According to the Complaint, Southwest Airlines Co operates a passenger airline that provides scheduled air transportation services in the U.S. and near-international markets. Southwest is regulated by, among other government entities, the FAA, which is a sub-agency of the DOT that regulates civil aviation in the U.S. and its surrounding international waters.

The Complaint alleges that throughout the Class Period, Defendants made materially false and misleading statements regarding the Company’s business, operations and compliance policies. Specifically, the Complaint alleges Defendants made false and/or misleading statements and/or failed to disclose that: (i) Southwest’s operations were non-compliant with government maintenance and safety regulations; (ii) the foregoing issues were exacerbated by Southwest’s undue influence over FAA officials and, consequently, lax regulatory oversight of the Company’s operations; (iii) all of the foregoing significantly increased the safety risks to passengers traveling on Southwest flights and heightened governmental scrutiny into the Company; and (iv) as a result, the Company’s public statements were materially false and misleading at all relevant times.

On May 18, 2020, the Court issued an Order appointing Lead Plaintiff and Counsel. Lead Plaintiff filed a consolidated Complaint on July 2. Defendants filed Motions to Dismiss the consolidated Complaint on August 17 and October 21.

The case was stayed pending a ruling on the Motions to Dismiss on December 10, 2020.

On September 19, 2023, the Court issued an Order granting Defendants' Motions to Dismiss. Plaintiffs were given leave to amend the Complaint. Plaintiffs notified the Court that they did not intend to amend their Complaint, and on October 5, 2023, the Court entered judgment and dismissed the claims with prejudice.