US Department of Transportation Scraps Biden-Era Flight Delay Compensation Rule

The Trump administration is reversing several airline consumer protection policies initiated under President Biden, including a plan requiring airlines to pay cash compensation for significant flight delays. The Department of Transportation announced it will withdraw the rule that proposed payments ranging from $200 to $775 for domestic delays of three hours or more, citing alignment with current administration priorities. Additionally, it is considering rescinding a Biden-era rule that mandated airlines and ticket agents disclose service fees upfront to prevent unexpected charges. The administration also plans to revise regulations defining flight cancellations that entitle passengers to refunds and to modify rules on ticket pricing and advertising. Airlines and industry groups have welcomed these moves, arguing that the Biden compensation plan would have increased ticket prices and imposed burdensome regulations. These actions are part of a broader rollback of consumer protections by the Trump administration.