Warsaw Convention

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ernational accidents involving physical injury, death and cargo loss. The airlines also achieved a direct pecuniary protection -- a liability damage limit for injuries and death based on an artificial monetary unit called a Special Drawing Rights (SDRs.) The airlines agreed to limit their liability to $100,000 SDRs, equivalent in those days to about $8,300 (U.S.). Subsequently in!
1966, the limit was raised to $75,000 (U.S.) by the Montreal Agreement that amended the Convention. It was critical to the airlines and their insurers that the Warsaw Convention prevents victims from suing the airlines for punitive damages no matter how reckless the misconduct of the airline's employees.
The Warsaw Convention also protected the airlines by limiting the countries in which the victims could bring a lawsuit. Only countries that qualified under the following requirements could have jurisdiction to rule on Warsaw Convention airline injury or death claims: (1) the place of business where the contract of carriage was entered into. (Usually the place where...