In the world of corporate disputes, legal battles over intellectual property can often become drawn-out and costly affairs. However, in 1992, two companies chose a refreshingly unconventional approach to resolve their differences. Southwest Airlines and Stevens Aviation found themselves at odds over the use of the slogan "Just Plane Smart." Instead of engaging in a protracted legal battle, the CEOs of the two companies decided to settle the matter with a friendly arm wrestling match.
The story begins when Stevens Aviation, an aircraft maintenance company, discovered that Southwest Airlines was using the slogan "Just Plane Smart," which Stevens had been using for some time. Rather than immediately resorting to legal action, Stevens Aviation's CEO, Kurt Herwald, reached out to Southwest's CEO, Herb Kelleher, with a novel proposal. Herwald suggested that they settle the dispute with an arm wrestling match, a suggestion that Kelleher, known for his sense of humor and unconventional leadership style, readily accepted.
The event, dubbed the "Malice in Dallas," took place in a Dallas hotel ballroom and was attended by employees from both companies, as well as members of the media. The atmosphere was more akin to a sporting event than a legal proceeding, complete with cheerleaders, mascots, and a referee. The match was a best-of-three contest, with the winner gaining the rights to the slogan.
In a display of sportsmanship and camaraderie, the arm wrestling match became a symbol of how business disputes could be resolved with creativity and goodwill. The event was not only entertaining but also served as a brilliant marketing opportunity for both companies. Ultimately, Herwald won the match, but in a gesture of goodwill, he allowed Southwest Airlines to continue using the slogan. In return, Southwest made a donation to a charity of Stevens Aviation's choice.
The "Malice in Dallas" arm wrestling match remains a legendary example of how businesses can resolve conflicts without resorting to litigation. It highlighted the importance of creativity, humor, and mutual respect in business dealings. The event also reinforced the public image of both companies as innovative and customer-friendly, traits that have contributed to their enduring success.
This unique resolution to a potential legal battle serves as a reminder that sometimes, the best solutions are those that break away from convention. By choosing to arm wrestle instead of litigate, Kelleher and Herwald demonstrated that business doesn't always have to be serious and that a little bit of fun can go a long way in resolving disputes.
