Fifteen airlines including Delta, British Airways, Iberia, EasyJet and WizzAir have threatened to cease all flights to Israel unless changes are made to an Israeli law mandating compensation for cancelled flights, as the financial cost of the war continues to take its toll on the global airline sector.
Writing to Israel’s Economic Affairs Committee, the airlines have demanded amendments to the 2012 Aviation Services Law, according to Haaretz. Under this law, in the event of a flight cancellation made 14 days before departure, the foreign airline in question is obliged to offer an alternative flight to passengers.
However, in the current situation, where demand is high and supply is limited to Israeli carriers of El AI Israel Airlines, Israir and Arkia, this is in the view of the airlines, adding a higher and unreasonable cost, when compared with the original ticket by the passenger on their airline.
Despite, many airlines claiming force majeure due to the wartime situation, the law as it currently stands has led some airlines grappling with a multitude of class actions and small claims from passengers, who are suing for what they believe is their entitlement as enshrined in the law.
The group, as reported in the Times of Israel, is seeking a temporary amendment to the law that would limit the cost of a provision of an alternative flight to be relative to the price of the original ticket sold.
Similarly, they are advocating for a shortening of the advance notification period for a flight cancellation along with limiting the number of nights that the airline is obliged to provide the passenger with accommodation for, following a flight cancellation.
Furthermore, airlines have requested the Israeli government aid foreign airlines on matters of insurance of operations and activities, that is currently given to Israeli airlines.
“The current regulations in the Aviation services law are formulated for disruptions during normal times and are not adequate for extended periods of emergency such as the current period. In the absence of a clear change in the relevant regulation in the legislation, foreign airlines lack any incentive to return and operate flights to Israel, as they are faced with many more financial losses”, said Adv. Shirly Katzir of Fischer Law Firm, which is representing foreign carriers, speaking to the Times of Israel.
Since the 7th of October, attacks and outbreak of war involving Israel and Hamas, and now Hezbollah, foreign airlines have cancelled and resumed their flights to and from Israel. However, many US airlines have stopped flying to Israel amid the fighting between Israel and Hezbollah.
Air France, Ryanair, American and LOT Polish Airlines are among the 30 carriers that have temporarily suspended flights to Israel amid heightened tensions in the region. American Airlines have extended the suspension of flights to Tel Aviv from March 2025 until September 2025. Delta and British Airways have cancelled routes to Israel until April next year.
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