U.S. AIRLINES SUE DOT OVER FEE TRANSPARENCY RULE
June 6, 2024
Airlines For America (“A4A”) and several airlines including Alaska Airlines, American Airlines, Delta Air Lines, Hawaiian Airlines, JetBlue Airways, and United Airlines, filed a Petition to the Fifth Circuit Court of Appeals in Louisiana over the Department of Transportation’s (“DOT” or “the Department”) final rule that requires upfront disclosures of fees. The rule requires airlines and ticket agents to disclose service fees and any ancillary fees alongside the full airfare and is intended to help consumer avoid hidden fees. A4A argues that the rule violates several statutes – including 49 U.S.C. § 41712 (unfair and deceptive practices and unfair methods of competition), exceeds the Department’s authority, and is “arbitrary, capricious, an abuse of discretion, and otherwise contrary to law.” A4A requests the Court to vacate and set aside the final rule. The Department has indicated that it is prepared to oppose the petition and “will vigorously defend [the] rule protecting people from hidden junk fees and ensuring travelers can see the full price of a flight before they purchase a ticket.” The case will be heard by the 5th U.S. Circuit Court of Appeals (New Orleans).
If you have any questions, please contact Evelyn Sahr at 202.659.6622 or esahr@eckertseamans.com; Drew Derco at 202-659-6665 or dderco@eckertseamans.com; Jay Julien at 202.659.6648 or jjulien@eckertseamans.com, or any other attorney at Eckert Seamans with whom you have been working.
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