Nearly a month after delaying its launch yet again, Canada Jetlines is now suing WestJet Airlines co-founder David Neeleman in the U.S., alleging interference in the ULCC’s bid to begin flying.
The Canadian Press reported that Canada Jetlines has launched legal proceedings against Neeleman, DGN Corp. and Breeze Aviation Group, for “tortious interference with business expectancy and violation of the Connecticut Unfair Trade Practices Act,” alleging Neeleman and his affiliates embarked on “a predatory scheme” to destroy the relationship between Jetlines and an international investment bank that ultimately blocked the fledgling carrier from procuring sufficient capital.
The allegations have not been proven in court.
In late October, Canada Jetlines announced that it was postponing its December launch and would be laying off most employees after failing to secure the $40 million in required financing and losing investment partners.
Don't miss a single travel story: subscribe to PAX today!