2) For lost or damaged or delayed baggage, the airline liability is generally limited to $1,640 per passenger, unless the passenger has handed the airline a special interest declaration and paid any supplementary fee. 

No airline is permitted by contract to assert lower liability limits for international air travel than those provided for in the Montreal Convention and any such contract terms are void. In general, state common law tort or statutory actions are now preempted, as most courts now view the Montreal Convention as the exclusive remedy for claims arising out of international air transportation. 

Legal actions on all claims must be brought within two (2) years of the incident. However, in addition, complaints to the airline for baggage damage claims must be made within 7 days, for cargo damage within 14 days of the date of receipt by the passenger.  

For baggage or cargo delay claims, the passenger must file a complaint with the airline within 21 days of receipt. Complaint to the airline must be made in writing and delivered or sent within the time limits or the claim is barred except in case of fraud by the airline. 

Courts that have jurisdiction for passenger actions against airlines under the Montreal Convention include US federal district courts and other courts where the passenger has his/her primary and permanent residence, where the airline is domiciled (incorporated) or has its principal office, the final destination location of the flight, or where the airline has a place of business through which the ticket was purchased.