Airbus and Qatar Airways to meet in UK court
2022.12.16 06:51
Airbus and Qatar Airways to meet in UK court
Budrigannews.com – In the midst of a glimmer of hope that high-level contacts on the sidelines of the soccer World Cup might yield a breakthrough, Airbus and Qatar Airways began the latest in a series of London court hearings on a bitter business and safety dispute on Friday.
The dispute over Qatar’s grounded A350 jetliners’ lightning protection and painted surface damage has resulted in unprecedented cancellation of large-scale orders and public conflict between two of aviation’s largest players.
In advance of a rare corporate trial scheduled for June, Friday’s hearing in a division of the High Court is a procedural one. However, previous hearings have frequently seen disagreements over the core dispute, whose combined claims exceed $2 billion.
The most recent court battle occurs as France advances to the World Cup final in Qatar, resulting in an increase in high-level contacts that were previously viewed as an opportunity to investigate potential areas of agreement. There are no indications of a settlement so far.
According to Qatar News Agency, officials, including Qatar Airways Chief Executive Akbar Al Baker, greeted French President Emmanuel Macron at the airport in Doha upon his arrival for Wednesday’s semi-final. He will also attend the final on Sunday.
Although some diplomats have stated that politics may influence the outcome, the welcome given by Al Baker in his capacity as minister of tourism is thought to indicate that the dispute is between businesses rather than affecting strong diplomatic ties.
During Macron’s previous visit to Doha in December, Reuters reported that the dispute had come to the attention of the leaders of France and Qatar.
One person with knowledge of the case stated, “Every time there is contact there is an opportunity to improve the atmosphere,” while others cautioned that the two sides remain far apart.
Qatar Airways claims that the jets’ extensive paint cracking has revealed deeper surface damage, necessitating a halt in deliveries. Over the course of the past year, the national regulator of Qatar grounded at least 29 jets due to safety concerns.
Airbus has acknowledged that its premier long-haul model has quality issues, but it denies that there is a risk to safety. Additionally, the company has canceled all new business with Qatar Airways, which has increased purchases from rival Boeing (NYSE:).
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The judge is appealing to both sides on Friday to narrow the issues and Airbus is calling for the trial to be split into two parts, so Friday’s hearing is expected to focus on the timing and workload of what amounts to a corporate divorce trial.
In addition, the two sides are at odds over how to interact with regulators and who can access documents. Boeing has intervened to prevent its archrival from accessing maintenance records and contracts.
