Cancelled Flight: Options?
I purchased a ticket for my in-laws to fly GOT-CPH-IAD on Monday and we just received an e-mail that flight SK925 has been cancelled. We called SAS and they said there are only 3 options:, fly tomorrow, fly Tuesday, or receive a refund. I'm not familiar with either Star Alliance or European carriers, but it seemed unusual not to offer a flight on another airline. Do they not have an obligation to rebook on United or Lufthansa if we identify a reasonable alternative on Monday?
Also, would EU261 apply in this case? What if we elected the flight tomorrow (so they would arrive early rather than delayed)? When asked for the reason behind the cancellation, the rep said it was "probably weather in Washington". If it the reason is in fact weather, I assume that means no EU261? FWIW, the weather forecast at IAD on Monday is currently calling for cloudy skies with a high of 22F, winds of 23MPH and 0% chance of precip. Why would this force a cancellation?
What would you do in this situation before calling back?