Airlines sue Biden Administration over new fee disclosure rule

[LAUREN TAYLOR]

SEVERAL MAJOR U-S AIRLINES ARE SUING THE BIDEN ADMINISTRATION OVER A NEW RULE – REQUIRING UPFRONT DISCLOSURE OF FEES.

 AIRLINES FOR AMERICA, DELTA, AMERICAN, UNITED, HAWAIIAN, JETBLUE, AND ALASKA FIELD A LAWSUIT AGAINST THE TRANSPORTATION DEPARTMENT – IN THE FIFTH CIRCUIT COURT OF APPEALS LATE FRIDAY.

LAST MONTH – THE BIDEN ADMINISTRATION UNVEILED NEW RULES – WHICH  APPLY TO CHECKED BAG FEES AND REQUIRES AIRLINES AND TICKET AGENTS TO BE MORE UPFRONT ABOUT FEES FOR SEAT SELECTION, BAGGAGE, AND CHANGING A FLIGHT RESERVATION.

THE LAWSUIT CLAIMS THE NEW RULE IS “ARBITRARY, CAPRICIOUS, AN ABUSE OF DISCRETION AND OTHERWISE CONTRARY TO LAW,” ACCORDING TO REUTERS.

AIRLINES FOR AMERICA RELEASED A STATEMENT SAYING AIRLINES ALREADY DISCLOSE ALL FEES AND THAT THE NEW RULES WILL CONFUSE CUSTOMERS AND COMPLICATE THE BUYING PROCESS.

ACCORDING TO A STUDY – CONDUCTED BY TRAVEL EXPERTS AT IDEA WORKS — THE TOP 20 AIRLINES IN THE WORLD COLLECTED AN OVERALL NEARLY $118 BILLION IN EXTRA FEES IN 2023 – INCLUDING $33 BILLION IN BAG FEES.

THE TRANSPORTATION DEPARTMENT HAS NOT YET RESPONDED TO THE LAWSUIT.

AND SOUTHWEST AIRLINES DID NOT JOIN IN.

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