US law to offer ticket protection for air travellers

Airline Industry Information, Dec 9, 2004

AIRLINE INDUSTRY INFORMATION-(C)1997-2004 M2 COMMUNICATIONS LTD

An extension of a US law will make viable carriers pick up the slack if travellers are left with useless tickets from bankrupt airlines.

The US Congress yesterday (8 December) included the change in the intelligence reform bill. The bill received the final congressional approval in the Senate and the protection would be extended to 19 November 2005. Under the terms of the provision, stronger airlines are obliged, within reason, to accommodate travellers whose plans are disrupted by another airline going out of business, but the requirement concerns only seats that are available and only on overlapping routes, reports Reuters.

Travellers have to make alternate plans or complete travel within 60 days of the end of an airline while fees are limited to USD50 per round trip.

The extended provision was first included in the 2001 bailout law, after concerns that several airlines were threatened by financial failure in the aftermath of the terrorist attacks of 11 September.

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