Durham Tees Valley Airport wins Bmibaby legal case

09/05/2010

By Nick Jones.

Durham Tees Valley Airport could be set to receive compensation from Bmibaby after the carrier terminated its contract with the facility four years ago.

According to the airport, which is operated by the Peel Airports Group, the airline caused it to incur losses of up to £12 million by pulling two aircraft from its Durham Tees Valley operation.

Appeal court judges ruled the company was in breach of contract by not basing the two aircraft exclusively at the north-east hub until at least 2014.

The airline is also now liable for around £1 million in legal fees.

Neil Pakey, deputy chief executive for Peel Airports, labelled the case "unique".

Meanwhile, group airports director Hugh Lang added: "The action of Bmibaby in withdrawing their services was totally avoidable and while we found it regrettable to sue our former airline partner they had left us with no alternative."

In other news, a new franchise agreement between Aer Lingus and Aer Arann saw a new route between Durham Tees Valley Airport and Dublin take off for the first time in March.