Sign On The Dotted Line: No silence, no compensation

KARACHI:

Relatives of Bhoja Air crash victims are being coerced into signing a controversial document prior to receiving compensation from the airline, according to a constitutional petition filed in the Sindh High Court on April 16.

The document titled Final Release and Discharge Agreement bars relatives from taking further legal action against the airline, aircraft maker Boeing, Pakistan's Civil Aviation Authority, Pratt and Whitney and other allied companies.

“This is illegal. Bhoja can't make the compensation conditional. It has to pay that in any case," said Abdul Razzaq, a lawyer assisting the families. "Relatives of the victims have the right to take their case to international courts, even after they have received insurance money."

The petition was filed by Sajida Zaman, who lost her husband and mother-in-law in the crash.

Under the Carriage by Air Act 2012, airlines are liable to pay Rs5 million in compensation for each life lost.

The government has yet to release the investigation report that will determine the reasons and those responsible for accident.

A similar case was filed in the Peshawar High Court following the Air Blue plane crash. The court had declared the airline's bid to get signatures on final release and discharge agreement as illegal.

Settlements in aircraft accidents can run into hundreds of millions of dollars. "The airline, aircraft maker, engine manufacturers and their suppliers will do all they can to settle the matter as cheap as possible," Razzaq said.  "But people who persevere get the reward. Five million Pakistani rupees is nothing compared to what some of the passengers could have earned in their lifetimes."

The accident has drawn two large international law firms into the case.

UK-based Irwin Mitchell is representing families of around 30 passengers, while 111Gates and Partners is acting on behalf of the insurer of the airline.

Mahmood Alam of Aviation and Corporate Law Associates is working as Pakistani legal consultant for the airline and its insurer. Affected families told The Express Tribune that he has been coercing them to sign a release agreement in return for assurances that they will receive compensation.

Despite repeated attempts, Alam was not available for comment. Khalil Chaudhry, Bhoja's compensation in-charge, said there had been 54 full and final settlements of Rs5 million. "I cannot say anything more than that," he said.

"Once this process is declared illegal here, we will go to courts in the United States," said Razzaq, who himself lost his brother in the PIA Fokker crash of 2006 and has been seeking a higher compensation since then. "My hopes are very high."

Published in The Express Tribune, April 20^th, 2013.