California Attorney General Joins Lawsuit To Stop Proposed JetBlue-Spirit Merger

By Tom Joyce | The Center Square contributor, The Center Square California

April 3, 2023

(The Center Square) - California Attorney General Rob Bonta recently joined a multistate coalition spearheaded by the U.S. Justice Department in a lawsuit opposing the proposed merger of Spirit and JetBlue airlines.

The lawsuit says the proposed merger violates the Clayton Act because it could reduce competition.

It is the second antitrust lawsuit filed against JetBlue since 2021. In September 2021, Attorney General Bonta joined the U.S. Justice Department and six other attorneys general in filing a lawsuit against American Airlines and JetBlue. Back then, they opposed a joint venture between the two companies known as the Northeast Alliance.

“Fewer flights. More expensive tickets. Lower quality service. That’s what happens when competition is eliminated from the market for air travel,” Attorney General Bonta said in a press release. “As the people's attorney, I am committed to fighting for a fair and competitive economy – and I won't stand by when a proposed merger threatens to further eliminate consumer choice and drive up prices. We need more options and higher standards, not less.”

As Bonta’s office points out, Spirit and JetBlue are competing airlines that have planes flying the same routes.

“If the proposed merger were approved, JetBlue would eliminate Spirit, its largest and fastest growing competitor in the low fare segment, reducing available seats and leading to an increase in fares,” Bonta’s office wrote in the release.

“Consumers saw the impact of airline consolidation on price and quality first-hand following the American-U.S. Air merger and Alaska Airline’s acquisition of Virgin America,” the release continues. “JetBlue’s plan would further eliminate competition by removing from the market a competitor that causes other airlines to lower their fares. Tens of millions of travelers will face higher fares and fewer options. This includes travelers in California, particularly on the Los Angeles to Miami route.”

Other than the U.S. Justice Department and California, Massachusetts, New York, the District of Columbia, Maryland, and New Jersey have joined the lawsuit.

A copy of the complaint is available here.

The focus of the work of The Center Square California is state and local-level government and economic reporting that approaches stories with a taxpayer sensibility.