Recently, I reported that Los Angeles was preparing to sue American Airlines in a rental dispute over charges at Terminal 4 at Los Angeles International Airport. According to the documents I reviewed, American had been paying its rent for the past three years, but had not paid bills for so-called “maintenance and operational” charges. Every other airline had paid those invoices, according to airport officials.
Now comes word via the airport’s general counsel that this matter has been settled, at least tentatively. Here’s what Raymond S. Ilgunas, the airport’s general counsel, said at Monday’s L.A. Board of Airport Commissioners meeting:
“The settlement agreement resolved the maintenance and operations expenses charges under the Terminal 4 lease for the period of calendar 2011 though 2013 in the amount of $14,043,986.29.”
My earlier story said the city had been seeking to recover as much as $21 million in the charges, which pay for costs not directly included in rent, like security and road upkeep.