The government can require airlines to show consumers a total ticket price that includes taxes and fees in print and online ads, the U.S. Court of Appeals said Tuesday, rejecting an industry challenge to a series of consumer protection regulations.
The Department of Transportation, which issued the regulations last year, has the authority to regulate “unfair and deceptive” airline industry practices, the three-member panel said in its ruling.
The ruling also covers two other regulations: A requirement that airlines allow consumers who purchase tickets more than a week in advance the option of canceling their reservations without penalty within 24 hours after purchase, and a ban on airlines increasing the price of tickets or baggage fees after tickets have been bought.
The rules had been challenged by Spirit and Southwest airlines, with the support of two major airline industry trade associations.
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