# Recent Enforcement

Activities & Initiatives

Office of Aviation Enforcement and Proceedings

p resentation before the fourth meeting of the

Advisory Committee for Aviation Consumer Protection

May 21, 2013

# Enforcement Jurisdiction

“ Air Transportation”

Direct and Indirect Air Carriers

“Ticket Agents”3



# Regulated Areas

I. Civil Rights

• Disability

• Other discrimination

II. Unauthorized Operations

• Unlicensed common carriage operations

• Cabotage

III. Consumer Protection

• Advertising

• Other areas (oversales, codeshare notice to passengers, contract of carriage,

refunds, baggage liability, public charters, excessive tarmac delays, family

assistance after aviation accidents)4 

# Enforcement Process &

Outcomes

Enforcement Process

• Formal

• (Rules of Practice, including 14 CFR 302.401)

• (Rules of Conduct 14 CFR Part 300)

• Informal

Outcomes

• No violation

• Warning letter

• Consent cease and desist order

• Revocation or modification of economic authority

• Permanent or temporary ban on specific individuals from

involvement in aviation industry

• Criminal (knowing and willful violations)

# On

- Site Inspections

• Since 2008, 25 inspections

• 16 consent orders (≈ $3.3M)



### • Average five per year; funding considerations

• 3

- 5 person team



### • C omprehensive in scope

• Scope being expanded to public charter

operators and foreign air carriers

# Compliance Initiatives

• CONSUMER I and II RULES

• LONG ON

- BOARD TARMAC DELAYS

• CODE

- SHARE DISCLOSURE

• BAGGAGE LIABILITY

• PUBLIC CHARTERS

# Compliance Initiative:

Consumer I and II

• “New” Full Fare Rule

• Baggage Fee Disclosure



### • Optional Fee Disclosure

• Customer service plans

• Posting of plans



### • Complaint responses

• 24 consent orders (≈ $2M)

# Tarmac Delay Compliance

Initiative

• Three orders pre

- rule ($175K)

• Eight orders under rule, including U.S. and



### foreign carriers ($1.665M), involving following

issues:

• Excessive time on tarmac/failure to deplane (4)

• Failure to provide notification of opportunity to

deplane (4)

• Tarmac delay plan missing assurances (3)

• Misreporting (1)

• Offsets for vouchers, refunds, miles (4)

# Code

- Share Disclosure

Compliance Initiative

• Direct air carriers

• Since 2009, 4 ($240K)

• On

- line travel agents

• Since 2011, 14 consent orders ($600K)

• “Brick and mortar” travel agents

# Baggage Liability Limit

Compliance Initiative

• Domestic Liability Limit Rule (14 CFR Part 254)

• Montreal Convention (Articles 17 and 19)

• Since 2012, 5 orders with only baggage liability



### limit violations assessing $250K; two other

orders with other violations

# Public Charter

Compliance Initiative

• Direct Air, March 2012

• Four consent orders ($1.3M)

• Assurances

• Jurisdiction:

• Public charter operators

• Direct Air Carriers

• Depository Banks

# Consent Orders and Assessed Civil Penalties

by Type of Violation

CONSENT ORDERS BY YEAR/BY TYPE OF VIOLATION

Total Orders

2009 2010 2011 2012 2013 by Type

Advertising 7 18 21 17 1 64

Unauth Opns 7 11 6 8 0 32

Civil Rights 1 7 5 5 0 18

Other Consumer 9 9 24 24 6 72

Reporting 3 6 1 0 0 10

Multiple Types 3 1 2 8 0 14

Total Orders By

Yr: 30 52 59 62 7 210

ASSESSED CIVIL PENALTY AMTS ($) BY YEAR/BY TYPE OF VIOLATION

Total $ Amt

2009 2010 2011 2012 2013 by Type

Advertising $352,000 $920,000 $1,089,000 $830,000 $40,000 $3,231,000

Unauth Opns $247,000 $335,000 $385,000 $230,000 $1,197,000

Civil Rights $30,000 $1,290,000 $2,415,000 $295,000 $4,030,000

Other Consumer $865,000 $837,000 $2,105,000 $2,335,000 $1,095,000 $7,237,000

Reporting $100,000 $250,000 $20,000 $370,000

Multiple Types $1,005,000 $35,000 $70,000 $445,000 $1,555,000

Total $ Amt By

Yr: $2,599,000 $3,667,000 $6,084,000 $4,135,000 $1,135,000 $17,620,000