Order 2012-8-2

UNITED STATES OF AMERICA

DEPARTMENT OF TRANSPORTATION

OFFICE OF THE SECRETARY

WASHINGTON, D.C.

Issued by the Department of Transportation

On the Second day of August, 2012

Pacific For Less, Inc. Docket OST 2012-0002

Served August 2, 2012

Violations of 49 U.S.C. § 41712 and 

14 CFR 399.84(a)

CONSENT ORDER

This consent order concerns Internet advertisements by Pacific For Less, Inc., (Pacific) that 

failed to comply with the Department’s full-fare advertising rule, 14 CFR 399.84(a), and 

constitute an unfair and deceptive practice prohibited by 49 U.S.C. § 41712. It directs Pacific

to cease and desist from future violations of Part 399 and section 41712 and assesses Pacific

a compromise civil penalty of $20,000. 

Applicable Law

Pacific is a ticket agent1 and is therefore subject to the advertising requirements of Part 

399 of the Department’s rules and the prohibitions in 49 U.S.C. § 41712 against engaging 

in unfair and deceptive practices. To ensure that consumers are not deceived and are 

given accurate and complete fare information on which to base their airline travel 

purchase decisions, 14 CFR 399.84(a) requires that advertisements specifying airfares 

and tour package prices with an air component state the entire price to be paid by the 

consumer. Although charges included within the single total price listed, e.g., 

government taxes, may be described separately or through links or “pop ups” on websites 

 1 A “ticket agent” is “a person (except an air carrier, a foreign air carrier, or an employee of an air 

carrier or foreign air carrier) that as a principal or agent sells, offers for sale, negotiates for, or holds itself 

out as selling, providing, or arranging for air transportation.” 49 U.S.C. § 40102(a)(45).
2

that display the total price, such descriptions may not be false or misleading, may not be 

displayed as prominently as the total price, may not be presented in the same or larger 

size as the total price, and must provide cost information on a per-passenger basis that 

accurately reflects the cost of the item covered by the charge. Violations of section 

399.84(a) also constitute violations of section 41712.

Facts and Conclusions

An investigation by the Office of Aviation Enforcement and Proceedings (Enforcement 

Office) revealed a lack of compliance by Pacific with the Department’s full-fare 

advertising rule. A review of Pacific’s website showed that, for a period of time after 

January 2012, the company advertised prices for tour packages with an air component 

that did not include the entire price to be paid by the consumer and, therefore, failed to 

meet the requirements of 14 CFR 399.84(a). More specifically, the advertised prices of 

tour packages were followed by an asterisk that referred consumers to a statement at the 

bottom of the page that indicated that taxes and fees were additional. Such conduct also 

constitutes an unfair and deceptive practice prohibited under 49 U.S.C. § 41712.

 

 Mitigation

In mitigation, Pacific states that any violations of the Department’s advertising 

regulations were inadvertent. Pacific asserts that it has always worked with each 

customer during the booking process to ensure that they fully understand the total cost of 

their vacation, including any taxes and fees charged to the consumer, and that it has never 

received any consumer complaints relating to its advertising. According to Pacific, upon 

receipt of the Department's investigation letter, it took immediate action to comply with 

the Department’s regulations and brought its website into full compliance in a very short 

period of time.

Decision

The Enforcement Office has carefully considered the information provided by Pacific and 

believes that enforcement action is warranted. The Enforcement Office and Pacific have 

reached a settlement of this matter in order to avoid litigation. Without admitting or 

denying the violations described above, Pacific consents to the issuance of this order to 

cease and desist from similar violations of 49 U.S.C. § 41712 and 14 CFR 399.84(a) and 

to the assessment of $20,000 in compromise of potential civil penalties otherwise due and 

payable pursuant to 49 U.S.C. § 46301.

This compromise assessment is appropriate considering the nature and extent of the 

violations described herein and serves the public interest. It represents a strong deterrent 

against future noncompliance with the Department’s airfare advertising regulations. 

This order is issued under the authority in 49 CFR 1.57a and 14 CFR 385.15.
3

ACCORDINGLY,

1. Based on the above information, we approve this settlement and the provisions of 

this order as being in the public interest;

2. We find that Pacific For Less, Inc., violated 14 CFR 399.84(a) by failing to

advertise the entire price to be paid by consumers for tour packages with an air 

component;

3. We find that by engaging in the conduct and violations described in ordering 

paragraphs 2, above, Pacific For Less, Inc., engaged in an unfair and deceptive 

trade practice in violation of 49 U.S.C. § 41712;

4. We order Pacific For Less, Inc., and all other entities owned or controlled by, or 

under common ownership and control with Pacific For Less, Inc., their successors 

and assignees, to cease and desist from further similar violations of 

49 U.S.C. § 41712 and 14 CFR 399.84(a). Failure to comply with this cease and 

desist provision shall subject Pacific For Less, Inc., and its successors and 

assignees to further enforcement action;

5. We assess Pacific For Less, Inc., $20,000 in civil penalties in compromise of civil 

penalties that might otherwise be assessed for the violations found in ordering 

paragraphs 2 and 3 above. Of this total penalty amount, $10,000, shall be due and 

payable as follows: $2,500 shall be due and payable within 15 days of the date of 

issuance of this order, and 3 additional payments of $2,500 each shall be due and 

payable on December 1, 2012, April 1, 2013, and August 1, 2013. The remaining 

portion of the civil penalty amount, $10,000, shall become due and payable if, 

before August 15, 2013, Pacific For Less, Inc., violates this order’s cease and 

desist provisions or fails to comply with this order’s payment provisions, in which 

case Pacific For Less, Inc., may become subject to additional enforcement action 

for any violation of the order; and

6. We order Pacific For Less, Inc., to pay the penalty through Pay.gov to the account 

of the U.S. Treasury. Payment shall be made in accordance with the instructions 

contained in the Attachment to this order. Failure to pay the penalty as ordered 

shall subject Pacific For Less, Inc., to the assessment of interest, penalty, and 

collection charges under the Debt Collection Act and to further enforcement 

action for failing to comply with this order.
4

This order will become a final order of the Department 10 days after its service 

date unless a timely petition for review is filed or the Department takes review on 

its own motion.

BY:

SAMUEL PODBERESKY

 Assistant General Counsel for 

Aviation Enforcement and Proceedings

(SEAL)

An electronic version of this document is available at

www.regulations.gov