More than one million passengers who endured tortuous delays after missing their connecting flight could be in line for compensation after a crushing legal blow against the airline industry.
For years non-EU carriers Emirates, American Airlines, Etihad, Singapore Airlines and Turkish Airlines have wriggled out of paying claims for delayed flights by exploiting a loophole in EU law.
The legislation entitles each passenger whose flight is delayed to up to £540 (600 euros) compensation.
For years non-EU carriers Emirates, American Airlines, Etihad, Singapore Airlines and Turkish Airlines have wriggled out of paying claims for delayed flights by exploiting a loophole in EU law
It applies to all flights from the EU, as well as flights into EU airports on an EU-based airline, such as British Airways or easyJet.
But several non EU airlines have been treating long haul, connecting journeys as two flights instead of one.
They have insisted that the EC 261/2004 legislation does not cover connecting flights which depart from outside the EU.
This tactic has been used to reject claims from passengers who have arrived many hours late at their final destination after a delay on the first leg of their journey caused them to miss their connecting flight from a non EU airport.
Yesterday these airlines suffered a bruising defeat as the Court of Appeal ruled against Emirates and concluded it is legally obliged to pay out in these situations
Among those cheated out of compensation have been holidaymakers travelling from the UK to long haul destinations via airports including Dubai, Abu Dhabi and Singapore.
Yesterday these airlines suffered a bruising defeat as the Court of Appeal ruled against Emirates and concluded it is legally obliged to pay out in these situations.
It agreed with the Court of Justice of the EU that liability for compensation depends on the delay in arriving at the ‘final destination’.
The ruling could open the floodgates to claims against these non-EU airlines, leaving them on the hook for hundreds of millions of pounds in compensation to passengers.
The Civil Aviation Authority has estimated the ruling could benefit as many as 200,000 passengers a year who arrive at their final destination more than three hours late after missing a connecting flight in a non EU airport.
But the total number affected could be as high as 1.2million as passengers have up to six years to claim for a delayed flight.
Rory Boland, travel editor of consumer group Which? said: ‘For airlines that have been sidestepping the law for too long this judgment makes clear that they must play by the rules and pay passengers the compensation that they are owed.
‘This is yet another example of why passengers should receive automatic compensation so that they don’t have to jump through hoops to get what they are entitled to.’
Those delayed between three and four hours are in line for £270, while compensation rises to £540 for delays of four hours or more.
This means airlines could technically be on the hook for anywhere between £325million and £650million in compensation.
Yesterday the CAA urged passengers who have had claims rejected to demand that their airline reassess their case.
Its chief executive Andrew Haines said families of four could receive as much as £2160 – 2400 euros – compensation.
He said: ‘The Court of Appeal’s ruling could not be clearer and is fantastic news for passengers, who can now demand airlines pay them the compensation they are entitled to when they miss a connecting flight.
‘This ruling sends a clear message to Emirates and the other airlines that have used protracted legal processes to prolong their refusal to give consumers their legal entitlement.
‘Any flight disruption is frustrating but delays that cause passengers to miss a connecting flight have a particularly damaging effect on people’s travel plans.’
Although the CAA hailed this as a ‘victory for consumers’, the legal case was actually launched by Manchester-based Hughes Walker Solicitors on behalf of two clients which had been denied compensation by Emirates – Thea Gahan and the Buckley family.
Thea Gahan flew from Manchester to Bangkok, via Dubai in 2011.
Her Manchester flight arrived in Dubai three hours 56 minutes late, after her connecting flight to Bangkok had already left.
She finally arrived in Bangkok almost 14 hours late.
The Buckley family, from Wigan, had a similarly torrid experience. They were booked to fly from Manchester to Sydney via Dubai.
The flight arrived in Dubai two hours four minutes late.
They did not have time to catch the connecting flight and arrived in Sydney 16 and a half hours late.
The CAA supported the court case with written submissions and a witness statement.
It said the judgement reaffirmed its decision to take enforcement action against the five non EU airlines earlier this year.
The watchdog yesterday said it has written to Emirates asking the airline to be good to be its word and accept the Court of Appeal judgement.
It has also written to American Airlines, Etihad and Singapore Airlines to ensure they comply with the ruling immediately
MUST USE: It said Turkish Airlines has ‘worked constructively’ with the CAA since it launched enforcement action and is now compensating passengers for missed connections.
Although the ruling only applies to non EU airlines, the entire industry has long faced criticism for failing to compensate passengers for delayed flights.
A recent report by consumer group Which? claimed Ryanair, BA, Norwegian, Thomson and Emirates are among the worst offenders.
Steve Double, a Labour member of the Transport commons committee said: ‘It is important that airlines are held to account in fulfilling their legal responsibilities to passengers and are not allowed to wriggle out of them.
‘This ruling make clear that passengers are entitled to compensation under EU regulations for all legs of their flights when their journey starts within the EU and now provides certainty for the future.’
A spokesperson for American Airlines said: ‘We are reviewing the matter.’