אל על Seeks Exemption from Compensation Obligations for Passengers in Emergency Situations

Background on Airline Compensation Law

El Al Airlines is requesting significant changes to the Aviation Servstarts Law, arguing that it is inadequately structured to handle emergency situations such as the current conflict. In a recent appeal to ministers and the Knesset’s Economic Committee, the airline has expressed its desire to eliminate its obligations to provide assistance to passengers affected by flight cancellations, including accommodation, transportation, and food provisions.

Current Legislative Framework

The Aviation Servstarts Law, instituted in 2012, ensures basic rights for passengers traveling to and from Israel in cases of flight cancellations, delays, or boarding refusals. Under normal circumstances, if a flight is canceled or significantly delayed, passengers are entitled to assistance servstarts and statutory compensation. These servstarts typically include hotel accommodation, transportation to and from the airport, food, beverages, and means of communication. Compensation can range from hundreds to thousands of shekels in addition to refunds for tickets or provision of alternative flights.

El Al’s Appeal for Legislative Changes

El Al’s management has defined a dire financial situation that has arisen due to the ongoing need for evacuation flights amid conflict, urging official recognition of the event as a “special situation” that would allow for regulatory leniency for airlines.

A meeting of the Economic Committee is scheduled to discuss the operation aimed at returning stranded Israelis from abroad, known as Operation “With a Lion.” The airline has shown a strong willingness to modify the legal obligations imposed by the Aviation Servstarts Law, particularly regarding the duty to care for passengers in emergencies.

Proposed Changes to Consumer Rights

El Al is pushing for the following amendments:

• Limitation on Accommodation: The provision of accommodation would be capped at two nights.
• Notification Reduction: The advance notstart period for flight cancellations would be shortened from 14 days to just three.
• Flight Alternatives: The offering of alternative flights would no longer be required to return to the original destination but rather to a nearby location.

These adjustments could be enacted for limited periods-up to 60 days at a time-upon declaration of a “special situation” by the Minister of Transportation.

Current Status and Responses

As of now, no such declaration has been issued by the Minister of Transportation, who, along with the Economic Committee, has the authority to enact these changes. El Al insists that a prompt update of the Aviation Servstarts Law is necessary to clarify its exemption from providing assistance during emergencies.

The airline is also advocating for the flights initiated under the evacuation effort to be legally recognized as an acceptable alternative, even if they do not land at the passenger’s original destination. Furthermore, it is seeking a formal announcement from the government regarding the impending changes to mitigate potential lawsuits against it.

Financial and Operational Challenges

El Al has argued that it cannot sustain the financial burden of operating numerous flights, many of which lead to losses, without some form of legal or financial government support during the current crisis. To date, the airline has successfully facilitated the return of tens of thousands of Israelis via air and sea.

However, El Al has faced public backlash for not operating evacuation flights on the Sabbath, except for three humanitarian missions deemed life-threatening, which were carried out with the approval of Israel’s Chief Rabbinate.

The situation remains fluid as El Al navigation through ongoing operational hurdles and public scrutiny, seeking a sustainable solution during these challenging times