SAN JUAN AIRLINES

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Aeronautical Services ties down West Isle planes

posted 08/05/02
San Juan County Superior Court Judge Alan Hancock issued an injunction July 30 ordering Dave Ross and Steve Franklin to release planes seized from West Isle Air. Shane and Clyde Carlson sought the return of the planes in order to continue operating the scheduled air service. Dave Ross, owner of Aeronautical Services, sold 75 percent of West Isle Air to Shane Carlson in February, 2002 for $309,000..

The Carlsons cited West Isle Air's role in providing emergency medevac service, scheduled airline service and transporting prisoners as reasons it was imperative the planes were immediately released. The airline also transports people into remote areas of British Columbia for fishing and boating trips. If the planes weren't released "beginning tomorrow (July 31, 2002) a number of people will be stranded with no way to get home and no way to contact them," Clyde Carlson wrote in papers filed in San Juan County Superior Court.

Hancock issued a restraining order forcing the release of the aircraft. The aircraft were seized July 29, 2002. A complaint for damages has also been filed in the court.

West Isle Air must have planes which meet FAA regulations for air carriers. The airline was leasing aircraft from Dave Ross. According to papers filed in court, there was a verbal agreement that authorized the Carlsons to fix up the planes with the cost covered by Ross. "Repairs to the aircraft are almost completed and once again you agreed that the cost of these repairs would be applied against the aircraft lease payments. This is why you have not received payments since April 19, 2002. If we had not agreed on this there would not have been a purchase of WIA," Clyde Carlson wrote in a July 15, 2002 letter.

In the letter, Carlson lists several examples of how he believes the financial status of West Isle Air was misrepresented prior to the sale. The accounts payable were understated by more than $75,000 he said. The $100,000 owed to the IRS was actually $112,000.

In a phone interview Sunday, Ross said the Carlsons have a dispute with the purchase agreement and are trying to use the aircraft lease agreement to solve that dispute. "We repossessed for lack of payment (for the aircraft leases)," he said. "The agreements have nothing to do with each other. They are completely separate." His attorneys in Seattle have drawn up a rebuttal to the Carlson's claims and Ross says he'll have his day in court.

In asking for the injunction, Carlson wrote:

Immediate and irreparable injury will result if the planes are not immediately returned to West Isle Air and if Defendants are not enjoined from having any contact with or coming near the leased airfcart. If the planes are not immediately returned to service, we will have to immediately lay off the entire staff or 25 employees. We will not be able to pay ongoing business expenses or taxes, and our certificates of operation will be immediately revoked by the FAA as we will not have the planes necessary to provide the service required by our certificates. Once the certificate is lost, it is difficult if not impossible to get back, so air carrier service by West Isle AIr will cease to exist. There is no reason this dispute cannot be addressed in a different way so as to protect the public safety and welfare, and a delay of a few weeks while this occurs would not harm the Defendants and would most certainly protect the public and provide a continuation of the necessary air service to and from the San Juans.

Steve Franklin owns part of Aeronautical Services. Pat O'Day of Friday Harbor brokered the February 2002 deal which saw members of two pioneer aviation families joining forces. Plans were made to combine Northwest Airlines and West Isle AIr into San Juan Airlines.

San Juan Airlines flies again

posted 02/11/02
San Juan Airlines will take wing with Steve Franklin and Shane Carlson, sons of Northwest aviation pioneers, at the controls. The two men recently purchased West Isle Air and plan to expand and strengthen service to the San Juans. Franklin's father, Roy, founded the original San Juan Airlines in the 1950s.

Carlson's father, Clyde, began the first floatplane service to the islands from Lake Union. He sold that business to Kenmore Air in 1993. He owns Northwest Seaplanes which has been flying wheel-based and floatplanes to the San Juan Islands since Harbor Air shut down in 2001. With the creation of San Juan Airlines, Northwest Seaplanes will concentrate on its flights from Seattle to British Columbia, Canada.

West Isle Air flew passengers from the islands to Anacortes and Boeing Field in Seattle. San Juan Airlines will provide service from Friday Harbor, Eastsound, Lopez, and non-ferry served islands to Anacortes, Bellingham and Boeing Field.. Free shuttle van service will transport travelers from Boeing Field to SeaTac International Airport.

Shane Carlson said customers can count on the same reliability and friendly service and look forward to the future with confidence. He plans to steadily upgrade equipment.