CARRIAGE BY AIR (AMENDMENT)
ACT, 2016 THE CARRIAGE BY AIR (AMENDMENT) ACT, 2016 [Act No. 12 of 2016] [21st March, 2016] An Act further to amend the
Carriage by Air Act, 1972 Be it enacted by Parliament
in the Sixty-seventh Year of the Republic of India as follows:-- This Act may be called the
Carriage by Air (Amendment) Act, 2016 In the Carriage by Air Act,
1972 (69 of 1972) (hereinafter referred to as the principal Act), in after
sub-section (5), the following sub-section shall be inserted, namely:-- "(6) The Central
Government may, having regard to the objects of the Act, and if it considers
necessary or expedient so to do, by notification in the Official Gazette, give
effect to the limits of liability, revised by the depository under rule 24 of
Chapter III of the Third Schedule to this Act, for the purposes of determining
the liabilities of the carriers and extent of compensation for damages under
the said Chapter of that Schedule.". After of the principal
Act, the following section shall be inserted, namely:-- "8A. Power to make
rules (1) The
Central Government may, by notification in the Official Gazette, make rules for
carrying out the provisions of this Act. (2) Every
rule made and every notification issued under this Act shall be laid, as soon
as may be after it is made or issued, before each House of Parliament, while it
is in session, for a total period of thirty days which may be comprised in one
session or in two or more successive sessions, and if, before the expiry of the
session immediately following the session or the successive sessions aforesaid,
both Houses agree in making any modification in the rule or the notification or
both Houses agree that the rule or notification should not be made or issued,
the rule or notification shall thereafter have effect only in such modified
form or be of no effect, as the case may be; so, however, that any such
modification or annulment shall be without prejudice to the validity of
anything previously done under that rule or notification.". Statement
of Objects and Reasons - CARRIAGE BY AIR (AMENDMENT) ACT, 2016 STATEMENT OF OBJECTS AND REASONS (1) The liability
limits of the air carriers for damages in international carriage established
under the Warsaw Convention, 1929, the Warsaw Convention as amended by the
Hague Protocol, 1955 and the Montreal Convention, 1999 have been adopted,
acceded to, and given effect to, in India by the Carriage by Air Act, 1972
(herein referred to as the Carriage Act). The rules governing liability of the
air carriers and extent of compensation for damages in international carriage
are contained in the First Schedule, the Second Schedule and the Third Schedule
to the Carriage Act. (2) The
Montreal Convention for the Unification of Certain Rules for International
Carriage by Air, done at Montreal, on the 28th May, 1999, was acceded to by
India by submitting an instrument of accession on 1st May, 1999 and the
Carriage Act has been amended in 2009 to incorporate provisions of Montreal
Convention under the Third Schedule to the Act which came into force for India
on the 30th June, 2009. (3) Article
24 of the Montreal Convention which corresponds to rule 24 of the Third
Schedule to the Carriage Act provides for review of the limits of liability of
the air carriers for damages in relation to the carriage of passengers, baggage
and cargo, prescribed in rules 21, 22 and 23 of the Carriage Act which
corresponds to Articles 21 to 23 of the Montreal Convention, at five years
intervals. (4) As per
tacit approval mechanism spelt out in Article 24, paragraph 2 of the Montreal
Convention, the revisions shall become effective for all State Parties within
six months following the notification, unless within three months after the
notification, majority of State Parties have registered their disapproval with
the International Civil Aviation Organisation (Depository) to the said
revision. The Depository conducted first such review of the limits of liability
under Article 24 of the Montreal Convention and issued a notification dated
30th June, 2009. In absence of notification of disapproval from the majority
State Parties to the Montreal Convention within prescribed notice period, the
revised limits of liability have become effective from the 30th December, 2009
for all State Parties to the Montreal Convention. The revised notified limits
vis-?-vis old limits are as under :- Sl. No. Provision under Montreal Convention Old limits of Special Drawing Rights
(SDRs) Revised limits of Special
Drawing Rights (SDRs) 1. Damage sustained in case of death or
bodily injury for each person (Article 21, paragraph 1) 100000 113100 2. Damage caused by delay in carriage
for each person (Article 22, paragraph 1) 4150 4694 3. Destruction, loss, damage or delay
with respect to baggage for each person (Article 22, paragraph
2) 1000 1131 4. Destruction, loss, damage or delay in
relation to the carriage of cargo (Article 22, paragraph 3) 17 19 (5) The
relevant provisions of the Carriage Act are required to be amended to give
effect to the revised limits. (6) In view
of above, it is proposed to amend- (a) section
4A of the Carriage Act by insertion of a new sub-section (6), so as to empower
the Central Government to give effect to the revised limits of liability in
pursuance to the review made under rule 24 of the Third Schedule to the
Carriage Act as and when the revised limits are notified by the ICAO, once in
five years, in terms of the Article 24 of Montreal Convention; (b) the
Carriage Act by insertion of a new section 8A to empower the Central Government
to make rules for carrying out the provisions of the Act, which shall not be
inconsistent with the provisions of the Act and the rules annexed as the First
Schedule, the Second Schedule and the Third Schedule. (7) The Bill
seeks to achieve the above objects.
Preamble - CARRIAGE BY AIR (AMENDMENT) ACT, 2016PREAMBLE