An industry that was, and still is, heavily disrupted by the COVID-19 pandemic is undoubtedly that of aviation. To contain the spread of the virus, governments around the world had to impose travel restrictions which left air carriers with no other option but to cancel thousands of flights that passengers had already paid for.

Regulation (EC) 261/2004 specifies rules on compensation, reimbursement and assistance in the event of denied boarding, cancellations, long delays and also involuntary downgrading. When applied to flights cancelled because of the pandemic, this legislation provides air passengers with the right to be fully refunded by airlines.

The latter are, however, not obliged to pay additional compensation to passengers because the flights had to be cancelled following measures taken by national authorities to contain the virus, which are considered extraordinary circumstances. Nevertheless, the airlines’ obligation to provide assistance, and where possible, rerouting, to passengers still remains in force. This was confirmed by the Interpretative Guidelines issued by the European Commission in March 2020.

This means that in line with EU Flight Delay Compensation Regulations, for flights cancelled during the pandemic, airlines are obliged to refund flight tickets within the seven-day deadline set out by the regulations. In situations where flight tickets are bought through a travel agency or other intermediary, the airline will usually issue the refund to the intermediary, which in turn will reimburse the passenger.

While airlines are free to offer vouchers or other incentives to passengers to encourage them to postpone and not cancel their travel, for instance by providing vouchers of a higher value, passengers cannot be denied the option to claim a refund.

Passengers cannot be denied the option to claim a refund

Concerning the offer of vouchers as a voluntary alternative to refund, in May 2020, the European Commission presented a package of guidelines on how travel vouchers may be offered as an attractive alternative to cash reimbursement for consumers. The recommendations included:

• minimum validity of 12 months;

• refundable if not used after maximum 12 months;

• protected against insolvency;

• possibility to travel on the same route and under the same conditions as in the original booking, regardless of price differences;

• transferable.

Passengers who still opt for a refund and have their request denied, or do not manage to get the refund within a reasonable time, must first communicate in writing with the airline using the EU-wide air passenger rights complaint form. If their request is not met by the airline, a complaint may be then lodged with the enforcement body where the incident took place. If the cancellation occurred in Malta or in a country outside the EU on a flight to Malta, air passengers may seek the assistance of the Malta Competition and Consumer Affairs Authority.

Can passengers choose not to fly?

When passengers have a flight booked with an airline and despite reports of coronavirus outbreaks and quarantine regulations, the airline still operates the flight, in such situations, even if air passengers may not feel comfortable or safe to travel, they are not automatically entitled to cancel the booking and request a refund.

In these circumstances, air passengers are advised to first check the terms and conditions of their booking to determine whether their booked flight can be cancelled or postponed.

Air passengers should also contact the airline to discuss possible solutions. While airlines may be willing to offer a voucher or the possibility to postpone the booked flight, such arrangements may come at an additional cost to passengers.

For more information on air passenger rights, one can send an e-mail to airpassengerrights.mccaa@mccaa.org.mt.

www.mccaa.org.mt

odette.vella@mccaa.org.mt

Odette Vella, director, Information and Research Directorate

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