FlyerTalk Forums - View Single Post - Design the new process to solve IVDB (a constructive, positive thread)
Old Apr 13, 2017 | 8:04 am
  #64  
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Originally Posted by raehl311
No, this is entirely wrong. The $1,350 is a cap. If your one-way domestic airfare is $1,000, and you are IDB'd, the airline is cutting you a check for $1,350.

It works like this:

Take the one-way airfare. Multiply it by 4. Is that more than $1,350? Passenger gets $1,350. Less? Passenger gets computed amount.
That's a floor. The airline owes the pax AT LEAST $1350. In practice, they pay exactly $1350. The statute says that the airline "shall pay...400% of the fare to the passenger's destination or first stopover, with a maximum of $1,350". That's what's required by law. Now if the airline wants to go above and beyond that amount, that's really outside the scope of the law, and it is free to do so. They could choose to offer $1350 and throw in an additional $500 for goodwill for example, and it wouldn't be illegal to do so.
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