to seek the

United

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review

period

projects

disapproved

is

project

Section

Airline

from

response

30-day

in

Listed

above

7.03.D

by

may

City

reconsideration

airLine

but

project

rates and charges

the

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of

incLude

not proceed

or

that

States

such

if

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faciLities

was requested

that

in

quaLity

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to the

prior

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are being constructed

pays

costs of any capitaL

by and soLeLy

are reasonably

to

of such
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for

project

benefits

the air carrier

delivered

construction

the

the

Building Cost Center

but

rather

and

costs associated
by the City in

proposed

only one airline

recovered

an

City

facilities

and that

normal maintenance and repair or federaL mandate

security

such

if

and necessary to

facilities

of construction

executed

has

the

normaL

secunty

safety

capitaL projects are prudent

AirLines

The

of

may

City

and incLude
rate base

AirLine

appropriate
reasons

for

provided

constructed

facilities

the

in

the

above

cost centers

airline-supported

required

or

the

is

not

shaLL

rental surcharge

as

airline

Sponsors

Assurances

maximum amount

capitaL

Sponsors Assurances

projects

contained

from time to time incLuding

of grants

Consistent

with

and participating

good

business

the

in

City

the

agrees to compLy with

FAA grant agreements

provisions governing

the

use

practices

City

funds for the Airport System from

and any agency thereof and the State of Texas

of America

Year CIP and additionaL


of the

of

airline

projects

are

to this Agreement

be charged to the TerminaL

agrees

such

Notwithstanding

designated

capitaL

being

simiLar

reasons of safety

Grants

the

are

of such

the Terminal BuiLding

not

of future

at the Airport

by the

for which such

construction

from the

in

projects

air carrier

agreement substantially

for

additionaL

capital

another

to those

required

the

proceed to undertake the

from MII

and repair federal mandate

accommodate

the

written

event

the

In

procedures

changes

capitaL projects

additional

proposed

the

of

CIP within

cost

shaU have 30

AirLine

whether any projects

and cost of the project and request

Exempted

Projects

additionaL

costs attributable

with

under the

regarding

project

undertake

for

absence

to

5-

its

present

AirLine

the airline-supported

in

Thereafter
to

to disapprove

opportunity

the calcuLatiOn

in

project

CIP

similar

of those

basis

year

CIP

writing as

shaU

City

information

proposed

of

of the

MU Disapproval

of

airlines

reduce the scope

the

for

in

The

CIP are disapproved

Consequences

elect to either

and respond

projects

proposed

waiver

Majority-in-Interest

Year year

FiscaL

under Section

Meeting required

Year as needed

Fiscal

the capitaL projects

for

the immediately ensuing

review

each

and providing supporting

period

and need

AnnuaL Budget

At the

any time during

5-year

cost scheduLe

for

to

days

at

ensuing

Process

Mil

or otherwise

all

in

carrying out the

5-

the terms and conditions

as the same

may be amended

of airport revenues

42
DAL

Use and Lease

Agreement-Southwest

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PFCs
to the

FAA

capitaL

projects

for

and expenditure

Assurances

approvaL
City

to

agrees

charge

Consistent
various

to compLy with

of PFC Revenues

by the

with

PFC5
aLL

in

the

good business practices


carrying

out

the

5-Year

agrees to appLy

City

CIP

terms and conditions pLaced

on

and additionaL
the coLLection

FAA

43
DAL

Use and

Lease

Agreement-Southwest

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OPERATION AND MAINTENANCE

Article

8.01

Section

existing

Leased Premises

existing

Leased Premises

the

City has

and that

faults

character

concerning

be

derived

or with

the

and

City

LFMP

of

for

to occupy
AirLine

use

or

begins

and Section

8.04

such

instaLLed

its

reasonabLe

Use

systems

areas at

through

reasonabLe

temperature

eLectricaL

Lighting

reLamping

Common

areas at

through

reasonabLe
eLectricaL

lighting

Exclusive

and

its

any
or

of

as

the income

to

Agreement

or

In

systems

temperature

beLow

Use

in

and

In

and summarized

electrical

Common

shatt

City

relamping and

Post

Exhibit

air

City shall

conditioning

building

heating
services

power

at

area lighting

furnish

cleaning

electrical

building

the areas

for interior

power

building

in

and

areas so equipped for such

and

for interior

air

the

to keep

area

services

Use

Space

window and

the year and

janitoriat

as

by Section 8.03

to keep

City

building

shaLl

furnish

cleaning

systems in those areas so equipped for such


throughout

AirLine

furnish

heating
services

Use Space

the year and

janitorial

ceases

Exhibit

Space

window and

those

and

under

as

Use Space

Exclusive

be governed

shaLl

cleaning

building

Preferential

throughout

Space

instalted

Post-LFMP

same

as AirLine

of City

Pre

Space

of City

year and

the

time

such

responsibilities

Space

Use

remain the

shaLL
untiL

so equipped for such

areas

inside and outside

structural maintenance
conditioning

Use

Use

are described

In

those

instaLLed

Exhibit

Buildings

Common

Pre-LFMP ExcLusive

the

maintenance

inside and outside

its

this

all

kind

of any

premises

under

Use Space

attached

The

Use Space

maintenance

conditioning

in

in

Common

the

window

throughout

Preferential
structural

warranties

past present or future

aLLowed

uses

Obligations

Space

outside

temperature

for

and as shown on the attached

of City

obligations

ExcLusive

or written

that

with

disclaims

specificalLy

or

inspect

hereof

condition

present

and

agreements

responsibiLities

Maintenance

structuraL maintenance

its

acceptance

ObLigations

Post-LFMP

of this Agreement

Maintenance

through

areas

as shown on

Space and

8.03 Post-LFMP

Section

hereby make

not

and use the Terminal

to occupy

PreferentiaL Use

in

its

to

particuLar purpose

Pre-LFMP Space

such

Is and

an opportunity

nature quaLity or condition of the

maintenance

Terminal Lease

Is

Where

covenants

Use Space and Pre-LFMP

Preferential

Existing

LFMP

to the

suitability

Airline

and agrees by

express or impLied oral

8.02 Pre-LFMP Maintenance

Section

As

and does

promises

respect

or fitness

merchantability

the

made

not

or has had

has inspected

it

further acknowLedges

are conveyed

whether

whatsoever

to

and

guarantees

representations

As Is

Premises Conveyed

and agrees that

acknowLedges

Airline

the

Leased

Existing

eLectrical

building

heating
services

power

and

air

to keep the

for interior

area

services

44
DAL

Use and

Lease

Agreement-Southwest

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Use

Preferential
for the

maintenance
and

painting

Aircraft

Preferential
of

striping

Use

aircraft

all

Positions

Parking

Aircraft

parking

Parking

on

structural

Apron Area lighting

Positions

based

position

furnish

shall

City

aircraft

parking

plans

and

provided

by

AirLine

Common
and

repair the areas


in

the

for

to keep

the

will

repair the

their exclusive

for

hereafter

and the

Airline

maintain

equipped and furnished


directional

in said

signs

the

indicating

signs

Airport
those

will

City

on

areas

temperature

in

the

adequate

and cleaning

services

repaired
cost
for

which

within

damage

thirty

its

it

is

to others

facilitiec

now

of the

systems

public
by

same and

using
of

way

exampLe

or installed

provided

TerminaL

will

to

to

service

keep

water

neat

in

air

areas

in

the

clean

sanitary

good

supplied

by City

on

the
to

conditioning

reasonable

at

public areas

the

in

and

facilities

parking

City

of limitation

way

public areas and public use

to keep the

thereto

and

the

in

and maintain

operate

provided

heat

adequate

provide

by

herein

BuiLding

but not by

BuiLding of public facilities

or

use by

agreed under the

has

otherwise

as

common

constructed

Airline

that

Except

for the public vehicular

Lighting

from the

days

which

it

is

with the

Airline

due

Airline

hereunder

and continuing

30

to Correct

City Failure

responsible

from any payments

agents

or facilities
those

illumination and drinking

notice

to or repair of the

the maintenance
City

and

utiLity

for such

as necessary

Defects

of written

proceeding

thereof

efforts

and areas adjacent

Structural
after receipt

commence

and

and

Leased

such

restrooms

of

and operable

sightly

times

alL

other item for

Terminal

year

BuiLding

days

the

the

including

equipped

janitorial

at

areas therein

herein

condition

the Terminal Building and for

with

and

be provided

and operable

improvements

additions

aforesaid

as

to accommodate

Terminal

condition

all

others

structure

reasonable

throughout

the

use

standards

public areas in and around the TerminaL Building adequately

Airport

the Terminal Building

with

public areas

use

its

necessary
to

applicable

all

otherwise

sightly

those

for

Building except

or maintain

Location

the

sanitary

any improvements

or jointly

roof exterior

City will keep the

repair

to use

City agrees

are authorized

with

good

in

and the public

airlines

things reasonably

who

may

as

Except

neat clean

use and

excepting

to operate

the

in

Terminal

preferential

either individually

provisions hereof
will

and keep

public

all

Airport in accordance

the

by City at or in connection

provided

airlines

all

or

and to do

Airport by those

Areas of Terminal Buildings

areas of the

public

use of the

prudent airport operator

of the

and keep

maintain

operate

common

FAA

maintain

operate

use

and operate

of the

Public
City

City

reasonably

and proper

maintain

City shall

and regulations

rules

by

provided

City shall

for the

Airport free from obstructions

convenient

safe

same

Airort Facilities

with the practices of

accordance

best efforts

Use

facilities

shall

City

fails

be entitled
this

if

to

the

Agreement

perform under

this

of

such

period

defect

correction

of thirty

30

structural defect
or

item or

fails

cannot reasonabLy

or
to

be

do so and to deduct the reasonable

Leased Premises caused by Citys

required to

City within

existence

to correct

correction

under

If

of the

Airline

failure

Agreement

shall

not

be responsible

to properly perform
or for

any

of

damage caused by

or employees

Temporary

Interruption

of Services

45
DAL

Use

arid

Lease

AgreemertSouthwest

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078

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any repairs
Terminal

of

supply

disruption

City

the

be construed
in

interruption

abatement
damages

failure

to be

any

of the

rentals

payable

provision of the

rental credit for the

to utilize

efforts

Airline

could

8.04 Post-LFMP

Section

Maintenance

obligations

the

in

and redecorating
shall

Airline

maintain

any

utilize

of

Obligations

to the

as

extent

and

manner

diminution

or

Airline

for

of City

its

by

that

provided
for more

Airline

Airline

use

City

will

described

delay

if

than

five

to consider

agree

shalt

possible

seMces

the

be or

shall

misconduct

or

continues

City

any

any claim

these services

then

services

for

for

grounds

operation

reasonable

its

notify Airline
Section

in this

if

of the

all

of Airline

below and summarized

are described

Airline

shall

provide

provided

maintenance

Use Space

Exclusive

when

such

Premises

herein no failure delay or

grounds

services

described

of impeded

of Airline

Use Space

services

janitorial

and systems

better

be

negligence

withhold

to operate

ability

period

Use Space not otherwise

the Exclusive
all

above

Maintenance

Exclusive

furnish

the

way

material

in

Leased

minimize

above

as provided

shall

to the

of the

any

than

Citys services in the most economical

that

City perceives

Agreement

in

not unreasonably

row and impact Airlines

in

to the

to

make
in

event of any

the

In

temporarily

order to

in

or elsewhere

Premises

Airline

constitute

or

due

unless

or interruption in the

shall

Other

in

services

hereunder

City

reasonable

with

or interruption

described

employees or agents

days

Leased

to

Airline

necessary

of services

supply

coordinate

Airline

of

above

or otherwise

consequential

reasonably

the

in

to

best efforts to restore services

its

delay

an eviction
the

of

notice

prior

Airlines business

of

disruption

No
shall

use

the

for

systems

possible and shall

promptly as reasonably
possible

alt

shall

with

right

or improvements

changes

including

of services

the

above services when

of the

any

alterations

Building

have

shall

City

the

discontinue

by City

all

shall

Exclusive

Use Space

in

of AirLine-installed

tines

clean

in

the

sanitary

Exhibit

Airline shall

improvements

relamping

electrical

provide

neat

in

under Section 8.03 hereof

required and maintenance for plumbing


the

as shown

maintenance

and operation

Airline

Exhibit

in

decorating

all

ExcLusive

Use

Space

and operable

sightly

condition

Preferential
in

the

Preferential

Common
other
in

Signatory

the

Airlines

Common

in

shall

neat

Preferential

foreign

Parking

objects

furnish

clean

shall

provide

provided

shall

all

all

baggage

claim conveyors

and

sanitary

to Airline

periodically on

sightly

clean

in

8.03

hereof

with the

Airline in conjunction
of

improvements

Airline

will

conduct

and systems
its

baggage

way

Positions

an as-needed

as shown in Exhibit

maintenance

by City under Section

maintenance and operation

Use Aircraft Parking

Positions leased

and

Airline

Use Space and Baggage Claim Devices

Use Space including

claim operations

Aircraft

Use Space

Use Space not otherwise

Airline

shall

keep the Preferential

neat

and orderly

basis

remove

condition

grease

oil

Use

and free of

and

fuel

spills

46
DAL

Use and Lease Agreement-Southwest

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SWA_00085

079

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with

and repair any

equipment

ramp scrubbing

Passenger Loading Bridges


maintenance
conditioned

of

aLl

etc

air

the

loading

the

other

Loading

passenger
shall

in

bridges
Signatory

provide

sortation

systems

facilities

and additions thereto

in

other

Space and Preferential


Airport

maintenance
to

appLicable

and neat

condition

and

Laws

structural

and

during

to the

alterations

to

maintain

shall

with

conjunction

and baggage

conveyors

cause

shall

AirLine

and

Airlines

operated

accordance

in
to

with

time by the

unLess

provided
be obligated

not

necessitated

as

uniform

in

shall

sanitary

heaLth safety and

that

notwithstanding

any

capital

of AirLines

resuLt

the
and

standards

AirLine

thereon
aLl

however
to make

Use

on

those repairs

Director

with

compLiance

ExcLusive

by AirLine

good repair except

in

cause

thereto
shaLL

and

improvements

alL

in

by City

and equipment

from time

shaLl

applicabLe

compLy

so

in

AirLine

provide

power pre

by Airline either alone or in conj unction

hereof

8.01

as estabLished

contrary

shaLl

and

bridges

baggage

or instalLed

vehicLes

aLl

Section

in

Airline

or instaLled

construction

requirements

herein

condition

AirLine

hz ground

Use Space and PreferentiaL Use Space and improvements

Exclusive

anything

400

loading

outbound

safe condition

in

by City

Airport tenants

aLl

keep the

other

Use Space and

undertaken

the

in

sightLy
aLl

Improvenients
constructed

be kept and maintained

to

and

tenants and those constructed

airline

Systems

systems

order

Airline-Constructed

with

services

maintain

aLso

working

proper

and support

sanitary

shalL

damage

object

and BaggagHandling

bridges

janitorial

clean

neat

AirLines

foreign

repairs

or

construction

activities

Performance
within

such

10

ten

Section

of said

and

obLigation

amounts
such

Airline

the

hereunder

endangers the safety of the

of

Airline

at

any

cost and expense

reasonabLe

time during

performance
the

Premises

normaL business

obLigations

Leased

hours

hereunder

by Airline

from

of such

by City

Inspection

Airlines

timeafter

City

Premises

at

any

may

under

its

and

shaLl

with

pay

addition

provided

be determined

may

any

or other
such

perform

to

the

AirLine

aforesaid

at any

reasonable

performance of Citys

functions

governmentaL

such

to any other

of City

charge

Premises
the

to perform

to perform

faiture

as

with the

of performing

to Airline City

time to determine

shalL

Airlines

notice

Airline

Agreement

this

reasonable

of safety which

notice

connected
of

in

charge
if

upon the Leased

enter

exercise

that

such

which

any purpose

the

of obligations

standpoint

giving

of

such

this

without

interference
necessary

fails

under

involved

employees or property

written

its

performance

for

in

however
the

or an

AirLine

required

Premises

cost and expense

demand

public

the

Leased

things reasonabty

aLL

reasonabLe

provided

of the Airport and Director so states in

obLigation

upon

by Airline and do
AirLine

the

of this Agreement

to pay to City upon

agrees

enter

may

City

termination

may charge

by Airline

payabLe

obLigation

tenants

Leased Premises

Director

obLigation

the event

In

from City to perform any obligation

notice

by AirLine

or constituting

entering causing

Failure of Airline to Maintain

City Upon

after written

to be performed

8.02

possession
such

days

bv

in

however

the
soLeLy

City

condition
at the

observing

may

of the

discretion

or
the

enter

Leased
of the

Director

Other

In

its

use

of the

Leased

Premises

and operations

at

the

Airport

AirLine

47
DAL

Use and

Lease

Agreement-southwest

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shall

also

conduct and demeanor

Control the

empLoyees
uniforms

the

in

Air

Control

defined

in

unauthorized

the

vehicular

aLl

person

passengers customers

as

may be

garbage

of the

disposed

trained

aircraft

operations

of

the

requires
operations

foregoing

work
is

to

the

by

in

area

as

defined

in

Airline

approved

by the

it

the

will at

Director

traffic

its

at such

as

such

defined

the

in

located

Garbage

and

areas

by the

approved

adequateLy

for

of any

proper

at

debris

Director

appropriate

and waster

train

or cause

and
to be

and

trash containers

in

of duties in the

execution

Airport Security Plan

of Air Operations

taxiway

and prohibit any

L07

in

containers

use

repLacement

an active

agrees that

in

shalL

the

roadways

compactors or other containers

waste or debris

Activities in Proximity

near

in

Ramp

Parking

necessary to promote the safety of

Director

AirLine

engaged

repair

to wear

PLan

of public

Airport

contractor

appropriate

Director

its

require

persons and employing such means

of vehicuLar

the

Aircraft

FAR Part

of the

reasonably

by

the

exclusive

with

areas

independent

pLaced

maintenance

be performed

involved

or other safeguards

work

be

shaLL

and terminal

Maintenance
any

an

employees or contractors

air

accordance

secured

movement

used to dispose of garbage

systems

of

or by

shaLL

Airport Security

among

debris and other waste materials

of as approved
its

in

and

empLoyees

Service Station Areas

Terminal BuiLding approved

from

materiaLs

and

in

precautions

to direct the

necessary

the

business visitors and other

Either itself
deposit

all

its

in

identification

traffic

from entering the

its

areas

of

Airport Security Plan

Airport Security Plan taking

its

means

and Ramp Vehicle

Aircraft Circulating
as

Area

Operations

other visibLe

or provide

of

defined

as

or

or

where

own expense
Locations

Areas

painting

If

the performance

obligations

safety

of

of AirLine

terminaL

or

air

post guards or erect barriers

so as to provide

for

the safety

of

performed

48
DAL

Use and Lease

Agreement-Southwest

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INDEMNIFICATION

Article

9.01

Section

Indemnification

of City

AIRLINE SHALL INDEMNIFY

AND EMPLOYEES

OFFICERS AGENTS
CLAIMS
OF ANY CHARACTER
AIRLINES

FAILURE

TO COMPLY

WITH

BY ANY

ALL OF

ITS

OR

SUITS ACTIONS
FOR OR ON ACCOUNT
OR ON ACCOUNT

REGULATIONS

APPLICABLE

AND

CITY

FROM ALL

BROUGHT

DESCRIPTION

OR SUSTAINED

CONDUCT OF ANY

HARMLESS

THE INDEMNITEES

NAME OR

OR DAMAGE RECEIVED

INJURY

AND HOLD

DEFEND

PERSON OR PROPERTY

OF

OF ANY

RESULT

AS

OF

OR OPERATION ON OR IN CONNECTION WITH THE


PAY ANY JLIDGMENT TOGETHER
WITH
MAY BE OBTAINED AGAINST CITY OR ANY OF ITS OFFICERS AGENTS OR
THE RESULT OF SUCH INJURY OR DAMAGE OR FAILURE TO COMPLY WITH

THE AIRLINES

ACTIVITY

AIRPORT OR THE LEASED PREMISES

COSTS WHICH
EMPLOYEES

AS

APPLICABLE

REGULATIONS

AIRLINE SHALL

NOTWITHSTANDING

THE PROVISIONS

OF THIS INDEMNITY

CLAUSE

NOT BE RESPONSIBLE FOR DEFENDING AND HOLDING HARMLESS CITY OR PAYING


ANY JUDGMENT OR COSTS IN CONNECTION WITH ANY INVERSE CONDEMNATION NUISANCE OR
ANY OTHER SUCH SUIT DIRECTED AT CITY AS PROPRIETOR SOLELY BECAUSE OF THE
AIRLINE SHALL

OR OPERATION OF THE AIRPORT EXCEPT THAT AND NOTWITHSTANDING


ANYTHING
PROVISION
HEREIN
TO
THE
IT
IS
SHALL
CONTAINED
CONTRARY
AGREED THAT THIS INDEMNITY
NOT APPLY TO AND AIRLINE SHALL NOT BE REQUIRED TO RELEASE INDEMNIFY HOLD
EXISTENCE

HARMLESS

OR DEFEND

ANY INDEMNITEE

OF ANY CHARACTER

DAMAGES

WITH

RESPECT

FROM THE

ARISING

TO ANY

ACTIONS CLAIMS OR
NEGLIGENCE FAULT OR WILLFUL
EVENT
OF JOINT AND CONCURRING
SUITS

SOLE

MISCONDUCT

OF ANY
AND IN THE
INDEMNITEE
NEGLIGENCE OF AIRLINE AND ANY INDEMNITEE RESPONSIBILITY
AND LIABILITY IF ANY SHALL
BE APPORTIONED COMPARATIVELY IN ACCORDANCE
WITH THE LAWS OF THE STATE OF TEXAS
WAIVING ANY DEFENSES

WITHOUT

in

Nothing

and other fees

rental rates

and applicabLe
limit

this
in

OF THE

Section

accordance

laws and regulations


to adjust

Citys ability

9.01

PARTIES

UNDER

TEXAS

be interpreted

shaLt

with the

to

LAW
limit

Citys

other terms and conditions of this

Furthermore

no provision

in this

Agreement

fees or impose other fees in accordance

landing

to adjust

ability

with

is

Agreement
intended

to

laws

applicable

and regulations

City shall

and

forward

shalt

or legal

give the

to the Airline

covered by

proceeding

officers
ability
this

defend

damage

injury or

agents

to adjust

Agreement

or hold

to

is

accordance

with

City

or property
Nothing

rental rates and other

and

applicable
to

applicabLe

of any

matter covered

notice summons

limit

by this Section

or process received

in

9.01

any claim

Section

harmless

person

or employees

intended

Agreement

demand

every
this

prompt notice

the provisions of this Section 9.01

Notwithstanding

indemnify

Airline

its

officers

caused by the

in this

Section

fees in accordance

laws
Citys

laws and

or any of
is

and
ability

regulations
to

adjust

Airline

9.01

shall

with

not be obLigated

or employees

agents

negligence

shall

or misconduct

be interpreted

when

the

of City

to limit

landing

fees

or

no

provision

impose other

in

its

Cftys

the other terms and conditions

Furthermore

to

of

this

fees

in

regulations

49
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Those provisions of
party

by

hoLding

without
cause

without

for

LiabiLity

City

or any
for

part thereof

any Loss

occupancy
or

wiLLfuL

damage

and

City

is

damage

its

AirLine

in

law

under Texas

Parties

City

shalL

aLso

for

soLeLy

appLy

under
agents

this

property

nor shaLL

Agreement

it

to provide

to

any

concurring

Law of the State

the

under Texas

enLarge
for

Law

and

not create

any

in

anyway

the

indemnification

of

as set forth in this paragraph

in

and discharged
that

and

joint

with

to City

any property pLaced

hereby expressly reLeased


or

the

This provision shaLL

or AirLine

persons or property

to persons

that

accordance

immunity availabLe

responsibiLity

officers

to the

Section

indemnity

party against

to third

Leased Premises

act of City

this

provision being intended

assumes no

injury or

of the

of the

this

appLy

be borne comparativeLy

favor of any third

of City or AirLine

from

City

in

of

that

AirLine

any governmentaL

waiving

any defenses

waiving
of action

LiabiLity

intention

the

of City and AirLine

responsibiLity

of Texas

or under the

through

is

ft

Section

this

may be

unLess

same

or on the Leased
frorri

sustained
is

caused

any and
by

Premises

aLL

LiabiLity

reason

of the

by the negligence

or empLoyees

50
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and

Lease

Agreement-Southwest

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10

Article

General

10.01

Section

the

Lessee
of

insurance

required

of the

copies

evidenced

be

CONTRACT

the effective

based

period

law
for

request

exclusions

and

Airline

shall

where

except

as

sole

equal

Insurance

to or better

judgment
providing

of

of

way

another
Airline

of such

Section

expense
THIS

and noofficer

CITY

and

Airline
policy

of any such

to accomplish

or

upon

binding

provisions
changes

in

changes

reasonable

limitations

or regulation

policy

such

Department

advisors

terms conditions

during

when deemed

make any

to

agrees

limits

Resources

insurance

by law

are established

their

Human

of professional

of particular

of this Section

requirements

of the

factors

efforts

Upon

in policy

request

coverages

sentence used

limits

and

to satisfy

alternative
shall

full

in

equal

such

in

grades

years thereafter
for

clean-up

lower

to City in
three

shall

Airline

its

such

other

satisfy

agrees

that the

to satisfy

alternative

in

the

event

insurance

or

to the

equal

the

in

the

requested
of

loss

requirement

coverage

including

rating

throughout

limits

Insurance
such

debt

alternatives

be maintained

and restoration

above used

may

to City in Citys

sole judgment

enumerated

Impairment/Pollution

through

Airlines

of the specified

requirements

the

than

form acceptable

in

requirement of City

intent to utilize

its

of

Airline

from both Moodys and Standard

rating

three

to the

One

Environmental

provided

is

form acceptable

responsibility

the

City of

notify

three

fund

insurance

to satisfy

for

Airliners

needs

bond

specified

debt

Environmental

the

maintaining

C.5 of Attachment

Section

to City evidence

providing

surety

the

in

which

rating

and

obtaining

maintaining

that

or

to

described

restricted cash

term of the Lease


no

than

Date

to City

requirements

Airline

reasonable

alternative

an

Effective

preceding

relevant

provisions

requirement by

coverage

of the

TO

DELIVERED

all

pay the cost thereof

As

Poors

without

TO PAY OR PERFORM UNDER

coverages

Division

or upon the underwriter

exercise

shall

Impairment/Pollution
such

or other

policy

contract

insurance

Management

or modification

revision

deletion

either party to the


by City

decisions

the

recommendation

conditions

court

the

by

and compliance with

dates

be entitled to receive

to modify insurance

Citys Risk

by

executed

of insurance

certificates

HAS BEEN

as

airlines The

of other major international

HAS NO DLITY

CERTIFICATE

be referred to

also

may

pay

hereto

financial responsibility that are

recognized

shall

City

attached

to waive this requirement

of the contract

and prudent

of

Airline

procure

shall

Attachment

limits expiration

CITY

the right to review

reserves

upon economic

statutory

UNTIL SUCH

have authority

shall

request

endorsements

all

ORAGREEMENT

City

necessary

and

of

to City

delivery

Upon

provisions

policies

employee

by

in

and wherein

by companies

agent stating coverages

by City Airline

described

comparable to insurers

strength

authorized

its

applicable

or

financial

shall

insurer or

as part of this Agreement

polices to be written

such

and

size

of this Agreement

polices and coverages

insurance

herein

and incorporated

commencement

to the

Prior

and maintain

for

INSURANCE

in
If

with

requirement

the identification

alternative

10.02

Insurance

Requirements

for Subcontractors

and Affiliates

51
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Wfthout
each

require

and

subcontractors

its

of

other obligations

any of the

Limiting

AffiLiates

subcontractors or Affiliates own expense


insurance

that

are

insurance

LiabiLity

necessary

shalL

AirLine

and

contract

copies

of these

10.03

Section

Approval
Airline
for

or

its

have the

No Waiver

of

disapprovaL

subcontractors

nor denial

and

monitor

must

shalL

additional

an

the

the

retain

being

The

at

contract

performed

the
of

LeveLs

compLy with

subcontractors

of

certificates

of

aLL

AffiLiates

these insurance

upon

request

from

insurance

of insurance

certificates

be entitled

under the

term of the contract

insured

of enforcing

responsibiLity
City

standards

work
the

shaLl

Airline

for

the

requirements

and without

each

duration

of

among

expense

its

to

certificates

damages and acddents

insoLvency

as

during

for the services

industry

AirLine

Airline

and Affiliates

subcontractors
receive

shalL

the

obtain

shalL

and Affiliate

subcontractor
the

name

with

performing

to maintain

and appropriate

and are consistent

Laws

applicable

or liabilities of AirLine

Respnsibi
or failure

and

AffiLiates

to act
shaLl

as set forth in the

of Liability

or Liability

by City regarding
not relieve

contract

by the insurance

AirLine

documents

any insurance

suppLied

of fuLL responsibility
Neither

company exonerate

shall

Airline

the

from

by

the

or LiabiLity

bankruptcy
liability

52
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Use and

Lease

Agreement-Southwest

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11 DAMAGE OR DESTRUCTION OF

Article

11.01

Section

Premises

the

If

condition

and the City shall


of the

result

or

such

as soon

the

or the

and

balance

11.02

Section

The
policy

80%

the

Insurance

destroyed
shall

Terminal

so notify

and

ninety

Airline

in

the damage

is

Leased

of such

occurrence

to

Building

the

if

rental for the

agents

same

by notice

and

shall

its

90

writing
not the

Premises

shall

to the

date

damage

if

or total

to

rebuilding

the

within

writing to the Airline

above

is

not the

ninety-day
either

may

condition

its

to

prior

terminate

or

the
this

be abated from and

the rent shall

damage

destruction

any and

remove

and

if

to the

Airline

of the negligence

result

the

Airline

of

its

Airline
for

Leased

does

deposit

proceeds

to any sums

owned

the

shall

expenses
pay

such

of

such

excess

the

Premises

promptly so remove

not

the

or retain

same

be applied

shall

Airline

debris from the

property and/or

of which

the

if

of the

all

the

public warehouse

and sate second

proceeds of sale

be compLeted

which event

in

damage

at public auction

to be paid

in

be abated as described

destroyed

property to

storage

insurable

exclusive

of Airlines Leased

coverage

insurance

of such

value

moneys and funds received


by the

property

be included

allocated

Leased

by Airline

to

removal
to the

its

upon

own

to the

with

City

any

and sale

storage

City

in

first

demand

City Property Insurance

be applied

wilt

such

partial

thereof

Terminal Building

the

the

be completed within

shall

City

cannot reasonably

repairs

practicable

of fire and extended

of

the

restore

reasonably

of the

that

extent

and

agents

its

portion

the

sell

remaining

exceed

shall

to

the

its

date

Premises

of the

event of

of removal

expenses

or

as reasonably

may remove

possession

said

to the Leased

occurrence

act of Airline

premises

the City

commence

respect

In

shalt

or

to be evidenced

option

its

after the date of the


or willful

from the

which event the rental

in

with

Agreement

period

an

part then

repairs and rebuilding

act of Airline

willful

repairs and rebuilding

such

City at

occurrence

damage can

the

to such

in substantial

repairs and rebuilding are complete

promptly to

proceed

damaged

is

necessary

with such

proceed promptly

upon which such

period

rebuilding
of

occurrence

negligence

If

and

Building

whole or

in

PREMISES

Premises

on which the damage occurred

be abated pro rata for the

the

Terminal

repairs

to the

prior

from the date

days

the

rendered untenantable

is

of Leased

Destruction

or

any reason

for

If

Damage

LEASED

by

City

to

Premiums
the

the
paid

City as

property

to the
if

such

Premises
extent

percentage

be insured

will

of not

less

of

than

repair
by the
part

to the Terminal Building cost

of

construction

or

City for insurance


Airport operation

replacement
provided

eighty

coverage

on account of the damage to or destruction

in

of

by City

is

property

damaged

compliance

and maintenance

percent

available

of such

such

under

or

herewith

expenses

and

center

53
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and

Lease

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12 TERMINATION

Article

12.01

Section

Before
in

the

event

Termination

end of the Term hereof the

the
any

of the foLlowing

Airline

same

that
given

is

City

by

shaLL

received

Agreement

within

faiLure

such

30

thirty

said

the

said

30

thirty

good faith proceed to cure such

Airline
shalL
for

shaLL

make an assignment

aU or substantiaLly

Agreement

Agreement
more

remedy

which

the Leased
Leased

it

Premises

any cLaim

federal

this

or any

for

if

herein

may

any

or

or

covenant

shalL

such

if

not

with

of this

cure

reasonabLe

such

cannot

failure

have commenced

not

shaLL

thereafter

make

transfer

receiver

or

unLess

the

City

is

the

giving
shaLL

City

in

fraud

or trustee

to cure

and

diLigence

of creditors

or

be appointed

shalL

prevented from terminating

City the

right

have the option

this

to terminate

to pursue

to do so

Airline

this

any one

City
in

may

immediateLy surrender

without prejudice

or

action

the events

is

the

other

to any

rent enter upon and take possession

necessary without

if

agrees

to pay

reason of such

forfeiture

shaLL

and any other person who may be occupying

AirLine

foregoing

AirLine

being

to City on

Liable

demand

for

of

the
or

prosecution

the amount

of

aLl

Loss

termination

remedies

or waiver

shall

not precLude

provided

by

Law

required to enforce

of any of the

pursuit
nor shalL

pursuit of

any of such

remedies

and

any

or of any

of any rent due City hereunder

by reason of the vioLation of any of the terms conditions

attorneys

of

which event

or any other remedies

constitute

LegaL

entitled to reasonable

If

notice

Law

events

by force

suffer by

provided

to City
If

not

or arrearages

or remove

and

in

faiLs

possession

therefor

provided

contained

to AirLine

Airline

or shall

above

Airline

part thereof

City

other remedies herein

damages accruing

of the

Agreement

and expeL

or damages

herein

after written

to City

12.01

Pursuit of any of the

remedy

days

remedies

may have

and damage which

thereof

of creditors

or state

of any

to City and

Premises

on the date

Agreement

this

10

of ten

term condition
made when due and

days

shall

insoLvent

benefit

to Section

following

Premises

and

days

Available

Terminate
Leased

Agreement

faiLure

the

occurrence

pursuant

of the

notice

of the assets of AirLine

all

Remedies

the

Upon

under

City

period

to be

30

thirty

become
for

by any applicable

12.02

Section

this

to terminate

any material

payment

after written

days

within

within

failure

for

to compLy with

fail

one requiring

than

be cured

reasonabLy

due

payment

any

right

occur

by Airline

shaLL

Airline

other

make

should

shaU continue

failure

reserves the

City

circumstances

to

faiL

due and such


is

by City

covenants

City shaLt

aLso

be

fees

enumerated

in this

Section

12.02 or Section 12.01

above

shaLL

54
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Lease

Agreement-Southwest

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occur

to AirLine

taking

enter into possession

of the

at

prior

time thereafter

any

the interest of the


specified

No
part for any

12.03

or in the

event

amount

with

or amounts

such

or times

enter upon the


or

period

upon

termination

in

and

had

shall

City

of

termination

and

or

have

shalt

Leased

such

shalL

relet

In
right

the

against

be

its

is

portion

pursuant
in

the

the

the

Leased Premises

the

event of any
not being

survived

the

originally

of the

to

stated

premises

or portion
in this

as City

this

any

upon

the

have

for

the

extent
re-entry

re-entry

this

the

permittee

of

its

re-entry
to

of
of

and occupancy

period

or

make
of
this

No

hereunder
proceed

shall

any amount

of the

in

Term

market vaLue
actuaLLy

by City

to

the mere

be credited to the account

or other occupier
balance

to

under

Airline

City

this

the character

the Airline

surrender

in

this

regaining

repair or

alter

the

for

under

possible

there shaLL

or from the
such

may

or

and

other space

right

purposes

use

Agreement

the

or

regaining

Premises

from those set forth

upon

obligations

as reasonabLy

during

during

same

term remaining

of the

or

acceptance

however

Agreement

of

Agreement and the

Leased

with

together

as or different

cancelLation

or any actua

under

thereof

may

Such

thereof

sufficient

this

to
any person firm or corporation
retetting
may be of the Leased Premises

Agreement

soon

under

to permit

same

to be an
as

Premises in

Airline

to City to the

payable

or

diminishing the

retetting

obligations

of

Premises including changes which

or

Agreement

this

no termination canceLlation

if

part thereof

or

suitability
altering

as

right

same

this

Leased

or be construed

Leased Premises

of the

part of City

the

regaining or resumption

term of

futL

from the balance

to City from any Airline icensee

accruing

to be

in

pLace

or

termination

affecting

to use and occupy

AirUne

same

and

Premises

reLetting

attempt to

changes

without

Agreement

date

or in

with

obligations

re-entry

the

for

cancellation

and use the

to

the

all

Agreement may occupy

to this

Leased Premises

upon

possession

structural or other
the

cancel

whoLe

on

right

accordance

in

become due and

taken

Agreement and on terms and conditions

resumption

or

and conditions

or resumed possession of the Leased

same manner

time the same as or different

Agreement

may

upon the

payments

covenants

of any

terminated

or cancellation

shalt

the

in

Leased Premises
or of the

is

force and effect

fuU

pursuant

Premises

part thereof
of

waiver

Agreement

this

of possession

of possession

Leased

of

of rent or charges

City

the

to

event

of Airline

re-entered regained

remain

shall

regaining or resumption

retet

entitled

notice

to be effective

or other

of the terms

be deemed

shaLL

provisions

survive

shaU

resumption

be

of any such

hours

by twenty-four
cancellation

fees charges

of any

that the Agreement

has

City

the

same time

at the

default

of the Obligation

the event

that

and

by AirLine

Survival

In

possession

not

shaLL

Agreement

Section

Agreement

of rentaLs

City

after

or periods

or observed
this

accordance

by

acceptance

period

performed
terminate

such

AirLine

upon the occurrence

thereof

Agreement

this

Premises

notice

such

in

under

Leased

and City

Premises
continuance

the

during

AirLine

of the

possession
Leased

use

actuaLLy

connection
of

by or

wfth the use

the Agreement

of the

of the

received

occupancy

as

the

of such

and occupy

55
DAL

Use

and

Lease

Agreement-Southwest

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Case 3:15-cv-02069-K Document 266-2 Filed 02/02/16 Page 61 of 147 PageID 7757

12.04

Section

by Airline

Termination

Termination by Airline Generally

may
is

this

terminate

not in defauLt

advance

Agreement
the

in

notice

and any or aU of

upon

of any amount

payment
or

after the

The

issuance

hereunder

City

by giving

continuance

of competent

jurisdiction

during

the AirLine

any time that

at

the

and

happening

hereunder

obLigations

due

Term hereof

the end of the

Before

its

City

of

AirLine

60

sixty

days

any one of the

events

foUowing

decision
so

as

any manner

in
to

of any court

preventing
affect

substantiaUy

The

of any

issuance

FAA or other competent


other

earthquake
of

period

defauLt

AirLines

60

provided

however

or effect

if

of

in

City

be performed

to

in

Airport

injunction

conduct

its

or the taking

Agency or the occurrence


pubLic

use

of

enemy

the

or

an

of

Air

of any action

in

for

affecting

conduct

its

by

any fLood fire

of

substantiaUy

Airport

in

no notice

that

have

of

an

Air

action

good faith

the

as

defauLt

above

notice

provided

to receipt

prior

of the

faiLure

to remedy

of written

covenant

materiaL

any

and the

hereunder

City

of termination

remedied

of

performance

after receipt from AirLine

days

City shaLL

the
by

and be continuing

to take

of sixty

period

the

order ruLe or reguLation

GovernmentaL

days

sixty

required

or

of an

use of the Airport or any part thereof

Business

The

remedy

of

use

act of God or the

casuaLty

at

Transportation

agreement

AirLines

the

Business

Transportation

the

or restraining

such

defauLt

to remedy

or
to

City

the

for

same

be of any force

shaLL

of AirLines notice

of

termination and

The substantiaL
the United

of

government

powers and

or emergency

Other Limited
the Airports
the

shalL

however
the

enptaned

months

tweLve

Airline

totaL

AirLine

effective

shaLL

date

shalL

shalt

give

the

2.04.B

give City

shalt

give

notice
to

notice

of

is

Airline

provides

on the

totaL

required as described

terminate
its

If

based

this

sixty

days

to 10% or less of

service

12.04.B.1

during

this

than

Less

of the

wartime

its

Airport enpLanements
in

Agreement

intent to terminate

thereof

of not

period

Opportunity to Terminate An

have the

above

determined

for

under

Agreement

beLow

and

Term

the

for

provided

one year

prior

to

earLy termination

of such

right to

City notice

shaLL

date

opportunities

Second

Airline

thereof

of the Airport by action

or agency

department

continuance

passengers

First

above

or any

Termination by Airline

preceding

two

have

of Citys operation

restriction

States

of such

intent

Opportunity

have the

City

terminate

notice

right

this

Agreement

to terminate

to

no

Terminate

to terminate

of such

Airtine

this

meeting

An

than

no

meeting
effective

Later

than

AirLine

2017

October

AirLine

Agreement

intent to terminate

2018

October

effective
tater

the criteria in 12.04B

the

criteria

in

October

2023

October

2022

56
DAL

Use and

Lease

Agreement-Southwest

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12.05

Section

The
Leased Premises

lien

City

hereunder

same
paying
the

shall

provided

thereon

that

AirLine

aLl

unpaid

shaLl

its

own

possession

any appropriate

property

shall

If

Term

remove

its

Airline

rental fees

jet-bridges

all

fails to

take

be deemed to be abandoned

and

payable

from such

resuLting

possession
days

City

the

for

and remove

sell

the

same

tools

however

to any

by AirLine

to City

removaL

termination

after termination

may

trade fixtures

by it subject

amounts

pubhc warehouse

30

thirty

ramps

remove from the

to

Agreement

Loading

on or before
to

property

this

thereon

damages

property

within

of

rentaLs or other

repair

Agreement City may remove such


in

the

aircraft

and supplies placed


for

AirUne

falls to

Property

be entitled during

materials

may have

If

of this

Airline

Remove

or any part thereof

equipment

machinery
vaLid

of Airline to

Right

of or expiration

deposit
such

property

of this
at

or retain

the

after

Agreement

public auction

57
DAL

Use and

Lease

Agreement-southwest

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13

Article

13.01

Section

and Subletting

Assignment

Assignment
without the

written

prior

not be required

an

for

that purchases

aLL

merge

Airline

consent

assignment of

or which

to any

thereof

portion

Airlines assets

of

to the

Successor

party

provided

of the Airline

whoLe

or in

part

consent

shall

any corporation

with which Airline

corporation

and

of AirLine

business

the

right

shall

it

or any

in

that such

however

for

which

may

AirLine

shall

Entity

have

shaLl

Agreement

this

to an Affiliate

Agreement

may succeed

AirLine

time assign

Manager provided

City

this

aLl

notify City in writing in advance

Subletting

not at any

shalt

of the

or substantially

or consolidate

ASSIGNMENT AND SUBLETTING

first

to sublet
obtain

the

the

Leased

written

or

Premises

any

of the

approvaL

City

Manager
No Release from
except

assignment to

release

Airline

from

successor

its

by anyone

manner
apply

but

Agreement
herein

amount

net

covenants imposed upon


the
to

Successor

Entity

No
affiliated

assets

with

which

of

Loss

this

of the

Agreement

therefor provided

complies

shall

hereunder

Agreement

such

It

is

assignment

further

the

in

by

by

Airline

to

transfer

in

the

of

the

writing

or sublease

by
is

hereunder

that

any

corporation

by merger

saLe

of ll or substantiaLly

the same

this

as

or occupant

performance

sale conveyance

under

AirLine

any

shall

covenants contained

claimant

or otherwise to Airline

manner

rental

and

rentaL obligations

shalL

all

or

other

entity

all

have the same

and to the same

of any additional

payment

with the

owed

in

and

Leased Premises

by City of the

further

occupied

is

an interest

assigned

unless expressly agreed

agreed

whether

Premises

Leased Premises

of the

Affiliate

transfers

conveys

sells

the

charges

waiver

assignee

reorganization

Leased

and

fees

rentals

this

if

assume Airlines obligations

Rights

extent

of

its

rights

as Airline

fees or charges

to City

other obligations of Airline

fulfiLLed

Terms and
stipuLations

extent

shalt

to this Section

pursuant

obligations

assigns
or

any portion

by City from the

under

and without

Airline

Airline

be deemed

subsidiary of or successor

portion

hereunder are

occupying

the

shall

Airline

or other amalgamation

to all or any

under

of

except to the

Manager

City

may

to

Airline

Airlines

rent from any person

by City of any such

release

nor

successor

If

collect

or any person

collection

an acceptance

or

assume

interest in this Agreement

coLlected

no such

shaLL

or subletting

hereunder

Responsibility
its

Airline City

Agreement

in this

the

than

other

of

sublets

or

pledges

which

entity

obligations

No Waiver
mortgages

No assignment

Obligations

conditions

representatives

and

successors

Provisions
consideration
subLessees

Binding
in

this

All

of

Agreement

and assigns of the

the

terms

shall

provisions

covenants

extend to and bind the

respective

Legal

Parties hereto

58
DAL

Use

arid

Lease

Areemert-Southwest

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14 MISCELLANEOUS

Article

14.01

Section

and Regulations

Rules

From time to time the Director may adopt and


to the

and use

occupancy

and equipment
practicable

that

ruLes

on

time and

same

obey the

vaLid

rutes

duty authorized

to

make

operation

of aircraft

furnished

at

14.02

by

federat
such

ComDetitive

Access

change

as

result

14.03

Section

same

Airline

of such

the

with

Federal

shaLl

modify

for
atL

any

Al

of

this

Agreement

Such
nor

other Governmentat Agency


of the Airport and the

to the

request

shaLl

Director

manager

be

current

certain

to

competition
federal

the

may be

of this Agreement

portions

FAA or any other

and access

at the

In

Airport

or other

assistance

subject

Governmental
the

to reflect

accordingly

Agency
event

the

result

as

sanctions

to

of

any necessary

Law

shalt

its

not use

emptoyees

purposes

reguLations

with

officers

14.01

Statutes
shall

at

all

ordinances

of any other

Airline

the Airport or any

and shalt

provisions of Section

Compliance
term

with

Airline

applicable

and

person

any

the terms of this Agreement

and to AirLines on-Airport

to modify this Agreement

agree

Government and
the

airline

aLL

and any amendments thereto

limited

to withhoLd

by any of
illegal

not

to

and reguLations

the operation

for

any and

from time to

action

Compliance

to be used

or ticensees

compty

on

threatens

General
the

but

including

City and

that

acknowledge

with

faciLities

rules

of the FAA or any

upon written

herein

or regulations

government

review

AirLine

provided

such

its

resulting

to observe

and suppLiers

the Airport or

and regutations

rutes

Airport

address

possibLe effects

concerning

to

the

using

injury

estabLished

reasonabLy

contractors

to obey and comply with

Airport rules

DOT

the

the

using

City and Airline


review

agrees

may be

access

and procedures

or enforce

notice

copy of any such

Section

orders

of those

and obey

to observe

aircraft

vehicles

and economicalLy

and the public from damage or

AirLine

empLoyees

the right to deny

reguLations

the

agents

by persons

safe efficient

and convenience

safety

place and as

in

facilities

Airport witt not be inconsistent

the

of

the

for

and regulations with respect

ruLes

insure the

facilities

its

that faiLs or refuses

and reguLations

rutes

with

current

officers

its

City reserves

firm or corporation

and provide

enforce

and

services

reasonabLy

and from the Airport

are

as

to require

wilt

the Airport and

into

and reguLations

its

Airport

opinion

thereof

operation

from operations

the

of

in his

and to protect

Airport

PROVISIONS

in

agents

part thereof

subtenants

times during

the

or knowingLy

Term

of this

and Laws of the City the

Governmentat

Agency

or limit AirLines

rights

Nothing

State

in this

Agreement
of Texas

Section

At

connection

and operations

its

or

1403

thereunder

Ordinances and Regulations


with

permit
invitees

contractors

activities

all

times

during
at

the
the

rport

59
DAL

Use and

Lease

Agreement-Southwest

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grant

and conform to

with

Comply

and ordinances

assurances

appLicabLe

aLl

and the

FederaL State and any other Governmental


or

installation

of

conduct

such

property

of

its

music or video

as

and

promuLgated

Agency

operations
broadcast

under

aLL

the

to

either directLy
construction

any

or

and permits

certificates

Licenses

inteLLectua

regarding

Premises and

Leased

of aR

Agreement

this

Licenses

incLuding
in

and

activities

Airline

by

from any Governmental

for the

laws statutes

thereunder

Agency that appLy to or affect

operations

and improvements

facilities

Obtain
necessary

or AirLines

AirLine

indirectLy

and future

present

reguLations

them

keep

to

current

to prior written

Subject
non-structural

improvements

equipment and
such

personaL

the

As respects
alt

instalLations

and

that

property

make

Director

alterations

are required

or reguLations

ordinances

statutes

of the

approval

repairs

to

construction

services

performed

Use

alL

Space

14.01

City be and remain an independent


and

own expense

its

or conform to any of

to compLy with

to Section

subject

at

ExcLusive

its

contractor

on

or

by

with

respect

behaLf

to

Airline

of

hereunder

Section

14.04

Compijance

with

Environmental
Airport and
thereon

referred

the

reguLations

EnvironmentaL
activities

ReguLations

on the

Leased

soLe

its

RCRA

Act

as

by any GovernmentaL
shall

expense

appLicabLe

to Al

rLi

and

Laws

amended

Agency

compty

nes construction

with

As

conducted

the

Limitation
as

amended
Act

Water

as

Chapter 334 and other

Code

aLL

CLean

the

of the

uses

and regulations

CERCIA

Act

Liability

its

activities
rules

without

induding

30 Texas Administrative

amended

thereunder

at

AirLine

maintenance

ReguLations

that

acknowLedges

environmentaL

LocaL

Compensation and

and Recovery

Air Act as

Clean

promuLgated

Agreement

Response

Airline

operations

and

state

EnvironmentaL

as

Conservation

Resource

amended

to

Environmental

Comprehensive

and the

to federaL

Regulations

General

Regulations

Premises

may be subject

coLLectiveIy

the

Leased

the

Environmental

materiaL covenant
such

operations

present

and

maintenance

of this
future
use and

Premises

AIRLINE HEREBY RELEASES DISCHARGES AND HOLDS CITY


AND
AGREES
TO INDEMNIFY
CITY AGAINST CLAIMS
FROM
LIABILITIES
SUITS
DAMAGES EXPENSES AND FINES ARISING OUT OF OR RESULTING FROM ANY RELEASE
WASTES OR
OR POLLUTION BY OR FROM HAZARDOUS
DISCHARGE SPILL CONTAMINATION
IN
WHOLE
SUBSTANCES
OR
IN
BY
ITS
CAUSED
PART
AIRLINE
AFFILIATES
CONTRACTORS
Indemnification

HARMLESS

SUBCONTRACTORS
AND

OBLIGATIONS

LONG AS AIRLINE
OR

IS

CONTAMINATION

IMMEDIATELY
provision

of

INVITEES AND
REPRESENTATIVES
OFFICERS
UNDER THIS PARAGRAPH
SHALL CONTiNUE ONLY

AGENTS
LIABILITIES

AND

REMAINS

OF

HAZARDOUS

Agreement

AND

SO

FOR ANY SUCH RELEASE SPILL DISCHARGE


SUBSTANCES
OR WASTES
AS
DESCRIBED
IN
THE

RESPONSIBLE

PRECEDING SENTENCE
this

AIRLINES
IF

Airline

Notwithstanding
shall

not

be

any provision
Uable

for and

in this
City

Section or any other

shalL

have

the

soLe

60
DAL

Use and Lease

Agreement-Southwest

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093

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and bear

responsibility

costs and liabilities for any

alt

pollution by or from hazardous

Date

agents officers

subcontractors
earLier

termination

by

or existing

caused

Airline

or

by

City

or

to the Effective

prior

its

contractors
or

after expiration

occurring

Agreement and not caused

this

contamination

discharge

spill

occurring

or representatives

invitees

term of

of the

release

or substances

caused

unless

Agreement

this

of

wastes

by AirLine

Affiliate

or an

or

customer of either

Cooperation

Airline

information

federal

shall

or other

to

the

reportable

such

all

at

shaLl

City

information

discharge

of

its

make

sole expense

Governmental

release

of hazardous

to the

Agency

wastes

which

Director

for

or his

and provide
any

regarding

or substances

spill

Airline

Agreement

this

submissions

such

aLL

for

state or

any

regarding

term of

the

during

and information

submissions

appropriate

and any other local

or substances

wastes

all

without

or any other successor

of information

Premises

provide

state including

TCEQ

USEPA

Agency

Leased

of the

Quality

and

submissions

all

Agency

of hazardous

on the

copies

agent

such

Protection

reLease

reportable

responsible

is

provide

designated
all

make

Governmental

which requires submission

or agency

or other

orits Affiliate
Airline

Requirements

sole expense

its

appropriate

Environmental

authority

discharge

Agency

Texas Commission on Environmental

U.S

the

agency

at

shall

to the

limitation the

Governmental

with

spill

which City

is

respons ble

Governmental Agency having

Should
including

due

to

any
for

which

Lease

whether

applicable

completion
due

its

any

or wastes

with

aircraft

fueling

required

at

financial

the

of financial

designated

agent

of Airline

responsibility

Such

any

such

is

action

release

accordance

in

or successor
request

by

under applicable

change

information

diligently

with

the

Director

or

to

plan

of any Governmental
of hazardous

pollution

lapse

Airline

shall

City

with

Airline

responsibility

Environmental

at any
shall

and maintain

time

regarding

shall

annually

concerning
Regulations

during

immediately

be forwarded

any required
Environmental

applicable

regulations

agency

financial

should

sole

responsible

responsibility

Upon

or

its

this

plans and undertake


response

and direction

contamination

and

of the

satisfaction

required

required
ruLes

appLicabLe

at

accordance

in

or

term of

shall

implement

completion

own expense demonstrate

demonstrating

Airlines financial responsibility

mode

its

TCEQ

facilities

documentation

obligations

which City

for

including

the

discharge

shall

records reports and


Regulations

with

spill

Airline

new

perform

diLigently

to

plan

and submit any such

prepare

Airline

plans and undertake

or

substances

the

during

or intentional

and to the reasonable

Regulations

accordance

to

required

response

sole expense

and
in

the

of hazardous

Premises

matters

be undertaken

or plan of action

or pollution

Leased

accidental

gradual

action

Environmental

implement

substances

or

over environmental

jurisdiction

response

on the

responsible

and submit

required

shall at

Agency

is

sudden

prepare

perform the

City

Airline

that

contamination release

discharge

spill

wastes

expense

determine

TCEQor USEPA

the

the

USTs at any
provide

In

leasehoLd

notify

City

environmental
the

event

estate

or

the Director or his

to

61
DAL

Use and

Lease

Agreement-Southwest

16-10051.7284
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Case: 16-10051
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Case 3:15-cv-02069-K Document 266-2 Filed 02/02/16 Page 67 of 147 PageID 7763

City of Dallas
of Aviation

Department
Love

Terminal

Field

Texas

Dallas

Attn

Stormwater

for

acknowledges

that

that occur

TPDES

stormwater

with

City

and

applicable

safety and to minimize costs


to

minimize the

otherwise

used

implementing

Airline

regulations

that

and

that

TPDES

applicable

it is

at the

conduct operations

will

as

permit

that

in

to

materials

the federal

may be

it

as well as to ensure

generated

Practices

to undertake

necessary

handled

stored

state stormwater

and

Management

necessary to ensure

is

permit

discharge

any appLicable TPDES

in

it

that close cooperation

stormwater

Best

maintaining

stormwater

to

relating

Pollutant

further acknowledges

and any

regulations

acknowledges

as defined

and as implemented

Part 122.2

Airline

exposure of stormwater

by Airline

and ts regulations

Texas

the

to time

TPDES

applicable

to

subject

is

the Airport

both acknowledge

Airline

compliance with any

Airport

TPDES

at

amended from time

be

may

the

System program

operations

Airport in compliance
either

16

Manager

Regulations

these

familiar with

Box

Discharge

Elimination

Discharge
discharges

Lock

75235

Facilities

Airline

Bldg

defined

as

or

regulations
40

in

by

CFR

permit as either may be amended

from time to time

amendments

subsequent

Airlines operations
Airline

notify Airline
Airlines

at the

shall

Airline

be obligated

shall

to

limited

Management
incLude

written

portions of said
permit

permit

such

into

to

any
to

applicable

this

City

applicable

and

permit

extent

permit

written

notice

Agreement

shall

promptly

or that

affect

of

Practices

shall

non-stormwater

discharges

deadlines
in

notify City
it

City with

it

is

written

permit

Airline
writing

is

being

deemed

if

within
it

disputes

to assent

to

Airport

applicable

TPDES

notice as required

of

that

but

not

stormwater

Such written

records

30

any of the
undertake

above
Airline

that
agree

TPDES
If

such
it

or

notice

of receipt

days

to undertake

requirements City and

thereto

including

preparation

thirty

directed

those

good housekeeping measures

and maintenance of necessary

requirements

discharge

of

any modifications

including

to perform from time to time at the

timely notice

provides

stormwater

with

requirements

or similar plans implementation of

applicabte

notice

discharge

Airline

permit

certification

pollution prevention

Airline

incorporated

applicable

to the

by reference

to any portions of said

provide

discharge

provide

is

thereto

discharge

operations

City

shaLt

all

stormwater

or renewals

Airport
by

of any changes

stormwater

Best

extensions

to be bound

agrees

Citys TPDES

that

acknowledges

Airline

of

such

stormwater

Airline

does

requirements

disputes

to negotiate

such

not
If

TPDES
prompt

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resoLution
required

of their

differences

to this paragraph

pursuant

and

City

information

priviLeged
appLicabLe

to

agree

AirLine

agrees to participate
task

from

AirUnes

its

of

Agreement

the

under

Section

6901

work

faith

basis

GovernmentaL

to any

to City
to do

with

request

upon

manner

group estabLished

et

Premises

The

The

seq

under

notices

so
non

any

to

Agency pursuant

by the City in

requested

stormwater

to coordinate

shaLl

which occurred

term hazardous

term hazardous

wastes

is

specificaLly

Furthermore

termination

herein

used

any

reLease

of this

term of the Agreement

the

during

not

or earLier

expiration

survive

Section shaLL

or subLease

to assignment

the

survive

this

City does

provided

Citys consent

through

or omissions

Defined Terms
U.S.C

other

AirLines obLigations

Leased

Section

this

to any activity

as

good

any reasonable

in

force or other

herein

obLigations

obligations

each

provide

object

reguLations

No Release of Obligations

AirLine

has

not

wilt

it

Airport

or subLetting

assignment

that

AirLine

and submitted

coLLected

stormwater

at the

activities

unLess

TPDES

City organized

any

AirLine

warrants

AirLine

used

as

substances

is

herein

in

and

assigns

covenant

running

it

defined

is

as

is

it

42

in

in

defined

CERCLA

14.05

Section

Nondiscrimination

for

AirLine

the

event

faciLities

described

in this

are

constructed

purpose invoMng

operate

such

49 CFR

faciLities

Part

for

Agreement

another

to

successors

21

interest

and agree

as

or otherwise

maintained

the provisions of simiLar services

and services

in

Nondiscrimination

compLiance
in
wiLL

City

with

FederaLLy

aLL

Assisted

comply with

of

aLL

or activity

or benefits
other

as

AirLine

the

is

said

property

extended or for

shalt

maintain

and

imposed pursuant

requirements

Programs of the
its

of

part

with the land that in

on the

operated

DOT program

for which

purpose

may be amended and

reguLations

its

itseLf

hereof does hereby covenant

consideration

DOT

and

as

said

with the federaL

grant assurances

government

AirLine for itseLf

hereof does hereby covenant


on

the

grounds

of race

its

and agree

the

benefits of or be otherwise

that

the

construction

services

excLuded

thereon
from

no person on the

DOT

and as

in

participation

imposed by or pursuant
said

running

on

to 49 CFR

reguLations

over

grounds

of race

denied

the

shalt

use

Part

21

the

shaLL

with

in

or under such

part of the consideration

the

Land

the

in

of

or

compLiance

use of said

Nondiscrimination

in

no person

faciLities

in
ii

and the furnishing of

Land

otherwise
with

that

from participation

coLor national origin

benefits

premises

as

be excLuded

to discrimination

subjected

of any improvements

iii that AirLine

discrimination

covenant

as

coLor nationaL origin or handicap

denied
in

and assigns

successors in interest

or handicap
be

shaLL

be

subjected

to

aU other requirements

FederaRy Assisted Programs

of the

may be amended

63
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assures that

Airline

such

as are promulgated

rules

national
with

sex age

origin

the period
Federal

which

during

assistance

therein

or structures

any transferee

used by the sponsor


for another

FederaL

financed

shall

ensure

that

take

or sex in the

condition

to insure that

and subcontractors
groups

unreLated

to

under

this

that

or

applicable

amended

with

completion

as

if

this

regard

full

Airline

the

provisions under

shall

pay

on

municipal

cQrporations

However

Airline

such

License
in

associates

age

or

or

contractual

other

of the Americans with


Airline

keep retain
minimum

shalt

for

to

compliance with

authorized

this

and other

this

Agreement

shall

nondiscrimination

have the

shall

the

of

all

progress

taxes

shall

have the

or permit

right

thereon

facilities

this

and hotd

Taxes

Airport

and

covenants

to terminate

had never been made or issued

Agreement

Payment

located

necessary

its

sex or handicap

aUowed

access

of evaLuating

aLl

of any individual

performed hereunder

event of Airlines breach of any of the above

to the

14.06

to
for

national origin

Airline

through

requirements

In

or work

for purposes

regard

to compete

take

will

it

national ongin

indirectly

to this Agreement

this

Parts 23/26

color

Agreement

and to re-enter and repossess the Leased Premises and the

Agreement

is

all

as

covenants

religion

directLy
with

lease

final

color

49

Agreement
the

In

according

contest

atso cornpty

race

treatment or empLoyment

the

in

of race

of

basis

in

contracts

of

contracts

AirLine

any work

with

of City upon request

provisions of this

tax

Agreement

either

relating

from

years

representatives

property

shaU

records

alL

of

Section

on the grounds

Airline

and safeguard

the same

this

on the

property

In

49 CFR

with

is

or

extended

as defined

agreement

this

or

Airline

ii the period during

enterprises

accordance

in

of DOT-assisted

Act 42 U.S.C.A S12101-12213

Disabilities

City

of

connection

or

is

have the maximum opportunity

not discriminate

shall

performance

job

arrangements

period

in

steps

or interest

property

the performance

in

under

funds provided

wil not discriminate

individuals

of

Airline

except where

assistance

benefits

business

to participate

enterprises

and performance

As
actions

business

disadvantaged

or

for

which the property

dunng

which Federal

disadvantaged

and reasonabLe

necessary

and perform contracts

Federal

real

ownership or possession of the

retains

opportunity

transferee

its

program

or

conducted

activity

or

and

creed color

cases the provision obligates


the period

for

purpose

that

ensure

part with

in

all

award

to

maximum

have the

these

periods

or any transferee

agrees

whole or

in

AirLine

for

In

any

airport

property

the provision of similar services

purpose involving

Parts 23/26

thereon

or any transferee

Airline

extended to the

is

form of personal

the

the folLowing

of

Longer

which the airport sponsor

CFR

in

is

in

of race

Airline

provision obligates

Orders

Executive

statutes

from participating

This

assistance

or improvements

for the

excluded

assistance

to provide or

is

be

or handicap

pertinent

no person shall on the grounds

to assure that

from Federal

or benefiting

comply with

will

it

and

Further

that
by

may be

the

obtain

right

and pay

to contest

shall
Airline

not

assessed

levied
of Texas

State

for

in

all

or charged
of

Licenses

good faith the

be considered

agrees

or any

to diligently

in

its

upon

political

and permits
validity

default

prosecute

such

required

or application

hereunder

or

Airline

subdivisions

as

long

by

its

or

law

of any
as such

contest

64
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14.07

Section

area

and

if

such

or

with

Section

the

of

rentaL

provisions of the

the

consent

withheLd

by City

14.09

or

contained

and Laws

the

provisions of the

and

its

herein

agreements

conflicts

Section

with

the

14.10

Notices
postage

are

To the

funds

to Lease

right

for

use

insofar

Agreement

as

Airline

Forces
are

they

however
lease

the

receive

an

of any such

result

then

affected

as

be suspended

shalt

If

the Airport

Armed

by the

shaLL

given

shaLL

unLawfuLLy

impair

functions

This

legisLative

Agreement

at Length
required

to the

is

caLLed

for

unLess

herein

advance

in

required herein
otherwise

Charter

the

Citys knowLedge

provisions of this

of the

insofar

be considered
but

to

it

and

is

shaLL

be obtained

so provided

of

City

is

made

City of

as

extent

States

in

exercise
to

subject

its

the

DaUas Texas and


to the

to the
the

civiL

such

same

to

Airport

are appLicabLe

that

at other

contained

nothing

to

appLicabLe

they

part hereof

only to the
United

right

Agreements

agreements

shaLL

by

the

Agreement

Program Grant

extent

generaLLy

best of the

or approval

by Director

State of Texas and to the

this

AirLine

writing and obtained

to City

provisions of such

express

in

Any consent

be

or the

City

be

to the

extent

as

provisions of any
airports

Iaws

receiving

or agreements

Agreement

Notices

hereunder

shalL

be

sufficient

if

sent and received

by certified

or registered

maiL

prepaid to

fuLly

CITY
City

this

Agreement

of the

Airport Improvement

and the

operation

may

herein
or

of the

terms and provisions of

federaL

of

materiaUy

shaLL

or deLayed

Director

governmental

though copied

are

approvaL

Reserved

Rights

Nothing

Constitution

Government

Government

the

to

have the

City shaLL

States

provisions

Lease

or approval

and agreed that such

proprietary

such

hereunder

AirLine

not be unreasonably

Section

the

executed

is

United

adjustment

Whenever

from or given

the

to

Consents and Apjrovals

14.08

understood

Government

States

not extend the term of this

shall

duties

equitabLe

Lease

such

any

suspension

rights

part thereof

or any

inconsistent

to United

time of war or national emergency

During
Landing

to Lease

Right

AIRLINE

of DaLLas

Southwest

8008 Cedar Springs Road

P.O Box

Love

Field

2702 Love

Lock

Box 16

DaLLas

TerminaL BuiLding

DaLLas

Texas 75235

Attn

AirLines

3511
FieLd

Co

HDQ-4PF
Drive

Texas 75235
Bob Montgomery

65
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other

or to such
other

in

3rd

authorized

certified

Director

unLess

14.11

Section

Airline

prevaiLing

apron fees

Section

14.12

Neither

City nor Airline

any of

be deemed

shaLl

of materiaL

shortages

acts

Section

under

which

it

is

not

shaLL

not

appLy

of fees

acceptance

to ArticLe

pursuant

14.14

Section

City of DaUas

waiver

DaLLas

Limited

to

the

from

the terminaL

to Airport by Airline

of this Agreement

acts

of the

public

to faiLures

by

to

AirLine

enemy

acts

riots rebellions

or which are not in

of

pay the

ft

is

acts

prevented

of

sabotage

controL

its

if

boycotts labor disputes

any other

or

provided

however

and

fees

rentals

superior

charges

by

City

other

of any

for

any period

contained
right

or

after

periods

to be performed

on the

part

of

default

of any

kept and observed


to

City

terminate

this

of the

by AirLine

Agreement

Paments

of

payments
and

shaLL

required

be maiLed

8008 Cedar Springs Road

or to such

with

has received

12 herein

Place

ALL

the

to Airline

Agreement

this

be deemed

not

fLoods

responsible

terms covenants and conditions herein


shaLL

notice

Non-Waiver

14.13
The

but not

payabLe

in vioLation

God

of

for

Section

given

Director

compLiance

that City

hereunder by reasons of strikes

obLigations

its

circumstances

specified

written

to ensure

incLuding

and PFCs if applicabLe

fees

Landing

advance

and to determine

requirements

GovernmentaL

this

may be

the Airport and the

at

operations

and records

books

under the terms hereof

Agency weather conditions

that

the

Force Majeure

from performing

embargoes

and audit such

City

its

upon reasonabLe

representative

City

due the

rentaLs

in

or AirLines

by AirLine

from or given by City or Director

and records on

bond discLosure

municipaL

aU moneys

AirLine

third

sooner

be obtained

to

books

to inspect

right

is

for

prepaid

fulLy

postage

and signed

to each

on the

provided

to keep

authorized

have the

deposited

is

addressed

Rigbto Audit Books and Records

Citys

agrees

other

or any
shalL

herein

otherwise

the

to

to time designate

whom

party to

maiL or as hand deLivered

whichever

required

may from time

Parties

on which the same

date

or registered

representative

Any notice
by

the

day foLLowing

U.S mail by

the

as

be deemed delivered

wilt

Notices

writing

business

addresses

respective

officer

or

of the
to the

Love

address

as

Field

Airline

by this Agreement

office of the Director

TerminaL BuiLding

may be

substituted

shaLL

be made

Department

Lock

therefor

of

Box 16 DaLLas
in

to

payabLe

Aviation

City

of

Texas 75235

writing to AirLine

by

the

Director

66
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Section

AR remedies

any

14.16

the

the

provisions of this

14.17

Section

The

present

or

is

It

is

of the

several

or

Laws

effective

City

not

shall

of
the

prevent

to

grant

Airline

Aviation

exclusive

any

Act

for

Use Areas

the

shall

Leased to Airline

specifically

or

right

conduct of any

to the terms and provisions hereof Airline

and

in

of this Agreement

be construed

not

shall

are inserted

to limit

the interpretation

any manner

the

is

have

under

the

the

herein

for

of

any

scope

thereof

or construction

term of

or future

Parties

that

Agreement

this

grant

is

illegal

clause
clause

or

invalid

or provision

as
as

is

determined

similar

in

may be

United

of this Agreement

unenforceable

provision

or

agreements with the

remainder

the

under

or unenforceable

invalid

illegal

of the Parties to this Agreement

that

Agreement

Agreement

this

existing

of the

intention

or inconsistent

Operation

agrees
rules

that

in

lieu

be

be

not

shalt

of each clause
there

terms to such

illegal

may be

or

be added

or inconsistent

possible and

to

States of

invalid

legal

valid

and

and Long-term

of Airport

maintain

and

operate

regulations

of

the FAA

to

hereunder and otherwise

consistent

to

and sections

during

Citys

intention

also the

14.19

standards

or indemnities

and consistent

enforceable

Section

hereof and the exercise

provisions

308 of the FederaL

articles

provision of

of the

any

the

of this

part

unenforceable

deemed

be

Exclusive

or affect

provision of this Agreement


as

and

at law

Severability

with

it

or Airline

Agreement

future

inconsistent

affected

of the

possession

any clause

America

shall

only and are not intended

14.18

If

and additional

to City

Rights

except that subject

provisions of this Agreement

Section

express

remedies

other

available

remedy

Titles

titles

convenience

of

of Section

meaning

to exclusive

the

with

of Airlines

contained

on the Airport

right

be deemed cumulative

shalt

remedy

herein

within

privilege

herein

Exclusiveness

Nothing

activity

not inconsistent

existence

of any other

Section

Agreement

of each other or of any other

extent

the

or

remedy

exercise

the

to

in this

provided

not in lieu of or exclusive


or in equity

to be Nonexciusive

Remedies

14.1

with

appLicable

or

Airport
its

airlines

Law

federal

and the

accordance

in

successor

operate the Airport with due regard

interests of the

airport revenue bond

the

for

City shalt
the

interests of traveling

aviation

regulations

with

federal

exercise

operational

public
grant

alL

in

applicable
its

rights

requirements

manner

that

assurances and

is

City

ordinances

67
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14.20

Section

limitations

to the

Subject

upon and inure

binding

and Assigns

Successors

the

to

hern

upon assignment

benefit

of the

contained

hereto

Parties

their

Agreement

this

respective

shall

be

and

successors

assigns

14.21

Section

Relationship

This Agreement

14.22

Conflict

The following
shall

does

not constitute

the agent

Airline

or representative

of City for

of Interest

of the Charter

Section

be one of the covenants

XXII

Chapter

PROHIBITED

No

in

indirectly

the

with

section

Manager

of the

or the

the

City

be determined

City

the
City
as

Council

an

or

financial

materials

the

The alleged

contract

Board

in

the

the case

and by the

the

in

of

this

corporation

shall

of employees

City Council

or services

voidable

of this section

or

directly

or

person

Agreement

OFFICER

violation

Any

of Interest

direct or

interest

involved

violations

OR

supplies

employee

implied of

or

of this

interested

financially

land

officer

render

Board

be

of any

either by the Trial


Trial

have any

shall

consideration

OF EMPLOYEE

INTEREST

City or

express

City shall

to the

to appeaL

right

the

knowledge

with

contracting

with

sale to

part of the

FINANCIAL

or employee

officer

on behalf

except

11

Section

to Conflict

of the City of Dallas pertaining

and conditions and

any contract

in

indirect

to

make

or

whatsoever

any purpose

Section

of Parties

by the
be

City

matters

who have

the

of other

case

employees

14.23

Section

Gift

City

confer

any

official

is

may

benefit

Servant

to Public

terminate
an

upon

prohibited

employee

prosecuting

authorities

that

Code

available

For

economic

is

interested

with

immediately

or officiat

Section

of the

The

36.104

this

Section

of

has offered or agreed

Airline

Dallas

Dallas

that

has

to Section

who have no

benefit

means

legal

anything

such

been

36.08

employee

advised

and 36.09

reporting

by

contribution

or
the

requirements

reasonably

or expenditure

to

of the

regarded

benefit to any other person in whose welfare

including

but does not include

if

of

City

City

exception

to public servants

advantage

made and

reported

as

the
in

law

Notwithstanding

employee

the

of

purposes

gain or economic

beneficiary

accordance

not

Agreement

law from accepting

by

Texas Penal

is

this

of Airline

any other

from the designated

legal

remedies

premises

who

City

may

has vioLated

require Airline
the restrictions

to remove

any

of this Section

68
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and Lease

Agreement-Southwest

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made

or any expenditures

14.24

Section

or official

the

same

gender or number

Whenever
from or

or refrain
obligations

be

shall

in this

performed

or

its

AirLtnes
designate

pronoun or adjective

is

to Airline regardless of

writing

is

under

placed

an obligation

be

shall

do

to

exercised

or by permitted

or

to do

covenant

any act or thing

only by

its

officers

or sublessees

assigns

its

and

of this

Agreement
hereinbefore

have

shall

full

specified

or

such

substitute
in

to act for AirlIne

authority

may

as Airline

connection

with

this

and any things done or to be done under the Agreement

Agreement

Venue

14.25

Section

to refer

entitled or privileged

representatives

representative

in

is

or privileges

rights

of all or any part of the

hereafter

neuter

person singular

and understood

Airline

Agreement

from doing or

employees and other duly authorized


Agreement

third

thereof

prohibited

is

Terms

of

be taken

shall

agreement to confer or conferring of

of Dallas

City

Agreement

in this

referring to Airline the

actual

of the

and Application

Construction

Wherever

used

of the improper offer

result

as

to an employee

benefit

Venue

of

any action

under

brought

this

Agreement

shaLl

be

in

County Texas

DaLLas

exclusiveLy

14.26

Section

Counterparts

may be executed

This Agreement

in

any number

of counterparts

each of which

be an

shall

original

14.27

Section

Condemnation

If

during

simpLe

Agreement
interests

cease

of the
shaLl

Leased

and terminate

Premises

apportioned

sustained

by the

fee

of the

domain

as well

except

as

Parties hereto

as the right

if not

between
simple

set forth

apportioned

entire Leased

of

such

in

the

accordance

and the Leasehold

taking and

Parties hereto
In

estate

Premises

relates

to the

event

with
granted

aLl

thereafter
of such

decree

shall

this

rights tittes
shall

accruing

taking

be

the

entire

fairly

and

damage and

Loss

shaLl

respective

the

entire

and interest of Airline then

by the condemnation

City and AirLine

estate

title

date

of the

the

and such taking

proceedings

as of the effective

hereinafter

same may be extended under

as the

Agreement

agreements and obLigations

and damages

equitably

this

or eminent

terminate effective

covenants

compensation

of

by agreement

be taken by condemnation
fee

term

the

terms hereof or otherwise

hereunder

69
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Premises

Leased

the

wilt

proportion

as

Leased

the

that

the

result

of

equitably

date

of such

and

It

of or cash

damages

incurred

for

and save

the
to

Venture

such

or Joint

and

Airline

by

of Airline

each represent

shall

Agreement

be

or liabilities

may be

that

be

decree

this

within

and

fairly

Enterprise

or joint

City

construction

in

other

or any

between

exists

enterprise

not be responsible

shall

and warrant that


and that

of this Agreement

claim

based

is

in

any way for any


of the

of or operation
or for

person

City and

Leased

cleanup costs or

any

in

connection

no broker

there

therewith

has

no such

is

City

and

been

broker

concerned

who

each

Airline

in

whole or

in

part

upon any

act or omission

is

shalL

made
by

City

on

may

or

its

be

indemnify
by any such
Airline

or

Quiet Enjoyment

that

it

has

good

right

lands improvements

all

and that throughout


possession

other charges

this

other of and from any claim for commission or brokerage

covenants

uninterrupted

of termination

condemnation

by

venture

joint

incurred

commission
the

City has good title to

hereunder

whereupon

materially

terminate

be relieved of any obligations

its

by Airline

be paid

City

to City

in

and Airline

or obligations

negotiation

14.30

to

option

of the

Airline
to

the

the same

area

Any compensation and damages

taking

other person

any

deficits

debts

Airline

harmless

when

Section

City

total
if

then

in

taken as

of

portion

Brokerage

and

City

broker

the

14.29

in

City and
flow

or

entitled

between

shall

apportioned

NoPartnershipJoint

Premises

behalf

of such

if not

agreed that no partnership

is

Section

shall

taking

Airline

the

notice

part has been taken

and

been

has

have

shall

to the

however

provided

Premises

Airline

remaining

Agreement

this

bear

shall

by giving written

taking

City

under

of the

portion

by Airline shall be reduced

payable

Leased

that the

agree

permitted

condemnation

of the

thereto

options

mutuaLly

uses

business

as of the date

apportioned

or between

Airline

debts

such

14.28

Section

much

or any

by condemnation

to the

prior

of Airtines

Agreement

this

AirLine

the

taken

part

so

of no further force or effect

under

and

for

after possession of such

days

Agreement

this

City

used

immediately

as of the

15

be

of the

area

operation

Agreement

and

and the rental thereafter

determines

the

fifteen

can

continue

Premises

discretion
impair

be taken

shaLl

Premises

Agreement

term of

the

during

If

Leased

and lawful authority to execute


and related

the term hereof

of the

Leased Premises

Airline

shall

subject

and the performance of the covenants

as

facilities

have

always

herein

this

including

all

Agreement
premises

hold and enjoy

to the

provided

payment

peaceful

of the

that

leased

and

rent and

to be paid and performed

by Airline

14.31

Section

In

contract

the
with

Most

Favored Nations

event that
any other

the

Air

City shall

Transportation

enter

into

Company

any
with

Airport

Use and

Scheduled

Lease

Service

Agreement

comrriencing

or

similar

70
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Use and

Lease

Agreement-Southwest

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at the Airport after

operations
contract

contains

then

same bond

the

made

available

16

February

Airline

to

Procedures

rentats

14.32

Sectiofl

This
attached

Notfte

the

the

Use

of contract

as

including

requirements

in this

14.33

as

City

Entire

This Agreement

privileges

by

shalL

This

agreements
maintenance
condition

Transportation

DOT

Vol

Policy

No

30

which

are

64

Companies

any

policy

to

the

amended
Airline

is

provisions of

related

to

reLating

expected to
in

fulLy

Dallas

City

filing

notice

of

Code
breach

comply with the requirements

event of

the

of the

for

requirements

and notice

to cLaims

2-86

Section

claim

in

addition

to

of this
all

other

of claims

the

entire agreement

Airline

upon City unLess

agrees

Parties

or extended

modified discharged

and Airline

of the

that

expressed

in

on the

no representations
writing

subject

except by written

in this

or grant

matter

instrument
of rights

or

Agreement

Subordination

Agreement
between
or

Air

aLl

Register

to

FAA

Caim

constitutes

be binding

14.34

Section

City

to

to apply

to the

pursuant

or

Contract

and automatically

be construed

Federal

agreement
this

Agreement

and may not be changed

duly executed

be concurrently

shaLt

fee waiver

any amendments thereto


Agreement

14.32

Revenue

availabLe

or fees than

charges

by the Administration

Airport
is

rentaLs

Section

promotional

subject

Exhibit

claim against

ordinance

Section

is

of

program

of Contract

Agreement

hereto

this

in

and such lease

of this Agreement

and fees shaR

charges

agreement offered

provided

Date

bond provisions

under the Administrations

eLigible

hereof

Effective

Nothing

Concerning

1999

the

favorable

provisions

fee waiver

promotional

and

more

is

the

subordinate
City

development

precedent

to the

and
of

to

the

the

expenditure

the

provisions

United

States
the

Airport
of funds

for

of

of America

execution
the

and

any

of

which

development

aU

existing

reLative

may

to
be

the

and future
operation

required

of the Airport

as

or any part

thereof

71
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Use and

Lease

Agreement-Southwest

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EXECUTED
its

City

No

this

/7L

the
in

Manager

the

08-3403 approved

and through

its

duLy

day

manner
by the

of

___________________

required
DaLLas

authorized

City

by the iky
CounciL

on December

acting

being duLy authorized

10 2008 and

SOUTHWEST

by and through
by Resolution

by AirLine

acting

by

AIRLINES

CO

SUHM

By__________
Ramon

Miguez

Assistant City

APPROVED

By__________

P.E

Bob Montgomery
Vice

Manager

AS TO

THOMAS
City

Charter

by City

officers

CITY OF DALLAS

MARY

2OO

President

Proper

FORM

PERKINS

JR

Attorney

Sarah

Hasib

Assistant City

Attorney

72
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arid

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Agreement-Southwest

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TAB 6

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CaseAMENDMENT
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266-6
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Page 34 of 36 PageID 8101
October
WRGHT
REFORM ACT
OF 2006 PL
109-352Filed
13 2006 120

PL

109352

13 2006 120

October

UNITED STATES
109th

Congress

Convening

and Deletions

Additions

Vetoed provisions

2005

not

October

Au

Act To amend

Be

material

by the Senate

Act may be

SEC

cited

EXPANDED
192

94

with

regard

to

Exhibit 077

air

is

or

SEC

last

point

or offer

transportation

United

America

of

States

in

Congress assembled

or foreign

to

destination

flights

Government

Act of 1979 Public Law

Competition

and inserting the following

offer for

may

sale

and provide

carrier
service

through

within

any point

through

that

is

Air Transportation

years

after

the date

NONSTOP

provide

air

any action

Texas

to

make

of enactment

of

Aircarriers

and ticketing

96
and
to

or

New Mexico Oldahoma

of

94

35

Stat

amended

as

by

Act

this

TO AND FROM LOVE FIELD TEXAS

passengers

of

District

Act of 1979

Competition

FLIGHTS

transportation

from the United

as

flights

within

the 50

10 per

WHO

Field
operated

and

shall

States

month per

Louisiana Mississippi

Love

take

Air Transportation

thatfollows

all

carriers

TO AND FROM LOVE FIELD TEXAS

FLIGHTS

Columbia
Love

or designate

for

on

or

compensation
nonstop

Field as

an

basis

initial

between

hire

and no

point

Love

official

of entry

or

into

Field

employee

the

United

States

defined

in section 212.2

of

14 Code of Federal Regulations

title

at

Love

Field

Texas

to

CARRIERS
at

air

AT LOVE FIELD TEXAS

FLIGHTS

more than

Arkansas

may

of departure

GENERALCharter

be limited

no

to

relating

Missouri or Alabama.

OF INTERNATIONAL

Government

destinations

space

on the date

provide

shall

air

foreign
States

and

if

29 of the International

repealed

CHARTER

IN

Act of 1979

2006

of

of the International

and any point or points outside the 50 States or the

States

2006

Competition

of the

REGARDING

carrier

striking

transportation

Louisiana Mississippi

TREATMENT

of the Federal

shall

29c

and any United

Texas

Field

subsection

person

3:15-cv-2069-K

Air Transportation

of Representatives

OF PROVISIONS

REPEAL.Section

Texas

3661

REFORM ACT OF

Wright Amendment Reform Act

amendedby

is

foreign

Arkansas

SEC

and House

SERVICE.Section

35

Stat

Kansas

No

the

as

MODIFICATION

from Love

not displayed

SHORT TITLE

SECTION

This

thtabase

this

13 2006

AMENDMENT

International

the

are

Field Texas

enacted

it

29 of

section

and from Love

to

in

identified

tabular

PL 1093 52

WRIGHT

Session

January

are

within

2011

LAWS

PUBLIC
Second

Stat

air

and the
carrier

District

Columbia

and

beyond the

flights

of

States

Texas

New Mexico Oklahoma

Kansas

Missouri and Alabama

LEASE GATESAll
depart

of

for charter

from and

arrive

flights
at

operated

to

or

from Love

one of those leased

by an agency of the Federal Government

or

by an

gates
air

Field

except

carrier

by

air

carriers

that

lease

tenmnal gate

for

under contract with

an agency of the Federal

uebner

77

16-10051.7623
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Page 35 of 36 PageID 8102
October
WRGHT
REFORM ACT
OF 2006 PL
109-352Filed
13 2006 120.

irregular operations

WHO DO NOT

CARRIERS
not lease terminal

SEC

GENERALThe

service

at

maximum

may

Love
20

of

of Dallas

city

Field

from nonterminal

operate

The

gates

accordance

honor the scarce

shall

rights

service

passenger

resource

at

and

to

Act

this

or

air

operated

one of the terminal

Love

at

gates

carriers

do

that

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obligations

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the

Lenimon

Avenue

GENERAL
or from Love

aircraft

used for other

be

may

Field

aviation

by general
medical

Act
for

shall

air

training

flight

affect

taxi

of

new

not

exceed

granted

under

shall

as

airport

gates

and manage

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certificated

air

Act for

this

entrant

by any

facility

charges

required

under

471 of

air

Field

carriers

the

carriers

air

may be used

United

aerial

of

city

remove gates

to

but Federal

including

photography

to

aviation

or

flights

to

crop

dusting
or

purposes

by

of the Federal

agency

any

funds

Code

States

Field

similar general

under contract

carrier

Act

this

Love

at

flying

and

fighting

49

title

service

or sport

private
fire

or

or

as

aviation

general

service

police

Govenmient

of the Federal

of gates

under chapter

facilities

airport

this

aircraft

evacuation

by any agency

operated

in

or passenger

number

the

the

regulate
of leased

date

effective

such service

for

Field leases

Federal funds

in reducing

Field

AVIATIONNothing

aviation

corporate

facility

charges

facility

passenger

Love

the

Love

of the existing

provision

and

operate

the allocation

determine

11 2006 To accommodate

on July

Field

to

authority

its

shall

number of gates available for passenger

the

number of gates available

the

existing as of

REMOVAL OF GATES AT LOVE FIELDNo


at

facilities

Texas

Field

soon as practicable

as

Thereafter

pursuant

Code
and

reduce

shall

20 gates

of Dallas

city

contractual

scheduled

providing
Dallas

with

Texas

no more than

to

22 of the Texas Transportation

chapter
in

Field

from Love

flights

LOVE FIELD GATES

IN
air

Love

at

space

LEASE GATESCharter

Govermnent

ENFORCEMENT
GENERAL

IN

Federal Aviation

grants or approvals
behalf

of

third

that

DFW
the

inconsistent

with

comply

the

to

limit

concerns

to

relating

including
the

of the

limit

parties

to

Love

of the

of

use

such

Act

parties

that

and the Administrator

of Transportation

issue orders or rules withhold


or take

other

any

either

actions

of the

improvement

airport

self-initiated

or

on

are

of

city

of

Dallas the

of Fort

city

Wright Amendment issues

the

implement such contract

Worth

unless actions

the

by

or

contract

.A contract
49

title

described

necessary

reasonably

under

by the

into

United

States

1A

in paragraph

implement

to

its

of

provisions

this

subsection

be deemed

shall

and
to

Code

parties

be construed

shall

under the prugrams

safety

enterprise

Department

of

under the

Administmtion

to offer marketing

Love

veterans

Department

national

or the

and the Federal Aviation

of Transportation

historic

preference

Transportation

described

at

of the

enviromnental

labor

business

the

the resolution
to

of such

obligations

of the panics

civil

preservation

and revenue

access

disability

Federal

Aviation

rights

Administration

snmll

business

diversion
enforce

to

the

in subparagraph

security

Field

incentives

programs

of the

of

Department

Homeland

Security

including

Texas
that

are in violation of Federal

law

rules

orders

agreements

and

or

the authority of

impose obligations
to

applications

REQUIREMENTS

under the programs

Security
the

law and grant assurances

seeking

the Secretaiy

CONSTRUCTION

in this

the obligations

authorize

limit

49

parties

disadvantaged

other requirements
to

law

11 2006 entered

July

necessaiy

such contract

aviation

to

authority

the Transportation
to

the

the obligations

limit

obligations

charge

and others regarding

ON STATUTORY

GENERALNothing

Administration

to

to

parties

respects with

dated

of any provision

legality

by the

LIMITATION
IN

of

or detenninations

findings

facility

not reasonably

are

COMPLIANCE WITh TITLE


any actions taken
all

make

the contract

Board

Airport

the contract

to

challenge

in

not

deny passenger

thereof

International

that

may

parties

are

parties

any other provision

.Notwithstanding

Administration

the Federal

on Love
facilities

Field
or

to

Aviation

subsections

including
to

make

withhold

its

Administration

a1 a4
facilities

grants or

or

and

available

on

deny applications

any other Federal


of section 47107
reasonable
to

agency
of

title

to

enforce

49 United

and nondiscriminatory

applicants

violating such

requirements

Code

States

basis

obligations

to

air

with

of
that

carriers

respect

Field

16-10051.7624
DELTAOOI 1952

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October
WRGHT
REFORM ACT
OF 2006 PL
109-352Filed
13 2006 120.

lE

FACILITIESParagraph
shall

at

gates

Love

shall

to

ii to

Field

not

construct

additional

the

require

gates

use gates

facilities

that

remain

Love

at

unless such

after

the

city

of Dallas

has reduced

number of

the

and
of

city

Dallas

Texas

beyond the 20 gates referred


leases

gate

preferential

Field

with

air

to

in subsection
in order

carriers

modification

or elimination

actions taken

with

is

or
to

allocate

implemented

on

gate

capacity

nationwide

new

to

entrants

or

to

basis

APPLICABILITY

or the

city

SEC

of

and

Texas

Field

this

shall

through

Federal

based

Approved

no

application

the

which

are

notifies

to

likely

Administration

safely

without

HISTORYS

considered

PL 1093 52 2006

airport

Love

to

Field

an

other than

made by such

amendments

be

Congress
conducted

standards

adverse

Texas

airport

air

or

owned

to

transportation

or operated

by the

or

from Love

city

of Dallas

effect

that
after

sections

aviation
enactment

in accordance

shall

take

operations

with

of

this

the Administrator

that

serving

Love

Act can be acconimodated

section

on use of airspace in such

on the date

effect

in the airspace

40101

of

title

49 United

in

Field

full

States

and the

compliance

Code and

area

No

109317

and passed

H.R 5830

3661

Comm on

CONGRESSIONAL RECORD Vol


29

any other

to

respect

13 2006

October

SENATE REPORTS

Sept

to

both

or

expectations

LEGISLATIVE

apply

Administration

area

Aviation

on current

have

including

Aviation

DallasFort Worth
Federal

shall

DATE

EFFECTIVE

the

Act

Worth

of Fort

Sections

with

to

to

by subsection

required

modilly or eliminate

The provisions

of

as

be construed

common

create

SEC

only apply with respect

152

Senate

Commerce

Science

and

Transportation

2006

and House

3661

16-10051.7625
DELTAOOI 1953

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