The DoT is proposing a series of changes which will affect both US and foreign airlines, as well as ticketing agents, for scheduled flights to, from and within the US.
This includes the insistence that any credit notes or vouchers issued for cancelled flights to the US due to a health emergency should not have an expiry date.
The department said that it was an “unfair business practice” for airlines and agents to refuse a refund request from consumers when a carrier has cancelled or made “a significant change” to a scheduled flight and the customer found the alternative transport offered to be “unacceptable”.
Airlines and agents will be required to “provide non-expiring travel vouchers or credits to consumers holding non-refundable tickets for scheduled flights to, from, or within the United States who are unable to travel as scheduled in certain circumstances related to a serious communicable disease”.
The DoT revealed the plans in a notice on its website earlier this month and is currently inviting comments on these proposals.
It is also proposing that airlines and ticket agents provide refunds to customers “in lieu of non-expiring travel vouchers or credits, if the carrier or ticket agent received significant financial assistance from the government as a result of a public health emergency”.
Although airlines and agents will be able to “require consumers provide evidence to support their assertion of entitlement to a travel voucher, credit or refund”.
In the UK, the CAA has said that Atol protection for refund credit notes (RCNs) will expire on 30 September. Credit notes can still be valid after this date but will no longer have financial protection if the travel company taking the booking goes out of business before it is used.