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KLM faces legal action for ash cloud pay-out

Monday, 16 August 20103 min read

KLM has been threatened with legal action by the European Union after refusing to pay full compensation to passengers stranded during the ash cloud disruption.

The airline said it has restricted payments to just one night’s accommodation to ensure a quick resolution for its thousands of customers across Europe.

But under EU regulations, passengers are entitled to claim reasonable expenses on meals and accommodation for the whole time they are stranded.

In some cases, passengers were stranded for a week or more and are therefore claiming thousands of pounds.

Other European airlines have complied with the ruling, including British Airways and easyJet.

The EU has sent the airline a formal warning and said if its does not comply with the rules, it could face legal action.

By Bev Fearis