LAX People Mover Sued Again: What You Need to Know

Overview of the LAX People Mover Project

The LAX People Mover project, a long-awaited transportation initiative, is currently facing legal challenges. A contractor involved in the project, LINXS, has filed a lawsuit against the city of Los Angeles, alleging that the city has breached its contract. The lawsuit was filed with the L.A. County Superior Court on July 9 and outlines several disputes related to construction delays and financial obligations.

According to the lawsuit, LINXS claims that the city is misplacing blame for construction-related issues and refusing to extend contract deadlines. Additionally, the company argues that it is owed additional payment due to the delays caused by the city’s actions. The project, which involves a 2.25-mile-long elevated train designed to transport riders between airport terminals and local transit, is currently undergoing testing.

Current Status and Timeline

The project’s completion is expected to be “in a few months,” as stated by John Ackerman, CEO of Los Angeles World Airports, during an interview on the L.A. in a Minute podcast in June. However, the ongoing legal dispute could impact this timeline.

One of the main disputes detailed in the lawsuit involves repairs to faulty electrical equipment in the system that powers the train. This issue led to testing delays last year. The Daily News Lite reported on this dispute in November and April. LINXS claims that it has made extensive good-faith efforts over the past two years to resolve these contractual disputes.

A spokesperson for Los Angeles World Airports, the city agency that manages LAX, said the agency does not comment on pending litigation. They emphasized their commitment to delivering a safe, durable, and reliable train as soon as possible. The L.A. City Attorney’s office did not immediately respond to requests for comment.

Financial Implications and Potential Consequences

In its lawsuit, LINXS states that by not granting compensation and time-extension requests, the city is attempting to avoid accountability for the delayed train. Originally expected to open in 2023, the project is now nearly a billion dollars over budget. The contractor warned that without an extension of contract deadlines, it might be forced to repay lenders who financed the project as early as this fall. If this occurs, LINXS could become “insolvent and unable to perform,” leading to “catastrophic consequences.”

Dispute Over Metering Cabinet

Another significant dispute involves a metering cabinet that had degraded due to moisture and debris. In February, staff from Los Angeles World Airports and the city’s Department of Water and Power directed LINXS to repair the equipment. The contractor completed the work, which required partial power shutdowns between February and July 2025. This temporary disruption delayed critical testing of the technology that allows for central control of the People Mover’s systems.

LINXS claims that the repair work is not within its scope of work and is therefore owed compensation and a minimum of a 141-day extension to complete construction. The company alleges that Los Angeles World Airports has stonewalled discussions about compensation and time extensions.

LINXS, citing information from a public records request, claims the issue stemmed from an instance where LADWP opened the metering cabinet in September 2024 to address design issues with the equipment inside. Previous disputes between LINXS and the airport were resolved through settlements totaling hundreds of millions of dollars and resulted in schedule extensions. However, the current dispute over maintaining electrical equipment has been particularly contentious.

Other Ongoing Disputes

The lawsuit also alleges that LINXS is owed additional time and money for several other ongoing disputes. These include the refusal of Los Angeles World Airports to sign a power agreement with LADWP for solar panels installed as part of the People Mover project and the alleged destruction of LINXS’ work by workers on separate airport projects.

Testing Phase and Legal Proceedings

The People Mover is currently in a testing phase, simulating how the train will operate when it begins shuttling travelers between airport terminals and the L.A. Metro system. According to a spokesperson for Los Angeles World Airports, the testing of the train will not be impacted by the lawsuit.

A hearing on the case filed last week has been scheduled for December, according to the L.A. County Superior Court’s website. This legal proceeding will determine the next steps in resolving the disputes between LINXS and the city of Los Angeles.