News

Warsaw Convention

On 22 April 1999 Mr Justice Howitt in the English High Court ruled that the EC Regulation on Passenger Liability is in conflict with the Warsaw Convention obligations of the UK and thus concluded that the Regulation was “in suspense”. The Regulation imposed stricter obligations on air carriers than those provided under the Warsaw system.

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Package Travel Directive

The Package Travel (Amendment) Regulations 1998 were introduced to deal with the anomaly in the UK’s implementation fo the Package Travel Directive. Article 4 of the Directive requires the organiser to provide the consumer, before the contract is made, with, inter alia, general information on passports and visa requirements applicable to nationals of Member States.

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Competition

British Airways has been fined Euro 6.8m (£4.45m / $7.12m) by the EU for breach of EU competition rules. British Airways offered extra commission to travel agents who promoted its tickets over those of its rivals. This created an illegal barrier to airlines wishing to compete with BA’s dominant position.

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European Airlines Improve Financial Performance

A Commission report (The European airline industry: from single market to worldwide challenges) issued on 21 May states that European airlines have improved their financial performance in response to market liberalisation. It also states that fares have been brought down by 10-24% as a result of competition. The Commission says that further streamlining of the

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