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CASE NO.
COMPLAINT FOR DECLARATORY
AND INJUNCTIVE RELIEF
v.
LOS ANGELES WORLD
AIRPORTS, CITY OF LOS
ANGELES, and DOES 1-50,
Defendants.
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COMPLAINT
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its member airline service providers, and Plaintiff Air Transport Association Of
America, Inc., d/b/a Airlines For America (A4A), on behalf of its member air
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Defendant Los Angeles World Airports (LAWA), for all third-party vendors and
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(LAX).1
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operation at LAX, requires that ASPs enter into agreements (Labor Peace
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Agreements) with labor organizations which their employees have not chosen to
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represent them. Although such labor organizations would have no legal authority
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to speak for or negotiate on behalf of the employees, ASPs would have to enter into
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Labor Peace Agreements that include terms usually found only in collective
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mandatory arbitration for any unresolved issues between the ASP and the labor
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As used herein, the term Section 25 also encompasses and includes any other
LAWA provision that requires ASPs to enter into Labor Peace Agreements,
including but not limited to Section 3.6 of LAWAs Certified Service Provider
Program (CSPP), which A4A and APSA also seek herein to declare
unconstitutional and unenforceable.
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COMPLAINT
essentially regulating the labor relations and bargaining tools of ASPs and the
airlines selection of ASPs. In so doing, Section 25 violates federal labor laws and
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5.
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1331, because the case arises under (i) the Supremacy Clause of the Constitution
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of the United States, Article VI, clause 2; and (ii) the laws of the United States,
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including the National Labor Relations Act (NLRA), 29 U.S.C. 151 et seq., the
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Railway Labor Act (RLA), 45 U.S.C. 151 et seq., and the Airline Deregulation
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Act of 1978 (ADA), 49 U.S.C. 41713(b)(1); and (b) under 28 U.S.C. 2201
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and 2202, since this is an actual controversy in which Plaintiffs seek declaratory
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judgment.
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because Defendants are residents of, are found within, and have agents within, or
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transact their affairs in this District, and the activities giving rise to this action the
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The Parties
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Inc., Servisair, Swissport USA Inc., Total Airport Services Inc., US Aviation
Services and World Service West, LLC. Labor relations of ASPAs members
which include both unionized and non-union companies are governed by either
the RLA or the NLRA. ASPA and its members have an interest in the consistent
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District of Columbia, with its principal place of business in Washington, D.C. A4A
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advocates for its member air carriers on issues of safety, security, customer service,
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environment, energy, taxes, economic growth, and other policies and measures
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relevant to the airline industry. A4As members are Alaska Airlines, Inc.,
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American Airlines Group, Inc. (American Airlines and US Airways), Atlas Air,
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Inc., Delta Air Lines, Inc., Federal Express Corporation, Hawaiian Airlines, Inc.,
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JetBlue Airways Corp., Southwest Airlines Co., United Continental Holdings, Inc.
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(United Airlines), and United Parcel Service Co. All of A4As members operate at
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LAX. A4As member air carriers contract with ASPA members who are covered
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by Section 25.
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under the doctrine of representational standing in that (a) their members would
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otherwise have standing to bring this action in their own right; (b) the interests
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ASPA and A4A seek to protect are germane to their purpose; and (c) neither the
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claims asserted nor the relief requested require the participation of individualized
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members in the action. Hunt v. Washington State Apple Adver. Comm'n, 432 U.S.
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333 (1977).
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COMPLAINT
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The Facts
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A.
Background
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retained ASPs to provide critical services for them at LAX. Examples of such
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services include, but are not limited to: aircraft fueling, aircraft cleaning, baggage
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handling and sorting, pushback and marshalling of aircraft, aircraft cooling and
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counter and gate functions, and wheelchair services. Starting around 1985, the
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(NELA) with LAWA that established license fees and various requirements in the
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Certified Service Provider Program License Agreement that was intended to replace
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NELAs. The license was to be part of a Certified Service Provider Program (as
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noted, CSPP) that would establish eligibility criteria, service classifications and
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at LAX. After the draft CSPP had been formulated, it was shared with both the
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ASPs and the Service Employees International Union (SEIU), which had been
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LAWA approved and adopted the terms of a Certified Service Provider Program
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Harmony provision (Section 24) that required ASPs to abide by the requirements
of all applicable labor laws and regulations, including the City of Los Angeles
costs; it was scheduled to replace NELAs around July 1, 2014. A true and correct
herein.
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the SEIU communicated with and lobbied LAWA and the City in an effort to
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contained in the Original CSPLA. On information and belief, for approximately six
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the airlines with a completely re-written Labor Harmony provision, now labeled a
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became Section 25, the provision at issue in this Complaint. The ASPs and airlines
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were given approximately two weeks to comment on this provision that LAWA, the
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SEIU and the City, on information and belief, had spent approximately seven
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During the short period available to them, the ASPs and airlines
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voiced numerous concerns, objections and questions to LAWA and the City
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relating to the new, re-written Labor Peace Agreement. Despite those concerns and
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Unless an ASP agrees and submits to its terms, the ASP will not be permitted to
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provide airline services at LAX. A true and correct copy of the Current CSPLA is
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COMPLAINT
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B.
Section 25
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the Labor Peace Agreement, which must include the entire term
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of any CSPLA.
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Peace Agreement.
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Association . . .
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doing so.
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C.
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RLA/NLRA
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and the City to regulate labor relations of the ASPs, in violation of the RLA and/or
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industries; the NLRA governs labor relations for all other private sector employers.
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Both statutory schemes provide exhaustive regulation for labor relations, including
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COMPLAINT
but not limited to collective bargaining, the selection of representation and the
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Many of the ASPs are covered by the RLA; others are covered
determined by the National Mediation Board (NMB) and/or the National Labor
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disputes over whether and by whom employees are represented for collective
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v. United Airlines, Inc., 406 F. Supp. 492, 506 (N.D. Cal. 1976):
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labor law or that would have the effect of regulating aspects of labor-management
relations governed by those laws. State or local government actions that purport to
the RLA and/or NLRA are preempted. See San Diego Bldg. Trades Council v.
Garmon, 359 U.S. 236 (1959); Intl Assn of Machinists v. Wisc. Employment Rel.
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governed labor relations pursuant to the RLA and NLRA by requiring that an ASP
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enter into a Labor Peace Agreement with any Labor Organization that requests
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one. In other words, as a condition of doing business at LAX, an ASP must agree
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to negotiate and enter into a Labor Peace Agreement with a Labor Organization that
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does not represent its employees, regardless of the wishes of those employees and
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bargaining representative of the employees with whom the ASP must deal without
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and its members from striking or engaging in any other form of economic
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interference during the term of the CSPLA. Thus, again, the Labor Organization
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effectively would become the representative of the employees, without having been
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certified as such by the NMB or NLRB, by virtue of being able to negotiate over
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terms of a Labor Peace Agreement within 60 days, the dispute must be submitted to
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Arbitration Association. In addition, although ASPs must enter into a Labor Peace
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the playing field between labor and management by giving enormous leverage to
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concomitant no-strike provision) in the first place, and an ASP has no ability to do
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so, even in the face of a potential strike, picketing or other form of job action.
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Peace Agreement, it still would hold all the cards because the ASP must obtain a
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withhold its agreement to such a provision unless and until it obtains significant
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against a Labor Organization that violates a no-strike provision entered into as part
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of a Labor Peace Agreement. An ASP, on the other hand, faces the imposition of
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costs and other penalties including the possibility of losing its right to do business
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at LAX altogether associated with such a strike should Defendants conclude that
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the ASP violated Section 25 by failing to obtain a no-strike provision that was
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COMPLAINT
ADA
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codified at 49 U.S.C. 41713(b)(1), which expressly provide that the States and
local governments may not enact or enforce a law, regulation or other provision
having the force and effect of law, related to a price, route or service of an air
carrier.
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16. The Supreme Court in Morales v. Trans World Airlines, Inc., 504 U.S. 374,
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383 (1992), held that the use of the words related to in the preemption provisions
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of the ADA express a broad pre-emptive purpose and prohibit all state laws
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expressly endorsed the holding in Morales in 1994 when it reenacted the recodified
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Title 49 into positive law, noting that it did not intend to alter the broad
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Northwest Airlines, Inc., v. State of Minnesota, 322 U.S. 292, 303 (1944) (J.
Jackson, concurring).
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imposing their own substantive standards with respect to rates, routes, or services.
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American Airlines, Inc. v. Wolens, 513 U.S. 219, 232 (1995). In Wolens, the
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Supreme Court specifically noted the potential for intrusive regulation of airline
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is a regulation directly and substantially related to and connected with air carrier
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services. The Supreme Court recently clarified that the term services under the
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ADA encompasses precisely the kinds of services regulated by the Current CSPLA,
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Inc. v. Ginsberg, 134 S. Ct. 1422, 1425 (2014); see also Travel All Over the World,
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aircraft fueling, aircraft cleaning, baggage sorting and ramp handling, aircraft
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cooling and heating, aircraft loading and unloading, on-board catering of food and
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beverage, aircraft security, ID verification, ticket counter and gate functions, and
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wheelchair services. As noted, these services fall within the definition of services
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under the ADA. Section 25 will directly impact and regulate service providers at
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LAX and thus directly impact the airlines selection of ASPs, the provision of
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airline services at LAX, and the cost of such services. As such, and in accordance
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COMPLAINT
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applicability which has only an incidental effect on air carriers. Rather, it is aimed
exclusively and solely at entities which provide airline services for airlines, with the
express purpose and direct effect of regulating and selecting which ASPs may and
airline services to other airlines have been forced to sign the current CSPLA as a
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direct and prohibited attempt to regulate the services of an air carrier. Morales, 504
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U.S. at 383-84 (the meaning of the phrase related to includes laws that have a
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Unconstitutional Vagueness
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in that it does not properly distinguish conduct which is permissible from that
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not clearly distinguish conduct which is unlawful from that which is lawful.
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Section 25 void for vagueness: the term Labor Peace Agreement, the definition
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Peace Agreement, beyond the requirement that such an agreement prohibit a Labor
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Organization and its members from engaging in the picketing, work stoppages,
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boycotts, or any other economic interference for its duration, is subject to broad and
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COMPLAINT
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plan, in which employees participate and which exists for the purpose, in whole or
subject to broad and unreasonable interpretation and could include or exclude any
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rules is subject to broad and unreasonable interpretation in that the AAA has
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different sets of rules, including but not limited to those dealing with binding
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a.
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b.
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c.
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d.
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e.
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f.
Agreement;
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D.
Imminent Harm
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Current CSPLA, including Section 25. If an ASP refuses to sign the Current
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CSPLA it will lose its right to do business at LAX. A4As member airlines would
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would be diminished; the airlines would have fewer ASPs from which to select; and
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45.
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LAWA, they would be similarly subject to decertification and the loss of the right
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altering the terms of employment for the ASPs employees, and increasing costs to
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46.
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are faced with a Hobson's choice: continually violate [state] law and expose
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themselves to potentially huge liability; or violate the law once as a test case and
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COMPLAINT
suffer the injury of obeying the law during the pendency of the proceedings and any
further review. Airlines will suffer because there will be uncertainty over whether
any particular ASP will be certified to do business at LAX; airlines will have fewer
ASPs with which to contract; and the cost of services will increase. Further, the
ability of the air carrier members of A4A to provide efficient service to the
traveling public would be undermined, rather than enhanced, if airline services are
nation.
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injunction is granted, the Defendants will not suffer any cognizable harm.
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Defendants cannot claim injury from an order compelling them to comply with pre-
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existing Federal law. Far greater injury will be inflicted upon the members of the
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Plaintiffs, their employees and the traveling public by the refusal to grant the relief
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sought herein than Defendants will suffer by the grant of the declaratory and
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Count One
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because they are preempted by the RLA and NLRA and therefore unconstitutional
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pursuant to the Supremacy Clause of the Constitution of the United States, Article
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VI.
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COMPLAINT
Count Two
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because they violate the express pre-emption provisions of the Airline Deregulation
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Count Three
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Constitution.
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LAWA provision that requires ASPs to enter into Labor Peace Agreements) is
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COMPLAINT
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on final judgment:
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B.
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and
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C.
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//
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//
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//
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//
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//
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//
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COMPLAINT
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Matthew P. Kanny
MANATT, PHELPS & PHILLIPS, LLP
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Robert S. Span
Douglas R. Painter
STEINBRECHER & SPAN LLP
Douglas W. Hall (pro hac vice app. pending)
FORD & HARRISON LLP
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COMPLAINT