National authorities in the European Union can compel airlines to compensate passengers for long delays, a top EU court ruled on Thursday.
This applies to national authorities responsible for passenger rights where the EU member state concerned “has granted that body power to that effect,” the bloc’s highest court said in a statement.
The European Court of Justice (ECJ) ruling centres on a case where a flight from New York to Budapest was delayed by more than three hours.
The Hungarian national authority responsible, ordered the airline to pay the passengers 600 euros (581 dollars) in compensation.
The airline objected, arguing that the power to compel compensation rests with national courts.
The ECJ rejected this, stating that a national authority, such as a national consumer protection body, can oblige an airline to pay compensation.
The Luxembourg-based court underlined, however, that passengers and airlines may take legal action against the national authority’s decision.
Fixed compensation sums set out in the EU’s framework are designed to avoid the inconvenience that separate court actions entail, the ECJ added.
The matter returns to the court system in Hungary.
