I would say that in order to achieve that type of system, we need to change how clearly the rules are written. Right now, to verify eligibility for a $400 claim means a thousand pages of documents and possibly a legal argument.
In the European Union, typically a passenger's eligibility for compensation can realistically be verified in a couple of minutes, because it requires so little information. If the rules are changed accordingly and are enshrined in the act and not some regulations, as they should be and as they were in the European Union, then the system might be amenable to a more fast-tracked process.
Having said that, there also have to be provisions for hefty fines for airlines that break the laws and rules. It's not enough to provide compensation to passengers.