Former partners Alitalia and KLM have begun a legal battle following the Dutch carrier's 28 April decision to terminate the alliance. Alitalia is claiming c250 million ($232 million) in damages, and KLM is counter-suing, saying it scrapped the deal because certain conditions, including Alitalia's privatisation, were not fulfilled.

The claims will be assessed by three arbiters, one Italian, one Dutch and one neutral, based in Amsterdam and applying Netherlands Arbitrage Institute procedure, but using Italian law. A second dispute concerns c100 million paid to Alitalia by KLM towards the new Milan Malpensa hub.

Source: Flight International