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Nabarro acts for Ryanair in successful Gatwick appeal

3 June 2011

Europe-wide implications following Civil Aviation Authority ruling

The litigation team at Nabarro has represented long standing client Ryanair in its successful, first of its kind appeal to the UK Civil Aviation Authority (CAA) which upheld that check-in desk and baggage handling charges at Gatwick Airport are discriminatory and non-transparent.

Ryanair brought the appeal against Gatwick's owner Gatwick Airport Limited (GAL) and its former owner BAA Airports Limited (BAA) under Regulation 20 of The Airports (Groundhandling) Regulations 1997. The Regulations are derived from the EU Directive of 15 October 1996 on access to the Groundhandling market at Community airports, and hence the CAA's decision will be felt across Europe.

Since April 2004, check-in desk and baggage handling charges at Gatwick have been levied on a 'per passenger' basis. Even though almost all of Ryanair's passengers check-in online and the majority travel with only hand luggage, GAL has been charging check-in desk and baggage handling fees on all passengers irrespective of the level of use they make of the check-in desk and baggage handling facilities at the airport. Ryanair's passengers have therefore been subsidising the check-in and baggage handling costs of airlines whose passengers make greater use of these facilities.

On 31 May 2011, following a two day hearing, the CAA held that the check-in desk and baggage handling charges at Gatwick were discriminatory and non-transparent. The CAA has instructed GAL to implement transparent and non-discriminatory charges by April 2012.

The Nabarro team was led by Peter Fitzpatrick (Partner, Dispute Resolution), assisted by Ben Williams (Associate, Dispute Resolution). Counsel for Ryanair was Daniel Jowell QC and Sarah Love of Brick Court Chambers. GAL and BAA were represented by Herbert Smith LLP, instructing Mark Hoskins QC and Nicholas Saunders also of Brick Court Chambers.

Welcoming the CAA's decision, Peter Fitzpatrick commented:

"Nabarro is pleased to have assisted Ryanair in successfully appealing the discriminatory and non-transparent check-in desk and baggage handling charges at Gatwick Airport. Ryanair's appeal, the first ever made under Regulation 20 of The Airports (Groundhandling) Regulations 1997, acts as a reminder to airport operators across the EU that they must ensure that the charges they levy for the use of airport infrastructure are transparent and non-discriminatory."

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