BIDEN ADMINISTRATION SPRINTING THROUGH THE FINISH LINE ON CONSUMER PROTECTION FRONT
November 8, 2024
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On October 24, 2024, DOT, and the Antitrust Division of the U.S. Department of Justice (“DOJ”) launched yet another inquiry into whether airline consolidation adversely impacts consumers. DOT is accepting comments on ticket prices, reward programs, and customer service until December 23, 2024. DOT and DOJ’s Request for Information (“RFI”) solicits responses from a myriad of aviation stakeholders including passengers, consumer advocates, pilots, airlines, and travel agents. In addition to requesting information on airline mergers, the RFI also seeks information on what impact consolidation in the manufacturing sector (i.e., Boeing, Airbus) plays in the commercial aviation market. Regulators are especially concerned with market consolidation among airlines and alleged unfair business practices between major carriers, travel agents, and purchasers of corporate travel services.
This most recent probe comes after DOT announced plans last month to evaluate whether airline rewards programs employ anticompetitive or deceptive methods. In addition, DOT’s Airline Passenger Protection Partnership continues to coordinate with state attorneys general (“AGs”) to investigate consumer complaints against airlines. To date, AGs from 22 states including California, Colorado, Connecticut, the District of Columbia, Illinois, Maine, Maryland, Massachusetts, Michigan, Minnesota, Nevada, New York, New Hampshire, North Carolina, the Northern Mariana Islands, Oklahoma, Oregon, Pennsylvania, Rhode Island, the United States Virgin Islands, Washington, and Wisconsin have joined forces with DOT’s OACP.
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