FINAL ASSG OF ROHIT

8/7/2019 FINAL ASSG OF ROHIT

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INTRODUCTION

ETHICS is a moral code -it is the inner voice that tells a person what is right or wrong. Ethics

can come from religion, from the law, from internal values, from learned values, from public

opinion or from any number of sources. The whole of a person's ideas about morality and about

what is right and wrong -and everything that goes into forming those ideas- determines what is

and is not ethical. Or

1. It is the study of standards of conduct and moral judgment; moral philosophy

2. A treatise on this study

3. The system or code of morals of a particular person, religion, group, profession, etc.

Ethics, also known as moral philosophy is a branch of philosophy that addresses questions

about moralitythat is, concepts such as good and evil, right and wrong, virtue and vice,

justice, etc.

SIGNIFICANCE OF ETHICS IN TOURISM:

ARTICLE-1: MUTUAL RESPECT BETWEEN PEOPLES AND SOCIETY:

y Tourist prevented from engaging in criminal activities.

y Awareness of the tourists health and security

y Harmony with traiditions of host community.

ARTICLE-2:TOURISM FOR INDIVIDUAL AND COLLECTIVE FULFILMENT:

y Developing curricula for tourism exchanges.

y Respecting equality of all the human beings

y Pennalising sexual exploitationy Religious . education linguistic/cultural exchanges.

ARTICLE-3:SUSTAINABLE DEVELOPMENT:

y Safeguarding natural environment.

y Protecting ecosystem and biodiversity.

y Staggering tourist flows in space and time.


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ARTICLE-4: PRESERVATION OF CULTURAL HERITAGE:

y Financial resources used for maintanence of sites and monuments.

y Encouraging survival of traiditional cultural products

y Respect to artistic archeological and cultural heritage

ARTICLE-5:BENEFICIAL FOR HOST COUNTRIES AND COMMUNITIES:

y Increase the standard of living of the local population

y Direct and indirect employment to local population.

y Addressing problems of coastal areas and island territories.

ARTICLE-6:OBIGATIONS OF STAKEHOLDERS IN TOURISM DEVELOPMENT:

y Providing honest information to the tourists.

y Showing concern for safety and security of the tourists.

y Allowing the tourists to practice their religion.

ARTICLE-7 RIGHT TO TOURISM.

y Encouraging tourism for people with disabilities.

y Removing obstacles in the development of tourism.

ARTICLE-8: LIBERTY OF TOURISTS MOVEMENT

y Liberty to move within the coumtry.

y Access to allowancesof convertible.

ARTICLE-9: RIGHT OF THE WORKERS IN TOURISM INDUSTRY:

Guarantee of fundamental rights of salaried of self employed workers in the tourism industry.

IMPLEMENTATION OF GLOBAL CODE OF ETHICS FOR TOURISM:

y Co-operation between public and private stake holders.

y Referring disputes to world committee on tourism ethics.

ABOUT ETHICAL ISSUES RELATED TO AIRLINES:

Ethics are essential in the Airline industry because they are the framework that guides

individuals in the process of making business decisions. They usually encompass threefeatures i.e. an application of one's professional skills, incorporation of one's personal values

and lastly, good judgment. Codes of ethics are formal declarations of the moral values that

guide various companies. Therefore, in the field of ethics, one can analyze an industry such

as an Airline industry through its practical implementations and also through its formal

declarations.


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ETHICAL GUIDELINES

CONFLICT OF INTEREST AS PART OF ETHICAL GUIDELINES/CODE OF CONDUCT

Almost all Airline companies have formal declarations of their codes of ethics. Usually, this can

be categorized under a series of topics such as conflict of interest, asset protection and working

together. Conflict of interest refers to those scenarios where employees or company

representatives have to decide between their interests to their employer or their

personal/investment/ relationship obligations. Usually, most Airline companies have highlighted

some of the issues that can be labeled conflict of interests in their ethics code of conduct.

For instance, conflict of interest comes about when Airline personnel receive gifts or rewards

from suppliers/ consumers/ stakeholders for doing their job. Usually, most Airlines prohibit gifts

especially when those gifts seem excessive. The reason behind this is that when a client gives

an attendant an expensive piece of jewelry for receiving very good customer service, that

attendant may be obliged to meet the consumer's demands the next time the client reports evenwhen those demands are not procedural. This is because by accepting lavish gifts, one puts

himself/herself in a position where they feel obligated to meet the gift giver's needs and this

eventually compromises their moral obligations.

Conflict of interest may also occur when a member of staff finds that they have to work

extremely hard with certain clients and they request those suppliers/clients for rewards for their

services. This is a conflict of interest because an employee finds that they have to choose

between maintaining a good name for their Airline or meeting their personal financial interests.

Consequently, it becomes necessary for Airlines to clarify that this is a wrong thing.

Additionally, conflict of interest may also arise when an employee works for different companies.Usually, working for other Airlines is not a violation of ethics codes in itself, however, it may

become a source of conflict of interest in certain special circumstances. For example, when a

staff member within one Airline company chooses to work for a competing Airline company,

then this can be regarded as conflict of interest. However, the latter case usually applies to

management level personnel rather than junior level employees. As managers, one would find

that they have conflicting interests between improving their own company's performance or

improving their competitors. (Frontier airlines, 2004)

Additionally, conflicts of interests in this line of argument may also arise when employees have

investments in competing Airlines. Such personnel may f ind it difficult to give their utmostdevotion to one's company performance when the other company stands to loose if the former

company does well. This eventually creates a dilemma for the employee and may even hurt one

or both Airlines. However, because this issue is fairly sensitive and debatable, then it is

advisable for employees to discuss investment decisions with their respective human resource

managers so as to ascertain that they are not violating their Airline's moral code.


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Additionally, conflict of interest may arise when one takes advantage of their position in order to

harness corporate opportunities. For instance, when an Airline attendant talk with a client about

a deal that may also be linked to their respective Airline, then this is a conflict of interests. In

order for one to ascertain that they meet their respective ethical obligations, it is essential for

employees to discuss possible corporate opportunities with their human resource

representatives so as to make sure that they can meet these obligations well.

Conflict of interests may also arise when one has to work hand in hand with their family

members, friends or spouses. Usually, this may not be a problem for Some Airlines, however,

certain situations my arise when one finds that they have to choose between their obligations to

their employer or their obligations to their friends or family. This impedes their work output and

may be considered unethical. It should be noted that different Airlines have different rules based

on this issue. Some companies only allow one family member within the company, other Airlines

do not allow spouses in the same company while others do no permit any ties with other

employees in the organization. In other circumstances, it is possible to find that an Airline allows

all the latter issues. Consequently, these are issues that new employees have to familiarize

themselves with as they join an Airline. (Frontier airlines, 2004)

Conflicts of interest may also arise when investors or company employees decide to liaise with

other Airlines to compete unfairly in the industry. Usually, many Airlines prohibit engaging in any

agreements with competitors on issues that may present conflict of interests. Examples of such

issues include;

y Agreeing to boycott suppliers

y Deciding to allocate certain clients to one Airline

y Manipulating clients or distributors

y

Deciding to fix pricesy Fixing terms of ale

y Etc

When employees opt to cooperate with other Airlines to institute any of the latter mentioned

issues, then their will be competing unfairly and this means that they are violating their moral

codes.

ASSET PROTECTION AS PART OF ETHICAL GUIDELINES/CODES OF CONDUCT

Many companies may prohibit their employees from wasting company resources or misusing it

because this is still a violation of the ethics code. For example, when one finds that they want to

use a company car for their personal interests instead of allocating it to its rightful function, then

this means that one is not protecting their company interests. Usually, this is as a result of the

nature of that respective company's opportunities. Individuals need to look for ways in which

they can protect their company business interests through their assets. It should be noted that

assets may incorporate a number of examples; technology, intellectual property and physical

property all fall under this category. This also means that most Airlines expect their personnel to


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keep company information private. Since many employees have contributed to the performance

of a given company, then Airlines need to ascertain that their employees keep their trade

secrets within the company. This means that it would be considered unethical for an employee

to use a company logo unscrupulously, or to utilize sensitive information like social security

numbers or credit card numbers. In line with this is the issue of information security. Employees

must ensure that they keep things such as passwords secret even when they are pressed fortime. It is also crucial for staff members inAirlines to retain records. Since Airlines are based

on record implementation, then is critical for employees to ensure that these are adhered to in

the process.)

Accounting standards and financial standards apply to Airline companies as they do to all

other businesses. It is essential for Airline employees to meet these standards by ensuring that

their financial figures are credible and that they have not been changed in any way to give the

company or the respective employee undue advantage. It should be noted that accounting

standards do not just apply to respective companies alone, they also apply to all other

companies that operate within these institutions. Consequently, it would be favorable for an

Airline to ensure that all their members understand these ethical obligations. Examples of

records that require accounting standards include time sheets, bills, regulatory data, expense

reports, payroll; information among others.

WORKING TOGETHER AS PART OF THE CODE OF ETHICS

Many Airlines are driven by the need to respect each other in their lines of duty. Consequently,

most of them usually ensure that they respect the issue of diversity, other people' cultures and

lifestyles too. Usually, this aspect is prevalent in most Airline recruitment exercises. A number of

Airlines are committed towards establishing diverse work groups and they adhere to this in their

employment practices. Additionally, many companies have made it part of their ethical codes ofconduct to restrict harassment based on gender, race, age or any other attributes. Besides the

later, employees are usually required to meet their obligations regardless of their affiliation to a

client, supplier or any other stakeholder. For instance, when one chooses to give their friend or

family member special attention in comparison to other passengers in the plane, then this can

be a violation of a company's ethical rules. Usually, most companies require that their

employees meet their ethical procedures without favor. It is also essential for employees to

avoid giving out travel privileges. Many Airlines offer travelling privileges to their employees.

Employees ought to ensure that they do not violate these privileges by giving them to friends or

family.

Companies usually ensure that their employees meet these ethical obligations through a

number of channels. For instance, they may decide to establish ethical committees. Also, they

may decide to look for ways in which this can be achieved through the establishment of strict

repercussions for lack of implementation of these systems. By doing this, employees will go a

long way in protecting their company name.


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EXAMPLES OF HOWETHICS HAVE BEEN ADHERED TO OR VIOLATED IN THE AIRLINE

INDUSTRY

After examining the contents of most Airline companies' ethics codes, it is essential to find out if

Airlines actually follow these rules and obligations. Records show that a large portion of ethical

guidelines actually act as the moral framework in various companies. However, one cannot

undermine numerous reports in the media about ethics violations. This section of the essay

shall look at such examples.

THE CASE OFSOUTH WEST AIRLINE

The Federal Aviation Authority is a governing body that issues aviation directives in inspection

of planes. Usually, airlines are supposed to conduct mechanical checks on all planes after

specified time limits. This is usually necessary because when one examines an airplane's tip

during fight, it is usually common to find that the tip wiggles a bit. Airplane designers create the

airplane in such a manner so that a plane is light enough to take off from the ground. However,after subsequent exposure to stress through numerous flights, then airplane wings or other

fuselage parts, may begin to crack and if left unchecked, they can lead to serious accidents.

A case in point was a plane that belonged to the Ahoi Airline in 1988. This plane had not been

inspected for a long time for cracks or any other signs of mechanical defects. During one of their

flights, the plane's top flew off and took with it an air plane attendant who died immediately. The

rest of the people in the plane were lucky enough to arrive safely in nearby airports because

their pilot controlled the plane regardless of the crisis. All that could have been avoided only if

the planes had been inspected as stipulated by the Federal Aviation Authority.

The latter event took place some twenty years ago, but it serves as a lesson to current airplanes

today. Southwest Airlines is one of the reputable companies in the US aviation industry.

However, there are still numerous ethical violations that arise out of failure to meet their airline

ethical standards. The company is required to perform airplane checks or cracks frequently.

However, a check by a Federal Aviation Authority employee in 2007 found that the company's

inspections records were so mixed up that they implied that the company had not been

performing checks as regularly as they should. Additionally, the FAA employee also found that

some planes were behind on their checks by as much as one and a half years yet they were still

being permitted to fly. This implied that Southwest Airlines were violating their obligations to the

consumer and to their in-flight employees who had a right to fly safely. When this employee

decided to report the case, he was advised by the Federal Aviation Authority to tone down theletter of investigation he had written against Southwest Airlines to a letter of concern. This case

illustrated just how some regulators and Airlines liaise with one another to create unfair and

unsafe business environments.

THE CASE OF CLIMATE CHANGE


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The aviation industry is one of the most talked about industries under environmental issues.

Experts assert that this industry is responsible for some of the highest forms of carbon

emissions within the atmosphere and it would therefore be unethical to encourage the growth of

the industry. A case in point was witnessed in Britain when an investment firm known as

Standard Life chose to eliminate all Airlines out of its list of firms to invest in. Examples of

companies that were affected include Easy Jet and British Airways. Standard Life investmentfirm's representatives asserted that the airline industry was responsible for close to seventeen

percent of all carbon emissions in the United Kingdom. They also asserted that these same

British airlines employees contributed to two percent of the world's carbon gases. Consequently,

encouraging them to do business was encouraging the emission of gases that could be a threat

to man' sustainability in the future and this was unethical. (Jamieson, 2008)

However, there were a number of controversial issues that represented themselves in that

scenario. For instance, numerous investment firms (including the one that boycotted all UK

airlines) utilize Airline services or air travel to conduct their business. Consequently, while

boycotting investments in those companies, Standard group personnel still continued to use

their services and those contravened the very purpose of the survey.

Besides the latter, not all aviation companies produce the same amount of carbon emissions.

For instance, statistics show that private charter planes are more efficient than economy class

planes because the number off emissions attributed to passengers is mush less in the former

rather than the latter category. In light of the above, boycotting all airline companies without

consideration of the nature of each violation has been called unfair by certain airlines.

However, standard Life asserted that they came to this decision after conducting a survey that

represented thirty thousand stakeholders. The investment firm took a sample of three thousand

to assess their opinions on the issue of Airline companies and their environmental impact. It wasfound that seventeen percent of the respondents thought that environmental impact should be

the number one priority in addressing ethical issues. Others have other priorities but they all

revolved around social responsibility. The same group rated airline companies in the same

category as pornographic companies, arms dealers and other negative companies. This was

because all these companies conducted their businesses regardless of the effect that it had on

society.

However, others have argued that by boycotting Airlines, Standard Life Investment was not

being part of the solution but part of the problem. These companies argue that if the investment

firms really wanted to institute change, then they needed to look for mechanisms that would

allow them to work hand in hand with these people. For instance, if they continued to invest inAirline, then they would still be in a position that would allow them to change the behavior of

those airline companies. However, by boycotting them, they moved from a state of action to

inaction as Airlines would not be compelled to change their ways.

Regardless of these conflicting schools of thought, it is necessary to realize that Airline

companies have not been acting ethically by emitting excessive carbon gases in the


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atmosphere. Most of them do not care about the impact they will have in the environment yet

this is a serious problem today. Companies can start instituting mechanisms that facilitate

change in this regard. (Jamieson, 2008)

THE CASE OF FREQUENT FLIER PROGRAMS

Many credit card companies have liaised with aviation companies to ensure that consumers

only utilize their modes of payments when purchasing air fights. While this may seem like a

relatively normal thing to do, it can be considered unethical because credit card consumers who

use their visa cards to pay for airline tickets in frequent flier programs are entitled to higher

levels of compensation than those who use cash. This is quite unfair because in normal

circumstances, cash consumers are always supposed to pay less than credit card consumers.

However, visa companies have created a system in which they charge their merchants extra

costs and then lure consumers into using only their products when purchasing air tickets so that

they can pay less. By teaming up with airlines to create a monopoly of some sort on the

industry, these airlines and credit card companies are creating a monopoly by giving themselves

undue advantage.

Besides this, the issue of frequent flier programs is another unethical procedure used by airlines

to ensure domination of consumers. For instance, when a client approaches an airline to

purchase a ticket, that consumer will be given an incentive to ensure that they stick to a certain

category of tickets known as the frequent flier programs. By giving the client an incentive to

come back to the company even when their air services are poor, then airline companies are

engaging in malpractice

CONCLUSION

Many companies have created ethical rules and procedures to assist their representatives in

business processes. While these ethical codes assist a wide range of employees, there are

numerous cases in which companies violate these terms. Examples include monopoly in service

provision by liaising with suppliers, lack of fulfilling environment obligations and non-compliance

to mechanical investigations

THE AIRLINE INDUSTRY ISSUBJECT TO EXTENSIVE GOVERNMENT REGULATION, AND

NEWREGULATIONSMAY INCREASE OUR OPERATING COSTS.

Airlines are subject to extensive regulatory and legal compliance requirements that result in

significant costs. For instance, the FAA from time to time issues directives and other regulationsrelating to the maintenance and operation of aircraft that necessitate significant expenditures.

We expect to continue incurring expenses to comply with the FAAs regulations.

Other laws, regulations, taxes and airport rates and charges have also been imposed from

time to time that significantly increase the cost of airline operations or reduce revenues. For

example, the Aviation and Transportation Security Act, which became law in November 2001,

mandates the federalization of certain airport security procedures and imposes additional


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security requirements on airports and airlines, most of which are funded by a per ticket tax on

passengers and a tax on airlines. The federal government has on several occasions proposed a

significant increase in the per ticket tax. The proposed ticket tax increase, if implemented, could

negatively impact our revenues.

Recently, proposals to address congestion at certain airports or in certain airspace,

particularly in the Northeast U.S., have included concepts such as congestion pricing, slot

auctions or other alternatives that could impose a significant cost on the airlines operating in

those airports or airspace. Furthermore, events related to extreme weather delays in late 2006

and early 2007 have caused Congress and the DOT to consider proposals related to airlines

handling of lengthy flight delays during extreme weather conditions. The enactment of such

proposals could have a significant negative impact on our operations. In addition, some states

have also enacted or considered enacting such regulations.

Future regulatory action concerning climate change and aircraft emissions could have a

significant effect on the airline industry. For example, the European Commission is seeking to

impose an emissions trading scheme applicable to all flights operating in the European Union,including flights to and from the U.S. Laws or regulations such as this emissions trading scheme

or other U.S. or foreign governmental actions may adversely affect our operations and financial

results.

CODE OF BUSINESS CONDUCT AND ETHICS OF--------- KINGFISHER AIRLINES

Commitment to ethical and lawful business conduct is not only critical to the Company's

success, but also a fundamental shared value of its Board of Directors (the "Board"), senior

management personnel and employees. Standards for business conduct helps in upholding

ethical and legal standards vigorously, the Board and senior management personnel will not

compromise honesty and integrity.

Consistent with these principles, the Board has adopted this Code of Business conduct and

Ethics (the Code) as a guide to the high ethical and legal standards expected of its Board and

its senior management personnel.

The members of the Board and Senior Management Personnel of the Company

acknowledge and accept:

The responsibility to carry out their duties in an honest and business like manner and within the

scope of their authority, as set forth in the general laws of the land where they operate and in

the Memorandum of Association and Articles of Association of the Company, Corporate

Governance Guidelines; and

Accordingly, the Board has adopted this Code and the Directors and Senior Management

Personnel are expected to adhere to the standards of loyalty, good faith, and the avoidance of

conflict of interest that


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In performing their daily duties, the Directors/senior management personnel will:

1. Act ethically, diligently, openly, honestly, in good faith and with integrity;

2. Act in the best interests of, and fulfill their fiduciary obligations to the Company and its

stakeholders;

3. Act in good faith, responsibly, and with due care, competence and diligence, withoutallowing their independent judgment to be subordinated;

4. Dedicate their best efforts to advancing the Companys interests and act in a manner

that will enhance and maintain the reputation of the Company;

5. Abide by all applicable laws and regulations, confidentiality obligations and specially with

the Companys Insider Trading Rules;

6. Become and remain familiar with the Companys business and the economic and

competitive environment in which it operates and understand its principal business

plans, strategies and objectives; operations results and financial condition and relative

marketplace position;

7. Conduct themselves in a professional, courteous and respectful manner;

8. Be aware of and comply with all applicable laws, rules and regulations that govern the

conduct of the business in all jurisdictions where the Company operates;

9. Commit the time necessary to prepare for, attend (in person or as appropriate) and

actively participate in regular and special meetings of the Board/ senior management or

other meetings on which they serve/attend;

10. Disclose potential conflicts of interest that they may have regarding any matters that may

come before the Board, and abstain from discussion and voting on any matter in which

the Director/Senior Manager has or may have a conflict of interest;

11. Discharge their duties, as members of the Board and of any Board Committees on which

they serve or as senior management personnel in accordance with their good faith

business judgment and in the best interests of the company and its stakeholders;12. Inform the Chairman of the Board of changes in their employment, other board positions,

relationships with other business, charitable, and governmental entities, and other

events, circumstances or conditions that may interfere with their ability to perform their

duties or impact the Board's assessment of whether they meet the independence

requirements;

13. Maintain the confidentiality of all material non-public information about the Company, its

business and affairs;

14. Make available to and share with fellow Directors and senior management personnel

information as may be appropriate to ensure proper conduct and sound operation of the

Company;

15. Not enter into, without the prior approval of the disinterested members of the Board, any

transaction or relationship with the Company in which they will have a financial or

personal interest (either directly or indirectly, such as through a family member or other

person or organization with which they are associated), or any transaction or situation

which otherwise involves a conflict of interest;

16. Not use confidential information acquired in the course of their service as Directors or

senior management personnel for their personal advantage.


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17. Provide leadership in advancing the Company's vision, values and guiding principles;

and

18. Respect the confidentiality of information relating to the affairs of the Company acquired

in the course of their service as Directors, except when authorized or legally required to

disclose such information.

19. Safeguard and properly use Company assets and resources, as well as assets of otherorganizations that have been entrusted to the Company.

20. Never request gifts, entertainment or any other business courtesies from people doing

business with the Company (including suppliers, customers, competitors, contractors

and consultants).

IN CASE OF VIOLATION

Suspected violations of this Code must be reported to the Chairman of the Board or the

Chairman of the Audit Committee. All reported violations will be appropriately investigated.

Directors who violate this Code may be subject to sanctions, up to and including a request to

resign as Director or the Boards seeking removal of the Director, where permitted by applicablelaw.

THE AIRLINE DEREGULATION ACT

The Airline Deregulation Act of 1978 changed air travel.

Airline Deregulation Act - Definition

President Jimmy Carter signs the Airline Deregulation Act.The Airline Deregulation Act (ADA)

was a piece of US legislation signed into law on October 28, 1978. The main purpose of the actwas to remove government control from commercial aviation and expose the passenger airline

industry to market forces.

The Airline Deregulation Act of 1978 led to many changes in air travel. Before 1978, the United

States government subsidized and regulated U.S. airlines, allowing a handful of airlines to

monopolize the industry. The increased competition after deregulation benefited small airlines

and air travelers.


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History

1. From 1938 to 1978, the Civil Aeronautics Board (CAB) regulated commercial air travel. The

CAB had several goals, including setting fares, assigning routes and preventing air carriers

from entering new markets. There were some advantages to this setup. For example, the

CAB subsidized less profitable routes, ensuring that airlines wouldn't just focus on the highlytraveled and profitable routes, but serve the needs of all their customers. Despite the

advantages, deregulation continued to gain support.

Changes

2. Deregulation pressed ahead when President Jimmy Carter appointed deregulation

supporter Alfred Kahn to head the CAB. Senators Edward Kennedy and Howard Cannon

wrote the Airline Deregulation Act of 1978, which passed late in the year. The new laws took

effect gradually, eliminating airline monopolies by allowing new airlines into the market

(starting in 1981), allowing airlines to set their own fares (starting in 1982) and eliminating

the CAB (in 1984).

Opposition

3. The Airline Deregulation Act faced some stiff opposition from several different angles.

Airlines feared losing their monopoly on certain routes. Safety advocates feared that

deregulated airlines would place profit over safety. Small cities feared that airlines would

drop their unprofitable routes. Workers feared losing their jobs to non-union employees.

Effects

4. Although the act managed to appease airlines and workers with subsidies and

unemployment benefits, deregulation did affect small cities when airlines dumped their less

profitable routes. The model of air travel changed when airlines introduced a hub-and-spoke

system, in which people who seek to fly from Point A to Point B (a small, less popular route)

fly instead from Point A to Point C (a high-traffic hub), then to Point B.

Benefits

5. The Airline Deregulation Act of 1978 proved beneficial for customers. Greater competition

between airlines drastically lowered prices. According to a study by Clifford Winston and

Steven Morrison of the Brookings Institution, airline prices were 22 percent lower in 2000than they would have been under a regulated system. Although many large airlines found it

difficult to survive without regulation and went bankrupt, deregulation allowed smaller

airlines a chance to succeed by taking over the unprofitable routes that big airlines left

behind.

AIRLINE LIABILITY


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Information

There are international laws in existence that provide a world-wide system of standards and

rules for air travel and in particular, common rules regarding minimum liability limits for the

carriage of passengers, cargo and baggage in the event of death, injury, damage, delay or loss.

These laws were first agreed and introduced worldwide in 1929 and in some parts of the world,

those liability limits set down in the 1929 legislation remain in place today. The first international

law introduced is known as the Warsaw Convention (1929) and you can still see references to

this legislation on the back of airline tickets and coupons today.

Over the years, there have been a number of changes to and reviews of the original Warsaw

Convention, including increases in the monetary liability limits. These subsequent amendments

together with the original Warsaw Convention are known collectively as the "Warsaw System".

While the Warsaw Convention as amended brought about a certain degree of uniformity, i.e.,

similar monetary limits were in place in a number of countries, there was a realisation in the

1990s that the liability limits were still too low by present-day standards (about 19,000 euro in

the case of the death of a passenger). In addition, the laws governing airline liability hadbecome fragmented and very confusing as some countries had not introduced all the various

amendments to the original laws. This means that even today, depending on where the accident

or incident takes place, liability limits can be higher or lower than in other countries.

Rules

Air travel on EU airlines (death/injury to passengers)

In order to improve the liability regime in the event of death of or injury to passengers of EU

airlines, Member States of the EU introduced legislation in 1997 that ensured that the same

limits are now in place in all EU Member States. The 1997 legislation, however, does not

include damage, delay or loss of baggage . Liability limits for damage, delay or loss of baggageor cargo still rely on the 1929 Warsaw Convention.

There is currently no financial limit on the liability of an EU airline for damages sustained by you

in the event of death, wounding or any other bodily injury. Passengers who are travelling with an

EU airline will receive full compensation in the case of an accident, regardless of where it

happens (i.e., inside or outside the EU) and will receive up-front payments if necessary to help

with any immediate economic hardship.

The EU airline will, without delay and in any event, not later than 15 days after the person

entitled to compensation has been identified, make an advance payment to meet immediate

economic needs in line with the hardship suffered as a result of the accident. If someone dies,

the advance payment shall not be less than 15,000 SDR (approx. 21,600 euro) per passenger.

It is important to note that an advance payment shall not constitute recognition of liability and

may be offset against any subsequent sums that are paid on the basis of EU air carrier liability.

Generally, these payments are not returnable. To help resolve smaller claims, when responding

to damages claims by passengers up to a level of 100,000 SDR (approx. 144,000 euro), EU

airlines can only be exonerated from their liability if the damage was caused by or contributed to

by the negligence of the injured or deceased passenger.


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Air travel on non-EU Airlines (death or injury to passengers)

Due to the complex nature of the laws governing airline liability, liability limits in place in various

countries around the world vary and can be as low as 19,000 euro in the event of death or injury

to a passenger. You are advised before you travel to seek adequate travel insurance in advance

of your journey and you can also check in advance of travel to find out the liability limits

governing the airline you are travelling with.

Damage, loss or delay of baggage

The airline liability limits in place covering the damage, loss or delay of baggage are as set

down in the Warsaw System. New legislation is currently being prepared to increase these limits

for travel on EU airlines and also on international airlines but the following rules set out the

current situation. You should also be aware that the liability of airlines in the event of damage,

loss or delay of baggage has certain conditions attached to it:

y Airline liability is based on the weight of your baggage/luggage and not on the value of

either the baggage or the items contained in your baggagey Airlines may not accept liability for valuable, fragile or important items that are packed in

damaged or unsuitable containers and later damaged in transit. You are always advised

to pack items in suitable containers and seek adequate travel insurance before you

travel if you are carrying such items.

Checked baggage

This is baggage/luggage that you have given custody of to the airline at the time you check-in

and confirm that you will be taking your seat on the flight. Some airlines will not take

responsibility for loss of jewellery, other valuables and money contained in your checked

baggage. It may be possible to sign a declaration that your baggage contains items of highervalue and you may have the option of paying additional charges at check-in to cover the higher

value in the event of loss of or damage to your baggage. If you do not sign a declaration and

pay the additional charges, the liability of the airline in the event of damage to your checked

baggage is limited to approximately US$20 per kilogram of checked baggage.

Unchecked baggage

This is baggage/luggage/duty-free items/personal items that you have in your possession when

you board the aircraft. In the case of damage to your unchecked baggage, the liability of the

airline is limited to approximately US $400 per passenger.

How to apply

y If you are travelling on an airline and your baggage is lost, damaged or delayed, you

should begin first by reporting the loss, damage or delay to the customer service desk of

your airline and completing a Property Irregularity Report (PIR). The PIR will include

information regarding the details of your flight (i.e., the airline, date, flight number and

time, etc.), your baggage, your name and address, etc. You will be given a copy of the

PIR and the airline will retain the other copy.


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y You should find the baggage labels you were given when you checked-in your luggage

(they would have been given to you by the check-in staff and contain a bar-code and a

number. This reference number relates to your baggage and will help the airline identify

your baggage and help trace it for you).

y If your baggage is not returned during your holiday or journey, remember to keep

receipts of items you had to purchase because of your missing luggage.

y Put your complaint to the airline in writing promptly (there is a time-limit of 21 days from

the delivery of your baggage in which to make a claim).

y If you discover your baggage has been damaged while in transit (i.e., while you were

travelling), you should put your complaint in writing to the airline within 7 days.

y If you have holiday insurance, you should advise your insurance company of the loss of

or damage to your baggage as soon as you can.

CERTAIN ETHICAL RULES AND REGULATIONS FOLLOWED BY THE AIRLINES:

BAGGAGE ITEMS PROHIBITED OR RESTRICTED IN AIRPORTS AND AIRPLANES

For some passengers, going to the airport can be stressful, especially worrying about whether

everything in their bags are allowed in the airport or on the airplane, and this extra stress may

even contribute to their fear of flying. However, if you take some time to get familiar with

common security rules, the basic baggage rules followed by many airlines, and especially how

to be smart about what to put in your carry-on baggage, going through airport security will be a

lot easier.

Because of the constantly changing security threats to aviation, most countries have many

restrictions on what you can carry on an airplane, and other security restrictions that affect your

air travel experience. However, if you take some time to get familiar with the basic security

rules, you'll probably avoid any problems when you go to the airport.

Most of the information below is based on the requirements and restrictions of the US

Transportation Security Administration (TSA). Each country has different security requirements,

but much of the information will be similar for air travel throughout the world.

ITEMS THAT ARE COMPLETELY BANNED

The following items are completely banned from aircraft, and should not be brought to the

airport:

Explosive and Incendiary Materials: Gunpowder (including black powder and percussion

caps), dynamite, blasting caps, fireworks, flares, plastic explosives, grenades, replicas of

incendiary devices, and replicas of plastic explosives.


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Flammable Items: Gasoline, gas torches, lighter fluid, cooking fuel, other types of flammable

liquid fuel, flammable paints, paint thinner, turpentine, aerosols (exceptions for personal care

items, toiletries, or medically related items).

Gases and Pressure Containers: Aerosols (with the exception of personal care items or

toiletries in limited quantities in containers sized three ounces or smaller), carbon dioxide

cartridges, oxygen tanks (scuba or medical), mace, tear gas, pepper spray, self-inflating rafts,

and deeply refrigerated gases such as liquid nitrogen.

Matches: All matches are banned from checked baggage, and strike-anywhere matches are

banned completely from aircraft, but you can have a single book of safety (non-strike anywhere)

matches with you in the passenger cabin.

Oxidizers and Organic Peroxides: Bleach, nitric acid, fertilizers, swimming pool or spa

chemicals, and fiberglass repair kits.

Poisons: Weed killers, pesticides, insecticides, rodent poisons, arsenic, and cyanides.

Infectious Materials: Medical laboratory specimens, viral organisms, and bacterial cultures.

ITEMS ALLOWED ONLY IN CHECKED BAGGAGE

The Transportation Security Administration (TSA) has prohibited the following items from

airplane cabins and carry-on baggage but may (with some exceptions) be carried as checked

baggage:

Sporting Goods: Bats (baseball, softball, cricket), hockey sticks, lacrosse sticks, bows and

arrows, ski poles and spear guns golf clubs, and pool cues.

Knives: Knives of any length, composition or description (except for plastic or round bladed

butter knives), swords, machetes, and martial arts weapons such as throwing stars.

Cutting Instruments: Carpet knives and box cutters (and spare blades), any device with a

folding or retractable blade, ice picks, straight razors, and metal scissors with pointed tips, are

only allowed in checked baggage. Small scissors with a cutting edge less than four inches (10

cm) are allowed in the cabin.

Firearms: Pistols, flare guns, BB guns, rifles, and other firearms must be unloaded, packed in a

locked hard-sided container, and declared to the airline at check-in. There are limited

exceptions to the firearms and ammunition rules for law enforcement officers. In the United

States, federal laws apply to aircraft and to the secure areas of the airport such as the gate

areas. State or local laws concerning the carrying of concealed or unconcealed weapons do not

apply. Attempting to enter the secure area of the terminal with weapons, even accidentally, may

lead to your arrest.

Firearm Replicas: Realistic replicas of firearms must be carried as checked baggage. Toy

weapons that are not realistic are allowed in checked or carry-on baggage.

Firearm Parts: They should be treated like firearms and only carried in checked baggage.


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Ammunition: In the US, small arms ammunitions for personal use must also be declared to the

airline at check-in, and must be securely packed in fiber, wood or metal boxes or other

packaging specifically designed to carry small amounts of ammunition. Ammunition, if properly

packaged, can also be carried in the same hard-sided case as an unloaded firearm. You should

check with the airline to see if it has additional restrictions on either firearms or ammunition

RESTRICTIONS ON LIQUIDS, GELS, AND AEROSOLS

On 10 August 2006, authorities in the United Kingdom uncovered an alleged plot to sabotage as

many as 10 US airliners traveling from the United Kingdom to the United States, reportedly by

using liquid and gel based explosives. Since then, the US and most other countries have

restricted what liquids and gels a passenger may have in the passenger cabin: In the US, the

general TSA restrictions are as follows:

y Passengers may bring into the secure area of the airport liquid and gel products, so long

as each individual container has a capacity of no greater than 3.4 fluid ounces (100 ml),

and all of these small containers can fit in quart-size, zip-top, clear plastic bag. The TSA

suggestion for a zip-top is a loose requirement. If you only have a few small containers,

you don't need an additional zip-top bag.

y Snow globes and similar liquid-filled decorations, no matter what size, can only be

carried in checked luggage.

y Passengers may not pass through the security screening with gel or beverage

containers of greater capacity unless they fall under one of the exemptions described

below.

Note: Once a passenger has passed through security screening, they can purchase any

size beverage and other liquid or gel products in the terminal and take them on to the plane.

SPECIAL RULES ON BATTERIES

The FAA allows passengers to carry most consumer batteries and personal battery-powered

devices. Spare batteries must be protected from damage and short circuiting. Battery-powered

devices also should be protected from accidental activation. Some batteries have further

restrictions, and those are summarized below, and you can find more details in an FAA

brochure on the subject.

Batteries Allowed Only in Carry On Baggage

y Common dry cell alkaline batteries such as AA, AAA, C, D, 9-volt, and button sized cells.y Dry cell rechargeable batteries such as Nickel Metal Hydride (NiMH) and Nickel

Cadmium (NiCad).

y Small, rechargeable lithium ion batteries of the types commonly used in a cell phone,

PDA, camera, camcorder, handheld video game, or standard laptop computers.

y Small, non-rechargeable lithium metal batteries commonly used with cameras and other

small personal electronics.


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Batteries Allowed in Checked Baggage

Except for spare (uninstalled) lithium batteries, all the batteries allowed in carry on baggage are

also allowed in checked baggage. Batteries in checked luggage must be protected from

damage and short circuiting, or installed in a device. Battery-powered devices, particularly those

with moving parts or those that could heat up, should be protected from accidental activation.

Loose lithium batteries are not allowed in checked baggage.

Wheelchair Battery Exception

While spillable batteries are normally not allowed on aircraft in checked or carry-on baggage

unless they are part of a passenger's electric wheelchair. Non-spillable wheelchair batteries are

allowed if they meet other battery requirements.

OTHER AIRLINE RESTRICTIONS

In addition to the restrictions of the TSA, your airline may also have restrictions on what is

allowed on the airplane. If you are carrying an unusual item, or if you thing that an airline may

have a restriction, be sure to contact your airline ahead of time, or to contact a representative in

the airport. Also, in the event that an airline loses your bags and finds them later, they may have

limited Excess Baggage options for getting your bags back to you, especially if you are traveling

overseas.

EXCEPTIONS FOR DUTY FREE ITEMS

Ifyou are travelinginternationally and might purchaseduty freeitems, youshouldreview the

Duty FreeIssues pageforadvice onhow to fly with perfume, alcohol, and otherliquid,gel, or

aerosolitems.

Aviation Law - Aviation law covers almost all aspects of flight, air travel, aircraft and airport

operation and regulation and associated legal and business concerns. This area of law is a

complex discipline that consists of operators, pilots, mechanics, air traffic controllers,

manufacturers, and the laws that govern their activities. It is a specialized field that requires a

detailed understanding of aviation, FAA rules and regulations, and specific laws related to

aviation.

Both federal and state governments have enacted statutes and created administrative agencies

to regulate air traffic, although aviation law operates mostly at the federal level. The agency that

oversees most aspects of aviation law is the Federal Aviation Administration (FAA). States are

prohibited from regulating rates, routes or services of any air carrier authorized under the

Federal Aviation Act to provide interstate air transportation. States are not prohibited, however,from enacting consistent laws, or from altering existing remedies under state law. Also, state

products liability law is not preempted by Federal law and in most cases, aviation manufacturers

may be held strictly liable for defects in aviation products.

Aviation Law can include defending a pilot from a potential Federal Aviation Regulation violation

or a family member who lost their life or was seriously injured in an aircraft accident


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REFERENCES:

http://civilaviation.nic.in/moca/civ_pol.html

http://www.airsafe.com/danger.htm

http://www.ehow.com/about_6328529_airline-deregulation-act.html

http://www.hg.org/aviation-law.html

http://www.citizensinformation.ie/en/travel_and_recreation/air_travel/airline_liability.html

http://www.wikinvest.com/stock/Delta_Air_Lines_Inc._(DAL)/Airline_Industry_Subject_Extensive

_Government_Regulation_New_Regulations)

FINAL ASSG OF ROHIT

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