I was thinking in terms of their responsibilities to the passenger. My understanding is if they bump you, they are responsible for putting you up in a hotel, etc, until such time as they do finally get you on a flight. I don't think that element is suspended, just the fixed sum compensation for delay. I'm wondering if those people that know their rights and insist upon them are more likely to take precedence over those don't. Let's be honest, the airlines shouldn't be accepting bookings if that means that previously booked passengers get bumped, barring last minute reductions in arrivals caps, which is as you say what seems to be happening, so I don't have much sympathy for them from that perspective.