Thu, Jan 05, 2012
Slaps Budget Airline With $60,000 Penalty
The U.S. DOT has fined AirTran Airways $60,000 for violating
federal aviation laws and the Department’s rules prohibiting
deceptive price advertising in air travel. “Consumers have a
right to know the full price they will be paying when they buy an
airline ticket,” said U.S. Transportation Secretary Ray
LaHood. “We will continue to take enforcement action
when our airline price advertising rules are violated.”
DOT rules require any advertising that includes a price for air
transportation to state the full price to be paid by the consumer,
including all carrier-imposed surcharges. The only exceptions
currently allowed are government-imposed taxes and fees that are
assessed on a per-passenger basis, such as passenger facility
charges, which may be stated separately from the advertised fare
but must be clearly disclosed in the advertisement so that
passengers can easily determine the full price they must pay.
Internet fare listings may disclose these separate taxes and fees
through a prominent link next to the fare stating that government
taxes and fees are extra, and the link must take the viewer
directly to information where the type and amount of taxes and fees
are displayed.
For a period of time in the fall of 2011, AirTran displayed an
advertisement on a number of websites advertising $59 one-way
fares. The advertisement noted that additional taxes, fees
and exclusions would apply, but with no information on the type or
amount of taxes or fees. A consumer clicking on the
advertisement was taken to a page on AirTran’s website where
a list of routes and prices were displayed. Consumers were
not provided details about the taxes and fees until they scrolled
to the bottom of the page where the information appeared in fine
print.
Under DOT’s recently adopted consumer rule that enhances
protections for air travelers, carriers will be required, among
other things, to include all government taxes and fees in every
advertised fare beginning Jan. 26, 2012.
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