The U.S. Department of Transportation has officially withdrawn a Biden-era proposal that would have forced airlines to pay passengers cash compensation for significant delays and cancellations within the carrier’s control. The move, first signalled by the Trump administration in September, ends an initiative that aimed to bring U.S. consumer protections closer to European-style passenger rights.
The scrapped rule would have required airlines to offer cash payments ranging from $200 to $775, depending on the length of the delay, along with mandatory meals and hotel accommodations when disruptions were the airline’s fault. For domestic flights, three-hour delays would have triggered payments of $200–$300, with the maximum amount reserved for longer disruptions.
The Trump administration argued the measure would create “unnecessary regulatory burdens,” increasing operating costs for airlines and potentially driving up ticket prices. Instead, officials said carriers should continue competing on customer service and compensation policies without federal mandates.
With the proposal now formally abandoned, air travellers remain entitled to refunds for cancelled flights but will not receive government-guaranteed cash compensation for delays.
This post was published on 17 November 2025 23:14
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