§ 1113

Northwest Airlines Corp. v. Association of Flight Attendants-CWA (In re Northwest Airlines Corp.)

After a bankruptcy court granted plaintiff carrier's motion to reject a collective bargaining agreement ("CBA") and permitted the carrier to impose new terms of employment, defendant union notified the carrier of its intent to strike. Before the court was the union's appeal of the District Court for the Southern District of New York's issuance of a preliminary injunction enjoining the union from engaging in any form of work stoppage.
Ruling: 
Debtor airline's rejection of collective bargaining agreement abrogated the agreement so that status quo provision of Railway Labor Act of 1926 did not apply.
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Comair Inc. v. Air Line Pilots Assoc. (In re Delta Air Lines Inc.)

Plaintiff airline, a bankruptcy debtor, obtained approval to reject a collective bargaining agreement between the airline and defendant airline pilots'union. After the union expressed an intent to strike if the airline implemented proposed new terms of employment, the airline brought an adversary proceeding against the union and moved for a preliminary injunction to prohibit the union and its members from striking.
Ruling: 
Debtor airline's rejection of collective bargaining agreement with pilot's union allowed court to issue strike injunction without violating the Norris-LaGuardia Act.
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In re Delta Air Lines Inc.

Debtor, a regional airline who was a wholly-owned subsidiary of a national airline in bankruptcy, filed a motion pursuant to 11 U.S.C. § 1113 to reject its collective bargaining agreement with a union that represented its pilots.
Ruling: 
Airline's regional subsidiary could reject colective bargaining agreement with pilot's union.
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Mesaba Aviation Inc. v. Aircraft Mech. Fraternal Assn (In re Mesaba Aviation Inc.)

Chapter 11 debtor in possession filed a motion under Fed. R. Civ. P. 65(a), as incorporated by Fed. R. Bankr. P. 7065, for a preliminary injunction, seeking an injunction against its unions' exercise of self-help, i.e., striking, in the wake of debtor's court-authorized rejection of its collective bargaining agreements pursuant to 11 U.S.C. § 1113 and debtor's subsequent imposition of modified terms of employment.
Ruling: 
Injunction issued to prevent strike against debtor airline by unions after rejection of collecitve bargaining agreement.
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Northwest Airlines Corp. v. Association of Flight Attendants CWA (In re Northwest Airlines Corp.)

Pursuant to § 2 (First) of the Railway Labor Act ("RLA"), 45 U.S.C. § 152, appellant airline filed a motion for a preliminary injunction enjoining appellee, a flight attendants union, from carrying out threats to engage in a labor strike. The bankruptcy court denied the airline's motion on the ground that the Norris-LaGuardia Act, 29 U.S.C. § 101 et seq., deprived it of jurisdiction to issue an injunction. The airline appealed.
Ruling: 
Denial of injunction to prevent flight attendants' union strike over rejection of collective bargaining agreement reversed and remanded.
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Peters v. Pikes Peak Musicians Assn

When reorganization failed, debtor orchestra converted its chapter 11 bankruptcy to a chapter 7 proceeding. Defendant musicians were granted a first priority payment of postpetition wages and benefits due under the terms of a collective bargaining agreement ("CBA") as administrative expenses under 11 U.S.C. §§ 503(b)(1)(A) and 507(a)(1). Plaintiff trustee appealed the decision from the District Court for the District of Colorado.
Ruling: 
Musicians performed necessary services for debtor orchestra and were entitled to priority payments pursuant to collective bargaining agreement.
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Northwest Airlines Corp. v. Association of Flight Attendants-CWA (In re Northwest Airlines Corp.)

Bankruptcy debtors, an airline and its affiliates, rejected a collective bargaining agreement ("CBA") pursuant to 11 U.S.C. § 1113 and implemented the employment terms of their last proposal to a union. The debtors moved for a preliminary injunction prohibiting the union from engaging in economic self-help, and the union moved for an order substituting employment terms set out in a subsequent CBA which was not ratified by union members.
Ruling: 
Rejection of collective bargaining agreement entitled union to engage in self-help but court refused to enforce terms of new, unratified collective bargaining agreement.
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In re Delta Air Lines

Chapter 11 debtor, a regional airline, filed a motion to reject its collective bargaining agreement ("CBA") with its flight attendants under 11 U.S.C. § 1113.
Ruling: 
Airline's motion for rejection of collective bargaining agreement with flight attendants granted.
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In re Northwest Airlines Corp.

Chapter 11 debtors filed a motion pursuant to 11 U.S.C. § 1113 to reject a collective bargaining agreement and change the terms and conditions of employment of its flight attendants. The authorized representative of the flight attendants objected to the motion and to the relief sought by debtors.
Ruling: 
Debtors were allowed to reject collective bargaining agreement since debtors provided union with proposed modifications documentation and bargained in good faith.
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In re Mesaba Aviation Inc.

A bankruptcy debtor, a regional airline whose only customer was a network carrier which was also in bankruptcy, proposed to modify collective bargaining agreements with unions representing the debtor's employees to reduce the debtor's labor costs in reorganization. After the unions rejected the debtor's proposal, the debtor moved for authority to reject the collective bargaining agreements pursuant to 11 U.S.C. § 1113.
Ruling: 
Debtor was denied motion to reject collective bargaining agreements despite compliance with most of section 1113 requirements since debtor had not provided union with software model for making its projections.
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