Ontario court ruling on Ukraine flight has implications for aviation – CEO

Ontario court ruling on Ukraine flight has implications for aviation – CEO

Ontario court ruling on Ukraine flight has implications for aviation – CEO | Insurance Business Canada

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Ontario court ruling on Ukraine flight has implications for aviation – CEO

Outcome outlines the “growing risks and liabilities”

Insurance News

By
Kenneth Araullo

A landmark Ontario court ruling favouring the families of the victims of Ukraine International Airlines (UIA) Flight PS752 marks a pivotal moment for global aviation safety and liability, according to global aviation risk management and security firm Osprey Flight Solutions.

The UK and US-based company said that the judgement issued by Ontario’s Superior Court on June 10 has significant implications for the entire aviation industry.

Crucially, the court found that UIA has unlimited liability under the internationally recognised Montreal Convention, which calls for radical change to prevent similar tragedies and mitigate existential risks for airlines.

Flight PS752 was shot down by the Islamic Revolutionary Guard Corps shortly after departing Tehran airport, resulting in the loss of 176 lives. The aircraft was misidentified amidst escalating regional tensions. Although a risk assessment had been conducted days before the incident, it was not updated despite the rapidly changing security situation.

Andrew Nicholson, CEO of Osprey, commented ahead of his lead role at a world conference on overflight safety taking place in Poland next month.

“We are risk-assessing thousands of flights every day and are seeing the potential risks at close hand. All airlines, of course, prioritise the safety of passengers and crew; however, the challenge of security in volatile regions is especially acute,” he said.

“Traditionally, airlines have relied heavily on guidance from regulators and governments regarding airspace safety and overflight risks. However, as this case clearly demonstrates, such information is often delayed, classified, or influenced by political considerations. The outcome of the PS752 case underscores the growing risks and liabilities facing airlines and the industry rapidly needs to adjust to this,” Nicholson said.

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Improving risk management in aviation

The PS752 ruling also comes at a time of heightened global tensions, underlining the urgency for improved risk management in aviation.

“In this case, it just happened to be Ukrainian Airlines, but to be frank, it could have been any operator that was affected by this situation. What the Canadian ruling has shown is that the impact of such an event goes beyond the tragic loss of life. Operators carry this risk of unlimited liability, making the need for mandatory risk assessments, for regulated, forward-looking, pre-emptive risk management a clear requirement in need of advocacy,” Nicholson said.

Nicholson reiterated that every flight should undergo a thorough evaluation of potential threats. By integrating advanced technologies alongside a culture of proactive security management, airlines can better protect their passengers and crews, preventing tragedies like PS752 from occurring in the future.

“This will mean ensuring all airlines have access to accurate and timely information about the security landscape, along with well-defined mitigation measures for emerging threats,” he said. “Faced with litigation and as we’ve seen unlimited liability, auditable, ICAO-compliant trails of decision-making will become essential to demonstrate due diligence and accountability.”

While the importance of adopting proactive risk management systems with a focus on real-time monitoring and decision-making has become increasingly clear, not all aviation security teams have the capacity or resources to continuously monitor the landscape or run automatically updated risk assessments without technology. This inconsistency in risk management practices is exposing gaps in safety protocols, especially given the growing number of volatile regions around the world.

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