On 5th August 2020, Provisional Measure No. 925/2020 issued by the Brazilian Government on 19th March 2020 was converted into Law No. 14,034/2020, aiming to support the aviation industry against the economic consequences arising from the Covid-19 pandemic, laying down the following rules:
1) Tickets for flights between 19th March 2020 and 31st December 2020:
refunds: within 12 months as from the date of ,the cancelled flight, adjusted by the INPC rate applying the penalties provided for in the air transportation agreement.
* exception: ticket cancellation requested by passenger within 24 hours of the date of purchase and 7 days or more before the boarding date – refunds must be paid within the period stipulated in the contract.
– credit: with the same or higher amount of the ticket price to be used by the purchaser or another person, within 18 months, the purchase of products or services offered by the airline being permitted.
– rebooking: on a different flight of the same or another airline – free of charge.
– installment purchases: airline must stop collecting installments immediately and refund those that have been paid.
2) Airport fees:
– flight connection fee: will be charged directly from passengers;
– for international flights: will not be charged from 1st January 2021.
3) Amendments to the Brazilian Aeronautical Code:
– no liability in the event of flight delay due to unforeseeable circumstances / force majeure, defined as:
(a) adverse weather conditions;
(b) unavailability of airport infrastructure;
(c) pandemics preventing or restricting t air transportation;
(d) orders from civil aviation authorities or other public bodies restricting the service,
Such facts must be supervenient, unpredictable and inevitable, and, in all of them, the airline must still offer material support and other alternatives, such as reimbursement and accommodation, when the delay exceeds 4 (four) hours.
– “moral” damages (for pain and suffering) when failing to perform the transportation agreement: there must be concrete evidence that passengers suffered damages and their consequences (subjective liability as opposed to strict liability).
4) Loans with resources from the National Civil Aviation Fund (FNAC)
Can be used for loans or guarantees given to loans dated up to 31st December 2020 by airport concessionaries, online carriers, and ground handling companies, if they prove to have had suffered economic damages as a result of the Covid-19 pandemic.
5) Airport Concessionaire Fees:
(a) fixed / variable contribution: extension of the obligation to 18th December 2020, accrued by monetary adjust;
(b) adjustment and rescheduling of the payment of contributions: minimum of 50% below and maximum of 75% of the original agreed installment.