Condon & Forsyth LLP’s Post

The Montreal Convention limits of liability increases from 22 to 26 Special Drawing Rights (= ca.35 USD) per kilo for lost or delayed #cargo as of December 28, a significant increase (17.9%) as emphasized in this post. IATA has adapted its Cargo Resolution 600b (conditions of contract of the air waybill) accordingly.

Did you know? International air transport has been regulated since 1929 by the Warsaw Convention, which was modernized in 1999. It's the only transport treaty that covers both passenger and cargo transport. The liability limits can be reviewed every 5 years, and this year marks another opportunity for revision. Stay informed! ✈️ #AviationLaw #TransportTreaty #WarsawConvention #AirCargo #PassengerTransport #DidYouKnow

✈️ With liability limits under the Montreal Convention set to increase on December 28, airlines must brace for greater financial exposure and revisit their existing contracts and coverage. Explore the key takeaways in this article by Toronto Associates Wietske Felmore and Massimo Di Giovanni: https://bit.ly/4gwxhy2

A crash landing by #AirCanada in 2015 in #Halifax will be the focus of a class-action lawsuit in 2026. #aviation #aviationnews #airtravel #travelindustrynews

From 28 December 2024, liability limits for death, injury, delays, baggage and cargo issues under the Montreal Convention will increase, offering higher compensation to passengers. The liability limits are indicated in Special Drawing Rights (SDRs), a unit of account defined by the International Monetary Fund. 1 SDR was valued at US$ 1.33318 on 18 October 2024. The limits will be revised as follows: - The limit for death or bodily injury will increase from 128,821 SDRs to 151,880 SDRs (about US$202,500) (originally 100,000 SDRs in 2003). - The limit for delay in passenger transport will rise from 5,346 SDRs to 6,303 SDRs (about US$8,400) (originally 4,150 SDRs in 2003). - The limit for destruction, loss, damage, or delay of baggage will increase from 1,288 SDRs to 1,519 SDRs (about US$2,000) (originally 1,000 SDRs in 2003). - The limit for destruction, loss, damage, or delay of cargo will rise from 22 SDRs to 26 SDRs per kilogram (about US$35) (originally 17 SDRs in 2003). The monetary limits are increased every five years to adjust for inflation, based on the Convention’s built-in review mechanism. This ensures that passenger and cargo compensation remains appropriate over time. #aviaton #airlines #airpassengers #montrealconvention #mc99 #passengerirghts #flightcompenstion #aviationlaw #airlaw

  Understanding the Escalator clause of the Montreal Convention   The Montreal Convention, a comprehensive international treaty governing air carriage, includes an important provision known as the "escalator clause." This mechanism ensures that the liability limits set by the Convention remain relevant over time, adjusting for inflation and maintaining their effectiveness. The escalator clause, formally known as Article 24, mandates a periodic review of liability limits every five (05) years. This review compares the current limits to an inflation index, which reflects the cumulative rate of inflation since the last assessment. The specific inflation index used for the review is determined by the International Civil Aviation Organization (ICAO), a specialized agency of the United Nations. The International Civil Aviation Organization (ICAO) has recently increased the maximum liability of air carriers for cargo damage. Effective December 28, 2024, the new limit will be 26 Special Drawing Rights (SDR) per kilogram, up from the previous 22 SDR/kg. This translates to an approximate increase from USD 30/kg to USD 35/kg at current exchange rates. The escalator clause is a valuable tool for maintaining the relevance and effectiveness of the Montreal Convention. By automatically adjusting liability limits to account for inflation, this provision ensures that the Convention continues to provide adequate protection for passengers, cargo owners, and airlines alike. Reach out to us, Blue Recovery Solutions to learn more about transport (sea, air and road) related cases. ➡️ Message me here on LinkedIn 📩 Abdel.Njiasse@bluerecoverysolutions.com #Aviation #AirTravel #Montrealconvention #FlightStatistics #GlobalConnectivity #AviationIndustry #AirTransport

Is an injury caused by the malfunctioning on an aircraft's armrest an accident within the meaning of Article 17 of the Montreal Convention? In the case Hippensteel v. Delta Air Lines, Inc. (3:2024cv00778), a passenger is suing the carrier for more than USD 1 million after he claims he suffered a broken rib when the armrest suddenly collapsed beneath him, causing him to fall on the cabin floor. The incident happened on 16 May 2022, when the passenger was traveling with Delta from California to London with a connection in Seattle. On the first flight from California to Seattle, Hippensteel boarded the plane as normal and went to buckle his seatbelt before departure. To do so, Hippensteel says he lent on the armrest, causing it to unexpectedly buckle under his weight and collapse downwards. Hippensteel’s body followed the direction of the armrest, causing him to fall to the floor and injure his hip. A flight attendant and an off-duty physician rushed to Hippensteel’s aid while two engineers were called to the plane to try to fix the armrest. The engineers were however unable to fix the armrest so the flight departed with the armrest is a state of "disrepair". Hippensteel is suing Delta under the provisions of the Montreal Convention, that applies only to international flights. In this case, although Hippensteel was on a domestic flight at the time of incident, the passenger argues that the convention should apply because he was connecting onto an international service on the same ticket. Hippensteel is also suing Delta for negligence, arguing that the airline failed to properly maintain its aircraft and the armrest, which gave way under his weight. The negligence part of the lawsuit bumps up Hippensteel’s compensation demands to more than USD 1 million, way above the monetary limits laid down under the Montreal Convention. #aviation #airlines #airtransport #montrealconvention #mc99 #aviationlaw #airlaw

Loved this legal approach about international transport under the umbrella of the 1999 Montreal Convention. As several US courts have approached, article 1 of the MC99 should be interpreted as the international transport definition includes the domestic portion towards the international destination. Thus, no matter the domestic portion when two points of the journey are between two states. For example, if a domestic portion between Toronto YYZ and Vancouver YVR is included in a ticket towards Los Angeles, that journey between Vancouver and Toronto is international.

What an interesting judgement in Jet Airways matter today by the Hon’ble Supreme Court. The Court exercised its plenary powers under Article 142 of the Constitution and directed for liquidation, citing among other reasons, the fact that the Resolution Plan was approved some 5 years before and there has only been litigation ever since. More on this once judgement is out. But this definitely sets the tone for IBC and time bound resolution in perspective. #supremecourtofindia #litigation #aviation

Coming into force today (2 April 2024), the new rules will improve safety at sea and will apply to passenger and cargo ships on international voyages, as well as some ships engaged solely on domestic voyages. Read more ⬇️