American Airlines is currently defending several high-profile lawsuits, the largest being wrongful death litigation over the January 2025 Reagan National midair collision that killed 67 people. Other active matters include a $36 million racial discrimination and fraud suit brought by former cadet pilots, an EEOC disability discrimination case, a passenger’s negligence claim over an in-flight assault, and a Texas contract dispute with JetBlue tied to the court-ordered unwinding of the two airlines’ Northeast Alliance. A racial discrimination suit filed by Black passengers removed from a 2024 flight settled in late 2024, and a securities class action was dismissed with prejudice in November 2025.
Reagan National Midair Collision Wrongful Death Litigation
On January 29, 2025, American Eagle Flight 5342, operated by PSA Airlines on behalf of American Airlines, collided with a U.S. Army Black Hawk helicopter on approach to Ronald Reagan Washington National Airport. All 67 people aboard both aircraft were killed.1CNN. Midair Collision Lawsuit
A master complaint was filed on behalf of victims’ families in the U.S. District Court for the District of Columbia, before Judge Ana C. Reyes, naming American Airlines, PSA Airlines, and the U.S. government. At least one family filed a separate $200 million federal tort claim against the FAA and the U.S. Army under the Federal Tort Claims Act.2ABC News. Army, FAA Admit Failures in Deadly Mid-Air Crash3Law Commentary. $200 Million Claim Filed Against FAA and US Army Over American Airlines Flight 5342 DC Crash
In a 209-page filing on December 17, 2025, the U.S. government admitted it “owed a duty of care to Plaintiffs, which it breached, thereby proximately causing the tragic accident.” The government conceded that a Reagan National air traffic controller failed to comply with FAA regulations on visual separation and notification of converging aircraft, and that the Black Hawk pilots failed to maintain vigilance. The government also asserted that pilots of both aircraft “failed to maintain vigilance so as to see and avoid each other.”2ABC News. Army, FAA Admit Failures in Deadly Mid-Air Crash
American Airlines and PSA Airlines moved to dismiss, arguing PSA operated the flight as a separate entity and that the Federal Aviation Act gives the federal government exclusive control over aviation safety. On February 27, 2026, Judge Reyes denied the motions. She noted that “ticketing, airport lounges, the logo on the plane, flight attendant uniforms and baggage claim all carry the American Airlines name,” concluding that “any rational human would understand that all steps of the air travel process go through American Airlines.”4WSAW. Judge Declines to Dismiss American Airlines DCA Crash Lawsuit A jury trial is set for April 2027.5AVweb. Judge Sets 2027 Trial in DC Collision Case
Cadet Academy Discrimination and Fraud Suit
On December 16, 2025, eighteen former student pilots filed a $36 million lawsuit against American Airlines, American Airlines Group, Coast Flight Training and Management, and the American Airlines Federal Credit Union in the U.S. District Court for the Southern District of California. The case, Anderson et al. v. American Airlines, Inc. et al., alleges fraud, racial discrimination, and what the plaintiffs describe as “reverse redlining.”6GlobeNewsWire. Sanford Heisler Sharp McKnight Files $36 Million Lawsuit on Behalf of Eighteen Student Pilots
All plaintiffs are people of color. The complaint alleges the American Airlines Cadet Academy was marketed as a 12-month pipeline to a commercial pilot career, with all-inclusive costs capped around $110,000 to $120,000, frequent flight training, and mentorship. Cadets instead faced higher costs, longer timelines, limited training, and no meaningful mentoring, according to the complaint. Students took out loans of $52,000 to $120,000 through the American Airlines Federal Credit Union.7Courthouse News. Flight Path Denied: Former Cadets Sue American Airlines Over Racial Discrimination, Fraud
Coast Flight staff subjected cadets to a hostile environment and used racially derogatory language, including “ghetto,” “dirty,” “aggressive,” and “tiny-brained,” the complaint alleges. Non-white cadets were more than three times as likely to be removed or forced to resign as white peers, and fourteen plaintiffs were allegedly terminated for pretextual reasons.8San Diego Union-Tribune. $36 Million Suit Alleges Unmet Promises, Discrimination at American Airlines Academy in San Diego Claims are brought under 42 U.S.C. § 1981, Title VI of the Civil Rights Act, RICO, the Equal Credit Opportunity Act, California’s Unruh Civil Rights Act, California consumer protection laws, the Texas Deceptive Trade Practices Act, and common law fraud and defamation.9GlobeNewsWire. Sanford Heisler Sharp McKnight Files $36 Million Lawsuit
American Airlines has called the allegations “without merit.”10Courthouse News. Flight Path Denied The credit union was terminated as a defendant in April 2026. American Airlines and Coast Flight each filed motions to dismiss the amended complaint in May 2026, and American Airlines also moved to change venue. Those motions are pending before Judge Cynthia Bashant.11PACER Monitor. Anderson et al v. American Airlines, Inc. et al
EEOC Disability Discrimination Lawsuit
On September 29, 2025, the U.S. Equal Employment Opportunity Commission sued American Airlines in the U.S. District Court for the Northern District of Texas under the Americans with Disabilities Act. The case, U.S. EEOC v. American Airlines, Inc. (No. 4:25-cv-01056-P), concerns Etha K. Littlejohn, a reservations representative hired in January 2012 who developed cortical blindness after an injury in July of that year.12EEOC. EEOC Sues American Airlines for Disability Discrimination
Littlejohn asked to return to work in December 2016 with a part-time schedule and use of JAWS, a screen reader that converts on-screen text to synthesized speech, or a transfer to another position. The EEOC alleges American Airlines kept her on involuntary unpaid leave for nearly four years without providing any accommodation, then fired her in October 2020. The complaint asserts failure to provide reasonable accommodation and discriminatory discharge based on disability.13ALM. EEOC v. American Airlines Complaint The EEOC has asked the court for permission to inspect American Airlines’ software systems to test compatibility with screen readers; American Airlines filed a motion for a protective order in April 2026.14Law360. EEOC Urges Court to Let It Inspect American Airlines Systems
Flight 832 Racial Discrimination Suit (Settled)
In January 2024, eight Black men who did not know each other and were not seated together were ordered off American Airlines Flight 832 from Phoenix to New York’s John F. Kennedy International Airport. A white male flight attendant had complained about an unidentified passenger’s body odor, and the airline removed all eight men. None were told they personally had body odor. One airline representative did “not disagree” when the passengers suggested they had been targeted because of their race, according to the later lawsuit.15OPB. American Airlines Faces a Discrimination Suit After Removing 8 Black Men From Flight All eight were eventually allowed to reboard after the airline determined no other flights were available.16Houston Public Media. American Airlines Faces a Discrimination Suit After Removing 8 Black Men From Flight
Three passengers filed Jackson et al. v. American Airlines in the Eastern District of New York on May 29, 2024, alleging “blatant and egregious racial discrimination” under 42 U.S.C. § 1981.17Public Citizen. Jackson v. American Airlines The parties settled quickly, and plaintiffs voluntarily dismissed the case on December 19, 2024. Financial terms were confidential; the settlement includes a commitment by American Airlines to take steps to prevent discrimination in the future, and the airline fired the flight attendants involved.18Washington Post. American Airlines Discrimination Lawsuit Body Odor
Passenger Assault Negligence Suit
On May 5, 2026, Palm Beach County resident Walter Loughney sued American Airlines in Florida federal court over an incident on May 16, 2024. Loughney was seated in 18D on Flight 2485 from Palm Beach to Charlotte when his seatmate, Allisen Elizabeth Werner, began what the complaint calls “erratic and emotionally unbalanced behavior,” including loud singing and bellowing. Loughney says he asked to change seats multiple times but was told none were available. Werner then allegedly “struck him with punches, and severely beat him,” causing head and brain injuries, while a flight attendant standing within arm’s reach did not intervene.19People. American Airlines Passenger Sues Company After He Was Allegedly Beat by Seatmate
Werner was arrested on landing, indicted on two counts of assault in February 2025, and formally charged the following month. She failed to appear for a November 2025 court date and was marked a fugitive.20AOL. American Airlines Passenger Sues Carrier Loughney’s initial complaint was dismissed without prejudice on May 6, 2026, for failing to clarify his citizenship for diversity jurisdiction. He filed an amended complaint on May 12, and American Airlines answered on May 28. A jury trial before Judge Aileen M. Cannon is scheduled for June 14, 2027.21PACER Monitor. Loughney v. American Airlines, Inc.
JetBlue Contract Dispute After the Northeast Alliance Ruling
In 2021 the U.S. Department of Justice and seven states sued American Airlines and JetBlue Airways, alleging their Northeast Alliance joint venture, which coordinated schedules, revenue sharing, and operations at Boston and New York airports, violated Section 1 of the Sherman Act. After a 2022 trial, the district court agreed, finding the alliance reduced competition, cut capacity, and limited consumer choice. In November 2024 the First Circuit affirmed, finding the anticompetitive harms were “at its core” and outweighed procompetitive benefits. The injunction bars American Airlines from continuing the alliance or entering any substantially similar arrangement.22Justia. US v. American Airlines Group Inc., 23-1802
Unwinding the alliance generated a new fight. American Airlines sued JetBlue in the Business Court of Texas, alleging breach of the Mutual Growth Incentive Agreement, the profit-sharing component of the former alliance, and claiming JetBlue owes money under the agreement’s reconciliation and payment process. JetBlue challenged Texas jurisdiction, citing a New York forum-selection clause and arguing that its Texas contacts accounted for only about 2% of MGIA revenue. On February 19, 2026, the court denied JetBlue’s challenge, noting that even 2% of the “mega-revenue” the alliance generated was substantial profit derived from Texas operations.23Texas Courts. American Airlines, Inc. v. JetBlue Airways Corporation, 25-BC08A-007 The dollar amount at stake has not been publicly disclosed. The case remains pending.
Securities Class Action (Dismissed)
Investors filed a securities class action against American Airlines Group in the Northern District of Texas in July 2024, alleging the company misled shareholders about a new sales and distribution strategy. The consolidated case, Qawasmi v. American Airlines Group Inc., et al. (No. 4:24-cv-00673-O), covered a class period from January 25 through May 28, 2024, and claimed positive public statements about the strategy’s cost savings and demand were paired with concealment that revenue projections were being missed.24Stanford Law School Securities Class Action Clearinghouse. American Airlines Group Inc. Securities Litigation
On November 15, 2025, Judge Reed C. O’Connor granted the defendants’ motion to dismiss and dismissed all claims with prejudice. Final judgment was entered November 18, 2025, ending the case with no recovery for investors.25Kessler Topaz. American Airlines Group Inc.