Overbooking: passenger rights and what to do at the gate

The traveler reaches the gate on time, boarding pass in hand, and finds out the flight is full and there is no seat for them. That is overbooking: the airline sells more seats than the aircraft holds, counting on some passengers not showing up. When everyone shows up, someone stays on the ground. On a business trip, that can mean a missed meeting or a compromised international connection.

At ArrowTur, which has managed corporate travel since 1989, we often guide travelers through this situation. In this article we explain passenger rights in case of overbooking under the rules of Brazil’s civil aviation authority, ANAC (Agência Nacional de Aviação Civil), what to do at the counter and what the company can set in its travel policy to deal with the problem.

What overbooking and denied boarding mean

Overbooking is the practice of selling more tickets than there are seats. Airlines do it because some passengers usually do not board, the so-called no-show. When the numbers do not add up, denied boarding happens: a passenger with a confirmed booking who showed up on time and met all boarding requirements is prevented from flying on the booked flight.

Denied boarding can have causes other than overbooking, such as swapping the aircraft for a smaller model. For the passenger, the rights are the same. The key point is “showed up on time”: a traveler who reaches boarding after the deadline has not been denied boarding, they have missed the flight.

The airline must first look for volunteers

Under ANAC Resolution No. 400/2016, before preventing anyone from boarding, the airline must look for passengers willing to be rebooked on another flight in exchange for negotiated compensation. It can be money, travel credit, miles or another benefit. The agreement must be put in writing.

For business travelers, deciding to volunteer deserves care. If the schedule at the destination is flexible, the compensation may be worth it. If there is a meeting, an event or a tight connection, accepting trades the company’s commitment for an individual benefit. The travel policy should state whether employees may volunteer and who owns the compensation received, much as many companies do with miles.

The rights of a passenger denied boarding

If there are not enough volunteers and the traveler is denied boarding against their will, the airline must:

• Pay immediate financial compensation: 250 SDR on domestic flights and 500 SDR on international flights. The SDR (Special Drawing Right) is a reference unit of the International Monetary Fund, and its value in Brazilian reais changes with the daily exchange rate. Payment can be made by bank transfer, voucher or cash.
• Offer travel alternatives: rebooking on the next flight, operated by the same or another airline, or on a date and time convenient for the passenger; a full refund; or completing the trip by another means of transport, when available.
• Provide material assistance based on the waiting time: meals from 2 hours and accommodation, with transport, from 4 hours when an overnight stay is needed.

Immediate compensation does not prevent the passenger from seeking redress for greater damages through the proper channels. At the airport, though, the focus should be reaching the destination in the best possible way.

What the traveler should do at the counter

• Notify the agency or the travel manager right away. While the traveler negotiates at the counter, the agency can check alternatives on other airlines.
• Ask for the denied boarding to be recorded and check that the airline is offering the compensation set by the rules, not just a lower-value voucher.
• Choose the alternative with the schedule in mind: another airline’s flight that arrives earlier may be better than the same airline’s next flight.
• Confirm the checked baggage will follow on the new flight.
• Keep receipts for any expense and note times, names and case numbers.
• If the compensation is not paid, file a complaint on the Brazilian government platform consumidor.gov.br or through ANAC’s channels.

How to reduce the risk of being left on the ground

No strategy eliminates overbooking, but some practices lower the chance of the traveler being the one chosen:

• Check in as soon as it opens and choose the seat in advance when the fare allows.
• Get to the gate early, especially on peak-time flights and busy routes.
• Keep the traveler’s frequent flyer number in the booking: some airlines take the passenger’s status into account when deciding who boards.
• Avoid short connections on trips with a fixed commitment at the destination.
• Keep the mobile number and e-mail correct in the booking to receive change notices in time.

What the company should include in its travel policy

Overbooking is rare for any individual traveler, but in a company that travels a lot, it happens. It is worth putting in writing:

• whether employees may volunteer and in which situations;
• who owns the compensation received, whether money, credit or miles;
• who approves a new ticket on another airline when the rebooking offered does not work;
• how extra expenses go into the expense report;
• who follows up on the compensation if it is not paid on the spot.

Overbooking with ArrowTur

When a traveler is denied boarding, our team follows the case in real time: we check alternatives on the same airline and others, adjust hotel, car and transfer at the destination and explain the compensation and assistance owed. We work Monday to Friday, 7 a.m. to 7 p.m. (Brasília time), with an emergency on-call service outside those hours. For the travel manager, that means less time lost and every cost of the disruption recorded in the report.

Learn more about our corporate travel management and talk to our sales team on WhatsApp, by phone at +55 11 5189-4120 or through our contact page.

Official sources: ANAC Resolution No. 400/2016 (English version) and ANAC passenger guidance (in Portuguese).

Read also: No-show on flights and hotels: how companies avoid the cost.

Frequently asked questions

Is overbooking allowed in Brazil?

Selling above capacity is not prohibited, but the airline is responsible for denied boarding: it must look for volunteers, pay compensation to anyone denied boarding and offer rebooking, a refund and assistance.

How much is the compensation for overbooking?

250 SDR on domestic flights and 500 SDR on international flights, paid immediately. The amount in Brazilian reais depends on the SDR rate on the day.

Is a passenger who arrives late for boarding entitled to compensation?

No. Denied boarding applies to passengers who showed up on time for boarding, with a confirmed booking and their documents in order.