Major US airlines are suing the Biden administration over a new rule that requires them to disclose all service fee charges with the airfare.
The lawsuit was filed on Monday, May 13, in the US Fifth Circuit Court of Appeals. The plaintiffs include Airlines for America, American Airlines, and Southwest Airlines.
The Transportation Department announced the new rule last month. The rule requires airlines and agents to disclose all service fee charges, including baggage fees, seat assignment fees, and change fees, with the airfare. The rule also prohibits airlines from hiding fees in the fine print.
The airlines argue that the rule is beyond the Transportation Department’s authority. They also argue that the rule will harm competition by making it more difficult for airlines to offer low fares.
The Transportation Department says the rule is needed to protect consumers from being surprised by unexpected fees. The department says that the rule will help consumers make more informed decisions about which airline to fly.
The lawsuit is the latest in a series of disputes between the Biden administration and the airline industry. The administration has also proposed a number of other regulations that the airlines oppose, including a requirement that airlines provide refunds for flights that are canceled due to weather or other factors.
It remains to be seen how the lawsuit will be resolved. However, the lawsuit is likely to delay the implementation of the new rule.
