White House Scraps Rule Forcing Airlines to Pay Travelers For Delays
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White House Scraps Rule Forcing Airlines to Pay Travelers For Delays
"The regulation, which was first proposed in 2024 by then-Transportation Secretary Pete Buttigieg, would have required airlines to pay passengers up to $300 for domestic delays lasting three or more hours, and up to $775 for flight delays lasting nine hours or longer. After teasing that it planned to cancel the Biden-era plan in September, the Department of Transportation released a notice on Friday announcing its official withdrawal."
"The department cited unnecessary regulatory burdens as the reason for the withdrawal, noting among other points that some airlines may even offer compensation to accommodate passengers on a case-by-case basis to encourage loyalty despite not being obligated to do so. A group of Democratic senators urged the department to reconsider rescinding the plan in an October letter addressed to Secretary of Transportation Sean Duffy."
The Department of Transportation withdrew a proposed rule that would have required airlines to compensate passengers for lengthy domestic flight delays. The proposal, first put forward in 2024 by then-Transportation Secretary Pete Buttigieg, would have provided up to $300 for delays of three or more hours and up to $775 for delays of nine hours or longer. The department cited unnecessary regulatory burdens and noted some airlines may offer case-by-case compensation to encourage loyalty. Eighteen Democratic senators, including Bernie Sanders, Kirsten Gillibrand, Ed Markey and Amy Klobuchar, urged reconsideration and called for strengthened consumer protections and pricing transparency.
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