Caesars Entertainment Operating Co.’s plan to offer chartered flights to its casinos has flown off course and into a multimillion-dollar legal storm.
Charter operator Aerodynamics Inc. of Michigan filed a $12 million lawsuit in July accusing Caesars, a former executive of a Caesars subsidiary and a charter competitor of stealing trade secrets and breaching a three-year contract worth $85 million.
On Tuesday, U.S. District Court Judge Jennifer Dorsey of Nevada granted Aerodynamics and its parent company, ADI Holdings of Georgia, a partial preliminary injunction in the case, saying the business “is likely to succeed on the merits of its breach of contract and misappropriation claims” and that it could suffer “irreparable harm” without the injunction.
The injunction was “a significant and extraordinary remedy” chosen before any discovery in the case, said ADI’s attorney, Dana Hobart, of the Los Angeles law firm of Hobart Linzer. That means the order was based solely on the merits of ADI’s claims.
The order prohibits the acquisition, use or disclosure of any of ADI’s proprietary information. It applies to former Caesars executive Steven Markhoff; his current business, International Management Solutions; charter-service providers Via Air and Via Airlines; and Via Air Chairman Amos Vizer.