TITLE 14\--AERONAUTICS AND SPACE

CHAPTER II\--OFFICE OF THE SECRETARY, DEPARTMENT OF TRANSPORTATION

**PART 250 OVERSALES**

\[Includes amendment published April 18, 2008\]

Sec.

250.1 Definitions.

250.2 Applicability.

250.2a Policy regarding denied boarding.

250.2b Carriers to request volunteers for denied boarding.

250.3 Boarding priority rules.

250.5 Amount of denied boarding compensation for passengers denied
boarding involuntarily.

250.6 Exceptions to eligibility for denied boarding compensation.

250.7 \[Reserved\]

250.8 Denied boarding compensation.

250.9 Written explanation of denied boarding compensation and boarding
priorities.

250.10 Report of passengers denied confirmed space.

250.11 Public disclosure of deliberate overbooking and boarding
procedures.

Authority: 49 U.S.C. chapters 401, 411, 413, 417.

Source: ER-1306, 47 FR 52985, Nov. 24, 1982, unless otherwise noted.

**Sec. 250.1 Definitions.**

*Airport* means the airport at which the direct or connecting flight, on
which the passenger holds confirmed reserved space, is planned to arrive
or some other airport serving the same metropolitan area, provided that
transportation to the other airport is accepted (i.e., used) by the
passenger.

*Carrier* means (a) a direct air carrier, except a helicopter operator,
holding a certificate issued by the Department of Transportation
pursuant to 49 U.S.C. § 41102 or that has been found fit to conduct
commuter operations under 49 U.S.C. § 41738, or an exemption from 49
U.S.C. § 41102, authorizing the scheduled transportation of persons; or
(b) a foreign air carrier holding a permit issued by the Department
pursuant to 49 U.S.C. § 41302, or an exemption from that provision,
authorizing the scheduled foreign air transportation of persons.

*Comparable air transportation* means transportation provided to
passengers at no extra cost by a carrier as defined above.

*Confirmed reserved space*, means space on a specific date and on a
specific flight and class of service of a carrier which has been
requested by a passenger and which the carrier or its agent has
verified, by appropriate notation on the ticket or in any other manner
provided therefor by the carrier, as being reserved for the
accommodation of the passenger.

*Stopover* means a deliberate interruption of a journey by the
passenger, scheduled to exceed 4 hours, at a point between the place of
departure and the final destination.

*Sum of the values of the remaining flight coupons* means the sum of the
applicable one-way fares, including any surcharges and air
transportation taxes, less any applicable discounts.

\[ER-1306, 47 FR 52985, Nov. 24, 1982, as amended by ER-1337, 48 FR
29680, June 28, 1983; 68 FR 52836, Sept. 8, 2003; 73 FR 21026, April 18,
2008\]

**Sec. 250.2 Applicability.**

This part applies to every carrier, as defined in § 250.1, with respect
to scheduled flight segments using an aircraft that has a designed
passenger capacity of 30 or more passenger seats, operating in (1)
interstate air transportation or (2) foreign air transportation with
respect to nonstop flight segments originating at a point within the
United States.

\[ER-1306, 47 FR 52985, Nov. 24, 1982, as amended at 68 FR 52836, Sept.
8, 2003; 73 FR 21026, April 18, 2008\]

**Sec. 250.2a Policy regarding denied boarding.**

In the event of an oversold flight, every carrier shall ensure that the
smallest practicable number of persons holding confirmed reserved space
on that flight are denied boarding involuntarily.

**Sec. 250.2b Carriers to request volunteers for denied boarding.**

\(a\) In the event of an oversold flight, every carrier shall request
volunteers for denied boarding before using any other boarding priority.
A \`\`volunteer\'\' is a person who responds to the carrier\'s request
for volunteers and who willingly accepts the carriers\' offer of
compensation, in any amount, in exchange for relinquishing the confirmed
reserved space. Any other passenger denied boarding is considered for
purposes of this part to have been denied boarding involuntarily, even
if that passenger accepts the denied boarding compensation.

\(b\) Every carrier shall advise each passenger solicited to volunteer
for denied boarding, no later than the time the carrier solicits that
passenger to volunteer, whether he or she is in danger of being
involuntarily denied boarding and, if so, the compensation the carrier
is obligated to pay if the passenger is involuntarily denied boarding.
If an insufficient number of volunteers comes forward, the carrier may
deny boarding to other passengers in accordance with its boarding
priority rules.

\[ER-1337, 48 FR 29680, June 28, 1983, as amended at 68 FR 52836, Sept.
8, 2003; 73 FR 21026, April 18, 2008\]

**Sec. 250.3 Boarding priority rules.**

\(a\) Every carrier shall establish priority rules and criteria for
determining which passengers holding confirmed reserved space shall be
denied boarding on an oversold flight in the event that an insufficient
number of volunteers come forward. Such rules and criteria shall reflect
the obligations of the carrier set forth in Sec. Sec. 250.2a and 250.2b
to minimize involuntary denied boarding and to request volunteers, and
shall be written in such manner as to be understandable and meaningful
to the average passenger. Such rules and criteria shall not make, give,
or cause any undue or unreasonable preference or advantage to any
particular person or subject any particular person to any unjust or
unreasonable prejudice or disadvantage in any respect whatsoever.

\(b\) Boarding priority factors may include, but are not limited to, the
following: (1) a passenger's time of check-in; (2) whether a passenger
has a seat assignment before reaching the departure gate for carriers
that assign seats; (3) the fare paid by a passenger; (4) a passenger's
frequent-flyer status; and (5) a passenger's disability or status as an
unaccompanied minor.

\[ER-1306, 47 FR 52985, Nov. 24, 1982, as amended by ER-1337, 48 FR
29680, June 28, 1983; 73 FR 21026, April 18, 2008\]

**Sec. 250.5 Amount of denied boarding compensation for passengers
denied boarding involuntarily.**

\(a\) Subject to the exceptions provided in § 250.6, a carrier to whom
this part applies as described in § 250.2 shall pay compensation to
passengers denied boarding involuntarily from an oversold flight at the
rate of 200 percent of the fare (including any surcharges and air
transportation taxes) to the passenger's next stopover, or if none, to
the passenger's final destination, with a maximum of \$800. However, the
compensation shall be one-half the amount described above, with a \$400
maximum, if the carrier arranges for comparable air transportation \[see
section 250.1\], or other transportation used by the passenger that, at
the time either such arrangement is made, is planned to arrive at the
airport of the passenger's next stopover, or if none, the airport of the
passenger's final destination, not later than 2 hours after the time the
direct or connecting flight from which the passenger was denied boarding
is planned to arrive in the case of interstate air transportation, or 4
hours after such time in the case of foreign air transportation.

\(b\) Carriers may offer free or reduced rate air transportation in lieu
of the cash due under paragraph (a) of this section, if (1) the value of
the transportation benefit offered is equal to or greater than the cash
payment otherwise required, and (2) the carrier informs the passenger of
the amount of cash compensation that would otherwise be due and that the
passenger may decline the transportation benefit and receive the cash
payment.

\[ER-1337, 48 FR 29680, June 28, 1983, as amended at 68 FR 52836, Sept.
8, 2003; 73 FR 21026, April 18, 2008\]

**Sec. 250.6 Exceptions to eligibility for denied boarding
compensation.**

A passenger denied boarding involuntarily from an oversold flight hall
not be eligible for denied boarding compensation if:

\(a\) The passenger does not comply fully with the carrier\'s contract
of carriage or tariff provisions regarding ticketing, reconfirmation,
check-in, and acceptability for transportation;

\(b\) The flight for which the passenger holds confirmed reserved space
is unable to accommodate that passenger because of substitution of
equipment of lesser capacity when required by operational or safety
reasons; or, on an aircraft with a designed passenger capacity of 60 or
fewer seats, the flight for which the passenger holds confirmed reserved
space is unable to accommodate that passenger due to weight/balance
restrictions when required by operational or safety reasons;

\(c\) The passenger is offered accommodations or is seated in a section
of the aircraft other than that specified on the ticket at no extra
charge, except that a passenger seated in a section for which a lower
fare is charged shall be entitled to an appropriate refund; or

\(d\) The carrier arranges comparable air transportation, or other
transportation used by the passenger at no extra cost to the passenger,
that at the time such arrangements are made is planned to arrive at the
airport of the passenger\'s next stopover or, if none, at the airport of
the final destination not later than 1 hour after the planned arrival
time of the passenger\'s original flight or flights.

\[ER-1337, 48 FR 29680, June 28, 1983; 73 FR 21026, April 18, 2008\]

**Sec. 250.7 \[Reserved\]**

**Sec. 250.8 Denied boarding compensation.**

\(a\) Every carrier shall tender to a passenger eligible for denied
boarding compensation, on the day and place the denied boarding occurs,
except as provided in paragraph (b), cash or an immediately negotiable
check for the appropriate amount of compensation provided in Sec. 250.5.

\(b\) Where a carrier arranges, for the passenger\'s convenience,
alternate means of transportation that departs before the payment can be
prepared and given to the passenger, tender shall be made by mail or
other means within 24 hours after the time the denied boarding occurs.

\[ER-1394, 49 FR 43625, Oct. 31, 1984\]

**Sec. 250.9 Written explanation of denied boarding compensation and
boarding priorities.**

\(a\) Every carrier shall furnish passengers who are denied boarding
involuntarily from flights on which they hold confirmed reserved space
immediately after the denied boarding occurs, a written statement
explaining the terms, conditions, and limitations of denied boarding
compensation, and describing the carriers\' boarding priority rules and
criteria. The carrier shall also furnish the statement to any person
upon request at all airport ticket selling positions which are in the
charge of a person employed exclusively by the carrier, or by it jointly
with another person or persons, and at all boarding locations being used
by the carrier.

\(b\) The statement shall read as follows:

[Compensation For Denied Boarding]{.smallcaps}

If you have been denied a reserved seat on (name of air carrier), you
are probably entitled to monetary compensation. This notice explains the
airline's obligation and the passenger's rights in the case of an
oversold flight, in accordance with regulations of the *U.S. Department
of Transportation*.

[Volunteers and Boarding Priorities]{.smallcaps}

If a flight is oversold (more passengers hold confirmed reservations
than there are seats available), no one may be denied boarding against
his or her will until airline personnel first ask for volunteers who
will give up their reservation willingly, in exchange for a payment of
the airline's choosing. If there are not enough volunteers, other
passengers may be denied boarding involuntarily in accordance with the
following boarding priority of (name of air carrier): (In this space the
carrier inserts its boarding priority rules or a summary thereof, in a
manner to be understandable to the average passenger.)

[Compensation for Involuntary Denied Boarding]{.smallcaps}

If you are denied boarding involuntarily, you are entitled to a payment
of "denied boarding compensation" from the airline unless: (1) you have
not fully complied with the airline's ticketing, check-in and
reconfirmation requirements, or you are not acceptable for
transportation under the airline's usual rules and practices; or (2) you
are denied boarding because the flight is canceled; or (3) you are
denied boarding because a smaller capacity aircraft was substituted for
safety or operational reasons; or (4) on a flight operated with an
aircraft having 60 or fewer seats, you are denied boarding due to
safety-related weight/balance restrictions that limit payload; or (5)
you are offered accommodations in a section of the aircraft other than
specified in your ticket, at no extra charge (a passenger seated in a
section for which a lower fare is charged must be given an appropriate
refund); or (6) the airline is able to place you on another flight or
flights that are planned to reach your next stopover or final
destination within one hour of the planned arrival time of your original
flight.

[Amount of Denied Boarding Compensation]{.smallcaps}

Passengers who are eligible for denied boarding compensation must be
offered a payment equal to their one-way fare to their destination
(including connecting flights) or first stopover of four hours or
longer, with a \$400 maximum. However, if the airline cannot arrange
"alternate transportation" (see below) for the passenger, the
compensation is doubled (\$800 maximum). The fare upon which the
compensation is based shall include any surcharge and air transportation
tax.

"Alternate transportation" is air transportation (by any airline
licensed by *DOT*) or other transportation used by the passenger which,
at the time the arrangement is made, is planned to arrive at the
passenger's next scheduled stopover of 4 hours or longer or, if none,
the passenger's final destination, no later than 2 hours (for flights
between U.S. points, including territories and possessions) or 4 hours
(for international flights) after the passenger's originally scheduled
arrival time.

[Method of Payment]{.smallcaps}

Except as provided below, the airline must give each passenger who
qualified for involuntary denied boarding compensation a payment by cash
or check for the amount specified above, on the day and at the place the
involuntary denied boarding occurs. If the airline arranges alternate
transportation for the passenger's convenience that departs before the
payment can be made, the payment shall be sent to the passenger within
24 hours. The air carrier may offer free or discounted transportation in
place of the cash payment. In that event, the carrier must disclose all
material restrictions on the use of the free or discounted
transportation before the passenger decides whether to accept the
transportation in lieu of a cash or check payment. The passenger may
insist on the cash/check payment or refuse all compensation and bring
private legal action.

[Passenger's Options]{.smallcaps}

Acceptance of the compensation may relieve (name of air carrier) from
any further liability to the passenger caused by its failure to honor
the confirmed reservation. However, the passenger may decline the
payment and seek to recover damages in a court of law or in some other
manner.

(Approved by the Office of Management and Budget under control number
3024-0003)

\[ER-1306, 47 FR 52985, Nov. 24, 1982, as amended by ER-1337, 48 FR
29681, June 28, 1983; ER-1392, 49 FR 40401, Oct. 16, 1984; ER-1394, 49
FR 43625, Oct. 31, 1984; 68 FR 52836, Sept. 8, 2003; 73 FR 21026, April
18, 2008\]

**Sec. 250.10 Report of passengers denied confirmed space.**

Every reporting carrier as defined in 14 CFR 234.2 and any carrier that
voluntarily submits data pursuant to section 234.7 of that part shall
file, on a quarterly basis, the information specified in BTS Form 251.
The reporting basis shall be flights originating or terminating at, or
servicing, a point within the United States. The reports are to be
submitted within 30 days after the quarter covered by the report. The
calendar quarters end March 31, June 30, September 30 and December 31.
\`\`Total Boardings\'\' on line 7 of Form 251 shall include only
passengers on flights for which confirmed reservations are offered. No
reports need be filed for inbound international flights on which the
protections of this part do not apply.

(Approved by the Office of Management and Budget under control number
2138-0018)

\[Doc. No. 43872, 51 FR 30475, Aug. 27, 1986, as amended at 60 FR 66726,
Dec. 26, 1995; 73 FR 21026, April 18, 2008\]

**Sec. 250.11 Public disclosure of deliberate overbooking and boarding
procedures.**

\(a\) Every carrier shall cause to be displayed continuously in a
conspicuous public place at each desk, station and position in the
United States which is in the charge of a person employed exclusively by
it, or by it jointly with another person, or by any agent employed by
such air carrier or foreign air carrier to sell tickets to passengers, a
sign located so as to be clearly visible and clearly readable to the
traveling public, which shall have printed thereon the following
statement in boldface type at least one-fourth of an inch high:

[Notice---Overbooking of Flights]{.smallcaps}

Airline flights may be overbooked, and there is a slight chance that a
seat will not be available on a flight for which a person has a
confirmed reservation. If the flight is overbooked, no one will be
denied a seat until airline personnel first ask for volunteers willing
to give up their reservation in exchange for compensation of the
airline's choosing. If there are not enough volunteers, the airline will
deny boarding to other persons in accordance with its particular
boarding priority. With few exceptions, including failure to comply with
the carrier's check-in deadline (carrier shall insert either "of \_\_\_
minutes prior to each flight segment" or "(which are available upon
request from the air carrier)" here), persons denied boarding
involuntarily are entitled to compensation. The complete rules for the
payment of compensation and each airline's boarding priorities are
available at all airport ticket counters and boarding locations. Some
airlines do not apply these consumer protections to travel from some
foreign countries, although other consumer protections may be available.
Check with your airline or your travel agent.

\(b\) Every carrier shall include with each ticket sold in the United
States the notices set forth in paragraph (a) of this section, printed
in at least 12-point type. The notice may be printed on a separate piece
of paper, on the ticket stock, or on the ticket envelope. The last two
sentences of the notice shall be printed in a type face contrasting with
that of the rest of the notice.

\(c\) It shall be the responsibility of each carrier to ensure that
travel agents authorized to sell air transportation for that carrier
comply with the notice provisions of paragraphs (a) and (b) of this
section.

\(d\) \[Reserved\]

\(e\) Any air carrier or foreign air carrier engaged in foreign air
transportation that complies fully with this part for inbound traffic to
the United States need not use the last two sentences of the notices
required by paragraph (a) of this subsection.

(Approved by the Office of Management and Budget under control number
3024-0018)

\[ER-1306, 47 FR 52985, Nov. 24, 1982, as amended by ER-1392, 49 FR
40401, Oct. 16, 1984; 73 FR 21026, April 18, 2008\]