BEFORETHEDEPARTMENTOFTRANSPORTATIONOFFICEOFTHESECRETARYWASHINGTON,DCBenjaminEdelmanThird-PartyComplainant))))DocketDOT-OST-2014-0230v.))SrilankanAirlinesLimited)______________________________)ANSWEROFSRILANKANAIRLINESLIMITEDTOTHIRD-PARTYCOMPLAINTCommunicationswithrespecttothisdocumentshouldbeaddressedto:January16,2015DAVIDHEFFERNANCOZENO'CONNOR1627IStreet,NWSuite1100Washington,DC20006Telephone(202)463-2537E-mail:dheffernan@cozen.comCounselforSRILANKANAIRLINESLTO.BEFORETHEDEPARTMENTOFTRANSPORTATIONOFFICEOFTHESECRETARYWASHINGTON,DCBenjaminEdelmanThird-PartyComplainant))))DocketDOT-OST-2014-0230v.))SrilankanAirlinesLimited)____________________________)DATED:January16,2015ANSWEROFSRILANKANAIRLINESLIMITEDTOTHIRD-PARTYCOMPLAINTPursuantto14C.F.R.§§302.405(a)and302.408(b),1SrilankanAirlinesLtd.("Srilankan")submitsthisanswerandaffirmativedefensestotheabovecaptionedthird-partycomplaint(the"Complaint")filedbyMr.BenjaminEdelman(the"Complainant")onDecember23,2014.Forthereasonssetforthherein,SrilankanrespectfullyrequeststhattheDepartmentdismisstheComplaintwithoutinitiatinganinvestigationorenforcementproceedingpursuantto14C.F.R.§302.406(a)(2).1Viaema1ldatedJanuary5,2015fromMr.CharlesE.Smith,SeniorTrialAttorney,U.S.DepartmentofTransportation,totheundersigned(acopyofwhichisincludedinDocketDOTOST-2014-0230),theDepartmentgrantedSrilankan'sunopposedmotionforanextensionofthedateforfilingthisansweruntilJanuary16,2015.AnswerofSrilankanAirlinesLtd.Page2AnswerSrilankananswerstheallegationsandstatementscontainedintheComplaintintheorderinwhichtheyappearintheComplaintasfollows:1.SrilankandeniesParagraph1oftheComplaint.2.SrilankaniswithoutknowledgesufficienttorespondtoParagraph2oftheComplaint.3.SrilankaniswithoutknowledgesufficienttorespondtoParagraph3oftheComplaint.4.SrilankaniswithoutknowledgesufficienttorespondtoParagraph4oftheComplaint.5.SrilankandeniesParagraph5oftheComplaint.6.Paragraph6oftheComplaintisaconclusionoflawtowhichnoadmissionordenialcanbemade.7.SrilankaniswithoutknowledgesufficienttorespondtoParagraph7oftheComplaint.8.SrilankaniswithoutknowledgesufficienttorespondtoParagraph8oftheComplaint.9.Paragraph9oftheComplaintisnotanallegation.CertainallegationssetforthintheComplaintareconclusionsoflaw,notallegationsoffact,andSrilankaniswithoutknowledgetorespondtoconclusionsoflaw.TotheextenttheComplaintcontainsanyfactualstatementorallegationthatisnotspecificallyadmittedordeniedherein,itshouldbedeemedtohavebeendeniedbySrilankan,asprovidedforin14C.F.R.§302.408(b).AnswerofSrilankanAirlinesLtd.Page3SummarySrilankanisasmallforeignaircarrierthatdoesnotoperateanyservicetotheUnitedStates,butdoescurrentlyplaceitstwo-letter"UL*"designatorcodeonflightsoperatedbyanotherforeignaircarrierbetweenathirdcountryandtheUnitedStates.BasedatBandaranaikeInternationalAirportinKatunayake,SriLanka,Srilankanoperatesafleetof24aircraft,servingpointsinAsia,EuropeandtheMiddleEast.SrilankanhasheldexemptionauthorityissuedbytheDepartmentsinceNovember1,2004,withsuchauthoritylimitedtoserviceoperatedpursuanttocodesharearrangementswithotheraircarriers.SincefirstreceivingitseconomicauthorityfromtheDepartment,SrilankanhasneverbeenthesubjectofanyenforcementproceedingorcomplaintfiledwiththeDepartment.SrilankantakesseriouslyitsobligationtocomplywiththeDepartment'sregulations.SrilankanisusingtheInternetbookingengineservicesofAmadeusinitswebsite.ThebasisfortheComplaintistheComplainant'sallegedviewing2onDecember22,2014ofdisplaypagesonSrilankan'swebsiteforaNewYork(JFK)toColombo,SriLanka,itinerary.Attachment1totheComplaintisacopyofascreenshotthatpurportstoshowthatthewebsite'sreservationssystemgeneratedatotalpriceforanitinerary,whilealsodisplayingseparatesubtotalsfor"flights"and"taxes."Attachment2totheComplaintisacopyofaseparatescreenshotthatpurportstoshowanitemizedlistoftheindividual"taxes,feesandcharges,"thetotalamountofwhichwaspreviouslydisclosedonthe2TheComplainantdoesnotappeartohavepurchasedaticketusingSriLankan'swebsite.Answer

of Sri Lankan Airlines
Ltd

. Page4 Attachment

1 screenshot (both separately

and as part of the overall total amount the consumer would

be required

to pay)

. Th

i s list of

" taxes

, fees and charges

" included separate

line items
for six U.S. government

- imposed taxes and user/service
fees,

a Sri Lankan government-imposed "embarkation

tax,

" and

a carrier-imposed "surcharge (YQAP)

. " Upon receiving

the Complaint, SriLankan reviewed

its website
and decided

to take immediate action

to revise the fare displays

to provide additional clarification, particularly

with respect

to the surcharge
item

. SriLankan promptly notified Amadeus about this issue and requested
that Amadeus immediately
take any actions necessary

to make the specific changes requested

by Srilankan. Accordingly, effective January

15, 2015, the references

on Srilankan

' s website to "surcharge"
have been revised

to refer

to "carrier imposed fees/surcharges

. " The fare displays

on Srilankan

' s website

for all fares marketed

to
U

. S

. consumers continue

to disclose
the total price

to be paid by the passenger

(as required

by the Department

' s regulations)

, as well as separate subtotals listing the fare amount and all applicable "taxes and carrier imposed fees/surcharges.

" In addition,

a separate

link allows consumers

to access

an itemized listing

of taxes and surcharges

that clearly states the individual amount

of
a

" carrier imposed surcharge"

and the individual amount

of each government-imposed

tax and fee (see attached screenshots
from the Srilankan website). Srilankan

' sonline reservations system and fare displays comply with 14 C

. F

. R.


### § 399.84 and the Department

' s Additional Guidance

on Airfare/Air Tour Price Advertisements issued
on February

21, 2012.AnswerofSriLankanAirlinesLtd.Page5SriLankanstronglybelievesinprovidingdetailedpricing-relatedinformationinatransparentmannertoassistconsumerswhentheymaketheirairtravelarrangements.TotheextentthatanyfaredisplaysonSriLankan'swebsitecouldhavebeenviewedasambiguousintheirreferenceto"taxes"and"surcharges,"SriLankanhaseliminatedanysuchambiguity.Anyambiguitythatmayhavearisenwasinadvertent,unintentional,andinnowayintendedtomischaracterizeanyelementofthepricetobepaidbytheconsumerortomisleadconsumers.AssoonasSriLankanwasmadeawareofthisissue,ittookimmediateactiontorevisethefaredisplaysonitswebsite.Asdemonstratedinthisanswerandtheattachmenthereto,theissueraisedintheComplainthasbeenfullyaddressed.SriLankanhasdemonstrateditsgoodfaithbyactingasexpeditiouslyaspossibletoclarifytherelevantfaredisplaysinordertoenhanceconsumerdisclosure.Therefore,SriLankanrespectfullysubmitsthatthereisnoneedfortheDepartmenttoinitiateaninvestigationorenforcementproceedinginthismatter.33TheComplaint'sdemandthattheDepartmentorderSrilankantorefundtoconsumersmoniesrepresentedtoticketpurchasersas'tax'orgovernment-imposedfees"isnotsupportedbytheremediesavailableunderSection41712orbytheDepartment'sprecedentandanyeventisnotwarrantedinthiscase.TotheextenttheComplajntproposessucharefundasaformofprivatedamages,suchdamagesarenotauthorizedunderSection41712.See,e.g.,Stat/andv.AmericanAirli'nes,Inc.,998F.2d539,541(iraCir.1993}.Furthermore,theComplainturgestheDepartmenttothismattertoappropriateUSandforeigntaxcollectionagenciesforinvestlgationofpossibletaxfraudorothervlolationsoftaxlaw."ThereisnoevidencetosupporttheunspecifiedtaxviolationsallegedintheComplaintthatwouldjustifysuchareferral,norisSrilankanawareofanyprecedentforsuchanunwarrantedreferral.AnswerofSrilankanAirlinesLtd.Page6AffirmativeDefensesSriLankanmakesthefollowingaffirmativedefenses:1.TheComplaintfailstostateaclaimuponwhichreliefmaybegranted.2.Complainantlacksaprivaterightofactionunder49U.S.C.§41712.3.Complainanthasnot sufferedanyharm.4.Complainantlacksstanding.5.TheComplaintismoot.***WHEREFORE,SriLankanhasdemonstrateditscommitmenttocomplyingwiththeDepartment'sfareadvertisingregulationsandtoadvertisingitsfaresinatransparentmannertoconsumers.SriLankanrespectfullyrequeststhattheDepartmentdismisstheabove-captionedthird-partycomplaintinitsentirety.Dated:January16,2015Respectfullysubmitted,DAVIDHEFFERNANCOZENO'CONNOR1627IStreet,NWSuite1100Washington,DC20006Telephone(202)463-2537E-mail:dheffernan@cozen.comCounselforSRILANKANAIRLINESLTD.Legend: --- Select your tra v el dates based
on the
lo w est

p ric es sho w n be

l o w

. Prices may chan

g e depend

il g on your selections

. Prices are per passenge

r and include taxes and carrier imposed fees/s

u rcharges

. New York -Colombo **JJn~a**
**ry**

1 8 fn)m -1713

. 80 Colombo- New York 0 • J anuary

18 from
from 51

. 334 .20

1 St

, 699.20 "' Lo w est price

, S = U

. S

. Do

ll ar

I Jar.101ry

11 frum 1713.80 0

0 January

23 Janu.ry

24 from
from $842..20 $842..20 Selected dates Depart

Th y rsda

y

, Janua

ry

1 5 Return

: W ednesday

. January

2 1 s 1 ,804

. 00 (Per pauenJif **~** taJces _, canier .,.._,

f eeslsurtNrgti

}New York to Cotombo Thursday

, January

1 5

, 2015 Colombo

to Hew York Wednesday

, January

21

, 2
1 .H 5 Travellers:

1 Fare type: Economy " Limited seats left,

$ .. U

. S

. Do

ll ar **--------------~** . .

.
.

I ECO FLEX Economy class- Semi Flexible Fares more details

1 ECO PLUS Economy class- Flexble Fares more deta

i ls

I BIZ FLEX Business class- Semi Aexible Fares more **eta~**

I '- Se

l ect you

r outboun

d and retum flights and

p ric es belo
w

. It is possible
tha

t some

ftl ght o r price options may not be combined

. Prices are pe

r passenger

and

f'l d u de taxes and carrier iq)osed fees/surcharges

. O ut bo un d: N ew
Y o rk -Co lombo Th u, Janua

ry 15 12:4

0 NewYork-John

F Ke
n ne d y Internati

on al (,{fK) 20:55 Colombo-

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ite **In ernational**  **~** +1 day

( s ) [!j 12:40 New

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l UE!9 04:55
Co

l ombo

- Bandara

n a ike **In ernationa**  **~** +2 day(

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,.A' Sri.ankan A

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(U L2602

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: 45

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( s ) I! tlq!ll (le
t a is **~** Srilankan Airtines

(U I.2602

) 1 Srilankan

Ai rin es

( U1.2 Q 8 ) ltlpi!rlltO

IIJ Bl'lllll,..,... 29

: 45

1 stop

( s ) m f!jgfJ

t d ete ls Return: Colom
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- N ew
Y o rk 21:55 Colombo-
Ban

d aranaike **~temational ~**  08:25 New York-

J ol'l n F
.JI( Sril.ankan Airtines(UI.2265

) 1 Sril..ankan Air11nes

CU I.2603

l 1

I reset

di s p

l ay J sort ruu1ts
by

·Colombo

- Bandaranaike **mternationa l~**  01:25 New York- John

F Kennedy International CJFK) +1 day(s

) g 21:55 Colombo

- Bandaranaike International (CMB) 17:10 New York- John

F Kennedy Interna

ti onal uoo + 1 day(s) m 18:45 Colombo- Bandarana

i ke Internationa

l (Q@)

, 17:10 Ne w Yo rk- John

F Kennedy International (JFK) +1 day(s

) rn Colo
m bo

- Bandaranaike **International ~**  New

Y o rk

- Jo h n F Kennedy International Uf!S) + 1 day(s

) f!:

**=....~**

.. ---- ..Ill' Srilankan Airfmes(UL207) Srilankan Airlines(UL..2603

} 1 **IIJ ,..,.**  24

. 10

1 st o p ( s) m fig ht details ..Ill' Srilankan Airlines(Ul.ZZ65)

1 Sri.a

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fiJ Ehci NtYa/5 29

: 45

1 stop

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DJ malAIIRfi 32

. 55

1 s t op

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t deta ils ..Ill' Sril..ankan A

i r1ines(Ul2267)

1 Snl.ankan Airlines(UL..2603

} 1 **IIJf!Na~** 38.20

1 st op( s) m fiQ ht ®

l e **~** 1 Legend: "'j: e-ti
c ket option

,

U

c Limited -;eats

l eft,

S

c U

. S

. Do

l ar Selected round trip price Depart Thursday

, January

15

, 20

1 5 Return

: Wednesday

, January

21

, 20

1 5 (Per

. pUHilgtf **~taxes**

and CMrier imposed **feHJs~}** -- --

- ----- ------------- st.artoverl **Le~end:**

l!J • e-ticket option

, US D
• u _. s _._ o _ o _ aa _ r ___________________

**~** __ ]_J p rtce Sri.anbn Airines
lial ll:CI!pt Pl)'l'l'lttlts

ON L Y in U<R. GSP

. EUR. SGD

, USD

, JFY

, Of" CHF

. F01 transaction5 allltt t/lan these 011111J1CY typu

, both 111 tlv e as wei as equi

v alent USO

a mo unts Yoil bR **s~**

I f both 111tiwe an:! **~valen**

**t** U SO amounts
are displayed

in 1 transaction

. llltn !iucll tr.liiWI

C tions wil bl dlarved

in USO travellers

fare tMes aod earrft!r imoose!J (Ustsun;btrgu

. 1 adlilt

{ s ) x

( 1

, 366

. 00 +

440

. 72

) "' 1,805.72

U S D oyn;:bue coru:Wons tare bas§ i2fo!!Miio.n **~** C!!!!'!
w tt! t:hpll!vr.! **~** fare notes

total for all travellers 1,806

. 72 USD ECO FLEX: Economy class

- Se mi Flexible Fares ll!!!!e details fligh

t notes 1
. To ensure that

y o u get this fare

. the reservation should
be made

n o w

. 2

. Srilankan

A
r fin es w

l accept payments ONL
Y in LKR, GBP

, EUR, SG O

, USD

, JPY

, o r CHF

. For transactions

o th er than these currency types

. both native
as wen as equ iv alent USD amounts

w ill be shown

. I
3

.

I f both na tiv e and equivalent
USO amounts
are lfiSplayed

in a
t ransaction

, then such

t r ansact

j ons
w aJ b e cha rg ed in USO

. 4
. Taxes and carrier imposed fees/su

r charges
are

in ctl ded

. start over

( travelle

r details

J0

- **~---** --. ----

-
-- --

- --- ---

-
-
-

· :--=

i 0 r- x - - ., f3 h ttps

: / /b ook.srilankancom /plnext/srilankanair/TaxBreakdownPopUp.actt

a. **ri lankan**  Airlines Adult tra
v eller(s) earner

i mposed surcharge(YQAC

) US CUSTOMS

U SER FEE US INTl TRANSPORTATION

TAX (DEPARTURE

) US JNTL TRANSPORTA

TI ON TAX (ARIWAL

) US AN IM AL AND PlANT HEALTH INSPECTION SBMCE US IMMIGRATION
AND NATl.IRIZATIO

t& U SER FEE (INS

) USA

C IVH..
A VIATIO

N S E CURITY SEFMCE
FEE (VIR GIN ISLNlOS

) Tax description

una

v ailable (ZRAP) SR

I LANKA EMBARKATION

TAX COLOMBO

35000 USD 5

, 50 USD 17

. 70USO 17

. 70 USD s

. oouso 7

. 00 USD 560USO 2

. 72 uso 25

. 00USD Tax description unavanable
(XF)

4

. 50 USD Total gove

r nment taxes

& fees and carrier imposed fees

& surcharges 440.72

U SO 440.72

U S D x 1 adult(s

) = 440. 72 USD Total government taxes

& fees and carrier imposed fees

& surcharges= 440.72 USDpurchase

yo ur tr
f p [;t 1,806J2 USD

Total price for all travellers
wrcll!ISI **cqnd~** travellers

fare

taxes

a n d ca rri er imposed
**fees**

**su a~es**  1 adu lt( s ) x (1

, 366

. 00 +

440

. 72

) 0:1 .306

. 72 uso total for all travellers 1,806

. 72 USD Adutt traveller{s) Carrier imposed surcharge

(Y QAC

) US CUSTOMS USER FEE US INTl llU.NSPORTA

Tiot

l T AX (DEP ARTU RE

) US INTL TRANSPORT

A liON TAX

( ARRIVAL

) US ANIMAL AND PLANT HEALTH INSPECTION SERVICE US IMMIGRATION
AND NA TU RIZA
TI O N U SER FEE (INS

) USA

C IVIL AVIA
TI ON SECURITY SE.RVCE
FEE (VRG

IN ISLAN

D S ) Tax description

una

v a a able (ZRAP) SRI LANKA EMBARKA

TI ON TAX COLOMBO Tax desctiption

una

v ailable (XF

) Total government taxes

& fees and carrier Imposed fees

& surcharges x 1 adult(s

) = 440

. 72 U SD

350

. 00USD 5

. 50 USD 17

. 70USD 17

. 70USD 5

. 00 USD 7

. 00USD 5

. 60 USD 2

. 72USD 25

. 00USD 4

. 50 USD 440

. 72USD 440

. 72USD To tal go v ernment taxes

& fees and ea rn er in1» osed fees

& surcharges

= 440 72 USD t lewYork

to Colombo Thursda

y

, Janua

ry

1 5

, 20

1 5 Colombo

to New York

W ednesday

, Ja n uary

2
1 , 20

1 5 A

l rline
(s

) : Srilankan

A irfltl es Trave

n er{s

): Tax Dot Requ

i rement Ticket delrv

e ry: E- ti cke

t I ha v e a promotio

n code
**~-.1** ______

-JII vaHdllte

I 12

: 4o

- o4

: 55 +2 day(

s ) m 1 8 " 45

-
1 7

: 1 0 +1 day(

s }

[CERTIFICATEOFSERVICEIherebycertifythatIhavethisdateelectronicallyservedacopyoftheforegoingAnswerofSrilankanAirlinesLtd.onthefollowingpersons:BenjaminEdelman,Esq.169WalnutStreetBrookline,MA02445ben@benedelman.orgBlaneWorkie,Esq.AssistantGeneralCounselforAviationEnforcement&ProceedingsOfficeoftheGeneralCounselU.S.DepartmentofTransportationblane.workie@dot.govCharlesE.Smith,Esq.SeniorTrialAttorneyOfficeoftheGeneralCounselU.S.DepartmentofTransportationcharles.smith@dot.govDATED:January16,2015KennethC.Hines