Dear Readers, The Company Dime turned two last month, which could mean we’ve entered a new phase of maturity. More likely, we’re ready to break more stuff — hopefully news! That requires hard work. We’re happy to bust our tails for you, but we also need your support. It has come to our attention that the practice of…
[UPDATE, March 22, 2017: U.S. District Judge Lorna Schofield denied Sabre’s motion to set aside the verdict against it. She cited case law explaining that such a motion can be granted “only if there exists such a complete absence of evidence supporting the verdict that the jury’s findings could only have been the result of sheer surmise and conjecture, or…
Most organizations don’t inspect every hotel property they tell travelers to use. They can do some of that with the help of travel management companies and risk specialists, but covering the globe is a tall order. So how do travel management pros really know if properties in their programs are safe? Mostly they’re taking the hotels’ word for it. When…
The US Airways v. Sabre antitrust case now is in the jury’s hands. The evidence it’s considering does not include everything Sabre wanted it to know. Most notably, the jury didn’t hear about Sabre’s claim that US Airways pursued a “sign-and-sue” strategy. According to the argument, US Airways baited Sabre into rejecting a last-minute request for a deal that did…
New York – In its lawsuit against Sabre, American Airlines contends that US Airways in 2011 had “no choice” but to accept purportedly onerous terms for participating in the global distribution system. Witnesses for the airline alleged that Sabre insisted on a contract for full content, or else US Airways risked being out of the system altogether. The defense rested…
New York – University of Chicago professor Kevin Murphy is an award-winning economist. His most prestigious honor is the John Bates Clark medal, won in 1997. For economics, it’s up there with the Nobel Prize. Murphy testified last week in the US Airways v. Sabre trial here, dueling with a winner of that other award, Joseph Stiglitz. Stiglitz had testified…
New York — Airline-GDS relationships are often contentious, putting corporate clients and travel management companies in the middle. Why hasn’t anyone considered blowing up the model? They have. Evidence and testimony in the US Airways v. Sabre trial here showed that Sabre, for one, has thought about a number of alternatives to airline segment fee remuneration. At least as of…
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