Airport panel suit tossed out by judge; Court rules it has no jurisdiction in case

U.S. District Judge Susan Webber Wright on Tuesday dismissed a lawsuit challenging the Little Rock Municipal Airport Commission's selection of a company that, for a fee, will offer registered travelers speedier passage through airport security.

In April, the commission chose Clear Registered Traveler over the FLO Corporation from among three companies that responded to the commission's request for proposals. Little Rock National Airport, Adams Field, was one of 10 airports designated by the Transportation Security Administration to offer the program, which requires pre-screened travelers to pay a $99.95 annual membership fee to participate. The program targets frequent business travelers.

After an hour-long hearing, Wright said she lacked the jurisdiction to hear the case. First of all, Wright said she knew of no Arkansas judge ever ordering an entity to award a contract to a specific company. Second, she said, FLO wasn't able to successfully argue that the case would cost the company in excess of $75,000 in damages.

The commission's decision to select Clear gave the company merely the opportunity to negotiate a contract rather than be awarded the contract, Clear's attorneys said. A FLO attorney said the contract could be worth millions of dollars.

Clear is headed by Steven Brill, who started Court TV, among other media projects. Brill attended Wednesday's court hearing.

FLO filed its lawsuit in federal court in Little Rock on June 4, alleging that the commission allowed Clear officials to review FLO's proposal before oral interviews by the commission April 11. The "improper disclosure" hurt FLO because it gave Clear an "exclusive, `inside' view of the competition" prior to its oral interview, according to the lawsuit. Clear "used this confidential information to highlight comparative strengths and downplay comparative weaknesses of its proposal." FLO asked Wright to reverse the commission's award and give the contract to FLO or redo the selection process without Clear participating.

Clear, in court documents, called FLO's proposed relief "extraordinary" and said rather than a wrongful disclosure, the commission's release of the documents came after a "routine" request for the material under the Arkansas Freedom of Information Act. Airport officials granted the request after providing notice to FLO and after FLO didn't object, Clear said.

This article was published 06/13/2007

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