Due to global IT outage, flights were delayed and airlines might have to refund in some cases!
Many airlines, such as United, Delta, and American Airlines, weren’t allowed to take off on Friday morning due to a global IT outage. This issue has caused significant delays and some flights were also cancelled. Passengers affected by these disruptions might be eligible for refunds, hotel, meal vouchers, or other compensation, depending on the airline’s policies.
“You can imagine the mass chaos unfolding everywhere. Any kind of shutdown, the bottleneck [it has] on so many flights is incredible. There is this kind of gray area where we’re at the mercy of what the airline’s policy is”, said Eric Napoli, chief legal officer at AirHelp, a company that assists passengers in claiming compensation for delayed or canceled flights.
Airlines’ Policies
According to the U.S. Department of Transportation (DOT), airlines are generally required to refund the ticket price and fees if they cancel a flight and the customer chooses not to travel on an alternate flight, meaning that passengers can get cash back if they decline rebooking or flight vouchers. This applies even to non-refundable tickets.
On top of that, refunds should also happen due to “significant” schedule changes or delays if the passenger chooses not to fly. However, the DOT doesn’t define “significant”, leaving it up to airlines’ policies factors like delay length and flight circumstances.
A new rule will require airlines to promptly and automatically pay refunds for significant itinerary changes, defined as delays of three hours for domestic flights and six hours for international flights. Due to the fact that the rule will only start October 28, it doesn’t help customers affected by Friday’s outage, which means that the decision rests upon the airline’s procedures to claim a refund.
Travelers who still need or want to reach their destination won’t be eligible for refunds. The DOT website lists carriers’ commitments in case of cancellations or delays longer than three hours. Airlines are required to adhere to these promises, including rebooking passengers for free, sometimes on a partner airline, and offering meals and hotel stays for long delays or cancellations.
“The airline is going to fly you to your destination, on the next available flight. What might differ is how much compensation you might get after the fact, not just for the delays but any other costs you might incur”, said Sara Rathner, a travel expert at NerdWallet.
Global IT Outage vs. Airlines’ Policies
“Yesterday, CrowdStrike released an update that began impacting IT systems globally. We are aware of this issue and are working closely with CrowdStrike and across the industry to provide customers technical guidance and support to safely bring their systems back online”, Microsoft’s statement about the situation posted on X by Satya Nadella, the CEO.
Airlines’ policies apply to events within their control, like maintenance or crew problems, cabin cleaning, baggage loading, or fueling. It’s generally harder for consumers to get compensation for uncontrollable events like weather, as John Breyault – travel expert at the National Consumers League – pointed out.
Friday’s IT outage, linked to a tech update at cybersecurity firm CrowdStrike, disrupted services for organizations including airlines. Since airlines choose their vendors, the DOT considers this a “controllable” event.
“To determine what amenities your airline provides in the instance of a controllable delay or cancellation, check their customer service plan on their website”, the DOT stated.