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U.S. Secretary of Transportation Pete Buttigieg is calling out airlines for suing to block a new rule from the Biden administration meant to provide more transparency around fees airlines charge passengers.
“We just issued a rule requiring airlines to inform you, before you buy a ticket, of fees they will charge you,” Buttigieg posted Monday on X, formerly known as Twitter. “Now, the airline lobby is suing us, saying that if you have the right to that information it will “confuse” you. For once, I am speechless.”
American, Delta, United, JetBlue, Alaska and Hawaiian, and the industry trade group Airlines for America, filed a lawsuit in the 5th U.S. Circuit Court of Appeals in New Orleans on Friday against the Transportation Department in an effort to overturn the rule.
“The ancillary fee rule by the Department of Transportation will greatly confuse consumers who will be inundated with information that will only serve to complicate the buying process,” Airlines for America said in an emailed statement to Quartz. “DOT’s attempt to regulate private business operations in a thriving marketplace is beyond its authority.”
The group added that the airlines already go to “great lengths to make their customers knowledgeable about these fees.”
The new rule was announced by the Department of Transportation last month along with another rule requiring airlines to give automatic cash refunds to passengers without passengers having to request them when such refunds are owed. Those include when a flight is canceled or significantly changed, checked bags are significantly delayed, or other services that passengers purchased are unavailable.
The new Biden administration rules are meant to prevent headaches associated with lengthy customer service calls and navigating multiple websites before being able to access refunds. They’re also meant to prevent airlines from giving out vouchers or credits to passengers, which prevent them from re-booking their canceled or delayed flights with another airline — unless the passenger explicitly requests a voucher.
Airlines are also being required to let consumers know upfront about fees for checked and carry-on bags, and reservation changes or cancellations. The agency estimates that consumers will save more than $500 million each year that they overpay in airline fees.
-Rocio Fabbro contributed to this article.