DOT DENIES SEVERAL PETITIONS FOR RULEMAKING BY FLYERSRIGHTS.ORG
March 8, 2019
On February 1, 2019, the Department issued three separate decisions in response to petitions for rulemaking filed by consumer advocacy group FlyersRights.org. In each case, the Department declined to impose new regulations.
First, in Order 2019-2-1, published in Docket OST-2015-0031, the Department declined to impose caps on ticket change fees in foreign air transportation. FlyersRights.org argued that airlines were imposing fees in a manner unrelated to the actual costs of changes and that fees were exorbitant and meant to be a profit source. DOT concluded that market-rate fees make load factors more predictable, lower prices on nonrefundable tickets, and are consistent with the deregulatory policies underpinning the U.S.’s network of Open Skies agreements.
Second, in a letter filed in Docket OST-2015-0256, the Department rejected FlyersRights.org’s contention that airlines were not giving passengers sufficient notice of their rights under the Montreal Convention to compensation for delays and cancellations. DOT observed that many carriers provide notice to passengers in airport signage, on tickets, and in contracts of carriage.
Third, in a letter filed in Docket OST-2016-0197, the Department declined to reinstate a “reciprocity rule” that would have required carriers to arrange replacement travel for passengers on other carriers in the event of delays exceeding two hours. DOT reasoned that consumers are already properly informed of rebooking policies in Customer Service Plans and that a reciprocity rule is not needed to address large-scale failures of computer reservation systems.
If you have any questions, please contact Evelyn Sahr (esahr@eckertseamans.com or 202-659-6622); Drew Derco (dderco@eckertseamans.com or 202-659-6665), or Alexander Matthews (amatthews@eckertseamans.com or 202-659-6633).