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What is American DOT policy? How it assists to protecting passengers rights.

Six airlines are scanned by the DOT and fined for delaying refunds.

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These fines are part of DOT’s ongoing work to ensure Americans receive the refunds they are owed from airlines. Since the beginning of the COVID-19 pandemic, DOT has received a flood of complaints from air travelers about airlines’ failures to provide timely refunds after they had their flights canceled or significantly changed.

In addition to the more than $600 million in refunds airlines have paid back, the Department announced last week that it is assessing more than $7.25 million in civil penalties against six airlines for extreme delays in providing refunds. With today’s fines, the Department’s Office of Aviation Consumer Protection has assessed $8.1 million in civil penalties in 2022, the largest amount ever issued in a single year by that office.

U.S. fines 6 airlines $7.5 million and force them to refund customers(Opens in a new browser tab)

Some of the following airlines have been penalized for the delay and payment for the passenger after the flight cancellation.  The fines assessed today and the required refunds provided are:

  • Frontier – $222 million in required refunds paid and a $2.2 million penalty
  • Air India – $121.5 million in required refunds paid and a $1.4 million penalty
  • TAP Portugal – $126.5 million in required refunds paid and a $1.1 million penalty
  • Aeromexico – $13.6 million in required refunds paid and a $900,000 penalty
  • El Al – $61.9 million in required refunds paid and a $900,000 penalty
  • Avianca – $76.8 million in required refunds paid and a $750,000 penalty

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After learning that airlines have not assumed responsibility for reserving accommodations, hotels, and dining options for passengers following a flight cancellation. The DOT has taken the situation seriously and has informed the concerned airlines to respect the rules. When an airline problem results in a cancellation or delay, nine airlines now guarantee meals and lodgings, and all ten promise cost-free rebooking. In order for Americans to understand precisely what the airlines are providing when there is a cancellation or delay, the Department will keep working to promote openness.

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The Department’s proposed rule on Airline Ticket Refunds, if adopted, would:

  1. Require airlines to proactively inform passengers that they have a right to receive a refund when a flight is canceled or significantly changed, and
  2. Define a significant change and cancellation that would entitle a consumer to a refund. The rule would also
  3. Require airlines to provide non-expiring vouchers or travel credits when people can’t travel because they have COVID-19 or other communicable diseases; and
  4. Require airlines that receive significant government assistance in the future related to a pandemic to issue refunds instead of non-expiring travel credits or vouchers when passengers are unable or advised not to travel because of a serious communicable disease.

The Department invites the public to submit comments on this rulemaking by December 16, 2022: https://usdot.zoomgov.com/webinar/register/WN_V2zwVF3RQfuoOkyYFVqvdA.

The Department has proposed a rule that would significantly strengthen protections for consumers by ensuring that they have access to certain fee information before they purchase their airline tickets. Under the proposed rule, airlines and travel search websites would have to disclose upfront – the first time airfare is displayed – any fees charged to sit with your child, for changing or canceling your flight, and for checked or carry-on baggage.

 

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