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OST-2008-0332 - Domestic Baggage Liability


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Domestic Baggage Liability

OST-2008-0332

November 18, 2008

Final Rule

In accordance with the provisions of 14 CFR 254.6, this final rule raises the minimum limit on domestic baggage liability applicable to air carriers to reflect inflation since July 2006, the basis month of the most recent previous revision to the liability limit. Section 254.6 requires that the Department of Transportation periodically revise the limit to reflect changes in the Consumer Price Index for All Urban Consumers. This revision adjusts the minimum limit of liability from the current amount of $3,000 announced by the Department in January 2007 to $3,300, to take into account the changes in consumer prices since the prior revision.

By: Michael Reynolds



November 18, 2008

Re: Executive Order 12866 and Congressional Review Requirements

By: Blane Workie



Inflation Adjustments to Liability Limits Governed by the Montreal Convention

Issued November 9, 2009 | On File at Federal Register November 13, 2009

Notice of Guidance

As Published in Federal Register November 16, 2009

This notice provides guidance to US and certain foreign air carriers on inflation adjustments to liability limits of air carriers and foreign air carriers under the Montreal Convention. The adjustments affect limits on liability for damages for passenger death or injury, delay in passenger’s arrival, and the loss, delay or damage to baggage or cargo, increasing those limits by approximately 13 percent and will be effective in December 2009. The US and foreign air carriers affected by these changes to the Convention include those providing international carriage between countries that, like the United States, are parties to the Convention, and all who provide round trip foreign air transportation that originates and terminates in the United States.

Pursuant to the terms of Article 24, the increased limits will take effect six months following the notice referred to above, or December 30, 2009. Carriers should, therefore, revise their contracts of carriage, tariffs, required notices, and practices to conform to the Convention’s requirements. Failure to implement in a timely manner the revised liability limits and required notices would, in the view of the Aviation Enforcement Office, constitute an unfair or deceptive business practice and unfair method of competition in violation of 49 USC 41712. This disclosure guidance, it should be noted, also extends to ticket agents and indirect air carriers.

By: Samuel Podberesky


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