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Continental Express Flight Delay Leads to $175K in Federal Fines

Posted by: Justin Bachman on November 24, 2009

The Dept. of Transportation is fining three airlines a total of $175,000 for the Aug. 8 delay that trapped 47 people on a regional jet overnight in Rochester, Minn. The federal findings — and the first penalties for keeping passengers stuck on a plane — accuse Continental (CAL), ExpressJet Holdings (XJT), and Mesaba of unfair and deceptive practices in air transportation.

Houston-based ExpressJet operated the 50-seat jet for Continental. The flight was diverted from Minneapolis because of thunderstorms. The DOT fined both airlines $50,000. Mesaba, a unit of Delta Air Lines (DAL), was fined $75,000 because a company agent at the airport repeatedly told ExpressJet personnel that the airport was closed and passengers could not be allowed into the terminal. (In such situations, federal rules allow passengers into airports if they are restricted to secured areas.)

“I hope that this sends a signal to the rest of the airline industry that we expect airlines to respect the rights of air travelers,” U.S. Transportation Secretary Ray LaHood said in a news release Tuesday. The department called the fines “precedent-setting” because they apply to such a delay “as well as the first time a carrier acting as a ground handler for another airline has been punished for failing to properly help passengers leave an aircraft during an unreasonably long tarmac delay.”

All three carriers disputed the findings by the DOT’s Office of Aviation Enforcement and Proceedings but agreed to the fines to settle the issue. The airlines must pay half the fine in cash and can defer the rest if they agree to spend it on further training to prevent flight delays. The pdf files of all three consent orders can be read here. (To search, the case docket is DOT-OST-2009-0001.)

"Since this event, ExpressJet has worked with Continental to ensure that diverted and delayed flights are handled in a manner that provides for the maximum safety and comfort for customers," spokeswoman Kristy Nicholas said in an email. In a statement, Continental said its regional airline "worked throughout the night to safely deplane the customers at the earliest possible time yet was unable to do so because the ground handler failed to provide reasonable assistance and accurate information." Mesaba President John Spanjers said the airline feels "it operated in good faith by providing voluntary ground handling assistance to ExpressJet during this delay. However, customer service is paramount, and we are reevaluating our policies and procedures for the courtesy handling of other airlines' flights to do our part to mitigate this type of delay."

U.S. Senators Barbara Boxer, D-Calif., and Olympia Snowe, R-Maine, took the fines as a further call that their proposed legislation be enacted as part of a bill to reauthorize the FAA. In a statement, the senators said the enforcement shows that U.S. travelers need a "passenger bill of rights" to protect them from such situations.

Separately, the DOT is considering rules that would force airlines to devise plans for long runway delays and install those in their carriage contracts, making them legally enforceable. They would also be forced to audit the plans annually. A decision is expected by year’s end.

Reader Comments

wait

November 24, 2009 06:54 PM

wow...that's it? 175K is a small chunk of change for these airlines...

FrecuentTraveler

November 24, 2009 07:30 PM

The court should allow the passengers to sue the carrier $175K for each instance of over night; and $50K each for over 6 hours on the tarmac.

Bill

November 24, 2009 07:48 PM

175K is a lot of money when the airlines don't have any. Check their financials, they aren't doing so hot right now.

When can I get paid for waiting in line at Walmart? When does homeland security get fined for making people wait at their paranoid security lines while they check somebodies toes out?? Come on.

MarkC

November 24, 2009 07:53 PM

This is an outrageous government intrustion into the rights and freedoms of corporations to conduct business they way they see fit. It may be "inconvenient" for stranded passengers to be stuck on a plane, but it's not the government's job to interfere with the efficient operation of a business. just one more example of how the knee-jerk, liberal Democrat do-gooders are wrecking free enterprise in this country.

ConcernedFlyer

November 24, 2009 08:02 PM

This sets a dangerous precedent as it will lead to airlines forcing their pilots to fly into thunderstorms at the destination instead of diverting like this crew did. This was an unusual circumstance with the weather at the destination being late at night so alternate airports had workers who had gone home for the night.

Danny

November 24, 2009 08:58 PM

They'll come up with more fees to charge passengers to offset those fines.

Hector

November 25, 2009 04:40 AM

For Mark C: Why you don't try and spend a night in a small spam can. Wake up and smell the roses, or are you to close to the airline? Why don't you tell the people who you work for??

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BusinessWeek editor Justin Bachman provides road warriors with the latest news, trends in business travel, which as most readers are aware, has all the romance of taking a school bus cross country. Come here to pick up travel news and tips or just commiserate about your latest business trip gone awry.

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