Government raises liability limits of aviation carriers for damages

LEGAL UPDATE

Government raises liability limits of aviation carriers for damages

VGP – The Government has recently issued Decree 97/202/ND-CP on revised limits of liability of aircraft carriers for damages, which shall take effect since October 15, 2020.

The new decree regulates higher responsibilities of aircraft carriers for damages which are regulated in Point 1, Article 166 of the Law on Civil Aviation dated on June 29, 2006.

Accordingly, for the carriage of passenger, the liability for damage to death, injury of each passenger is increased from 100,000 Special Drawing Rights (SDR) (about US$ 137,000) per passenger to 128,821 SDR.

Government raises liability limits of aviation carriers for damages
Government raises liability limits of aviation carriers for damages

For the carriage of passenger, the liability for damage caused by delay is raised from 4,150 SRD (about US$ 5,690) for each passenger to 5,346 SDR.

For the carriage of baggage, including checked and unchecked baggage, the liability in case of destruction, loss, damage or delay is limited to 1,288 SDR for each passenger, which is higher than the current limitation of 1,000 SRD (about US$1,370).

For the carriage of cargo, the liability of the carrier in the case of destruction, loss, damage or delay is limited to a sum of 22 SDR per kilogramme from the existing rate of 17 SDR (about US$ 19) per kilogramme.

Earlier on September 27, 2018, authorized by the Deputy Prime Minister, Foreign Minister Pham Binh Minh, Vietnamese Ambassador to Canada Nguyen Duc Hoa met with Dr. Fang Liu, Secretary General of the International Civil Aviation Organization (ICAO) to deposit Viet Nam’s Instrument of Accession to the Convention for the Unification of Certain Rules for International Carriage by Air (Montreal Convention 1999). 

The ratification of the Convention leads to greater consistency and clarity in the claims of handling process, particularly in relation to calculating compensation using the SDR. It also marks another significant milestone in the success story of the Vietnamese aviation sector./.

http://news.chinhphu.vn/

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