Lawsuit over Grand Canyon contract dismissed

Posted: Updated:
By Christina O'Haver By Christina O'Haver

FLAGSTAFF, Ariz. (AP) -- A federal lawsuit that raised objections to a proposed contract for services at the Grand Canyon's South Rim has been dismissed.

Court documents filed this week show that Xanterra Parks & Resorts and the National Park Service agreed on the dismissal. Xanterra won't be able to refile the lawsuit on the same grounds.

Xanterra had alleged in the lawsuit that a proposal for a new, 15-year contract would give an unfair advantage to a competitor and would result in a money-losing operation. The Park Service has canceled that proposal and hasn't said when a new one might be issued.

Xanterra recently was awarded a temporary contract to continue running the most iconic hotels and restaurants, and mule rides at the South Rim through 2015.

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