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American Airlines Sues City of Chicago Over O’Hare Gate Dispute

 |  May 6, 2025

American Airlines has launched a federal lawsuit against the City of Chicago, alleging the city breached a key agreement involving gate allocations at O’Hare International Airport. The legal action, filed in the U.S. District Court for the Northern District of Illinois, centers on accusations that the city has unfairly favored United Airlines in its decision to redistribute gate access.

According to a statement, American Airlines contends that Chicago’s plan to initiate a gate reallocation process this year directly violates a 2018 airline use and lease agreement. That pact, signed by the city and multiple airlines, including American, was crafted to ensure equitable gate assignments while guiding a sweeping modernization of O’Hare. At the core of American’s complaint is a provision that prohibits any gate reassignment until April 1, 2027—a condition the airline says the city is poised to disregard.

Per a statement, American claims the city, acting under pressure from United Airlines, is moving to give United five new gates while stripping approximately four from American. This shift, the lawsuit argues, would undermine American’s operational footprint at O’Hare and tilt the competitive balance in favor of United, a rival with longstanding ambitions to consolidate its dominance at the airport.

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The disputed gates are part of recent expansion efforts at Terminal 3, with the final gate opening as recently as March 2025. American asserts that under the agreement, these new gates are subject to a “gate space ramp-up period,” during which no changes to gate assignments should occur. The airline warns that the city’s move would prematurely cut short this period, depriving American of a fair chance to benefit from the additional infrastructure.

“Defendants, at United’s request, now want to proceed with the gate redetermination this year while the ramp-up period has only just begun, depriving American of its opportunity to earn its fair share of gates,” the company said in the court filing.

The lawsuit underscores broader tensions at O’Hare, one of the nation’s busiest aviation hubs, where American and United have historically operated as co-dominant carriers. American argues that the city’s current direction threatens this dual-hub model by giving United an unfair advantage.

As of now, city officials have not publicly responded to the lawsuit.

Source: USA Herald