Sometimes the air carrier sells more tickets than there are seats on the aircraft. This is not uncommonly, and the air carriers are allowed to do so since it is unlikely that all passengers will show up at the gate. However, sometimes the statistics and the assumptions goes wrong and passengers with a valid ticket has to be denied boarding. Situations like these may occur and if you are denied boarding because the flight has become overbooked, you are entitled to compensation according to the EU Regulation.
When an operating air carrier reasonably expects that boarding must be denied due to an overbooked flight, they shall first call for volunteers to surrender their reservations. All this in exchange for vouchers or other benefits under conditions to be agreed between the passenger concerned and the operating air carrier.
If the number of passengers that voluntarily surrender their reservations were not sufficient in number, the operating air carrier may refuse passengers boarding against their will.
Denied boarding compensations are based on the distance of the flight. This is what you are entitled to if you are denied boarding through no fault of your own:
However, if the operating air carrier overbooks the flight and offers the passenger re-routing on an alternative flight at the earliest opportunity, the level of compensation will be reduced by half if the flight arrives at the final destination:
If the operating air carrier has confirmed that you will be denied boarding due to an overbooked flight before you have arrived are at the airport, we still advise you to go there. If you are offered an alternative flight with a short notice and cannot be in time at the airport, you will lose the right to compensation according to the EU Regulation. Although the wait may be long, it is a good idea to have patience and stay at the advised gate not to miss important information about emergent changes.
You are not eligible to compensation if you are denied boarding due to: