U.S. court blocks DOT's new rule on ancillary fee disclosure

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Judges said that the fee-disclosure rule "likely exceeds DOT's authority and will irreparably harm airlines."
Judges said that the fee-disclosure rule "likely exceeds DOT's authority and will irreparably harm airlines." Photo Credit: New Africa/Shutterstock

A three-judge panel from the Fifth U.S. Circuit Court of Appeals on Monday granted a temporary stay of the U.S. Department of Transportation's final rule issued in April that would have required airlines to disclose full fares, including all ancillary fees, when a flight search is conducted.

Lobbying group Airlines for America, IATA and six U.S. carriers sued the DOT in May over the fee-disclosure rule, stating that it is "contrary to statute" and "exceeds the department's authority."

The judges found that the "rule likely exceeds DOT's authority and will irreparably harm airlines," and in addition to granting the motion for stay of the rule pending review, "the petition is expedited to the next available oral argument panel." 

The airlines included in the suit are Alaska, American, Delta, Hawaiian, JetBlue and United.

Source: Business Travel News

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