Southwest Lawsuit Against San Antonio Dropped

A federal judge has dismissed Southwest’s lawsuit accusing the city of playing favorites in its allocation of gates at San Antonio International Airport.

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Southwest Airlines Boeing 737 airplanes at Dallas Love Field (Photo: Shutterstock | Markus Mainka)
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Key Takeaways:

  • A federal judge dismissed Southwest Airlines' lawsuit against San Antonio, Texas, which accused the city of favoring other airlines in allocating gates at the new Terminal C of San Antonio International Airport.
  • Southwest alleged the city reneged on a verbal agreement to give them 10 gates in the new terminal, calling it a "bait and switch" and claiming the process was flawed.
  • The judge found Southwest's argument insufficient to proceed, while the city maintained its gate decisions were based on airlines' needs (e.g., lounges), projected growth, and operational fit, such as baggage system capacity.
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A federal judge has dismissed Southwest’s lawsuit accusing the city of San Antonio, Texas, of playing favorites in its allocation of gates at San Antonio International Airport.

Judge Xavier Rodriguez on Friday granted the city’s motion to throw out the case after determining that Southwest did not make a strong enough argument to proceed.

The ruling was first reported on by KSAT-TV in San Antonio.

Southwest sued the city in 2024 after it allegedly reneged on an agreement to give the airline 10 of the 17 gates in the airport’s new $1.7 billion Terminal C, expected to be completed in or around 2028. The city wants to keep Southwest in a refurbished Terminal A, where it currently operates, though the carrier has complained that Terminal A is old, outdated, and too small to meet its needs.

It was not immediately clear if Southwest will accept its placement in Terminal A or seek another way of challenging the city’s decision. City officials have said Southwest is not considering withdrawing from the airport over the dispute.

‘Bait And Switch’

Southwest alleged that San Antonio’s director of airports, Jesus Saenz, verbally promised the airline gates in Terminal C, even though airport officials had no intention of giving the airline space in the new facility.

In its complaint, the carrier said it had fallen victim to a “bait and switch” scheme. It also said the entire process of allocating gates at San Antonio International Airport was flawed and weighted in favor of larger rivals, a violation of the federal law that deregulated U.S. airlines.

City officials denied Southwest’s claims and maintained their decision was based on the needs and requests of the airlines that serve San Antonio, as well as their projected growth and “fit” with the market.

Delta, American, and United requested space for airline clubs, the city said, and the footprint of Delta and American’s clubs meant they had to be located in Terminal C. Those allocations reduced room for other carriers, and the airport determined that adding Southwest to Terminal C would overwhelm the facility’s baggage system and security checkpoints.

Southwest does not currently have lounges and did not request space for one in San Antonio.

Zach Vasile

Zach Vasile is a writer and editor covering news in all aspects of commercial aviation. He has reported for and contributed to the Manchester Journal Inquirer, the Hartford Business Journal, the Charlotte Observer, and the Washington Examiner, with his area of focus being the intersection of business and government policy.
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