Originally Posted by eigenvector

AC's defence is two-pronged. First, that the Montreal Convention does not apply because the delay was uncontrollable (nobody in their sane mind is going to accept that mechanical delays are uncontrollable). Second, that even if it does apply, the policy is not in violation of the Montreal Convention because it is not really a policy, just a guideline and that ground agents have the discretion to provide other accommodation if required.

By offering reimbursement only on a goodwill basis they are sticking to their guns on the issue of it being an uncontrollable delay.