What will be the impact of AirTran’s $60,000 fine by the U.S. Department of Transportation for violating federal aviation laws and rules prohibiting deceptive price advertising?
One result is to call attention to a new rule starting Jan. 26 that will require airlines and other ticket sellers to disclose all fees associated with the price of a ticket upfront. The move, still being opposed by several low-cost airlines in the courts, will effectively end hidden costs.
Originally supposed to go into effect along with other regulations earlier this year, the regulations were delayed because airlines said they would need more time to comply.
“Consumers have a right to know the full price they will be paying when they buy an airline ticket,” said Transportation Secretary Ray LaHood. “We will continue to take enforcement action when our airline price advertising rules are violated.”
The action that led to AirTran’s find was the result of an ad on a number of websites for $59 one-way fares. The ad did note that additional taxes, fees and exclusions would apply, but with no information on the amount of taxes or fees.
According to the DOT, 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.
“We're not surprised that these low-cost carriers are raising the hue and cry. After all, there's money to be made in ambiguous airfare marketing,” said Smarter Travel.
But some consumer advocates believe the new rules, if approved by the courts, will dramatically reduce deceptive airline fees.
By David Wilkening
