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WTO Sets Up Panel Amid Airline Subsidy Battle

Law360 (May 10, 2006, 12:00 AM EDT) -- In a dispute that is turning into a complicated and expensive legal battle, the World Trade Organization set up a fourth panel on Tuesday to hear U.S. allegations that the airplane manufacturer Airbus is receiving illegal backing by European governments.

The U.S., which requested that the WTO launch an investigation, claimed Airbus took in millions in illicit launch aid, development financing, contributions and debt relief from the European Union and many of its member states.

Although the E.U. thwarted the first panel request by the U.S.,...
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