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In the 1980 case Delta Air Lines, Inc. v. August, the U.S Supreme Court ruled in favor of Delta Airlines over a dispute regarding an airline tariff filed with the Civil Aeronautics Board (CAB). The tariff stated that liability for lost baggage on international flights was limited to $250 unless passengers declared a higher value and paid additional charges. Mrs. August had not done so when her luggage was lost during an international flight and she sued for full recovery of her loss which exceeded $250. The court held that under Article 22(2) of the Warsaw Convention - an international agreement governing certain aspects of air travel - airlines could limit their liability through tariffs filed with appropriate authorities such as CAB, provided they met specific requirements including clear communication to passengers about these limits and options to declare higher values if desired.
The dissenting opinion in the case of Delta Air Lines, Inc. v. August argued that the majority's decision to uphold a lower court ruling against Delta was incorrect because it misinterpreted the Age Discrimination in Employment Act (ADEA). The dissenters believed that Congress intended for ADEA to protect older workers from arbitrary age discrimination but did not intend for it to interfere with bona fide occupational qualification exceptions or normal retirement plans agreed upon by employers and employees. They contended that allowing an employee who had voluntarily retired under such a plan to then sue their former employer for age discrimination would undermine these intentions and create unnecessary confusion and litigation. Furthermore, they disagreed with the majority's interpretation of legislative history, arguing instead that Congress specifically chose not to extend ADEA protections beyond mandatory retirement ages set by collective bargaining agreements or other employment contracts.