European Draft Law On Passenger Rights

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straitman

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Would something like this be good in Australia?

European Parliament Approves Draft Law On Passenger Rights



By Jens Flottau
Source: Aviation Daily


Lufhansa_A330-300_Airbus.jpg
February 06, 2014
Credit: AIRBUS


The European Parliament has passed draft legislation to revise passenger rights in another step towards new regulations on consumer compensation to be applied in the European Union (EU).

The draft law covers a wide range of air travel consumer aspects and has, as expected, met mixed reactions. A final version of the new EU regulation will have to be worked out as a compromise between the European Council, representing the member states, and the European Commission.

Among the most important and most disputed proposals is language concerning passenger compensation in the case of delays: the parliament has opted for €300 per passenger for flights of 2,500 km or less that are delayed by three hours or more, €400 for 2,500-6,000 km sectors that are delayed by more than five hours and €600 for flights of more than 6,000 km that are delayed by more than 7 hours.

Passenger compensation is one of the issues in which the European Commission disagrees—its own draft legislation foresees a five-hour minimum delay.
 
Interesting - the proposed changes to 261/2004 included an annex/appendix listing the only circumstances that may be considered "extraordinary" - this listing is titled "Annexe 1".

I can find the full textual list, onlt the amendments made by the EU parliament, but originally the following was proposed:
Annex: non-exhaustive list of circumstances considered as extraordinary circumstances for the purposes of this Regulation

...
ii. technical problems which are not inherent in the normal operation of the aircraft, such as the identification of a defect during the flight operation concerned and which prevents the normal continuation of the operation; or a hidden manufacturing defect revealed by the manufacturer or a competent authority and which impinges on flight safety;

iii. security risks, acts of sabotage or terrorism rendering impossible the safe operation of the flight;

iv. life-threatening health risks or medical emergencies necessitating the interruption or deviation of the flight concerned;

v. air traffic management restrictions or closure of airspace or an airport

vi. meteorological conditions incompatible with flight safety; and

vii. labour disputes at the operating air carrier or at essential service providers such as airports and Air Navigation Service Providers.

...

2. The following circumstances shall not be considered as extraordinary:

i. technical problems inherent in the normal operation of the aircraft, such as a problem identified during the routine maintenance or during the pre-flight check of the aircraft or which arises due to failure to correctly carry out such maintenance or pre-flight check; and

ii. unavailability of flight crew or cabin crew (unless caused by labour disputes).

...

On voting this was amended and those parts now read as:
Annex: exhaustive list of circumstances considered as extraordinary circumstances for the purposes of this Regulation

...

ii. technical problems afflicting the aircraft which are directly caused by a hidden manufacturing defect formally acknowledged as such by the manufacturer or a competent authority arose during the maintenance check preceding the flight or after the aircraft has been released to service, which impinges on flight safety;

iia. damage caused by bird strike

iii. war, political unrest, acts of sabotage or terrorism rendering impossible the safe operation of the flight;

iv.health risks or medical emergencies necessitating the interruption or deviation of the flight concerned;

v. unforeseen air traffic management restrictions or the unforeseen closure of the airspace, including runway closures by the authorities;

vi. meteorological conditions incompatible with flight safety or that have damaged the aircraft in flight or on the tarmac after service release and rendering the safe operation of the flight impossible; and

vii. unforeseen labour disputes at the operating air carrier or at essential service providers such as airports and Air Navigation Service Providers.


...
 
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From the story:

Among the most important and most disputed proposals is language concerning passenger compensation in the case of delays: the parliament has opted for €300 per passenger for flights of 2,500 km or less that are delayed by three hours or more, €400 for 2,500-6,000 km sectors that are delayed by more than five hours and €600 for flights of more than 6,000 km that are delayed by more than 7 hours.

300 euro for flights less than 2,500km or less? Much more than the ticket price in many cases!


There are several other significant aspects in the draft regulation. The parliament wants to limit the airlines’ rights to restrict carry-on baggage and insists on passengers being allowed to carry a coat, one bag and one airport shopping bag, a proposal highly welcomed by the Airports Council International (ACI).

'Wants to limit the rights [of airlines] to restrict carry-on baggage" :shock: Gee, won't that make it fun! "Hey, I have the right to bring on my 20kg case AND this shopping bag of 15 bottles of duty free!"


The parliament also specified what can be seen as exceptional circumstances, requiring no compensation: Severe weather and air traffic control issues count, but maintenance issues do not.

That's good of them.


“The downside for passengers is that mandatory compensation will continue to feed through to higher ticket prices,” KPMG’s global head of aviation James Stamp says. “The airline industry is highly competitive, and has thin margins, so these costs cannot be absorbed.”

Too bloody right! Sounds pretty much like typical EU bureaucracy with little regard for the real world.

What I want from delayed flights is:

* To be kept informed from the point when a delay is likely / possible;

* To be kept informed, if I supply a text number or e-mail during the progress of the delay;

* To be automatically re-booked on another service of the same airline if the delay is projected to be, or becomes under 4 hours (if possible);

* To be automatically booked on ANY airline if the delay is over 4 hours;

* If an overnight delay, to have food and accommodation costs to the time of final departure refunded within reasonable limits, on production of receipts.

EVEN if the fare is LCC, or special, or an award.
 
All I see is that having two impacts.

- Airfares going up by $xx to account for the amount in penalties on average that an airline would have to pay
- More aircraft substitutions occurring - lots of planes being delayed for 2hrs, rather than one for 4hrs.

But it probably adds more to LCCs costs compared to main carriers who may have more spare capacity floating around.
Also more likely to impact non-European airlines who don't have a European hub from which they can swap planes.

eg. Say QF1 goes tech on landing at LHR. No chance of getting a sub aircraft.
 
I have reformatted that:

I can find the full textual list, only the amendments made by the EU parliament, but :

[TABLE="class: grid"]
[TR]
[TD]the following was proposed[/TD]
[TD]The amended parts read as[/TD]
[/TR]
[TR]
[TD]Annex: non-exhaustive list of circumstances considered as extraordinary circumstances for the purposes of this Regulation

...
[/TD]
[TD]Annex: exhaustive list of circumstances considered as extraordinary circumstances for the purposes of this Regulation

...
[/TD]
[/TR]
[TR]
[TD]ii. technical problems which are not inherent in the normal operation of the aircraft, such as the identification of a defect during the flight operation concerned and which prevents the normal continuation of the operation; or a hidden manufacturing defect revealed by the manufacturer or a competent authority and which impinges on flight safety;
[/TD]
[TD]
ii. technical problems afflicting the aircraft which are directly caused by a hidden manufacturing defect formally acknowledged as such by the manufacturer or a competent authority arose during the maintenance check preceding the flight or after the aircraft has been released to service, which impinges on flight safety;

iia. damage caused by bird strike
[/TD]
[/TR]
[TR]
[TD]
iii. security risks, acts of sabotage or terrorism rendering impossible the safe operation of the flight;

[/TD]
[TD]
iii. war, political unrest, acts of sabotage or terrorism rendering impossible the safe operation of the flight;

[/TD]
[/TR]
[TR]
[TD]
iv. life-threatening health risks or medical emergencies necessitating the interruption or deviation of the flight concerned;

[/TD]
[TD]
iv.health risks or medical emergencies necessitating the interruption or deviation of the flight concerned;

[/TD]
[/TR]
[TR]
[TD] v. air traffic management restrictions or closure of airspace or an airport[/TD]
[TD]
v. unforeseen air traffic management restrictions or the unforeseen closure of the airspace, including runway closures by the authorities;
[/TD]
[/TR]
[TR]
[TD] vi. meteorological conditions incompatible with flight safety; and[/TD]
[TD]
vi. meteorological conditions incompatible with flight safety or that have damaged the aircraft in flight or on the tarmac after service release and rendering the safe operation of the flight impossible; and
[/TD]
[/TR]
[TR]
[TD] vii. labour disputes at the operating air carrier or at essential service providers such as airports and Air Navigation Service Providers.[/TD]
[TD]
vii. unforeseen labour disputes at the operating air carrier or at essential service providers such as airports and Air Navigation Service Providers.

[/TD]
[/TR]
[TR]
[TD]
2. The following circumstances shall not be considered as extraordinary:


i. technical problems inherent in the normal operation of the aircraft, such as a problem identified during the routine maintenance or during the pre-flight check of the aircraft or which arises due to failure to correctly carry out such maintenance or pre-flight check; and

ii. unavailability of flight crew or cabin crew (unless caused by labour disputes).
...
[/TD]
[TD="align: center"]<deleted>
[/TD]
[/TR]
[/TABLE]


So for a technical problems to be 'extraordinary' it must be directly caused a "Manufacturing Defect" as reported by the manufacturer or an authoritative body (not an airline).
 
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Ok, I found the text for the draft which was subsequently amended including as above.

Starts from page 11: amending Regulation (EC) No 261/2004 establishing common rules ...

The fill lists of amendments to this draft are here in this 2.1 MByte word document

Starts from page 341: Wednesday, 5 February 2014 - Strasbourg - texts (Part 3)

This means that due to the change from 'non-exhaustive' to 'exhaustive', only circumstances from the following events may be considered "extraordinary" in relation to the regulation:

1. The following circumstances shall be considered as extraordinary:

i. natural disasters rendering impossible the safe operation of the flight;

ii. technical problems afflicting the aircraft which are directly caused by a hidden manufacturing defect formally acknowledged as such by the manufacturer or a competent authority arose during the maintenance check preceding the flight or after the aircraft has been released to service, which impinges on flight safety;

iia. damage caused by bird strike

iii. war, political unrest, acts of sabotage or terrorism rendering impossible the safe operation of the flight;

iv. health risks or medical emergencies necessitating the interruption or deviation of the flight concerned;

v. unforeseen air traffic management restrictions or the unforeseen closure of the airspace, including runway closures by the authorities;

vi. meteorological conditions incompatible with flight safety or that have damaged the aircraft in flight or on the tarmac after service release and rendering the safe operation of the flight impossible; and

vii. unforeseen labour disputes at the operating air carrier or at essential service providers such as airports and Air Navigation Service Providers.
 
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doesn't appear to be too much more onerous?

it is not the passenger's fault if a service is advertised and the airline can't meet its obligations. A plane that is well maintained, and crew within hours, and operating your fleet to be able to perform the service advertised are all part of the contract.

if you can't meet that - why not pay appropriate compensation?

airlines have survived so far - even Ryanair.

it is time we had something similar to this in Australia.
 
Also, for those affected by involuntary downgrades, "Ticket Price" has been removed from article 10 to be replaced by "Flight Price":
(t) flight price means the value obtained by multiplying the ticket price by the ratio between the distance of the flight and the total distance of the journey(s) covered by the ticket; where a ticket price is not known, the value of any refund shall be the supplement paid for a premium seat on the flight
Article 10

Upgrading and downgrading

  1. If an operating air carrier places a passenger in a class higher than that for which the ticket was purchased, it may not request any supplementary payment.
  2. If an operating air carrier places a passenger in a class lower than that for which the ticket was purchased, it shall within seven days, by the means provided for in Article 7(3), reimburse
    • 30 % of the flight price for all flights of 1 500 kilometres or less, or
    • 50 % of the flight pricefor all intra-Community flights of more than 1 500 kilometres, except flights
      between the European territory of the Member States and the French overseas departments, and for all other flights between 1 500 and 3 500 kilometres, or
    • 75 % of the flight price for all flights not falling under (a) or (b), including flights between the European territory of the Member States and the French overseas departments.
"Ticket Price" has been specifically defined as well:
(s) ticket price means the full price paid for a ticket, including the air fare and all applicable taxes, charges, surcharges and fees paid for all optional and non-optional services included in the ticket,such as all costs for the check-in, the provision of the tickets and the issuing of the boarding cards and for the carrying a minimum amount of luggage, including an item of hand luggage, an item of checked‑in luggage and essential items, as well as all costs related to payment, such as charges for paying by credit card; . the ticket price published in advance always reflects the final ticket price to be paid.
 
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300 euro for flights less than 2,500km or less? Much more than the ticket price in many cases!

Keep in mind this is pure punitive compensation. This is in addition to all of your other rights, such as the right to a refund, re-route and care.

The duty of care applies at all applicable instances; cash compensation is additionally payable in other circumstances.

'Wants to limit the rights [of airlines] to restrict carry-on baggage" :shock: Gee, won't that make it fun! "Hey, I have the right to bring on my 20kg case AND this shopping bag of 15 bottles of duty free!"

Rather facetious example, don't you think?

I think basically it wants the host nation (or the EU) to be able to enforce carriers on particular hand baggage allowances. In particular, I would expect that airlines will simply need to be able to guarantee the ability for passengers to carry a coat, a bag and a shopping bag and they will set limits. If passengers or the regulators are not happy, the EU provision will give them legal standing to be able to test the limits in court.

I would expect that "reasonable" will be part of the regulation somewhere, so someone who contests in court to be able to carry your facetious example of baggage may not be successful in winning a claim.

I think this is a bit of a salvo at the low cost carriers, who can be notoriously tight on what constitutes hand baggage and have very tight limits. (That said, I have carried a coat on Ryanair before; they said nothing - might have helped that I wore the coat).

Too bloody right! Sounds pretty much like typical EU bureaucracy with little regard for the real world.

What I want from delayed flights is:

* To be kept informed from the point when a delay is likely / possible;

* To be kept informed, if I supply a text number or e-mail during the progress of the delay;

* To be automatically re-booked on another service of the same airline if the delay is projected to be, or becomes under 4 hours (if possible);

* To be automatically booked on ANY airline if the delay is over 4 hours;

* If an overnight delay, to have food and accommodation costs to the time of final departure refunded within reasonable limits, on production of receipts.

EVEN if the fare is LCC, or special, or an award.

All of the things you list in your wish list are precisely what is the aim of this applicable EU regulation. In fact, your last point marked "EVEN" is redundant because the previous iteration (or rather, current) covered all of these cases. Instead of a "soft" demand or requiring oblique interpretation of existing laws to be brought to court, the regulation gives immediate legal standing. If a carrier wants to break the regulation, you have a lot more grounds to litigate and have a better chance of success. In any other jurisdiction, your options are almost limited to oblique interpretation to get stuffed.

I think the whole "push up prices" thing is a furphy. I don't know why giving a legal standing to passenger rights (similar to DoT provisions) should necessarily and immediately increase prices - if a carrier has to pay out this kind of compensation on a regular basis to the point where it becomes financially crippling, something is very wrong with that carrier. The fact that these protections you list are now given legal standing all of the sudden is a carte blanche to increase prices compared to if there was no such regulation and thus no such legal standing? As if to say that if airlines were not subject to these certain legal obligations, they could save substantial money by denying those rights or protections that would've otherwise been covered under the regulation?

Putting the list of rights you mention in a "charter" or anything less than regulation or indirect regulation gives airlines almost a free hand in either denying or delaying their obligations when something goes wrong. Of course, many airlines are not really out there to screw you when things go wrong......

Also, for those affected by involuntary downgrades, "Ticket Price" has been removed from article 10 to be replaced by "Flight Price":

I wonder if this definition will actually have some unintended consequences. I can see this might get odd for award tickets (i.e. calculating the "Flight Price" by apportioning the cost of the award in points).

it is not the passenger's fault if a service is advertised and the airline can't meet its obligations. A plane that is well maintained, and crew within hours, and operating your fleet to be able to perform the service advertised are all part of the contract.

if you can't meet that - why not pay appropriate compensation?

Except when a flight is grounded in an EU country due to war, or the airport staff decide to strike and chuck a whole bunch of vehicles on the runways......

But all things being controllable, fair point.

airlines have survived so far - even Ryanair.

Yes, with some kicking and screaming and much flipping the bird. They installed a new "tax" after they were pinged for an EU 261 infringement.

it is time we had something similar to this in Australia.

Would something like this be good in Australia?

Damn well yes!


Although it is good that EU 261 installs some rights with legal standing, in practice it is still difficult to make claims under the regulation. The process is not centralised, there are no particular limits on claims (could take 6 hours, 6 days, 6 weeks or 6 months!), and overall it is very inconvenient if the airline who is paying the compensation is not the country of residence of the complainant (which exacerbates the airline being lethargic on acting on a claim). The regulation needs to set hard limits and add processes so that passengers can actually have some confidence in making a claim. It should also increase penalties and passenger compensation if a claim goes to court, in order to discourage airlines from pushing the whole, "maybe if we placate that non-EU resident enough, they'll give up because they won't come to our country to sue us in court".

I would also revise the rules and rights with respect to airline changes (change of flights or cancellations) outside of 2 weeks before departure. At the moment, if a change or cancellation happens outside of 2 weeks before departure, you almost have no rights, except the right to a refund without penalty.
 
...



I wonder if this definition will actually have some unintended consequences. I can see this might get odd for award tickets (i.e. calculating the "Flight Price" by apportioning the cost of the award in points).

...
For award bookings I envisage a pro rata refund of both points and cash.

However, for those who upgraded a particular sector wroth points/cash/certificate/etc., all I see is a refund of the upgrade instrument with nothing punitive.
 
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