In this article the present writers have surveyed recent cases on Warsaw Convention especially on the cases emerged in the years between 1986 to 1993. The cases before 1986 were discussed already in the book titled "Liability of International Air Carrier," written by Professor Choi, published in Seoul 1986. In this article the writers have reviewed most of the American cases and some cases from the courts of Germany, France and England. Main subjects which were discussed herein were as follows: Liability of air carriers in Warsaw Convention carriage 1. Exclusivity of the Warsaw Convention as a remedy 2. Warsaw Jurisdiction 3. The scope of the Warsaw Convention's definition of "Accident" under Article 17 of the Warsaw Convention (1) Mental anguish (2) Unusual or unexpected events 4. Adequacy of notice of the limitation of liability to passengers for injuries and death 5. Damages recoverable, punitive damages and burden of proof 6. The wilful misconduct exception; definition of wilful misconduct 7. Cargo and passenger baggage 8. Time limitation of actions After examining articles published world-wide, this article compiles and analyses recent cases involving the Warsaw Convention system. As Warsaw System is based on international convention, maintaining uniformity in interpretation is of utmost importance. Therefore, this type of study is essential for resolving air-transportation disputes in Korea. This article examines the current state and recommends the desired course for the Warsaw Convention. The writers hope that this article is helpful to the Korean courts and those in the air-transportation industry in interpreting the Warsaw Convention.
The Montreal Convention is an agreement that governs the liability of air carriers for injury and death to passengers travelling internationally by air. The Montreal Convention serves as the exclusive legal framework for victims and survivors seeking compensation for injuries or death arising from accidents involving international air travel. The Montreal Convention sets monetary liability caps on damages in order to promote the financial stability of the international airline transport industry and protect the industry from exorbitant damages awards in courts that would inevitably bankrupt an airline. The Convention allows a litigant suing under the Convention to avoid the liability caps in instances where the airline's culpability for the injury or death is the direct result of negligence, another wrongful act, or an omission of the airline or its agents. The Montreal Convention identifies specific locations as appropriate venues to advance claims for litigants seeking compensation. These venues are closely tied to either the carrier's business operations or the passenger's domicile. In March 2015, in an act of suicide stemming from reactive depression, the co-pilot of Germanwings flight 9525 intentionally crashed the aircraft into the French Alps killing the passengers and the remaining crew. Subsequent to the crash, there were media reports that Lufthansa made varying settlement offers to families of the passengers who died aboard the flight ranging from $8,300 USD to $4.5 Million USD depending on the passengers' citizenship. The unverified offers by Lufthansa prompted outcries from the families of the decedent passengers that they would institute suit against the airline in a more plaintiff friendly jurisdiction such as the United States. The first part of this article accomplishes two goals. First, it examines the Montreal Convention's venue requirement along with an overview of the recoverable damages from countries comprising the citizenship of the passengers who were not American. The intentional crash of Germanwings flight 9525 by its First Officer encompasses the possibility that Lufthansa may be exposed to unlimited compensatory damages beyond the liability caps contained in the Convention. The second part of this article explores the application of the Convention's liability limits to the Germanwings flight to demonstrate that the likelihood of escaping the liability limits is slim.
The purpose of this paper is to research the contents and issues of the draft legislation of Part VI the Carriage by Act of Korean Commercial Code in respect of the liability of the carrier in the carriage of cargo by air, comparing to the related provisions of the Montreal Convention of 1999. The Montreal Convention in respect of the international carriage by air was adopted in 1999, and Korea has ratified the Montreal Convention in 2007. However, there is now no national legislation in respect of the carriage by air in Korea. Thus, the Ministry of Justice has prepared the draft legislation of Part VI the Carriage by Air of the Korean Commercial Code in July 2008, and the draft legislation is now being reviewed by the National Assembly. The draft provisions of Part VI the Carriage by Air are basically adopting most of the related provisions of the Montreal Convention in respect of the carriage of cargo by air and some draft provisions are applying the related provisions of the Korean Commercial Code in respect of the carriage of cargo by land and sea. In respect of the liability of the carrier in the carriage of cargo by air, the contents of the draft legislation of Part VI the Carriage by air are composed of the provisions in respect of the cause of the liability of the and the application for the non-contractual claim, the limit of liability, the exoneration from liability, the extinguishment of liability, the notice of damage to cargo, the liability of the agents and servants of the carrier, and the liability of the actual carrier and successive carrier. The draft legislation of the Carriage by Air of Korean Commercial Code is different from the provisions of the Montreal Convention is respect of the liability of the carrier in the carriage of cargo by air as follows : the draft Article 913 paragraph 1 provides additionally the riot, civil war and quarantine as the exoneration causes from the liability for damage to the cargo of the carrier in the Article 18 paragraph 2 of the Montreal Convention. In respect of the liability of the carrier in carriage of cargo by air, the draft legislation of Part VI the Carriage by Air does not provide the settlement by arbitration of dispute relating to the liability of the carrier and the requirement of adequate insurance covering the liability of the carrier which are provided in the Montreal Convention. In author's opinion, it is desirable that the above mentioned provisions such as the arbitration and the insurance shall be inserted into the draft legislation of the Carriage by Air of Korean Commercial Code. In conclusion, the legislation of Part VI the Carriage by Air of the Korean Commercial Code shall be made by the National Assembly as soon as possible for the smooth and equitable compensation for damage to cargo arising during the carriage by air.
The purpose of this paper is to research on the liability and cases for space damage with reference to the space activity under the international space treaty and national space law of major countries. The United Nations has adopted two treaties relating to the liability for space damage as follows: the Outer Space Treaty of 1967 and the Liability Convention of 1972. Korea has enacted the Outer Space Damage Compensation Act of 2008 relating to the liability for space damages. The Outer Space Treaty of 1967 regulates the international responsibility for national activities in outer space, and the national tort liability for damage by space launching object. The Liability Convention of 1972 regulates the absolute liability by a launching state, the faulty liability by a launching state, the joint and several liability by a launching state, the person claiming for compensation, the claim method for compensation, the claim period of compensation, the claim for compensation and local remedy, the compensation amount for damage by a launching state, and the establishment of the Claims Commission. The Outer Space Damage Compensation Act of 2008 in Korea regulates the definition of space damage, the relation of the Outer Space Damage Compensation Act and the international treaty, the non-faulty liability for damage by a launching person, the concentration of liability and recourse by a launching person, the exclusion of application of the Product Liability Act, the limit amount of the liability for damage by a launching person, the cover of the liability insurance by a launching person, the measures and assistance by the government in case of occurring the space damage, and the exercise period of the claim right of compensation for damage. There are several cases with reference to the liability for damage caused by space accidents as follows: the Collision between Iridium 33 and Cosmos 2251, the Disintegration of Cosmos 954 over Canadian Territory, the Failure of Satellite Launching by Martin Marietta, and the Malfunctioning of Westar VI Satellite. In the disputes and lawsuits due to such space accidents, the problems relating to the liability for space damage have been settled by the application of absolute(strict) liability principle or faulty liability principle. The Liability Convention of 1972 should be improved as follows: the clear definition in respect of the claimer of compensation for damage, the measure in respect of the enforcement of decision by the Claims Commission. The Outer Space Damage Compensation Act of 2008 in Korea should be improved as follows: the inclusion of indirect damage into the definition of space damage, the change of the currency unit of the limit amount of liability for damage, the establishment of joint and several liability and recourse right for damage by space joint launching person, and the establishment of the Space Damage Compensation Review Commission. Korea has built the space center at Oinarodo, Goheung Province in June 2009. Korea has launched the first small launch vehicle KSLV-1 at the Naro Space Center in August 2009 and June 2010. In Korea, it will be the possibility to be occurred the problems relating to the international responsibility and the liability for space damage in the course of space activity. Accordingly the Korean government and launching organization should make the legal and systematic policy to cope with such problems.
The term "accident" in the Warsaw Convention of 1929 and the Montreal Convention of 1999, which govern carrier liability in international air transport, is an important criterion for determining carrier liability. However, because there is no explicit definition of the term in the treaty provisions, the term is largely subjected to the judgment and interpretation of the courts. Although there have been numerous changes in purpose and circumstance in the transition from the Warsaw regime to the conclusion of the Montreal Convention, there was no discussion on the concept of "accident" therefore, even after the adoption of the Montreal Convention, there is no doubt that the term is to be interpreted in the same manner as before. On this point, the United States Supreme Court's Air France v. Saks clarified the concept of "accident" and is still cited as an important precedent. Recently, the CJEU, in GN v. ZU, presented a new concept of "accident" introduced in the Montreal Convention: that "reference must be made to the ordinary meaning" in interpreting "accident" and that the term "covers all situations occurring on aboard an aircraft." Furthermore, the CJEU ruled that the term does not include the applicability of "hazards typically associated with aviation," which was controversial in previous cases. Such an interpretation can be reasonably seen as the court's expansion of the concept of "accident," with a focus on "protecting consumer interests," a core tenet of both the Montreal convention and the European Union Regulations(EC: No 889/2002). The CJEU's independent interpretation of "accident" is a departure from the Warsaw Convention and the Saks case, with their focus on "carrier protection," and instead focuses on the "passenger protection" standard of the Montreal Convention. Consequently, this expands both the court's discretion and the carrier's risk management liability. Such an interpretation by the CJEU can be said to be in line with the purpose of the Montreal Convention in terms of "passenger protection." However, there are problems to be considered in tandem with an expanded interpretation of "accident." First, there may be controversy concerning "balance" in that it focused on "passenger protection" in relation to the "equitable balance of interests" between air carriers and passengers, which is the basic purpose of the agreement. Second, huge losses are expected as many airlines fly to countries within the European Union. Third, there is now a gap in the interpretation of "accident" in Europe and the United States, which raises a question on the "unity of rules," another basic tenet of the Convention. Fourth, this interpretation of "accident" by the CJEU raises questions regarding its scope of application, as it only refers to the "hazards typically associated with aviation" and "situations occurring aboard an aircraft." In this case, the CJEU newly proposed a novel criterion for the interpretation of "accident" under the Montreal Convention. As this presents food for thought on the interpretation of "accident," it is necessary to pay close attention to any changes in court rulings in the future. In addition, it suggests that active measures be taken for passenger safety by recognizing air carriers' unlimited liability and conducting systematic reforms.
As the Reublic of Korea revised the Commercial Code including 40 articles of air transport enacted newly on May 23, 2011, so Korea became first legislative examples in the Commercial Code of the developed and developing countries. I would like to explain briefly the main contents of my paper such as (1) history of enacting newly Part VI (air transport) in the Korea's revised commercial law, (2) legal background enacting newly Part VI (air transport) in the Korea's revised commercial law and the problems on the conditions of air transport, (3) every countries' legislative examples on the civil liability of aircraft's operator, (4) unlawful Interference Convention and general risk convention of 2009, (5) main contents and prospects of the revised Commercial Code for the liability of aircraft's operator etc as the followings. Meanwhile as the Aviation Act, Commercial Code and Civil Code in Korea and Japan did not regulated at all the legal basis of solution on the disputes between victims and offender for the amount of compensation for damage due to personal or property damage caused by aircraft accidents in Korea and Japan, so it has been raised many legal problems such as protection of victims, standard of decision in trial in the event of aircraft accident's lawsuit case. But the Korean Revised Commercial Code including Part VI, air transport regulations was passed by the majority resolution of the Korean National Assembly on April 29, 2011 and then the South Korean government proclaimed it on May 23 same year. The Revised Commercial Code enforced into tothe territory of the South Korea from November 24, 2011 after six month of the proclaimed date by the Korean Government. Thus, though Korean Commercial Code regulated concretely and respectively the legal relations on the liability of compensation for damage in the contract of transport by land in it's Part II (commercial activities) and in the contract of transport by sea in its Part V (marine commerce), but the Amended Commercial Act regulated newly 40 articles in it's Part VI (air transport) relating to the air carrier's contract liability on the compensation for damage caused by aircraft accidents in the air passengers and goods transport and aircraft operator's tort liability on compensation for damage caused by the sudden falling or collision of aircraft to third parties on the surface and so it was equipped with reasonable and unified system among the transport by land, marine and air. The ICAO adopted two new air law conventions setting out international compensation and liability rules for damage caused by aircraft to third parties at a diplomatic conference hosted by it from April 20 to May 2, 2009. The fight against the effects of terrorism and the improvement of the status of victims in the event of damage to third parties that may result either from acts of unlawful interference involving aircraft or caused by ordinary operation of aircraft, forms the cornerstone of the two conventions. One legal instrument adopted by the Conference is "the Convention on Compensation for Damage to Third Parties, Resulting from Acts of Unlawful Interference Involving Aircraft" (Unlawful Interference Convention). The other instrument, "the Convention on Compensation for Damage Caused by Aircraft to Third Parties" (General Risk Convention), modernizes the current legal framework provided for under the 1952 Rome Convention and related Protocol of 1978. It is desirable for us to ratify quickly the abovementioned two conventions such as Unlawful Interference Convention and General Risk Convention in order to settle reasonably and justly as well as the protection of the South Korean peoples.
The Montreal Convention which came into force on November 4, 2003 over the world, has brought a fundamental change to the scope of carrier liability and expanded the sue scope of the carrier. Not only confirms the carrier liability, it also reflects the effects of code-share. In addition to integrate the existing principles that adopted by many conventions, the Montreal Convention has systematized the unity of international air transport into a single convention. It even successfully increased the extremely low compensation amount which was pointed out as a problem in the Warsaw Convention before. The Warsaw Convention, originally stood for the carriers, began to reflect the standpoint of the passengers. The Chinese Civil Aviation Law came into force on March 1, 1996. One of the significant characteristics of the law is that, the regulation on public and private law is mixed combined. Therein, the content of carrier liability system is prescribed in Chapter 9, which is explained in detail in this study. Besides, the relationship between the Montreal Convention and China will be expounded too. So far, China ranks the 5th in RPK and the 6thin FrK. However, in spite of the high ranks, China has not yet joined this convention. This can be regarded as a serious problem. China should join it as soon as possible for a further development and deeper cooperation with the air-industry-developed countries. Once the government ratifies the Montreal Convention, it will benefit both the Chinese passengers and the airlines.
The Rome Convention System (1933, 1952, 1978) which deal the third party lability relating to damage caused by aircraft to third parties on the surface have not been so effective and successful like the Warsaw Convention System. This paper briefs the development of the Rome Convention System and the reasons of their failure which are the low level of the limit of liability and non-parties of major civil aviation states such as the United States, the United Kingdom, Japan, Germany and etc. The Diplomatic Conference hosted by ICAO at Montreal during April 20 to May 2 has successfully produced two Conventions; One is Convention on Compensation for Damage Caused by Aircraft to Third Parties (General Risk Convention), the other is Convention on Compensation for Damage to Third Parties, Resulting from Acts of Unlawful Interference involving Aircraft (Unlawful Interference Convention). The major contents and some problems of these two Conventions are reviewed in comparison with the exisiting Rome Convention System and other legal system. Particularly, the entrance into force of the Unlawful Interference Convention may take some time, at least more than 5 years, due to the realistic problems arising from the operation of International Civil Aviation Fund.
The aircraft crew operating on international routes performs almost identical tasks as police officials in terms of dealing with the unlawful interference in the aircraft. This means that the liability question which is related to the law enforcement by the police officer may arise regarding the crew's performance of his or her duties. With regard to the carrier's liability due to the crew's unlawful action, there are distinctive characteristics from the liability due to police officers' unlawful action. In case of the claim for damages by the crew's unlawful action, the first question should be whether such action complies with the requirements under the Tokyo Convention 1963. If such action does not conform with the Tokyo Convention 1963, we should examine that claim under the State Compensation Act, the Montreal Convention 1999, and the Civil Act of Korea. The examination under the Tokyo Convention 1963 is not so different from the Korean Court's precedents. However, the court should consider the characteristics of the environment surrounding the crew. The action which is not indemnified under the Tokyo Convention 1963 should be examined under the tort laws. Because the aircraft crew is private persons entrusted with public duties under Korean Law, the State Compensation Act may apply. However, further studies regarding the harmonious interpretation with the Montreal Convention 1999 is needed. With regard to the carrier's liability, the Montreal Convention of 1999 should be applied to the crew's unlawful actions onboard. This is because the Montreal Convention of 1999 preempts the national law for the events that occurred during transportation, and there is no provision which excludes such unlawful actions from the scope of its application. On the other hand, the national law, such as the Civil Act of Korea, applies to unlawful actions taken after transportation. This is because the interpretation that infinitely expands the scope of the Montreal Convention 1999 should not be allowed. Given the foregoing, the standard of the claim for damages due to the crew's unlawful action varies depending on the place where the specific action was taken. As a result, the type of damage recoverable and the burden of proof also varies accordingly. Carriers and crew members must perform their duties with this in mind, but in particular, they should observe the proportionality, and when interpreting the law, it is necessary for the court or lawyer to consider the special characteristics of the work environment.
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