MCGILL CONFERENCE ON INTERNATIONAL AVIATION LIABILITY & INSURANCE Liability for Acts of Terrorism: The New Unlawful Interference Convention General The.

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MCGILL CONFERENCE ON INTERNATIONAL AVIATION LIABILITY & INSURANCE Liability for Acts of Terrorism: The New Unlawful Interference Convention General The Convention on Compensation for Damage to Third Parties, Resulting from Acts of Unlawful Interference Involving Aircraft (Unlawful Interference Convention – UIC) was adopted 2 May UIC is the answer in international law to the financial threat of terrorism. It builds largely on the experiences of 9/11.

MCGILL CONFERENCE ON INTERNATIONAL AVIATION LIABILITY & INSURANCE Liability for Acts of Terrorism: The New Unlawful Interference Convention OBJECTIVES UIC recognizes that, with regard to terrorism, we are all victims. It has two goals: 1. Provide the basis for full compensation to victims of terrorism targeting civil aviation 2. Give protection for the financial situation of the aviation sector in case of such terrorism

MCGILL CONFERENCE ON INTERNATIONAL AVIATION LIABILITY & INSURANCE Liability for Acts of Terrorism: The New Unlawful Interference Convention Basic principles UIC turns away from old concepts of fault and blame. Instead it tries to build a fair system for risk management and spreading of the financial burden. UIC further builds on modern principles of strict liability in order to simplify claims handling as in MC99 but this shall in no way be viewed as putting any blame on the liable persons.

MCGILL CONFERENCE ON INTERNATIONAL AVIATION LIABILITY & INSURANCE Liability for Acts of Terrorism: The New Unlawful Interference Convention Protection for victims: 1) Operator liability up to 700 million SDR 1) Compensation fund, max 3 billion SDR 1) General solidarity/taxpayers above that

MCGILL CONFERENCE ON INTERNATIONAL AVIATION LIABILITY & INSURANCE Liability for Acts of Terrorism: The New Unlawful Interference Convention Protection for aviation sector: Liability channeled to operator only. No claims can be made against any other person. Liability of operator is capped Drop-down in case of insurance becoming unavailable.

MCGILL CONFERENCE ON INTERNATIONAL AVIATION LIABILITY & INSURANCE Liability for Acts of Terrorism: The New Unlawful Interference Convention The International Civil Aviation Compensation Fund: International entity modeled after IOPC and ICAO. Provide compensation up to 3 billion and support incase of unavailability of insurance Fund will be filled up by charges on passenger and cargo departures. The threshold for entry into force is 750 million passenger departures.

MCGILL CONFERENCE ON INTERNATIONAL AVIATION LIABILITY & INSURANCE Liability for Acts of Terrorism: The New Unlawful Interference Convention Two points on MC99: 1) Definition on mental injury based on a approach in which situations a damage should be suffered to be compensable. 2) Possibility to provide supplementary compensation to passengers where the limitation in Article 21, para 2 (b) would limit it to SDR