The Ombudsman on the compensation practice of MÁV (Hungarian State Railways) in Force Majeure Situations

There is a contradiction between EU legislation and MÁV Start Co.'s rules of procedure for passenger transport. MÁV Start Co. does not always provide flat-rate compensation in compliance with the legal provisions. László Székely, the Commissioner for Fundamental Rights has concluded that this infringes on the requirement of legal certainty.

In compliance with the rules of procedure, in case of a delay or cancellation of trains requiring surcharge tickets, a passenger is entitled to a flat-rate reimbursement provided that the ticket price was not reimbursed prior to the start of his or her travel. However, if the train arrives 60-119 minutes later than the time indicated in the timetable, the flat-rate is 25 per cent, and 50 per cent of the ticket price in the case of a delay of or above 120 minutes . In compliance with the rules of procedure, the Company shall be discharged of the responsibility to pay flat-rate compensation, if the delay is the result of force majeure, that is, an unavoidable external cause whose definition is set out in the rules of procedure.       

The EU regulation in force for the case of force majeure does not discharge the railway company of the flat-rate compensation. The passenger is entitled to receive compensation in all cases involving the train's delay. The Commissioner for Fundamental Rights stressed in his report that this was a flat-rate and set price compensation to the passenger who had paid in advance for a service that the railway company had not provided in compliance with the contract. At the same time, the Commissioner also pointed out that this flat-rate damage needed to be differentiated from  eventual concrete damage that had arisen as a consequence of the delay. In the latter case, reimbursement is not automatic, the causal link must be proven by the passenger in a proceeding independent from the flat-rate compensation.

The Ombudsman's view is supported by the decision of the Court of Justice of the European Union stipulating in relation to the rules of procedure of the Austrian railway company that the EU regulation does not discharge the railway company of the obligation for compensation, if the delay was the result of force majeure. 

The Commissioner for Fundamental Rights asked the Head of the National Transport Authority in charge of professional supervision to review and amend the Rules of Procedure of MÁV.