The liability system of domestic air carriers for registered luggage has many difficulties in application. Studying and clarifying these difficulties can guide the practice of air carriers and safeguard the rights and inter? ests of passengers. To judge whether a piece of luggage belongs to registered baggage or carry-on items should be based on the interpretation of the text and on who is actually in charge of the baggage. There are two methods for judging the termination point during the period of the air transportation for registered luggage:“actual control theory”and“legal control theory”. The latter is more conducive to the protection of passengers’rights. If the “General Provisions for Compensation for Valuable and Special Items”is included in the general conditions of carriage, and the carrier has fulfilled the obligation to present, then the terms may restrict the passenger. Chi? nese courts use objective criteria to determine whether the carrier already knew that its actions may cause dam ? age to registered luggage. In order to prove the loss of the items in the registered luggage and the value of the lost, passengers have to provide a variety of indirect evidence to convince the judge that they have reached a high probability standard.