Aviation Litigation Conference 2015

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De Vere Holborn Bars - Central London

We would be grateful if you would spare a few moments to complete the ‘Assessment Form’ which is of great

This conference examines recent litigation and regulatory developments in the aviation sector. It covers a wide range of topics from recent European regulations, aircraft and engine redelivery disputes, and insurance. By bringing together leading aviation lawyers in both England and overseas, as well as in-house counsel, this conference provides an excellent opportunity for delegates to get an in-depth insight into current topics affecting this sector.

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Since the introduction of Reg. (EC) 261/2004 the air passenger claims in Germany have increased quite significantly in numbers. German passengers tend to use different channels to enforce their rights against an airline. One major branch has become the use of so called third party claims management companies that operate online (in short: online companies) that handle the claims for the passenger. Another player are specialized law firms that have a focus on consumer protection and that found in the aviation industry a new target to enforce consumer rights. The online companies and the consumer protection lawyers are very present in German media, especially online, on TV and even in print media.

As a consequence of the increasing number of passenger claims, German courts have to deal with these cases on a regular basis. In the beginning of Reg. (EC) 261/2004 many judges hardly had a clue of what passenger and airline were legally talking about when it came to discussing extraordinary circumstances. In many court hearings the judge would discuss his personal experience with airlines (even though this was not at all to the point of the case). By now, many courts have acquired a better knowledge of the matter. Of course, you will still find a number of judges who follow strange ideas of how airlines have to handle disruptions such as strikes or weather cases, but in general their approach has become more sensible. For many judges, however, it is often not understandable that an airline would defend a small claim of EUR 250.00 by making quite an effort to present adequate defense material. As the courts are more involved so are the higher courts and even the German Supreme Court (Bundesgerichtshof – BGH) brought forward a number of decisions that had impact on the interpretation of Reg. (EC) 261/2004.

As the field of passenger claims has become very diverse I would like to focus on the following aspects: online companies and their contractual lawyers; some legal background to serving statement of claims to the airline under a German perspective and some German “characteristics” with regard to some procedural aspects as well as some interesting decisions of the German Supreme Court on the interpretation of extraordinary circumstances pursuant to Art. 5 subs. 3 Reg. (EC) 261/2004.

ONLINE COMPANIES AND THEIR CONTRACTUAL LAWYERS

A. Overview

There are currently a number of different online companies operating on the German market. They offer passengers “assistance” in enforcing compensation claims under Reg. (EU) 261/2004 against the air carrier.

Notes prepared by

Dr. Wiebke Seyffert, Stenger LLP

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Aviation Litigation Conference 2015

De Vere Holborn Bars - Central London

Contents

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Regulation 261 – overview

Which? Report (8 August 2015)

Which? research found that only four in 10 people who were delayed claimed

compensation, meaning consumers could be missing out on millions of pounds.

Which? executive director Richard Lloyd said: 'We are urging people to hold their

airline to account and claim the compensation they are rightly owed if they have a

lengthy delay.'

Claims management companies

Delayed Airline Passengers Owed Millions

Around 62% of delayed airline passengers eligible to claim compensation are

unaware of their right to receive up to £510 per passenger for a flight delay. The total

exceeds millions of pounds (flightdelays.co.uk).

Reported by The Telegraph, The Sun, The Independent

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Regulation 261/2004

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Extraordinary circumstances post-Huzar

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Limitation periods post-Dawson

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Revision of 261/2004

Introduction

ONLINE COMPANIES AND THEIR CONTRACTUAL LAWYERS

Notes prepared by

Dr. Wiebke Seyffert, Stenger LLP

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Operating Lease Cycle

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Of the 35,000 aircraft that may be delivered at least 50%

will be as operating leases and a further 20% will become

sale/leaseback after delivery.

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Operating leasing provides airlines with considerable

flexibility – at a price.