American, United Airlines Seek Full Protection Against Lawsuits

Fearing an avalanche of lawsuits that could drive them into bankruptcy, airlines whose planes were used in Tuesday’s terrorist strikes are lobbying Congress for blanket protection from legal liability.

Aides to key lawmakers said Thursday they are likely to reject the request for a complete liability shield, but are considering carving out some protection to keep the companies afloat.

United Airlines and American Airlines--whose planes were hijacked and used as missiles in this week’s attacks--are pushing for the protection. Both companies could face lawsuits from thousands of the relatives of those who perished on the flights.

The airlines fear suits could come not just from the families of victims, but also from companies with offices in the World Trade Center whose businesses have been crippled.

One compromise under discussion would cap damage awards available to families of victims who were not passengers on the planes, said Mark Buse, a top aide to Sen. John McCain (R-Ariz.), the ranking Republican on the Senate Commerce Committee, which oversees the airline industry.

Under the proposal, the families of passengers would have an unfettered right to sue, as provided under existing law.

“The airlines are very concerned that their liability, when you look at all the people involved, would be huge,” Buse said. “It is not hard to imagine that both airlines would be put out of business completely.”