Policy for ADR applicants and approved ADR entities

Since the most recent revision to CAP1324 in February 2019, the CAA has been in discussions with stakeholders on further potential enhancements to its ADR policy, both to make ADR work better for consumers and to encourage airlines that do not currently participate in ADR to consider again the merits of the schemes that are offered by the two CAA-approved ADR bodies.  We asked for comments on the latest planned changes to CAP1324 which contain these policies.

We received 13 responses to our consultation, which covered five policy areas. 

The majority of respondents welcomed clarification on the view that the ADR regulations permit ADR bodies to introduce a post-decision review process, the proposal to allow ADR bodies to implement trust account arrangements for the payment of consumer awards and clarification that ADR bodies can establish procedures for handling claims for statutory compensation on a flight basis rather than a claim basis. 

There was a mixed response to the proposals for the handling of passenger complaints that raise issues that are genuinely complex and novel for the purpose of establishing extraordinary circumstances under Regulation EC 261/20044. 

Where concerns were raised by respondents, the CAA has addressed these in its decision document (CAP2104). This includes clarifications and reassurance regarding this policy change and reiterates the CAA’s intention to review all policy changes after 2 years.

In regard to the proposal around complex and novel cases, the CAA has amended the wording of the policy to expand the sharing of information to include the passenger and to clarify that whilst we do not expect this process to be invoked often, it would not be appropriate to define the frequency with which it could occur.