Before you file in small claims court, I would do some thinking on what exactly you feel you are entitled to compensation-wise, and then do some research to determine if in fact a judge can even award you that. I'm no expert but my understanding is small claims court rulings are limited to reimbursing you for any expenses incurred with rarely any provisions for punitive damages and/or aggravation, time spent dealing with this, etc. So figure out in advance if pursuing this is worth your time. I personally don't think any court is going to award you much at all for your troubles, just the bus fare and a refund on the unused portion of your ticket. Doesn't mean you weren't screwed though.
I am trying to establish that my situation falls under 'involuntary denied boarding(IDB)' for a domestic flight based on the fact that I had a confirmed ticket and I was not allowed to board. Based on this, I am seeking whatever the amount is for IDB. Based on what I have found on the net, AC is required to compensate $800.00 plus expenses for IDB. I had requested $500.00 per person in my claim to Swiss, the ticketing airline. I am NOT sure if the same rule of $800.00 per person applies to LH and LX. Furthermore, they are asking me to deal with AC, which is the operating carrier.
I was hoping that the experts on this forum might be able to help me in establishing which airline is at fault and which airline to sue if I choose to go the small claims route.