DOT ISSUES OVERSALES AND DOMESTIC BAGGAGE RULE
February 18, 2021
On January 15, 2021, the DOT issued a final rule, Implementing Certain Provisions of the TICKETS Act and Revisions to Denied Boarding Compensation and Domestic Baggage Liability Limits, available here. This final rule amends the DOT’s oversales regulation, 14 CFR Part 250, by clarifying that the maximum amount of Denied Boarding Compensation (DBC) that a carrier may provide to a passenger denied boarding involuntarily is not limited, and by prohibiting airlines from involuntarily denying boarding to a passenger after the passenger’s boarding pass has been collected or scanned and the passenger has boarded, subject to safety and security exceptions.
Further, pursuant to existing regulation, this final rule raises the liability limits for Denied Boarding Compensation that U.S. and foreign air carriers may impose from the current figures of $675 and $1,350 to $775 and $1,550.
Lastly, this final rule revises 14 CFR Part 254 to raise the liability limit U.S. air carriers may impose for mishandled baggage in domestic air transportation by adjusting the limit of liability from the current amount of $3,500 to $3,800.
This final rule is effective on April 13, 2021.
If you have any questions, please contact Evelyn Sahr (esahr@eckertseamans.com or 202-659-6622); Drew Derco (dderco@eckertseamans.com or 202-659-6665), or Andy Orr (aorr@eckertsemans.com or 202-659-6625).
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