CONTINUED FROM BACK COVER
When Regulation 261 came into force its purpose was to establish common rules within the EU in respect of airlines providing compensation and assistance to passengers who had suffered a cancellation, delay or denied-boarding. As drafted, the regulation did not provide for compensation in respect of delays. European case law over the last few years has changed its effect. Unless Thomson is successful in its appeal, the latest decision creates a fresh headache for airlines. The CAA welcomed the ruling for
providing clarity on how far back passengers can go when claiming compensation for disrupted flights. It made no reference as to whether claims may be stayed pending an appeal. It is worth noting some airlines have been applying the six-year limitation. However, many smaller airlines do not have the funds to fight through the courts and the aviation community has been extremely supportive of Thomson’s efforts to preserve the two-year limitation. A win for Thomson on appeal would be a win for the industry in general. The importance of this decision should not be underestimated. If airlines in the UK are forced to accept claims within a six-year period it opens the door to claims they believed were time-barred. Other European states have different
limitation periods: Spain, for example, has a 10-year limitation, while Germany’s is three years. This gives rise to inconsistency among states in handling Regulation 261 claims. Either way, the cost implications for airlines continue to grow. It is evident the airlines’ battle with Regulation 261 will continue for some time. However, the ongoing review of the regulation in Europe means it is entirely possible these cases will be old news and old law within 18 months or so. Therefore, it’s important the industry
•Joanna Kolatsis is a partner at Hill Dickinson LLP
❯ Letters, page 27
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focuses its attention on the lobbying process in Europe to ensure legislators do not incorporate these decisions within proposed amendments to the regulation.
travelweeklybusiness ABTA TRAVEL MATTERS CONFERENCE: Leading politicians ha Robert Goodwill:
‘Passengers are going to pay more, so it is not good news’
COURT RULINGS: GOODWILL SURPRISED BY APPEAL COURT’S RULING IN JET2 CASE
A court ruling awarding a passenger compensation for a flight delay caused by a technical problem took the government by surprise. The Court of Appeal rejected
Jet2.com’s appeal against the compensation award despite accepting the airline’s argument that the fault that caused the delay was “unforeseeable” (Travel Weekly, June 19). Aviation minister Robert Goodwill told the
Abta Travel Matters conference: “I was a little surprised at the court ruling.” Goodwill said he expected an appeal. He told the industry audience: “If you are a person who has suffered a delay, it is good news. But if you are a passenger who has not been delayed you are going to pay more, so it is not good news.” Lawyers acting for consumers have
suggested the ruling could lead to payouts totalling £4 billion. The European Commission is in the
process of revising its air passenger rights regulation (EC 261/2004) under which the
CAPACITY: PARTIES ‘WON’T COMMIT TO DAVIES’S ADVICE’
No major political party will commit to implementing the recommendations of the Davies Commission on airport capacity ahead of the general election. Aviation minister Robert Goodwill told the
Abta Travel Matters conference: “I won’t comment on any long-term options until the commission completes its work.” His counterpart, Labour shadow transport secretary Mary Creagh said: “Not a single
claim was brought. Goodwill said: “The big debate in Europe is whether compensation should kick in at [a delay of] three hours or five [for short-haul flights]. We favour five hours and will be making our views known.” Kate Jennings, the Department for
Transport’s head of aviation policy, told the conference: “We support a move to five hours, nine hours or 12 hours depending on the distance of travel.”
A change in the length of delay before a passenger can claim compensation would not affect a claim such as that in the Jet2. com case since the delay was 27 hours. However, the commission is also looking at allowing a technical issue to cause a delay without compensation if safety is at risk. Jennings said: “There should be
recognition of exceptional circumstances where an issue is safety related.” She said the government remains “very concerned about a proposal to include compensation for connecting flights”, adding that “this could undermine interlining”.
party has said they will follow what Davies recommends to the letter. You would not expect any minister or shadow minister to say ‘I will follow what Davies recommends’.” The Davies Commission is due to make
recommendations after the next election on whether to expand Heathrow, allow a second runway at Gatwick or build an airport in the Thames estuary.
Goodwill added: “As the economy recovers, demand will rise and we have to be able to meet that demand. We need capacity. It’s where we put it that is the point. We do have noise problems, particularly around Heathrow. Politicians of all parties are going to have to grasp the nettle.”
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