Several U.S. airlines are joining forces in a lawsuit challenging the Biden administration’s recent rule that would require carriers to display the full cost of a flight \u2014 including crucial add-on charges \u2014 upfront.<\/p>\n
The U.S. Department of Transportation exceeded its authority in issuing the regulation late last month, argued American Airlines, Delta Air Lines, United Airlines, Alaska Airlines, Hawaiian Airlines and JetBlue. Airlines for America, the U.S. airline industry’s lobbying group, also joined. Notably, Southwest Airlines declined to join the suit.<\/p>\n
The lawsuit against the DOT, filed Friday in the 5th U.S. Circuit Court of Appeals, calls for a judge to set aside the rule. Airlines describe the rule as “arbitrary,” an “abuse of discretion” and “otherwise contrary to law.”<\/p>\n
Want more aviation news? Sign up for TPG’s free biweekly Aviation newsletter<\/a>.<\/b><\/p>\n Last month, the DOT issued two separate rules<\/a>.<\/p>\n One would require airlines to automatically issue refunds to passengers in the event of a cancellation or significant delay. They would also have to refund for extra paid services like inflight Wi-Fi when the paying customer doesn’t actually receive the service (as is the case when Wi-Fi malfunctions).<\/p>\n Those measures could end up codified in the Federal Aviation Administration’s reauthorization bill currently making its way through Congress.<\/p>\n The second DOT rule is the one at issue in this lawsuit. It would require airlines and third-party ticket sellers to immediately disclose crucial ancillary charges the first time the flight’s price is displayed.<\/p>\n Under the regulation, by late April 2025, airlines would have to more clearly disclose the cost of a first and second checked bag, a full-size carry-on bag and any change or cancellation fees right away \u2014 when customers first see a fare.<\/p>\n Daily Newsletter<\/p>\n Reward your inbox with the TPG Daily newsletter<\/p>\n Join over 700,000 readers for breaking news, in-depth guides and exclusive deals from TPG\u2019s experts<\/p>\n<\/div>\n<\/div>\n Airlines would also have to use DOT boilerplate language to explain to passengers that they will get a seat assignment, even if they don’t choose to pay for one.<\/p>\n Related: Here are airline passenger rights you need to know during a travel meltdown<\/a><\/strong><\/p>\nChallenging a recent DOT rule<\/h2>\n
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