FLYERSRIGHTS.ORG URGES DOT TO REINSTATE “RECIPROCITY RULE”
November 4, 2016
FlyersRights.org filed a petition for rulemaking with DOT, urging the Department to reinstate the “reciprocity rule”. The reciprocity rule existed before airline deregulation and was incorporated into airlines’ contracts of carriage. It obliged carriers, when a flight was cancelled or excessively delayed, to place passengers on another carriers’ flight with no additional cost to the passenger. FlyersRights.org, a non-profit group that advocates for the rights and interests of airline passengers, proposed that the reinstated rule apply when a flight is cancelled or delayed more than two hours. The group urged DOT to reinstate the rule because of the recent series of airline computer glitches that have stranded passengers across the country as well as airline consolidation resulting in fewer seats being available in the marketplace. It claimed that without the reciprocity rule in place, carriers engage in “predatory and anticompetitive practices.” For example, it claimed that when a flight is cancelled today, it often takes six additional flights to fully re-accommodate passengers who were on the cancelled flight, because of industry-wide high load factors.
FlyersRights.org also suggests that re-instating the reciprocity rule is consistent with the Airline Deregulation Act because it will allow market forces to operate more efficiently by filling unused seats on other airlines and incentivize airlines to compete on operational reliability which should lead to fewer cancelled flights. Under DOT’s procedural rules, the agency can deny the petition, initiate rulemaking, or simply grant the petition. FlyersRights.org urged the Department to issue an emergency rulemaking to address the problem rather than begin formal rulemaking procedures, which often take many years to complete.
If you have any questions, please contact Evelyn Sahr (esahr@eckertseamans.com, 202-659-6622) or Drew Derco (dderco@eckertseamans.com, 202-659-6665).
Share This Post
Authors
