A federal appeals court has temporarily blocked the Biden administration’s new rule that requires airlines to disclose extra fees on purchases.
The three-judge panel of the Fifth U.S. Circuit Court of Appeals said on a Monday order that the decision “likely exceeds DOT’s authority and will irreparably harm airlines.” The panel granted a request from a coalition of airlines to temporarily block the rule, noting that it will also expedite the petition for review.
A coalition of major airlines sued the Biden administration in May over the Transportation Department’s crackdown on unwanted fees on air travel. These extra fees may include charges for checked baggage, carry-on baggage, and changing or canceling reservations.
Trade group Airlines for America filed the lawsuit along with Delta Air Lines, American Airlines, United Airlines, JetBlue Airways Corp., Hawaiian Airlines and Alaska Airlines. The group argued that the new rule would “confuse” customers and “complicate” the purchasing process.
Transportation Secretary Pete Buttigieg sharply criticized the lawsuit when it was filed, saying he was “speechless.”
“We just issued a rule requiring airlines to inform you, before you buy a ticket, of the fees they will charge you,” Buttigieg said in a statement. post on social platform at the time. “Now the airline lobby is suing us, saying that if we are entitled to this information, it will ‘confuse’ them. For the first time, I am speechless.”
The department doubled down on its rule in a statement to The Hill on Tuesday, emphasizing that airlines can still “voluntarily” comply with the rule even with a court order.
“DOT will continue to defend our rule that protects consumers from surprise fees that can unexpectedly increase the price of air travel,” the department said. “Nothing in the Court’s ruling prevents airlines from voluntarily complying with this commonsense rule that simply requires them to keep their customers fully informed when purchasing an airline ticket.”
The Hill has reached out to Airlines for America for comment.
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