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Newport Beach-based First Class International, a $30 million (annual revenue) corporate travel agency, was sent back to the drawing board in its lawsuit against American Airlines Inc. and Sabre Group Holdings Inc., subsidiaries of Fort Worth, Texas-based AMR Corp.
U.S. Magistrate Judge Jane Boyle ruled in a U.S. District Court in Dallas that the travel agency's complaints of deceptive trade practices and breach of contract against the airline relate to rates and services and thus fall under the 1978 federal Airline Deregulation Act, which supersedes the state laws that First Class International based its claim on.
In its suit, First Class International alleged that American helped First Class competitors take its...