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B-211251 1 (1983-07-06)

handle is hein.gao/gaobadled0001 and id is 1 raw text is: THE COMPTROLLER GENERAL DECISION oF THE UNITED STATES -WASHINGTON, 0..C. 20548 FILE: B-211251 DATE: July 6, 1983 MATTER OF: Civil Aeronautics Board--Denied Boarding Compensation Rules DIGEST: GAOpis aware of no statute which would prohibit airlines from charging Federal agencies which requisition space aboard already-full carriers not only the fare for the seat or seats requisitioned but also the compensation which the airlines must pay the bumped passenger. The Civil Aeronautics Board (CAB) requests our opinion on whether Federal agencies are precluded by any statute or regulation from paying an airline more than the specified price of the seat or seats when it makes a mandatory space requisition that forces the airline to bump a passenger with confirmed reservations, and pay him appropriate com- pensation under CAB denied boarding compensation rules. We are aware of no such prohibition under the circumstances described. On October 7, 1982, the CAB amended its denied boarding compensation rules, which prescribe minimum standards for the treatment of airline passengers holding confirmed reservations who are not accommodated because the airline oversold their flight, ER-1306, Docket 39932, October 7, 1982. Prior to this amendment, the rules did not require that the carrier compensate passengers who were denied boarding due to Govern- ment requisition of space aboard the aircraft. 14 C.F.R. § 250.6 (1982). The CAB explained its rationale for deleting this exception to the denied boarding compensation rules as follows: Today, when a Government agency requisitions space on an already-full plane, denying com- pensation to passengers who are bumped seems inconsistent with the broad policy underlying these oversales rules. The basic rationale is compensation of the passenger, not punishment of the airline. Furthermore, the airline need not suffer from this change in any event.

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