Kaye Scholer Represents Los Angeles City Council in Settlement with Ontario International Airport

Kaye Scholer represented the City of Los Angeles as lead trial counsel and advised the City in connection to a $250 million settlement approved on December 16 by the Los Angeles City Council to return Ontario International Airport to Inland control, ending an ongoing battle regarding the airport’s operation.

The law suit had been brought forward by the City of Ontario in 2013, seeking the return of Ontario International Airport from the City, contending that the transfer of the airport in 1985 had been unlawful. Ontario also sought $3.69 billion in damages to itself and to the economy of the City.

Trial of the case was set for August 17, 2015 in Riverside County Superior Court. A settlement in principle was reached shortly before the trial was set to commence, and it required several months to draft and negotiate the more than 100 page definitive settlement agreement.

Under the settlement and upon approval by the Federal Aviation Administration, Ontario International Airport will be transferred to a newly-created Ontario International Airport Authority. In return, Los Angeles would receive consideration totaling $262 million. After extensive negotiations, substantial employment protections were included in the agreement for City employees and City contractor employees.

The trial and the Kaye Scholer settlement team were led by Litigation partner Steven S. Rosenthal, and included partners Rhonda Trotter and Marc Cohen, associates Tracy Belton, Stephanie Fier, Oscar Ramallo, William Li, Melissa Raggi, attorneys Chris Gravell and Todd Wilson, and legal assistants Lisa Mammone, Ise Tiapula, Calvin Ketchum and John Reklaitis.