As Part of Ongoing Airline Consumer Protections Efforts, USDOT Anno

Today, the U.S. Department of Transportation (Department) announced a proposed rule for public comment, which if adopted, would significantly strengthen protections for consumers seeking refunds for airline tickets. Since early 2020, the Department has received a flood of air travel service complaints from consumers with non-refundable tickets who did not travel because airlines canceled or significantly changed their flights or because the consumers decided not to fly for pandemic-related reasons such as health concerns. "When Americans buy an airline ticket, they should get to their destination safely, reliably, and affordably," said U.S. Transportation Secretary Pete Buttigieg. "This new proposed rule would protect the rights of travelers and help ensure they get the timely refunds they deserve from the airlines." For many years, under the Department's statutory authority to prohibit unfair practices, the Department has required airlines and ticket agents to refund travelers if airlines cancel or significantly change their flights. However, the terms significant change and cancellation had not previously been defined, which has resulted in inconsistency among carriers on when passengers are entitled to refunds. Further, since the start of the COVID-19 pandemic, various airlines have questioned the Department's authority to require refunds for flights airlines cancel or significantly change. This proposal would codify the Department's longstanding interpretation that a failure to provide refunds when a carrier cancels or significantly changes a flight to, from, or within the United States is an unfair practice. The Department is also proposing, for the first time, to define the terms significant change and cancellation.