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Pilots Granted Stay on Damages Payment

April 20, 1999|Reuters

A federal judge granted the union representing American Airlines pilots 10 more days to pay $10 million toward damages for the airline caused by a work slowdown. The Allied Pilots Assn. said U.S. District Judge Joe Kendall in Dallas granted a stay until April 28 for the deposit on total damages of $45.5 million--more than the union's assets of about $38 million. The deposit would bring to $20 million what the union has paid since the judge in February ordered a first payment of $10 million pending a final damages award, which came last week. Kendall set the damages Thursday after ruling the APA violated his Feb. 10 order to end the sickout quickly and instead dragged it out, ultimately forcing more than 6,600 flight cancellations over 10 days. "We almost certainly will file an appeal" of the damages judgment, APA spokesman Gregg Overman said. No comment was immediately available from Kendall's court.

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