Court rules airlines must compensate passengers for delays

European airlines today lost a legal bid that aimed to strike down new EU rules guaranteeing passengers compensation for flight delays or cancellations.

The European Court of First Instance dismissed the airlines’ claims that the rules infringed international agreements and breached existing legal principles.

The International Air Transport Association – which represents 270 carriers worldwide – estimates that the regulation will cost the industry more than €600m a year at a time when it was facing higher fuel charges and increased competition.