The Department of Transportation (DOT) in late March issued a finding that changes the lay of the land when it comes to making claims about lost/damaged luggage on international flights. High-cost or fragile items such as electronics, cameras, jewelry or antiques are now covered.
According to DOT, a typical provision found in carrier tariffs and disclosed on carrier websites states that the carrier does not assume liability for loss, damage, or delay of “certain specific items, including: . . . antiques, documents, electronic equipment, film, jewelry, keys, manuscripts, medication, money, paintings, photographs . . .”
Not any more — at least not internationally. Here is the exact DOT ruling:
Such exclusions, while not prohibited in domestic contracts of carriage, are in contravention of Article 17 of the Montreal Convention (Convention),1 as revised on May 28, 1999. Article 17 provides that carriers are liable for damaged or lost baggage if the destruction, loss or damage” occurred while the checked baggage was within the custody of the carrier, except to the extent that the damage “resulted from the inherent defect, quality or vice of the baggage.”2 Article 19 provides that a carrier is liable for damage caused by delay in the carriage of baggage, except to the extent that it proves that it took all reasonable measures to prevent the damage or that it was impossible to take such measures. Although carriers may wish to have tariff terms that prohibit passengers from including certain items in checked baggage, once a carrier accepts checked baggage, whatever is contained in the checked baggage is protected, subject to the terms of the Convention, up to the limit of 1000 SDRs (Convention, Article 22, para.2.).3 Carriers should review their filed tariffs on this matter and modify their tariffs and their baggage claim policies, if necessary, to conform to the terms of the Convention. In addition, carriers should ensure that their websites do not contain improper information regarding baggage liability exclusions applicable to international service.
If the airlines accept the checked bags, they are responsible for them and for their contents. The “high-value-item” loophole created by the airlines has been ruled illegal.
Where the DOT giveth, it taketh away with the other hand.
The not-so-good-news is the limitation on damages to 1000 SDR (special drawing rights). That means each piece of luggage is insured up to a maximum of around US$632 regardless of the number of bags a passenger may check.
These baggage liabilities also apply to domestic portions of an international flight. This is the case even if the domestic and international flights are on separate tickets and you claim and re-check your bag between the two flights.
On domestic flights the liability level is $3,300 per ticketed passenger and the liability limitation for high-cost or fragile items such as electronics, cameras, jewelry or antiques is still applicable.
