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  • Disclosures to help consumers avoid unexpected fees-USDOT
  • Baggage or flight-change fees must be clearly disclosed -USDOT
  • Airlines must inform consumers that seats are guaranteed
  • Rule is "arbitrary," "contrary to law" -airlines' lawsuit
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WASHINGTON, May 13 (Reuters) - Major U.S. airlines are suing the U.S. Transportation Department over a new rule requiring upfront disclosure of airline fees, the latest clash between air carriers and the Biden administration.
Airlines for America, along with American Airlines (AAL.O), opens new tab, Delta Air Lines (DAL.N), opens new tab, United Airlines (UAL.O), opens new tab, JetBlue Airways (JBLU.O), opens new tab, Hawaiian Airlines (HA.O), opens new tab and Alaska Airlines (ALK.N), opens new tab, filed suit against the department (USDOT) in the U.S. Fifth Circuit Court of Appeals late on Friday, according to a copy of the suit seen by Reuters.
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The USDOT issued final rules last month requiring airlines and ticket agents to disclose service fees alongside the airfare, saying it would help consumers avoid unneeded or unexpected fees.
The airline group said in a statement on Monday the department's rule would confuse consumers and that its "attempt to regulate private business operations in a thriving marketplace is beyond its authority."
The airlines' previously unreported lawsuit calls the rule "arbitrary, capricious, an abuse of discretion and otherwise contrary to law."

USDOT, which did not immediately comment on Monday, said last month the new rule would result in many consumers paying less for fees when traveling by air.
The agency says consumers are overpaying $543 million in fees annually, and airlines are getting that additional revenue from consumers who are surprised by fees and "then need to pay a higher fee at the airport to check a bag."
Major airlines charge higher fees to check bags if travelers do not pay in advance or wait until the time of the flight. Earlier this year, many large U.S. airlines, opens new tab boosted fees for checked baggage.

USDOT said fees for baggage or flight changes "must be individually disclosed the first time that fare and schedule information is provided on the airline's online platform, and cannot be displayed through a hyperlink."
USDOT also said the rule will end "bait-and-switch tactics some airlines use to disguise the true cost of discounted flights." It prohibits airlines from advertising promotional discounts off a "low base fare that does not include all mandatory carrier-imposed fees."
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USDOT did not immediately comment. The airline group called the rule "a bad solution in search of a problem." Southwest Airlines (LUV.N), opens new tab, which expressed support for provisions in the USDOT proposal, did not join the lawsuit.
The airline group said airlines already provide consumers with complete disclosure of all fees associated with air travel before they purchase a ticket.
U.S. airlines collected nearly $6.8 billion in baggage fees in 2022, and $5.5 billion in the first nine months of 2023.
The rule requires airlines to inform consumers that seats are guaranteed and that they are not required to pay extra. Airlines must provide the following notice: "A seat is included in your fare. You are not required to purchase a seat assignment to travel."
The airlines have not challenged a separate rule finalized last month by USDOT that would require automatic cash refunds for canceled flights when passengers choose not to take a new flight.
"Too often, airlines drag their feet on refunds or rip folks off with junk fees," President Joe Biden said last month, arguing the mandate will protect passengers "from surprise fees."
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What a dirtball

www.rawstory.com

Secret Service notified as Trump aide brags about 'causing innocent people to be arrested'

Donald Trump's former White House aide is under fire after a video showed him claiming to distribute fake money to homeless people so that they will be arrested when they spend it. Johnny McEntee, formerly the White House Presidential Personnel Office under the former president, posted a video...
www.rawstory.com www.rawstory.com

Donald Trump's former White House aide is under fire after a video showed him claiming to distribute fake money to homeless people so that they will be arrested when they spend it.

Johnny McEntee, formerly the White House Presidential Personnel Office under the former president, posted a video on TikTok in which he discusses the purported scheme to "clean up the community."

"So I always keep this fake Hollywood money in my car, so when a homeless person asks for money, and I give them like a $5 bill, I feel good about myself, they feel good," said McEntee, also a senior advisor to Project 2025. "And then when they go to use it, they get arrested, so I'm actually helping to clean up the community and get them off the street."
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Law professor Orin Kerr responded to the video, "Causing innocent people to be arrested is good, according to Trump aide."

Another law professor, Jennifer Taub, replied that "ignorance of 18 U.S.C. 2 is no defense."

Reed Galen, former campaign manager for Sen. John McCain and Lincoln Project co-founder, suggested it was part of a pattern.

"Spoke to a friend recently who's worked as civil servant for years and dealt with Trump people," Galen said. "He said, 'Here's the thing: They literally don't care if something is illegal. Oh, that's illegal? It'll be fine.'" Galen then added, "BTW, @SecretService, FYI."

Galen wasn't the only one. Social media is flooded with individuals tagging the Secret Service and FBI, with several of them demanding an investigation into the alleged misconduct by McEntee, who is no stranger to financial crime investigations.
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