Southwest Airlines Co. v. Transp. Sec. Admin.

Southwest Airlines Co. and 18 other airlines alleged that the TSA's determination of their year 2000 costs was arbitrary and capricious for purposes of the Administrative Procedures Act, 5 U.S.C. 500 et seq. At issue was whether the TSA should have relied on the Simat, Helliesen & Eichner, Inc. report (SH&E report) commissioned by the TSA or, at least, should have more fully explained why it rejected the conclusions of the Campbell Aviation Consultants report (Campbell report) submitted by the airlines. The court held that the TSA's determination was not arbitrary or capricious when the TSA chose the SH&E report with good reason where it sent a letter to each airline stating that it had thoroughly reviewed the Campbell report and concluded that the report was insufficient due to its limited data and broad, simplistic methodologies and the letter also explained SH&E's more extensive methodology. The court also discussed and disposed of the three other arguments the airlines raised. Accordingly, the court denied the airlines' petitions for review. View "Southwest Airlines Co. v. Transp. Sec. Admin." on Justia Law