The Tongan airline Fly Niu has been ordered to stop operating by the end of the week.
The Supreme Court has told the airlines to cease operations to adhere with the government's new "one airline" policy.
The head of Fly Niu, Atu Finau, says the company is appealling the ruling and it will be heard in November..
"I still feel that it's best for the public to have a choice, than monopolising, than one airline, and because what we have seen, what we can do for the public, and it's very encouraging, even though the new policy and the position today... no, I'm still determined."