Battle lines drawn in forthcoming court case as airlines bid to overturn new passenger assistance regulations
Lawyers representing the main airline industry groups have focused their challenge to new European Union passenger compensation and assistance rules on two main areas, including claiming a key EU body abused its power.
UK-based Beaumont & Son is representing the International Air Transport Association (IATA) in its challenge before the European Court to last year's regulation on denied boarding, cancellation and delay that enters force next week. Of the eight legal points it submitted in July 2004 to the UK administrative court that referred the case, it feels that two are the most significant.
John Balfour, senior partner at Beaumont, says the first argument is that the rules on delay are inconsistent with those in the Montreal Convention, which gives airlines both a defence and a limit of liability for delay claims, unlike the new rules. However, IATA believes the argument that may ultimately scupper the deal concerns the EU's own procedural rules. The association believes the European Commission conciliation committee that brokered a deal between the council of national governments, intent on pushing through the rules, and a more cautious European Parliament, does not itself have the power to introduce significant changes to the bill.
The committee removed the extraordinary circumstances defence against claims for care, such as meals and hotels, in the event of cancellation of flights. Balfour says: "There was no difference between the two institutions in this respect, and the removal of the defence was hence a new initiative by the committee." Balfour adds that if the committee were to be allowed such powers, it would have serious wider implications for EC law-making.
IATA is supported in its application by the European Regions Airline Association, the German air carrier association and the Ryanair-led European Low Fares Airline Association, which has also brought a parallel case that is being heard together with IATA's.
JUSTIN WASTNAGE / LONDON
Source: Flight International
