Southwest Airlines Files Lawsuit Against San Antonio Over Terminal C

A busy airport terminal representing Southwest Airlines and other airlines

News Summary

Southwest Airlines intensifies its legal battle with the City of San Antonio over the new Terminal C at the international airport. The airline claims that misrepresentations by city officials have unfairly favored other airlines in gate assignments, leading to higher costs and limitations on Southwest’s operations. Recent updates to the lawsuit highlight concerns over subjective selection processes that allegedly prioritized business-focused airlines, leaving leisure-based carriers like Southwest out of the new terminal. Legal proceedings are set for late April, amidst accusations of wrongdoing and a quest for damages.

San Antonio’s Airport Tensions Heat Up: Southwest Airlines Takes Legal Action

In an unexpected twist in the ongoing saga between Southwest Airlines and the City of San Antonio, the airline is intensifying its legal fight over the soon-to-be-built Terminal C at the San Antonio International Airport. Things have gotten serious, folks, with Southwest claiming there was a promise made regarding airport gates that, according to them, the city never had any intention of honoring. Talk about a shake-up!

Allegations Fly: Misleading Information and Gate Assignments

In a hefty 44-page lawsuit filed recently, Southwest outlines some juicy allegations, including claims that city officials misled them throughout negotiations. The airline argues that documented evidence and witness statements prove that gate assignments in the new terminal are based on subjective preferences. Essentially, it sounds like the city has a type – and it’s not Southwest.

The airline states that the selections made for gates appeared to favor airlines based on various passenger profiles. Factors like whether travelers are business-focused or leisure-loving, and whether airlines offer budget options or premium services, played a part in who got the coveted spots in Terminal C. This subjective method ultimately kept Southwest from being included in the shining new terminal that’s set to cost a whopping $1.7 billion!

Stuck in Terminal A: The Cost of Exclusion

As a result of this situation, Southwest, which is the largest airline in San Antonio, has found itself stuck in the older Terminal A. They’ve been operating on a month-to-month lease, paying higher costs because they chose not to sign a long-term lease agreement last fall. It seems like they were hoping to negotiate for a more stable, lucrative deal, but those hopes took a hit when they were snubbed for the new terminal.

New Developments: The Legal Complaint Grows

On February 27, 2025, Southwest updated its complaint against the city with some new evidence that they believe shows airport officials were clearly favoring airlines geared toward business travelers. Their updated legal argument highlights city documents that suggest officials kept plans to confine Southwest to Terminal A under wraps during negotiations. Talk about a sneaky move!

This concealment, Southwest’s attorneys argue, robbed them of the chance to secure necessary funding for improvements needed in Terminal A. Meanwhile, the city is staunchly denying any wrongdoing, insisting their gate assignment process was both fair and legally sound. The city’s attorneys claim Southwest’s assertions hold no merit, so tensions are running high.

Comfort for Other Airlines: A Secure Future in Terminal C

To complicate matters further, seven other airlines have already entered into a 10-year agreement regarding their gate assignments at Terminal C. This situation showcases a clear divide: while certain carriers have secured their spots, Southwest feels left out in the cold. They argue that internal city documents indicate a prioritization of amenities for those catering to business travelers, leaving leisure-focused carriers like Southwest in a lurch.

What Lies Ahead?

The escalating conflict reached new heights after Southwest was officially denied access to space in Terminal C. The airline insists that its passenger demographic got an unfair label of being an inappropriate fit for the elite new facilities. With plans to enhance passenger experiences and keep pace with airport growth, the terminal is expected to feature a grand total of 17 gates by mid-2028.

Southwest currently operates around 400 weekly departures from San Antonio, significantly overshadowing competitors like American Airlines, United, and Delta. Yet, accusations are flying regarding a potential “bait and switch” tactic implemented by the city to rush the approval process of the new airport agreement without allocating sufficient funding for renovations in Terminal A.

As the dust settles, Southwest is pursuing damages for the alleged misrepresentation by the city and plans to challenge the gate assignment terms in federal court with hearings already penciled in for late April. The stakes are high, and all eyes will be on how this drama unfolds!

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STAFF HERE SAN ANTONIO WRITER
Author: STAFF HERE SAN ANTONIO WRITER

The SAN ANTONIO STAFF WRITER represents the experienced team at HERESanAntonio.com, your go-to source for actionable local news and information in San Antonio, Bexar County, and beyond. Specializing in "news you can use," we cover essential topics like product reviews for personal and business needs, local business directories, politics, real estate trends, neighborhood insights, and state news affecting the area—with deep expertise drawn from years of dedicated reporting and strong community input, including local press releases and business updates. We deliver top reporting on high-value events such as Fiesta San Antonio, San Antonio Stock Show & Rodeo, and Dia de los Muertos. Our coverage extends to key organizations like the Greater San Antonio Chamber of Commerce and United Way of San Antonio and Bexar County, plus leading businesses in retail, insurance, and energy that power the local economy such as H-E-B, USAA, and Valero Energy. As part of the broader HERE network, including HEREAustinTX.com, HERECollegeStation.com, HEREDallas.com, and HEREHouston.com, we provide comprehensive, credible insights into Texas's dynamic landscape.

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