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September 2011| See all articles in this issue

New Department of Transportation Rules

The U.S. Department of Transporation has announced new rules giving some respite to weary road warriors who have experienced cancelled flights, lost baggage, long waits on the tarmac and inexplicable costs.

Per USA Today and Consumer Reports, here’s a quick look at the rules that the U.S. Department of Transportation began enforcing as of August 23rd:

  • If a U.S. or international flight sits on the tarmac for more than four hours the DOT can impose fines of up to $27,500 per passenger.
  • Passengers bumped from an oversold flight must be compensated double the price of the purchased ticket (up to $650), unless the airline gets them to their destination within a few hours. Currently, compensation is equal to the ticket up to $400. If the arrival time of bumped travelers is delayed by more than a few hours it would mean payments of four times the value of a ticket, up to $1,300. Currently, that compensation is capped at $800.
  • Airlines must prominently display all fees on their websites, including fees for checked bags, in-flight meals and cancelled reservations.

The DOT is delaying the following provisions until January 2012, because airlines said they would need more time to comply:

  • Promptly notify passengers if a flight is cancelled or delayed by more than 30 minutes. Notification could include cell phone alerts, website updates, or an announcement at the check-in counter.
  • Let customers cancel reservations without penalty for at least 24 hours if they are made at least one week before the scheduled flight.
  • Include government taxes and fees in advertised fares.
  • Not raise a fare after a ticket has been bought, unless due to increased government taxes and fees.



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