Air India has offered final compensation to the families of victims of the Ahmedabad plane crash, with the condition that recipients waive their right to pursue legal action against the airline and other parties. The airline maintains that there is no deadline or pressure for families to accept the offer, and that families may wait for the official investigation report before making a decision. The crash, which occurred on 12 June 2025, resulted in 260 fatalities, including passengers, crew, and individuals on the ground.
According to The Indian Express, Air India communicated to families that the waiver requirement aligns with international practices for final settlements in aviation accidents. The airline stated that the compensation process was initiated in response to requests from families who preferred not to wait for the final investigation report, and that the waiver is intended to ensure the settlement is conclusive.
Air India clarified that families are “entirely free” to wait until the Aircraft Accident Investigation Bureau (AAIB) releases its findings before accepting compensation. The airline emphasised that there is no set timetable for acceptance and that the offer remains open for those who wish to delay their decision as outlined in official correspondence.
The compensation package includes interim payments of Rs 25 lakh per victim and an ex-gratia payment of Rs 1 crore from the AI-171 Memorial and Welfare Trust. Final settlement amounts vary based on individual circumstances. Under the Montreal Convention, airlines are strictly liable for damages up to a specified threshold, with the possibility of higher compensation if negligence is established as legal frameworks dictate.
Some families and their legal representatives have objected to the legal waiver clause, arguing that it requires them to relinquish present and future claims before the investigation is complete. The airline responded that the waiver is standard practice and is not intended to shield third parties, such as equipment manufacturers, from liability. The broad language is designed to prevent future direct or indirect claims after a final settlement as clarified in communications.
Families of foreign nationals who died in the crash may have the option to pursue claims in other jurisdictions, including the country of the carrier, the location where the ticket was purchased, or the victim’s home country. This is due to the presence of victims from Britain, Canada, and Portugal among those killed as legal options remain open.
Survivors and families continue to seek closure as the investigation proceeds. The AAIB’s final report is not expected by the first anniversary of the crash, and interim or status reports may be released instead. The complexity of aircraft accident investigations often results in extended timelines before causes are officially determined as industry standards indicate.
Family members of prominent victims, such as former Gujarat Chief Minister Vijay Rupani, have expressed their intention to wait for the investigation’s outcome before making decisions regarding compensation. The process of identifying victims and returning personal belongings has been ongoing, with families receiving support and interim relief as coverage revealed.
Some families have used compensation funds to address debts incurred in connection with the victims’ travel or to fulfil wishes of the deceased. The emotional impact of the tragedy remains significant, with survivors and relatives continuing to share their experiences and seek support as personal accounts show.
On the ground, survivors of the crash and local residents affected by the incident have described ongoing trauma and the slow pace of recovery. The site of the crash remains largely unchanged, and some families have called for a memorial to be established in honour of those who lost their lives as recent observations confirm.
Note: This article is produced using AI-assisted tools and is based on publicly available information. It has been reviewed by The Quint’s editorial team before publishing.
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