FlyerTalk Forums - View Single Post - Alaska Airlines, Richard Branson Clash Over VX Licensing Fees
Old Mar 30, 2017, 11:02 am
  #7  
sfozrhfco
 
Join Date: Apr 2003
Programs: B6 Mosaic, Bonvoy LT Titanium (x SPG LT), IHG Spire, UA Silver
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Originally Posted by selkirks
The idea that Alaska would be required to keep paying licensing fees for the Virgin name post-merger is so positively Trump-ian that it isn't really worthy of serious conversation. And the assertion that Alaska should value the "Virgin" brand? When it requires a $10 million annual fee to keep, and "Alaska Airlines" is free? What?

Hmmm...
It all comes down to what the contract says. VX has a contract to pay the fee through 2040 which AS has now taken over. If there are ways to get out of it that both sides agree to do that, then fine. If not, then the courts will resolve it if it is worth the time and money to do so.
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