ATA Awarded $65.9 Million Jury Verdict
Hoover Hull LLP’s client, ATA Airlines, Inc. (“ATA”), was awarded a $65.9 million jury verdict in its breach of contract action against Federal Express Corporation (“FedEx”). In 2006, ATA and FedEx had entered a three-year contract to provide charter passenger services moving United States military personnel around the world. However, in January 2008, FedEx abruptly removed ATA from its team of carriers providing passenger services. By its breach of contract, FedEx financially destroyed ATA, causing ATA to file bankruptcy and cease operations. FedEx asserted a counterclaim against ATA, also asserting breach of contract.
After a six-day jury trial before Chief Judge Richard L. Young in the United States District Court for the Southern District of Indiana, the jury returned its unanimous verdict finding for ATA on its breach of contract claim and against FedEx on its counterclaim. ATA was awarded the full amount of damages requested, $65.9 million. Hoover Hull LLP provided representation to ATA as local counsel in connection with lead counsel, Texas law firm Haynes and Boone, LLP. More information on the case is available at law360.com.