Metro-North Blocks Amtrak’s Preliminary Injunction Attempt in Contract Dispute

Paul, Weiss secured a victory for the Metro-North Commuter Railroad Company when a federal district judge in Manhattan rejected Amtrak’s request for a preliminary injunction that would have forced Metro North to allow certain trains to run on its tracks while the parties arbitrate their dispute.

In April, Amtrak sued Metro-North for a preliminary injunction in aid of arbitration, alleging that Metro-North was in breach of two longstanding contracts governing Amtrak’s operation of passenger trains across Metro-North’s rails. Amtrak alleged that, beginning in March, Metro-North had systematically denied Amtrak’s requests to move non-passenger trains across Metro-North rails. Claiming that Metro-North’s denials have affected Amtrak’s operation of inspection cars, test runs for its new NextGen Acela trains, and movements of passenger equipment for maintenance, Amtrak argued that, under the agreements, Metro-North must approve requests for non-passenger moves unless they fall within narrow exceptions related to Metro-North’s operational or financial capabilities.

Metro-North argued that the contracts at issue pertain only to passenger services, not to non-passenger trains, and that Metro-North has only historically provided non-passenger services to Amtrak on an informal and ad hoc basis. Metro-North also explained that Amtrak’s new NextGen Acela trains, introduced in mid-2025, twice caused damage to Metro-North’s electrical lines during preliminary train movements, causing substantial delays to Metro-North passengers. When Amtrak requested authorization to conduct tests of its redesigned NextGen Acela train in March 2026, Metro-North requested that the parties negotiate an agreement to provide compensation and indemnification for testing and other previously informal non-passenger train moves. Amtrak abandoned those negotiations and sought a preliminary injunction to require Metro-North to approve non-passenger services, with no compensation or indemnification, pending the outcome of an arbitration.

On May 21, U.S. District Judge Jed Rakoff held a hearing and litigation partner Greg Laufer argued the motion on behalf of Metro-North. The following day, the court rejected Amtrak’s request in full, noting that an opinion is forthcoming.

In addition to Greg, the Paul, Weiss team includes litigation partner Roberto Finzi and counsel Sam Kleiner.