CONTRACT LAW—INTERPRETATION OF 'UNITED STATES'—EIGHTH CIRCUIT HOLDS THAT SETTLEMENT AGREEMENT FOR 'UNITED STATES' TRAVEL AGENTS EXCLUDES AFFECTED AGENTS IN PUERTO RICO AND THE U.S. VIRGIN ISLANDS: AMERICAN SOCIETY OF TRAVEL AGENTS V. UNITED AIRLINES, I

摘要

With the revolution of the Internet, we have quickly seen the death of the travel agent. The nostalgic time of contacting your travel agent to obtain discounted fares has been replaced with a variety of airline sponsored Internet specials. As a result, major airlines have virtually eliminated commissions paid to travel agents for travel within the continental United States, Alaska, Hawaii, Puerto Rico, and the U.S. Virgin Islands, thereby obliterating the travel agency industry. Consequently, the American Society of Travel Agents (ASTA) spearheaded a class action against the airlines alleging violations of antitrust principles. The suit was settled just prior to trial, with an $86 million settlement fund to be distributed to those class members affected by the commission reduction.