Several of the largest airlines in the United States are challenging a new rule from the Biden administration that would require them to disclose certain fees upfront as part of the total cost of airfare. These fees, which are typically added for luggage and changes to reservations, are referred to as “surprise junk fees” by the government.
A trade group called Airlines for America, along with six major airlines including American, Delta, United, JetBlue, Alaska, and Hawaiian, has filed a petition in the U.S. Court of Appeals for the 5th Circuit seeking to overturn the ancillary fee rule. They argue that the rule is “arbitrary, capricious,” and outside the Transportation Department’s authority.
The rule, which is set to go into effect on July 1 after an 18-month process, aims to save consumers over $500 million annually by requiring airlines to show fees for services like checked bags, carry-on bags, and reservation changes upfront. Consumer advocate John Breyault of the National Consumers League supports the rule, stating that it allows for easier comparison of flight costs.
Despite the airlines’ opposition, the Transportation Department is standing firm, defending the rule as a way to protect consumers from hidden fees and ensure transparent pricing in the airline industry. The Biden administration’s efforts to combat “junk fees” extend beyond airlines to other industries like credit cards, resorts, and cable companies.
