🇦🇪UAE

تعويضات تأخير الرحلات غير المدفوعة (Unpaid Flight Delay Compensation)

2 verified sources

Definition

Airlines operating in UAE are liable for passenger delay compensation under two concurrent frameworks: (1) Federal Decree Law No. 50 of 2022 (Article 357), and (2) Montreal Convention of 1999 (Articles 19, 22). Liability is capped at 4,150 SDRs (approximately AED 21,000 or USD 5,700) per passenger per delay incident. The search results indicate that recent court decisions have clarified that passengers rebooked on alternative flights retain full compensation rights—implying airlines have systematically underpaid or denied claims to rebooked passengers. Manual claim adjudication processes delay payment, trigger disputes, and increase chargeback risk.

Key Findings

  • Financial Impact: Per incident: AED 21,000 (4,150 SDRs) × number of affected passengers. For a single widebody flight with 300 passengers delayed 4+ hours: AED 6,300,000 total exposure. Industry-wide: Estimated 2-5% of delay claims go unpaid or underpaid due to manual processing gaps.
  • Frequency: Per flight delay >3 hours; cumulative across all IROP events
  • Root Cause: Manual claim validation, inconsistent interpretation of Montreal Convention Article 22(1), outdated rebooking exemption logic contradicted by recent UAE court rulings, lack of automated delay-duration verification tied to compensation triggers

Why This Matters

This pain point represents a significant opportunity for B2B solutions targeting Airlines and Aviation.

Affected Stakeholders

Customer Service Teams (manual claim review), Finance/Accounting (late/disputed payments), Legal/Compliance (litigation risk)

Deep Analysis (Premium)

Financial Impact

Financial data and detailed analysis available with full access. Unlock to see exact figures, evidence sources, and actionable insights.

Unlock to reveal

Current Workarounds

Financial data and detailed analysis available with full access. Unlock to see exact figures, evidence sources, and actionable insights.

Unlock to reveal

Get Solutions for This Problem

Full report with actionable solutions

$99$39
  • Solutions for this specific pain
  • Solutions for all 15 industry pains
  • Where to find first clients
  • Pricing & launch costs
Get Solutions Report

Methodology & Sources

Data collected via OSINT from regulatory filings, industry audits, and verified case studies.

Evidence Sources:

Related Business Risks

تكاليف الرعاية والمساعدة غير المراقبة (Uncontrolled Care & Assistance Costs)

Per major IROP event: AED 50,000–150,000 in uncontrolled care costs (meals AED 500/pax, hotel AED 1,000–2,000/night, transport AED 300–500/pax). Estimated 10-15% waste due to duplicate bookings and non-contract vendor charges.

عدم التقاط رسوم الخدمات والتعويضات (Missed Service Fee Recovery & Compensation Chargebacks)

Per IROP event: 10-20% of total care + compensation costs remain unrecovered (estimated AED 50,000–150,000 per major event). Annual hub-level: AED 200,000–500,000 leakage.

خسارة السعة والإنتاجية في إعادة الحجز اليدوية (Capacity Loss in Manual Rebooking)

Per disruption: 200–500 hours manual rebooking labor (AED 100–300/hour = AED 20,000–150,000). Aircraft recovery delay cost: AED 2,000–5,000/hour × average 8–12 hour delay = AED 16,000–60,000 per aircraft per event. Annual: AED 500,000–1,000,000 per hub.

عدم الامتثال لمتطلبات GCAA وفقدان شهادة الصيانة

LOGIC-based: License suspension = 100% operational shutdown (AED variable by fleet size); estimated typical fine floor: AED 50,000-500,000+ based on GCAA enforcement discretion; manual compliance overhead: 80-120 hours/month for medium operators.

تكاليف العمل الإضافي والاستجابة للطوارئ AOG بسبب سوء تخطيط الصيانة

LOGIC-based: Emergency overtime @ 50% premium: AED 1,500-3,000/callout × 6-12 callouts/month = AED 9,000-36,000/month; expedited logistics surcharge: 15-25% on emergency parts (estimated AED 20,000-80,000/month for medium operators)

خسارة الطاقة الإنتاجية بسبب تأخر التحقق من الصيانة والتوثيق

LOGIC-based: Average aircraft revenue loss = 2 hours standby/aircraft × AED 25,000-50,000/flight hour = AED 50,000-100,000 per aircraft per certification cycle; medium operator with 20-30 aircraft = AED 1,000,000-3,000,000/month opportunity cost

Request Deep Analysis

🇦🇪 Be first to access this market's intelligence