Denied boarding compensation

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Denied boarding compensation
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Denied boarding compensation - every carrier shall tender to a passenger eligible for denied boarding compensation, on the day and place the denied boarding occurs, except as provided in the paragraph, cash or an immediately negotiable check for the appropriate amount of compensation provided in § 250.5[1].

Where a carrier arranges, for the passenger's convenience, alternate means of transportation that departs before the payment can be prepared and given to the passenger, the tender shall be made by mail or other means within 2 hours after the time the denied boarding occurs[2]

Written explanation denied boarding compensation and boarding priorities

Every carrier shall furnish passengers who are denied boarding involuntarily from flights on which they hold confirmed reserved space immediately after the denied boarding occurs, a written statement explaining the term, conditions, and limitations of denied boarding compensation, and describing the carriers boarding priority rules and criteria. The carrier shall also furnish the statement to any person upon request at all airport ticket selling positions which are in the chargé of a person employed exclusively by the carrier, or by it jointly with another person or persons, and at all boarding locations being used by the carrier[3] The statement shall read as follows[4][5]

  • Compensation for denied boarding – if you have been denied a reserved seat on ( name of air carrier), you are probably entitled to monetary compensation. This notice explains the airline's obligation. This notice explains the airline's obligation and the passenger's rights in the case of an oversold flight, in accordance with regulations of the U.S. Department of Transportation
  • Volunteers and boarding priorities – if a flight s oversold ( more passengers hold confirmed reservations than there are seats available), no one may be denied boarding against his or her will until airline personnel first ask for volunteers who will give up their reservation willingly, in exchange for a payment of the airline's choosing. If there are not enough volunteers, other passengers may be denied boarding involuntarily in accordance with the following boarding priority of ( name of air carrier); (in this space carrier inserts its boarding priority rules or a summary thereof, in a manner to be understandable to the average passenger).
  • Compensation of involuntary denied boarding – If you are denied boarding involuntarily, you are entitled to a payment of „denied boarding compensation” from the airline unless:

You have not fully complied which the airline's ticketing, check-in, and reconfirmation requirements, or you are not acceptable for transportation under the airline's usual rules and practices, or you are denied boarding because the flight is canceled; or you are denied boarding because a smaller capacity aircraft was substituted for safety or operational reasons; or you are offered accommodations in a section of the aircraft other than specified in your ticket, t no extra chargé, ( a passenger seated in a section for which a lower far is charged must be given an appropriate refund); or the airline is able to place you on another flight or flights that are planned to reach your final destination within one four of the scheduled arrival of your original flight.

  • Amount of denied boarding compensation – passengers who are eligible for denied boarding compensation must be offered a payment equal to the sum of the face values of their ticket coupons, with a $200 maximum. However, if the airline cannot arrange „alternate transportation” ( see below) for the passenger, the compensation is doubled ($400 maximum). The „value” of a ticket coupon is the one-way fare for the flight shown on the coupon including any surcharge and air transportation tax, minus any applicable discount. All flight coupons, including connection or first 4-hour stopover, are used to compute the compensation.
  • Method of payment - the airline must give each passenger who qualifies for denied boarding compensation a payment by cash or check for the amount specified above, on the day and place the involuntary denied boarding occurs. However, if the airline arranges alternate transportation for the passenger's convenience that departs before the payment will be sent to the passenger within 24 hours. The air carrier may offer free tickets in place of the cash payment. The passenger may, however, insist on the cash payment, or refuse all compensation and bring private legal action
  • Passenger's options- acceptance of the compensation may relieve ( name of air carrier) from any further liability to the passenger caused by its failure to honor the confirmed reservation. However, the passenger may decline the payment and seek to recover damages in a court of law or in some other manner.



  1. Office of the Federal Register (e.)(1982)p.52986
  2. U.S. Government Printing Office (2004),p.202
  3. U.S. General Services Administration (e.)(2007),p.202
  4. Office of the Federal Register (e.)(2004),p.202
  5. Office of the Federal Register (e.)(1982)p.52986

Author: Andżelika Kędzior