US government's new 'passenger protections' take effect

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New US Dept. of Transportation (DOT) regulations aimed at providing "protections" for airline passengers went into effect Tuesday, boosting compensation for involuntarily bumped passengers and imposing a 4-hr. tarmac delay limit on international flights at US airports.Airlines have opposed the rules ,which they view as unwarranted government intervention in day-to-day business operations. But US Transportation Secretary Ray LaHood said the regulations were needed to "ensure that air travelers receive the respect they deserve before, during and after their flight."
" y2 C# g8 V, x9 C/ h6 i( w8 S1 V1 CThe rules establish "a hard 4-hr. time limit on tarmac delays for all international flights at US airports," DOT said. Domestic US flights are already governed by a 3-hr. limit before delayed aircraft must return to airport gates to allow passengers to deplane if they choose.The new rules extend the 3-hr. regulation for domestic flights from large- and medium-hub airports to also include flights at small- and non-hub airports.
Previously, involuntarily bumped passengers were entitled to compensation equal to the one-way value of a flight ticket up to $400, rising to $800 if the passenger arrives at his or her destination airport more than 2-hr. later than originally scheduled domestically, or more than 4-hr. later on an international flight. Under the new rules, "bumped passengers subject to short delays will receive compensation equal to double the one-way price of their tickets, up to $650, while those subject to longer delays would receive payments of four times the one-way value of their tickets, up to $1,300," according to DOT. The new regulations also put in place a CPI-based formula that will set the payment ceilings to rise automatically with inflation.
Additional requirements will take effect in January 2012. These include mandating that all flight ticket taxes and fees be included in advertised fares, banning post-purchase price increases, allowing passengers to hold a reservation without payment (or to cancel without penalty) for 24 hr. after the reservation is made, and making airlines disclose baggage fees when passengers book a flight.
1 d& K, n1 u1 r) `( NDOT has been aggressive in recent months in enforcing existing consumer regulations. Last week, for example, it fined Ethiopian Airlines (ET) $50,000 for "violating federal aviation laws and the department's rules prohibiting deceptive price advertising in air travel."
DOT alleged that one of two booking paths on ET's website "did not display the entire price the first time the fare was displayed for international flights originating in the United States. When consumers searched flights by fare, they were shown a fare that, according to the site, was subject to additional taxes and fees. However, consumers were not provided with information to determine the full price until just before purchasing the fare, two web pages after the page displaying the initially quoted lower fare. In addition, the fare that was first displayed failed to include a significant fuel surcharge imposed by the carrier."

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