By David Shepardson
WASHINGTON (Reuters) -President Donald Trump’s administration said on Thursday it will drop a plan by his predecessor to require airlines to pay passengers cash compensation when U.S. flight disruptions are caused by carriers.
In December, the U.S. Transportation Department under then President Joe Biden sought public comment on the rulemaking process about whether airlines should be required to pay $200-$300 for domestic delays of at least three hours and up to $775 for longer delays. U.S. airlines sharply criticized the proposal.
The White House said in a document posted on Thursday that USDOT plans to withdraw the notice “consistent with department and administration priorities.”
In May 2023, Biden said his administration would write rules requiring airlines to compensate passengers for disrupted flights.
Airlines for America, a trade group representing American Airlines, Delta Air Lines, United Airlines others, did not immediately comment but said last year that Biden’s plan would raise ticket prices.
Airlines in the U.S. must refund passengers for canceled flights, but are not required to compensate customers for delays. Major carriers in 2022 committed to paying for meals, hotel stays and other expenses when they cause significant flight disruptions.
Canada, Brazil, the European Union and the United Kingdom all have airline delay compensation rules.
In December, USDOT said it was considering if airlines must cover meals, hotel stays and other costs after carrier disruptions and whether to require airlines to rebook passengers on their next available flights, or if flights are unavailable for 24 hours, potentially requiring them to use competitors.
The Trump administration has taken other steps to reverse Biden airline consumer efforts.
In May, the Justice Department dropped a lawsuit against Southwest Airlines filed by the Biden administration in its final days that accused the carrier of illegally operating chronically delayed flights.
(Reporting by David ShepardsonEditing by Rod Nickel and David Gregorio)
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