A group of major U.S. airlines has filed a lawsuit against the U.S. Department of Transportation (DOT) over new legislation mandating the disclosure of additional service fees for flight ticket purchases.
This rule requires airlines and online travel agencies to disclose upfront what the government describes as "surprise junk fees" for seat selection, checked baggage and other add-ons alongside the airfare, rather than adding these costs at checkout based on a customer’s selections.
The airlines involved in the lawsuit include: American Airlines, Delta Air Lines, United Airlines, JetBlue Airways, Hawaiian Airlines and Alaska Airlines, along with the lobbying group “Airlines for America” (A4A).
A4A stated that the rule was “arbitrary” and would only confuse customers with information that would complicate the buying process.
"DOT's attempt to regulate private business operations in a thriving marketplace is beyond its authority," said A4A. "Airlines go to great lengths to make their customers knowledgeable about these fees."
The lawsuit, filed at the U.S. Fifth Circuit Court of Appeals in Louisiana, notably does not push back on the DOT’s other legislation announced last month, which required automatic refunds when flights are canceled or significantly altered.
Finalized last month after an 18-month process, the legislation is set to take effect on July 1. According to the DOT, this regulation could save consumers over $500 million annually in hidden fees, as it would require the airline industry to clearly outline their fee policies before purchase, ensuring that customers know all costs upfront.
The legislation is part of the Biden Administration's heightened focus on the aviation industry.
