Updated May 22, 2000, 10:47 a.m. ET
Ruling favors fliers with lost luggage
WASHINGTON (AP) The Supreme Court today let stand a ruling
that could force airlines to pay a lot more to some passengers
whose luggage was lost or damaged.
The court, without comment, rejected an appeal in which American
Airlines sought to limit how much it may have to pay for five
suitcases that disappeared, or arrived empty, during a family's
1995 trip from the District of Columbia to the Dominican Republic.
The nation's major air carriers told the justices that a federal
appeals court ruling in the American Airlines case "will
senselessly harm the airlines and raise the cost of air travel for
their passengers."
At issue was a now-amended provision of the Warsaw Convention, a
treaty on international air travel, that generally limited air
carrier liability for lost or damaged luggage to $9.07 per pound.
The English-language translation of that provision listed
various information to be contained on luggage receipts given to
passengers. That information included the weight of each package
checked with the airlines.
The treaty stated that a carrier's failure to provide for two
other pieces of information "and" the piece of luggage's weight
on the receipt disqualifies that carrier from liability limits.
The required listing of luggage weight on passenger receipts was
dropped last year.
Fourteen members of the Cruz family from Silver Spring, Md.,
checked 28 bags with American at Washington's National Airport as
they began a trip just before Christmas 1995 to attend a relative's
wedding in the Dominican Republic. Four of the bags never arrived
at the airport in Santo Domingo, and a fifth eventually arrived
damaged and empty.
American Airlines initially refused to pay any compensation, and
the Cruz family sued for $15,000 the asserted value of the bags
and their contents. A federal trial judge ruled that the
$9.07-per-pound limit applied even though American had failed to
record any weight for the lost luggage on the passengers' receipts.
American's policy is to assume that any lost piece of luggage
weighed the allowable free maximum, usually 70 pounds.
The judge said the treaty's language meant that the liability
limit applied if any of the three pieces of information were listed
on a passenger's receipt. Listing all three pieces of information
was not required, the judge ruled.
The U.S. Circuit Court of Appeals for the District of Columbia
reversed that ruling last October, and sent the Cruz family's case
back to the judge to reconsider what compensation should be paid.
"Although we recognize that the district court's interpretation
is linguistically possible, we do not think it is a reasonable
construction" of the treaty's language, the appeals court ruled.
"The convention obliges a carrier to comply with each of the three particulars."
American's Supreme Court appeal was supported in a
friend-of-the-court brief submitted by the Air Transport
Association of America, which represents all major domestic
airlines and five foreign airlines.
The association told the court that, although 99.5 percent of
all checked bags reach their intended destination without incident,
more than 450,000 pieces of baggage are delayed, lost or stolen each year.
Because the disputed treaty language was changed in March 1999
and owners of lost or damaged luggage have two years to make a
claim, the association said, "There is a risk that similar suits
against other airlines, including foreign carriers, may be filed in
districts across the country until March of 2001."
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