Lawsuit Seeks to Block Alaska Airlines’ Acquisition of Hawaiian Airlines Over Antitrust Concerns

A group of eight plaintiffs has filed a lawsuit against Alaska Airlines at the US District Court in Hawaii, aiming to halt its proposed merger with Hawaiian Airlines on the grounds of potential antitrust violations. The lawsuit, filed on April 15, cites concerns under the United States’ Clayton Antitrust Act that the merger could “substantially lessen competition or tend to create a monopoly” in several markets within the passenger airline industry.

The complaint raises alarms about the potential economic impact on Hawaii, suggesting that the merger could detrimentally affect the state’s economy and the well-being of its residents. Alaska Air Group, the parent company of Alaska Airlines, announced in December 2023 its plans to purchase Hawaiian Airlines from Hawaiian Holdings for $1.9 billion. This transaction is still pending approval from U.S. regulatory authorities.

The plaintiffs, who are primarily from Hawaii but also include individuals from California, Colorado, Pennsylvania, and Washington, are described in the lawsuit as airline passengers and former travel agents. They argue that the merger could lead to reduced competition, higher fares, decreased airline service quality, diminished consumer choice, increased coordination among remaining airlines, potential job layoffs, and significant economic impacts on the State of Hawaii.

The legal action seeks both preliminary and permanent injunctions to prevent the acquisition, alongside a court order to prohibit Alaska Airlines from proceeding with the purchase of Hawaiian Airlines. The plaintiffs are also requesting that the court award them the costs of filing the lawsuit.

An Alaska Airlines spokesperson responded to inquiries by stating that lawsuits of this nature are common in public company mergers and declined to comment further on the ongoing legal proceedings.