On international flights covered by the Montreal Convention, American's maximum liability for a passenger injury or death is set by an international treaty (currently around $175,000-$180,000 depending on the SDR rate), not by American itself, and this cannot be lowered by contract.
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The Montreal Convention provides a minimum floor of liability protection for international passengers that American cannot contractually eliminate, but also sets a ceiling that may limit recovery in cases of severe injury or death compared to what U.S. domestic tort law might otherwise award.
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View change record →The removal of the specific personal injury/death liability cap (128,821 SDRs) leaves international passengers without a clear statement of American's maximum liability for injury or death claims.
View full change record →International passengers injured on a flight covered by the Montreal Convention may recover up to the treaty limit without proving fault, but recovery above that limit requires proving the airline was at fault and did not take all reasonable measures to avoid the damage, which is a more demanding legal standard.
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"For international travel to which the Montreal Convention applies, American's liability for proven damages is limited to 128,821 SDRs for personal injury or death. For baggage, liability is limited to 1,288 SDRs per passenger. These limits may not be contractually waived downward.— Excerpt from American Airlines's American Airlines Terms of Use
REGULATORY LANDSCAPE: The Montreal Convention of 1999 is an international treaty with domestic force in the U.S. under the Supremacy Clause; it governs liability for international carriage by air and preempts inconsistent domestic law in covered cases. The SDR limits are reviewed and updated periodically by ICAO. The DOT and Department of State are relevant domestic authorities for treaty implementation questions. GOVERNANCE EXPOSURE: Medium. The primary exposure is ensuring that the SDR figures cited in the CoC are current; outdated SDR values that understate the applicable limit would not reduce liability in practice (the treaty governs) but would create a disclosure accuracy issue. JURISDICTION FLAGS: The Montreal Convention applies to flights between signatory states; travelers on routes involving non-signatory states may still be subject to the older Warsaw Convention framework with lower liability limits. EU passengers benefit from additional implementing regulations that reinforce and in some cases extend Montreal Convention protections. CONTRACT AND VENDOR IMPLICATIONS: Codeshare and interline agreements should clearly establish which carrier bears Montreal Convention liability exposure for each flight segment, as the treaty's 'actual carrier' and 'contracting carrier' framework allocates liability differently from standard commercial subcontracting. COMPLIANCE CONSIDERATIONS: Legal teams should confirm that currently cited SDR values in the CoC reflect the latest ICAO quinquennial review and update the document promptly following any revision. Claims handling procedures for international personal injury claims should be audited for alignment with the two-tier liability structure under Article 21 of the Montreal Convention.
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The Montreal Convention provides a minimum floor of liability protection for international passengers that American cannot contractually eliminate, but also sets a ceiling that may limit recovery in cases of severe injury or death compared to what U.S. domestic tort law might otherwise award.
International passengers injured on a flight covered by the Montreal Convention may recover up to the treaty limit without proving fault, but recovery above that limit requires proving the airline was at fault and did not take all reasonable measures to avoid the damage, which is a more demanding legal standard.
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