A common complaint among air travelers is the damage or theft of/from their checked-in luggage. However, the airlines are not liable for such damage or theft. This is largely because damage to checked luggage can be caused by a huge number of factors, many of which are not under the airline’s control as the baggage is processed, loaded and unloaded. Often, damage is due to improper packing and the airlines cannot make sure that each bag is packed properly.
Another factor is that the airline is not the sole handler of the luggage — many third parties such as local luggage handling subcontractors and customs agents (during international flights) also handle checked luggage.
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Why Airlines Aren’t Liable For Baggage Theft & Damage