Whilst maintaining the core provisions which have served the international air transport community for several decades (i.e., the Warsaw regime), the treaty achieves modernization in a number of key areas.
[2] Under the Montreal Convention, air carriers are strictly liable for proven damages up to 128,821.00 special drawing rights (SDR), a mix of currency values established by the International Monetary Fund (IMF) equal to roughly US$175,000.
[dubious – discuss] Purely psychiatric injury is not eligible for compensation which has been criticised by people injured in plane accidents,[7] legal experts[8] and their families.
[8] Leading Australian current affairs TV show 4 Corners on the government owned broadcaster ABC,[11] broadcast a program[12] focusing on the unfairness and injustice of excluding psychiatric injury on 23 March 2015 featuring Karen Casey, a nurse injured when the medical evacuation flight she was nursing on crashed in the waters off Norfolk Island.
It requires airlines to fully compensate travelers the cost of replacement items purchased until the baggage is delivered, to a maximum of 1,288 SDR.