Corporate management and executive liability in the airport industry

Abstract

In the past, an airport was simply a terminus, much like a bus terminus of that time, assigning it as the focal geographical point at which people gathered to embark on a plane for a journey by air, or disembark after an air journey. However, the traditional definition of an airport is being reshaped and refined to accord with the fact that airports are now complex industrial enterprises. Quite apart from the essential air-side support given by airports to landing and departing aircraft, there are commercial facilities provided for both passengers and the public within the terminal building by concessionaires who are specialists in their own fields of business. More and more, airports are evolving from being basic aeronautical infrastructures into complex, multi-functional enterprises serving the travelling public while at the same time catering to their commercial needs and those of others who visit the airport. Such enterprises include duty-free shops, speciality retail and brand-name shops, restaurants, hotels and accommodation, banks, business and office complexes, leisure, recreation and fitness centres, to name just a few. Current commercial activities at an airport bring to bear the relevance of business law in the day-to-day running of the airport. The most significant of legal elements in this context lie in the area of corporate negligence and liability. This paper addresses the areas of corporate management, corporate and executive liability and negligent entrustment.