K&L Gates has many lawyers with wide-ranging transportation project experience across all modes and legal expertise. We also provide our transportation industry clients with a broad range of related services, including construction law, environmental law, insurance coverage law, governmental affairs, labor and employment law, municipal law, public and private finance, mergers, acquisitions and other corporate, real estate and international transactions.

Transportation Modal Capabilities

• Air
• Freight Rail
• Highways
• Motor Carriers
• Passenger Transportation 
• Suppliers and Service Companies 

General Areas of Experience

• Asset and Stock Transactions
• Environmental and Land Use
• Hazardous Materials Transport
• Infrastructure Finance
• Insurance Coverage
• Labor and Employment
• Logistics
• Railroad Safety

Transportation Modal Capabilities

Air
We have significant experience in all aspects of aircraft (and other equipment) financing, leasing, including finance, leveraged and operating leases, as well as chartering and in providing related regulatory and tax advice. Many of the transactions  have a significant international element to them with the consequent legal and tax implications and we frequently advise on the structuring of such transactions. Our lawyers have advised almost all the major aircraft financiers and many international operators.

We have long represented domestic and international airlines on antitrust and competition law matters ranging from mergers, acquisitions and joint ventures to civil and criminal cartel and market dominance investigations and related litigation. We also have litigated on behalf of airline clients to obtain international route rights and to contest airport fees. Our clients have also included equipment lessors, equipment lessees, owner trustees, owner participants, financiers, maintenance providers and ground services providers. On an international basis, we also advise on the organization and structuring of leasing subsidiaries of foreign leasing companies.

Freight Rail
K&L Gates has represented a variety of clients in matters related to railroads and railroad operations. These matters include the following:

• Corporate, antitrust and regulatory aspects of railroad mergers and railroad asset and stock acquisitions;
  
  
• Commercial disputes with other railroads or shippers before the Surface Transportation Board (STB), in arbitration and in the courts;
  
  
• Car hire arbitrations;
  
  
• STB regulatory matters, including railroad mergers, line purchases by non-carriers and carriers, the applicability and scope of mandatory labor protection, line abandonments, trackage rights discontinuances and control transactions;
  
  
• Disputes with state and local governments over land use, zoning and development issues;
  
  
• Railway Labor Act arbitrations and representation disputes;
  
  
• Car service, routing, bill of lading requirements and the scope and applicability of commodity exemptions;
  
  
• STB rail line construction requirements (including the National Environmental Policy Act requirements) and railroad crossing disputes; and
  
  
• Rail-highway crossing proceedings.

Highways
.K&L Gates lawyers include a former chief counsel of the Federal Highway Administration, a former chief counsel of a major toll highway, and former state transportation department lawyers. Their experience includes all aspects of highway, bridge and tunnel design, finance, tolling, construction, operation, and maintenance. This experience includes experience with both traditional and innovative approaches to private sector participation in all phases of the highway development and operation process. The firm's lawyers have in-depth experience in all aspects of the project development and procurement process, including the often complex issues arising from eminent domain and construction claim litigation. 

Specific examples of the experiences of K&L Gates lawyers in this area include the following:

• Working with the Federal Highway Administration and state transportation departments on various statutory and regulatory issues;
  
  
• Obtaining state and local highway access and occupancy permits;
  
  
• Representing clients in eminent domain proceedings and related relocation matters;
  
  
• Litigating claims arising in highway construction; 
  
  
• Representation in bid protests and other public procurement process disputes;
  
  
• Toll road development, including bill drafting, financing, enactment of toll tariffs and electronic toll collection arrangements;
  
  
• Operating and maintenance agreements;
  
  
  
• Assisting clients in obtaining public funding for highway improvement projects; and
  
  
• Developing a public/private transportation partnership under state law.

Motor Carriers
K&L Gates lawyers have a range of experience related to trucking companies and bus lines, both as private practitioners and, in several cases, as government lawyers prior to joining the firm. The work of these lawyers has included the following practice and subject areas:

• Vehicle registration, weight restrictions, and permitting of oversize and overweight vehicles;
  
  
• Motor carrier safety regulations;
  
  
• Interstate transportation of hazardous materials;
  
  
• International transport of goods generally and in connection with issues raised by the North American Free Trade Agreement (NAFTA);
  
  
• Environmental liabilities associated with fuel storage tanks on motor carrier property, storm water runoff on such property, and other on-site environmental compliance issues;
  
  
• Licensing of contract carriers of property by state regulatory bodies;
  
  
• Licensing and general representation of common carriers of property and common carriers of passengers (bus, limousine, cabs and paratransit providers) in proceedings before state regulatory bodies; and
  
  
• Antitrust litigation and counseling.

Passenger Transportation 
K&L Gates lawyers represent public transit systems and private sector suppliers, contractors and architects and engineers on a variety of projects and matters, including:

• Acquisition and use of railroad rights-of-way and contract operating rights for state-sponsored intercity, commuter rail or other rail passenger transportation in the United States, the United Kingdom and Continental Europe;
  
  
• Negotiation with the National Railroad Passenger Corporation (Amtrak) regarding licensing and operating rights;
  
  
• Passenger rail privatizations and public-private partnerships in the United States and the United Kingdom;
  
  
• Transit vehicle and equipment acquisitions and leases and related financing and tax matters;
  
  
• Rail infrastructure construction contracting, administrative and dispute resolution in the United States and the United Kingdom and related financing and tax matters;
  
  
• New starts funding criteria and the scope and applicability of cross-cutting federal requirements triggered by receipt of federal funding under the Federal Transit Act;
  
  
• FTA third-party procurement compliance and cross-cutting requirements such as Davis Bacon Act and Buy America;
  
  
• Outsourcing of operation and maintenance of transit, paratransit and other services;
  
  
• Advice and representation with respect to transit-oriented development and revenue contracts;
  
  
• Advice on corporate governance, compliance, conflicts of interest and ethics;
  
  
• Interlocal and intergovernmental agreements;
  
  
  
• Scope and applicability of the railroad safety laws and regulations administered and enforced by the Federal Railroad Administration (FRA);
  
  
• The scope and applicability of the ICC Termination Act (ICCTA), the Railway Labor Act (RLA), the Railroad Retirement Act (RRA), the Railroad Unemployment Insurance Act (RUIA) and other federal railroad laws on transit systems and industry service companies and contractors; and
  
  
• Preparation and approval of system safety program plans and compliance with the FTA/FRA policies regarding jurisdiction over shared-use rail operations. 

Contractors, Suppliers and Service Companies
K&L Gates represents manufacturers of transportation vehicles and equipment and contractors, suppliers, architects and engineers and service companies in both prime and subcontracting positions. The familiarity of the firm's transportation lawyers with federal safety requirements and railroad regulatory and labor laws complements this practice

Our representation of contractors, suppliers and service companies in both prime and subcontracting positions includes:

• Advice as to laws, regulations and policies affecting a government solicitation;
  
  
• Assistance with preparation of bids, proposals and other submissions;
  
  
• Drafting and negotiation of prime and subcontracts and contract modifications;
  
  
• Representation with respect to bid protests, responsibility and debarment proceedings, claims, contract audits and disputes and close-outs;
  
  
• Drafting and negotiating transit outsourcing arrangements, including service and operations and maintenance; and
  
  
• Analyzing the impact of the Railroad Retirement Act (RRA), the Railroad Unemployment Insurance Act (RUIA) and other federal railroad laws on railroad industry suppliers and service companies and with respect to the operation of intermodal facilities and ports.
  

General Areas of Experience

Asset and Stock Transactions
K&L Gates often represents clients in the acquisition or sale of aircraft, rail and ground transportation assets.  As examples, our lawyers have been involved with the following:

• Railroad asset or stock transactions, purchase-money financings;
  
  
• All types of transaction-related proceedings before regulatory authorities and in the courts;
  
  
• Railroad rolling stock transactions and related purchase-money financings;
  
  
• Railroad joint facility agreements of one kind or another; and
  
  
• " Aircraft finance, purchase, sale and leasing transactions.
  

Environmental and Land Use
Many transportation activities are affected significantly by environmental laws and regulations. As examples, K&LGates lawyers have been involved in the following projects: 

• The firm is assisting the Washington State Department of Transportation (WSDOT) with replacement and expansion of the SR 520 Bridge across Lake Washington, including NEPA/SEPA environmental review and related matters.
  
  
• The firm is assisting Washington State Ferries (WSF) with a series of major terminal improvement projects throughout the Puget Sound area, including NEPA/SEPA environmental review and related matters.
  
  
• The firm advised Tri-Met on finance and environmental matters in connection with the construction of the first phase of Portland's light rail project between Portland and Gresham.

See the Environment and Natural Resources practice area page.

Hazardous Materials Transport
The regulations applicable to the transport of hazardous materials, including hazardous wastes and hazardous substances, are in many cases very complex. The sweep of the regulations is broad, at one end covering those companies whose business is the transport of materials or people and, at the other end, covering the action of sending a small quantity of a material to a customer. K&L Gates lawyers assist such companies with respect to the following areas:

• Transport of hazardous materials, including hazardous waste and hazardous substances, by airlines, motor carriers, railroads, pipelines, and on navigable waters;
  
  
• Manufacture of packagings and containers used by hazardous materials shippers and carriers;
  
  
• Liabilities arising under Superfund and in connection with spills;
  
  
• International transport of hazardous materials within the requirements of the Basel Convention.

Infrastructure Finance
The firm has assisted clients in obtaining public funding for highway and mass transit improvement projects. This has involved representing clients before state departments of transportation, county and municipal governments, and the federal government. Although traditional sources of public funds will continue to be vitally important, private sources of capital for transportation infrastructure will become increasingly important.

In recent years, our lawyers have helped public and private sector clients form and manage some of the largest and most complex public/private joint ventures, including the development of major transportation projects.  Our lawyers have extensive experience and are intimately familiar with structuring, documenting and/or implementing public-private transactions, including negotiating agreements for transportation-oriented development, for outsourcing and for operation and maintenance, as well as cost reimbursement agreements, restrictive covenants, and conditions of approval with municipalities and redevelopment agencies.

We provide below a few examples of the recent experience of the firm's attorneys in these areas of expertise in the transportation sector:

• The firm served as outside counsel to United Infrastructure Company, the Bechtel subsidiary that partnered with the Washington Department of Transportation to build the second Tacoma Narrows Bridge.
  
  
• The firm represented the Macquarie Infrastructure Group (MIG), an Australian-based toll road developer, in the successful negotiation of pre-development services agreements with the Oregon Department of Transportation on three public-private highway infrastructure projects.
  
  
• National counsel to the Arkansas Highway Commission in analyzing the feasibility of a new toll highway and in drafting bill, subsequently enacted, to authorize the development and financing of the road.
  
  
• Representation of Massachusetts Port Authority in the acquisition of the Logan Ramp, a highway and tunnel segment of the Boston Central Artery project, and drafting of an operation and maintenance agreement for the segment.
  
  
• Representation of government-funded business district in preparing the solicitation and contract documents and negotiating the contract to provide federally-funded transit servce.
  
  
• Representation of County government in New York in analyzing potential solicitation for new operators for 39 public bus routes operated by private companies.
  
  
• Representation of private operator of paratransit services in negotiations with NYCTA for $34 million modification of existing service contract.
  

Insurance Coverage
K&L Gates has experience in assisting clients faced with environmental and other liabilities in recovering from insurance coverage. The firm’s work in developing strategic responses to the environmental liabilities faced by our clients has led to some of the most creative solutions involving insurance coverage currently being considered and litigated within the national legal community. Generally speaking, those efforts include attempts to identify historical insurance coverages and to maximize their application to toxic tort, property damage and environmental liabilities, particularly where there is a "latency period" prior to the discovery of the injury or damage. 

The firm, which is widely credited with conceptualizing and filing the first comprehensive environmental insurance coverage case (on behalf of a Fortune 50 client in New Jersey), now litigates such insurance coverage questions in courts in Alabama, California, Connecticut, Delaware, Florida, Kentucky, Maryland, Massachusetts, New Jersey, New Hampshire, New York, Ohio, Pennsylvania, Puerto Rico, Rhode Island, Texas and Washington, as well as before arbitration panels and in other alternative dispute resolution (ADR) proceedings. The firm also has been a pioneer in assisting clients in recovering insurance for environmental losses from first-party property insurers. Our Insurance Coverage Group is available to help transportation clients obtain recourse from their first-party and comprehensive general liability insurers for environmental and other liabilities.

See the Insurance Coverage practice area page.

• Drug and alcohol testing requirements issued by the U. S. Department of Transportation;
  
  
• Labor negotiations, contract interpretation, public law boards and National Railway Adjustment Board disputes under the Railway Labor Act;
  
  
• Resisting unionization before the National Mediation Board under the Railway Labor Act;
  
  
• Disputes involving employer and employee (versus independent contractor) coverage under the Railroad Retirement Act and the Railroad Employment Insurance Act before the Railroad Retirement Board (RRB); 
  
  
• Applicability of the Railway Labor Act, the Railroad Retirement Act and the Federal Employers’ Liability Act to various transportation facilities and operations, such as intermodal yards, commuter rail lines and rail construction companies;
  
  
• Evaluation of contractual and statutory labor protection obligations and litigation of disputes involving the applicability of, and eligibility for, labor protection benefits before special boards of adjustment, federal agencies and federal courts; and
  
  
• Negotiation of implementing agreements required under contractual and/or statutory labor protection obligations.
  

See the Labor & Employment practice area page.

Logistics
Our lawyers have significant experience on logistics and transportation management matters. We have assisted clients on logistics sector asset and business acquisitions, commercial/service agreements and dispute resolutions. Some particular experiences of our lawyers include:

• We assisted large chemical manufacturers in their efforts to recover damages from inventory management and capacity disruptions, interruptions in plant operations, higher costs and unavailability of alternative transportation and lost business arising from rail service disruptions;
  
  
• We assisted an intermodal subsidiary of a regional freight railroad in a service and routing agreement with a major ocean container carrier;
  
  
• We have provided advice to logistics companies, shipping companies, port authorities, and governmental entities on new or emerging transportation and logistics practices, including route and fleet optimization, traffic flow patterns and projections, service and delivery guarantees, joint ventures, and trade facilitation;
  
  
• We have assisted carriers and retailers in acquiring technologies and software, and negotiating commercial service agreements, for logistics management systems and their components. These agreements have covered warehouse management systems, electronic data interchange, point-of-sale merchandise management, container tracking systems and electronic Customs reporting; and
  
  
• We have actively participated in United Nations activities in Europe relating to the development of the technology and legal standards for electronic trade practices. In doing so, we have worked closely with leading shippers, port authorities, freight forwarders, banks and government authorities in addressing the challenges of implementing logistics management in international shipping and transport.
  

Railroad Safety
K&L Gates has experience representing freight and commuter railroads and rail transit systems in connection with Federal Railroad Administration (FRA) safety regulatory matters, including:

• The scope and applicability of railroad physical plant regulations (track, signal and grade-crossing) and equipment regulations (locomotives, railcars and safety appliances) including the Federal Rail Safety Act (FRSA);
  
  
• Advice regarding compliance with FRA operating regulations, including work place safety, operating rules and practices, drug and alcohol testing, railroad accident/incident reports, the Hours of Service Act (HSA), Final Rule on use of Locomotive Horns at Rail Grade Crossings, establishing quiet zones, passenger train emergency preparedness and locomotive engineer certification;
  
  
• Comprehensive FRA waiver petitions to permit the shared use of rail lines by freight and passenger operators under temporal separation conditions;
  
  
• Collaboration with senior FRA staff regarding application of the agency’s Shared Use Policy;
  
  
• Evaluation of FRA jurisdictional issues with respect to rail transit systems constructed and operated in the same right-of-way with freight railroads; and
  
  
• Negotiation and settlement of high-dollar FRA penalty assessments.

If you have questions about our Transportation practice, please contact one of the lawyers listed on the Contacts page, or view the entire list of lawyers who practice in this area by clicking “Professionals” at right.