May 21, 2013

World Trade Center Properties LLC lost its bid to prevent American Airlines and its parent AMR Corp. (AAMRQ) from raising “act of war” as a defense to its alleged negligence in the Sept. 11, 2001, terrorist attacks.

U.S. District Judge Alvin K. Hellerstein in Manhattan denied the bid by the leaseholder of the twin 110-story towers in a May 17 ruling posted yesterday on the court’s docket. The buildings collapsed after hijackers flew an American Airlines jet into one and a United Airlines jet into the other.

The airlines promised Congress and the U.S. public they wouldn’t raise “act of war” to avoid paying claims, lawyers for the leaseholder, an affiliate of Silverstein Properties, argued in a February court filing.

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