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I'm sure AA can resolve the contractual issue, but then again, the number of markets where a 16+ duty day is really required is fairly small, so is it worth solving? I would say no.
Interesting point; I'd assumed that AA would want to resolve that issue eventually to open up the possibility of more DEL and BOM flights, as well as maybe South Africa and maybe HKG. Maybe the pilots wouldn't cave as easily as I expect they would (throw them some kind of bone and get 'em to sign).
Hard to argue with Cosmo, as he's usually right. But in a fit of hypertechnicality, I think that JFK-PVG would require a waiver of the 16hr duty day, since ORD-PVG (in addition to ORD-DEL) also required a waiver.
I still believe that DFW-PEK was such a loser of an application from the get-go that AA was willing to throw it away in its game-playing with the APA rather than satisfy the pilots. DFW-PEK didn't have a realistic shot against the CO or UA applications, so why bother giving in to the pilots for an application that had no chance? Not so with JFK or LAX, IMO.