Delta Airlines has agreed to pay a $100,000 penalty after the U.S. Transportation Department found that Delta was falsely telling some its passengers that its lost luggage responsibilities were much less than required by law.
Federal regulations require that airlines have a minimum of $3,300 liability per person for lost, damaged or delayed baggage.
But even after all the airlines were reminded last fall about that regulation, Delta continued to to distribute pamphlets saying it would not authorize any reimbursement when the baggage is expected to reach the passenger within 24 hours after arrival. Even then it said its liability was limited to $25 a day.
” The Enforcement Office believes that passengers who read the pamphlet may have been dissuaded from seeking reimbursement to which they were entitled. Moreover, in a number of instances in which passengers whose bags were delayed sought reimbursement, Delta applied the exclusions and limitations set forth in the pamphlet,” the Transportation Department said.
“As stated above, Delta may not limit its liability for provable direct or consequential damages relating to lost, damaged, or delayed baggage to less than $3,300 per passenger. By categorically limiting reimbursement of passenger expenses, Delta violated 14 CFR Part 254 and 49 U.S.C. § 41712.”
“Delta states that it takes its responsibility to comply with DOT¹s consumer- protection regulations very seriously. Delta states that it places a high priority on providing clear and accurate disclosure to make certain that its customers are properly informed of their rights under Delta¹s contract of carriage and that they are treated fairly at all times. Delta further states that it had no intention to mislead any passengers concerning its baggage policy. Delta asserts that it had updated its baggage policy disclosures in its relevant informational pamphlets, distributed them to the field, and instructed all stations to substitute the new pamphlets by the January deadline established by the Department¹s guidance on this subject referred to in footnote 1, above.
“Delta further instructed its stations to destroy the outdated pamphlets.”
“Delta states that any distribution of outdated pamphlets or application of a flat per diem cap in the processing of a baggage claim violated Delta policy, and affected only a tiny fraction of the millions of passengers served by Delta. According to Delta, the vast majority of its passengers received the correct information and had their claims processed pursuant to the proper baggage-claim policy. Moreover, Delta points out that once it became aware of the problem, the carrier immediately worked to contact the affected passengers and to send them the appropriate reimbursement amounts to which they were entitled.”
