Monday, April 1, 2013
Supreme Court Upholds DOT Fare Rule
The airline industry cited their free-speech rights stating that the rule prevents them from emphasizing the impact of government imposed fees and taxes.
The rule upheld today requires that the total cost of the ticket, including all taxes and fees be shown more prominently than the base price of the ticket. Airlines can, however, still show the break down in ticket pricing.
The decision also includes a ruling on consumers' '24-hour cooling off period', protecting ticket purchasers' ability to cancel a ticket within 24-hours of purchase with no penalty. Airlines that do not allow the 24-hour cancellation period are required to allow 24-hour ticket holds.
The case is Spirit v. United States Department of Transportation, 12-656.
Read on for more information: Bloomberg Businessweek.