Junk Fee Prevention Act

Subjects: Commerce


<html><body><pre>[Congressional Bills 118th Congress]
[From the U.S. Government Publishing Office]
[H.R. 2463 Introduced in House (IH)]

&lt;DOC&gt;






118th CONGRESS
  1st Session
                                H. R. 2463

To limit and eliminate excessive, hidden, and unnecessary fees imposed 
                 on consumers, and for other purposes.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                             April 3, 2023

Mr. Gallego (for himself and Mr. Jackson of North Carolina) introduced 
 the following bill; which was referred to the Committee on Energy and 
   Commerce, and in addition to the Committee on Transportation and 
   Infrastructure, for a period to be subsequently determined by the 
  Speaker, in each case for consideration of such provisions as fall 
           within the jurisdiction of the committee concerned

_______________________________________________________________________

                                 A BILL


 
To limit and eliminate excessive, hidden, and unnecessary fees imposed 
                 on consumers, and for other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Junk Fee Prevention Act''.

SEC. 2. PROTECTING CONSUMERS FROM EXCESSIVE AND HIDDEN FEES.

    (a) Protecting Consumers From Hidden Fees.--A covered entity shall 
clearly and conspicuously display, in each advertisement and when a 
price is first shown to a consumer, the total price of the good or 
service provided by the covered entity, including any mandatory fees a 
consumer would incur during the transaction, which shall not change 
during the purchase process.
    (b) Excessive Fees.--A covered entity shall not impose on a 
consumer or advertise any mandatory fees that are excessive or 
deceptive for any good or service offered by the covered entity.
    (c) Ticket Holdbacks.--If a good or service provided by a covered 
entity is a ticket to a sporting event, theater, musical performance, 
or an event at a place of public amusement of any kind, the covered 
entity shall, not less than 72 hours prior to the first public sale or 
presale of such ticket, clearly and conspicuously disclose to the 
public, including at the point of sale, the total number of tickets 
offered for sale by the covered entity or available for the given 
event.
    (d) Protecting Refunds.--A covered entity shall clearly and 
conspicuously disclose any guarantee or refund policy prior to the 
completion of a transaction by the consumer and, in the event of a 
refund, provide a refund in the amount of the total cost of the ticket 
including any mandatory fees.
    (e) Speculative Ticketing.--If a covered entity does not possess a 
ticket at the time of the sale, it shall provide to the consumer--
            (1) a clear and conspicuous notice that the covered entity 
        does not possess the ticket; and
            (2) a full refund if the covered entity cannot provide the 
        ticket advertised to the consumer in a timely manner prior to 
        the event.
    (f) Rulemaking on Excessive and Hidden Fees.--The Federal Trade 
Commission may promulgate rules in accordance with section 553 of title 
5, United States Code, regarding the disclosure and imposition of 
mandatory or deceptive fees, including any such fee not described in 
subsections (a) through (e).
    (g) Excessive Fees.--In considering whether a mandatory fee is 
excessive, the Federal Trade Commission or court shall take into 
consideration--
            (1) whether the fee is reasonable and proportional to the 
        cost of the good or service provided by the covered entity;
            (2) the reason for which the covered entity charges such 
        fee; and
            (3) any other factors determined appropriate by the Federal 
        Trade Commission or the court.
    (h) Enforcement.--
            (1) Enforcement by the commission.--
                    (A) Unfair or deceptive acts or practices.--A 
                violation this section or a regulation promulgated 
                thereunder shall be treated as a violation of a rule 
                defining an unfair or deceptive act or practice under 
                section 18(a)(1)(B) of the Federal Trade Commission Act 
                (15 U.S.C. 57a(a)(1)(B)).
                    (B) Powers of the commission.--
                            (i) In general.--The Federal Trade 
                        Commission shall enforce this section in the 
                        same manner, by the same means, and with the 
                        same jurisdiction, powers, and duties as though 
                        all applicable terms and provisions of the 
                        Federal Trade Commission Act (15 U.S.C. 41 et 
                        seq.) were incorporated into and made a part of 
                        this section.
                            (ii) Privileges and immunities.--Any person 
                        who violates this section or a regulation 
                        promulgated thereunder shall be subject to the 
                        penalties and entitled to the privileges and 
                        immunities provided in the Federal Trade 
                        Commission Act (15 U.S.C. 41 et seq.).
                            (iii) Authority preserved.--Nothing in this 
                        section shall be construed to limit the 
                        authority of the Federal Trade Commission under 
                        any other provision of law.
            (2) Enforcement by states.--
                    (A) In general.--If the attorney general of a State 
                has reason to believe that a covered entity has 
                violated or is violating this section or a regulation 
                promulgated thereunder that affects the residents of 
                that State, the State, as parens patriae, may bring a 
                civil action in any appropriate district court of the 
                United States, to--
                            (i) enjoin any further violation by the 
                        covered entity;
                            (ii) enforce compliance with this section 
                        or such regulation;
                            (iii) obtain other remedies permitted under 
                        State law; and
                            (iv) obtain damages, restitution, or other 
                        compensation on behalf of residents of the 
                        State.
                    (B) Notice.--The attorney general of a State shall 
                provide prior written notice of any action under 
                subparagraph (A) to the Commission and provide the 
                Commission with a copy of the complaint in the action, 
                except in any case in which such prior notice is not 
                feasible, in which case the attorney general shall 
                serve such notice immediately upon instituting such 
                action.
                    (C) Intervention by the commission.--Upon receiving 
                notice under subparagraph (B), the Commission shall 
                have the right--
                            (i) to intervene in the action;
                            (ii) upon so intervening, to be heard on 
                        all matters arising therein; and
                            (iii) to file petitions for appeal.
                    (D) Limitation on state action while federal action 
                is pending.--If the Commission has instituted a civil 
                action for violation of this section or a regulation 
                promulgated thereunder, no State attorney general, or 
                official or agency of a State, may bring a separate 
                action under subparagraph (A) during the pendency of 
                that action against any defendant named in the 
                complaint of the Commission for any violation of this 
                section or a regulation promulgated thereunder that is 
                alleged in the complaint. A State attorney general, or 
                official or agency of a State, may join a civil action 
                for a violation of this section or a regulation 
                promulgated thereunder filed by the Commission.
                    (E) Rule of construction.--For purposes of bringing 
                a civil action under subparagraph (A), nothing in this 
                section shall be construed to prevent the chief law 
                enforcement officer or official or agency of a State, 
                from exercising the powers conferred on such chief law 
                enforcement officer or official or agency of a State, 
                by the laws of the State to conduct investigations, 
                administer oaths or affirmations, or compel the 
                attendance of witnesses or the production of 
                documentary and other evidence.
    (i) Definitions.--In this section:
            (1) Covered entity.--
                    (A) In general.--The term ``covered entity'' 
                means--
                            (i) a provider of short-term lodging or an 
                        entity that advertises rates or the purchase of 
                        short-term lodging;
                            (ii) a provider of a ticketing service that 
                        sells tickets for an event or retains the 
                        authority to otherwise distribute tickets for 
                        such event, whether as a primary seller of 
                        tickets or in the secondary marketplace for 
                        ticket sales; or
                            (iii) any other entity determined 
                        appropriate by the Commission through a 
                        rulemaking in accordance with section 553 of 
                        title 5, United States Code.
                    (B) Short-term lodging.--For purposes of 
                subparagraph (A), the term ``short-term lodging'' means 
                any lodging that is offered for an occupancy of less 
                than 6 months.
            (2) Mandatory fee.--The term ``mandatory fee'' includes--
                    (A) any fee or surcharge that a consumer is 
                required to pay to purchase a good or service being 
                advertised;
                    (B) a fee or surcharge that is not reasonably 
                avoidable;
                    (C) a fee or surcharge for a good or service that a 
                reasonable consumer would not expect to be included 
                with the purchase of the good or service being 
                advertised; or
                    (D) any other fee or surcharge determined 
                appropriate by the Commission.

SEC. 3. COMMUNICATIONS SERVICE FEES.

    (a) Ending Early Termination Fees.--
            (1) In general.--A provider of a covered service may not 
        charge a fee to, or impose a requirement that is excessive or 
        unreasonable on, a consumer for the early termination of a 
        covered service.
            (2) Device purchase and return.--Subsection (a) shall not 
        prevent a provider of a covered service from charging a 
        consumer for--
                    (A) the cost of rental or loan equipment that is 
                not returned to the provider within a reasonable period 
                of time; or
                    (B) the outstanding cost of a purchased device.
            (3) Regulations.--The Federal Communications Commission may 
        promulgate regulations to carry out this subsection.
    (b) Rulemaking on Mandatory Fees.--Not later than 180 days after 
the date of enactment of this Act, the Federal Communications 
Commission shall commence a rulemaking proceeding--
            (1) to consider whether and how the Federal Communications 
        Commission should--
                    (A) require the disclosure of mandatory fees with 
                respect to a covered service; or
                    (B) prohibit the imposition of mandatory fees with 
                respect to a covered service, in particular any such 
                fee that a consumer would reasonably assume to be 
                included in the advertised price of such service; and
            (2) in which the Federal Communications Commission may 
        promulgate regulations to implement the requirements or 
        prohibitions described in paragraph (1).
    (c) Enforcement.--
            (1) In general.--A violation of this section or a 
        regulation promulgated under this section shall be treated as a 
        violation of the Communications Act of 1934 (47 U.S.C. 151 et 
        seq.) or a regulation promulgated under that Act.
            (2) Manner of enforcement.--The Federal Communications 
        Commission shall enforce this section and the regulations 
        promulgated under this section in the same manner, by the same 
        means, and with the same jurisdiction, powers, and duties as 
        though all applicable terms and provisions of the 
        Communications Act of 1934 (47 U.S.C. 151 et seq.) were 
        incorporated into and made a part of this section.
    (d) Definitions.--In this section:
            (1) Covered service.--The term ``covered service''--
                    (A) means--
                            (i) internet service;
                            (ii) voice service (as defined in section 
                        227(e)(8) of the Communications Act of 1934 (47 
                        U.S.C. 227(e)(8));
                            (iii) commercial mobile service (as defined 
                        in section 332(d) of the Communications Act of 
                        1934 (47 U.S.C. 332(d));
                            (iv) commercial mobile data service (as 
                        defined in section 6001 of the Middle Class Tax 
                        Relief and Job Creation Act of 2012 (47 U.S.C. 
                        1401)); or
                            (v) a service provided by a multichannel 
                        video programming distributor (as defined in 
                        section 602 of the Communications Act of 1934 
                        (47 U.S.C. 522)), to the extent that such 
                        distributor is acting as a multichannel video 
                        programming distributor; and
                    (B) includes any other service offered or provided 
                as part of a bundle or package with any service 
                described in clauses (i) through (v) of subparagraph 
                (A).
            (2) Mandatory fee.--The term ``mandatory fee'' includes--
                    (A) any fee or surcharge that a consumer is 
                required to pay to purchase a good or service being 
                advertised;
                    (B) a fee or surcharge that is not reasonably 
                avoidable;
                    (C) a fee or surcharge for a good or service that a 
                reasonable consumer would not expect to be included 
                with the purchase of the good or service being 
                advertised; or
                    (D) any other fee or surcharge determined 
                appropriate by the Federal Communications Commission.

SEC. 4. SEATING YOUNG CHILDREN ADJACENT TO AN ACCOMPANYING ADULT 
              PASSENGER.

    (a) In General.--Subchapter I of chapter 417 of title 49, United 
States Code is amended by adding at the end the following:
``Sec. 41727. Seating young children adjacent to an accompanying adult 
              on aircraft.
    ``(a) Applicability.--The requirements of this section apply for 
the purposes of each scheduled flight segment to or from any airport in 
the United States.
    ``(b) General Requirement.--
            ``(1) Assigned seats.--Subject to subsection (f), an air 
        carrier or foreign air carrier that assigns seats, or allows 
        individuals to select seats, in advance of the date of 
        departure of a flight shall seat each young child adjacent to 
        an accompanying adult, provided that adjacent seat assignments 
        are available at any time after the ticket is issued for the 
        young child and before the first passenger boards the flight.
            ``(2) Unassigned seats.--Subject to subsection (f), an air 
        carrier or foreign air carrier that does not assign seats or 
        allow individuals to select seats in advance of the date of 
        departure shall board customers in a manner that ensures each 
        young child is seated adjacent to an accompanying adult.
            ``(3) Prohibition on fees.--
                    ``(A) In general.--An air carrier or foreign air 
                carrier may not charge a fee or impose an additional 
                cost to seat a young child adjacent to an accompanying 
                adult within the same class of service.
                    ``(B) Class of service requirement.--Every class of 
                service an air carrier or foreign air carrier offers 
                must allow for seating of a young child adjacent to an 
                accompanying adult.
                    ``(C) Prohibition on availability limits.--An air 
                carrier or foreign air carrier may not limit the 
                availability of adjacent seats in a manner that results 
                in an undue burden on the ability of a young child to 
                receive an advance seat assignment adjacent to an 
                accompanying adult.
    ``(c) Additional Requirements for Advance Seating.--
            ``(1) In general.--Subject to subsection (f), an air 
        carrier or foreign air carrier that allows individuals to 
        select seats or that assigns seats at the time of booking a 
        flight shall provide, not later than 48 hours after the 
        issuance of the ticket for each young child--
                    ``(A) a seat assignment for the young child 
                adjacent to the seat assignment of an accompanying 
                adult for each flight segment of the ticket at no 
                additional cost, provided that adjacent seat 
                assignments are available; or
                    ``(B) in the event that adjacent seat assignments 
                are not available as described in subparagraph (A), an 
                accompanying adult the choice of--
                            ``(i) a full refund of the cost of the 
                        tickets for the young child and the 
                        accompanying adult, as well as any other 
                        individual on the same reservation; or
                            ``(ii) waiting for adjacent seat 
                        assignments to be provided by the carrier.
            ``(2) Required option period.--The air carrier or foreign 
        air carrier shall provide the accompanying adult a period of 
        not less than 7 days from the date of notification of the 
        choice described in paragraph (1)(B) to make a selection 
        between the options described in clauses (i) and (ii) of such 
        paragraph.
            ``(3) No available adjacent seat assignment.--In the event 
        that an accompanying adult chooses the option described in 
        paragraph (1)(B)(ii) and adjacent seat assignments for the 
        young child and the accompanying adult on a ticketed flight 
        segment do not become available before the first passenger 
        boards the flight, the air carrier or foreign air carrier 
        shall, at the choice of an accompanying adult--
                    ``(A) rebook the young child and the accompanying 
                adult, as well as any other individual on the same 
                reservation, on the next available flight at no 
                additional cost; or
                    ``(B) transport the young child and the 
                accompanying adult on their original ticketed flight 
                segment in seats that are not adjacent, when seats on 
                the aircraft are available.
    ``(d) Additional Requirements To Mitigate Passenger Harm in Event 
of Violation.--An air carrier or foreign air carrier that violates 
subsection (b) or (c) shall, at the choice of an accompanying adult--
            ``(1) rebook the young child and the accompanying adult, as 
        well as any other individual on the same reservation, on the 
        next available flight at no additional cost;
            ``(2) provide--
                    ``(A) a full refund of the cost of the tickets for 
                the young child and the accompanying adult, as well as 
                any other individual on the same reservation; and
                    ``(B) if such individuals are at a connecting 
                airport, return air transportation for such individuals 
                to their origination airport at no additional cost; or
            ``(3) transport the young child and the accompanying adult 
        on their original ticketed flight segment in seats that are not 
        adjacent, when seats on the aircraft are available.
    ``(e) Enforcement.--
            ``(1) In general.--An air carrier or foreign air carrier 
        that violates a requirement of this section is subject to civil 
        penalties as set forth in section 46301 and other applicable 
        remedies under this part.
            ``(2) Investigations of complaints.--
                    ``(A) In general.--The Secretary shall promptly 
                investigate each complaint alleging a violation of this 
                section that is received by the Department of 
                Transportation.
                    ``(B) Publication of data.--The Secretary shall 
                publish data on complaints alleging violations of this 
                section in a manner comparable to other consumer 
                complaint data.
    ``(f) Exceptions.--Subsections (b) and (c) shall not apply to the 
extent that--
            ``(1) the young child does not have an accompanying adult 
        traveling with such child;
            ``(2) an accompanying adult selects a seat apart from the 
        young child or declines to accept a seat assignment or a seat 
        that is adjacent to the seat assignment or seat of the young 
        child offered without additional cost by the air carrier or 
        foreign air carrier;
            ``(3) the number of young children traveling in the same 
        party make it impossible for the air carrier or foreign air 
        carrier to seat all the young children adjacent to an 
        accompanying adult based on the seat layout of the aircraft; or
            ``(4) an exception to subsection (b) or (c) deemed 
        appropriate by final rule of the Secretary applies.
    ``(g) Definitions.--In this section:
            ``(1) Accompanying adult.--The term `accompanying adult' 
        means, with respect to a young child, an individual who is--
                    ``(A) 14 years of age or older on the date of the 
                scheduled departure of the flight; and
                    ``(B) on the same reservation record as the young 
                child.
            ``(2) Adjacent.--The term `adjacent' means, with respect to 
        the seat of a young child, a seat that is--
                    ``(A) next to and in the same row of the aircraft 
                as the seat of the young child; and
                    ``(B) not separated by an aisle.
            ``(3) Available.--The term `available', when used in 
        connection with seats or seat assignments, means capable of 
        assignment by the air carrier or foreign air carrier without--
                    ``(A) an upgrade of a young child or an 
                accompanying adult to a different class of service than 
                ticketed; and
                    ``(B) displacing an individual with an assigned 
                seat.
            ``(4) Class of service.--The term `class of service' means 
        first class, business class, general economy (including basic 
        economy), or premium economy.
            ``(5) No additional cost.--The term `no additional cost' 
        means no added charge for the seat beyond the fare.
            ``(6) Secretary.--The term `Secretary' means the Secretary 
        of Transportation.
            ``(7) Young child.--The term `young child' means an 
        individual who is 13 years of age or younger on the date of the 
        scheduled departure of the flight.
    ``(h) Regulations.--The Secretary may issue regulations to 
implement this section, including regulations that amend the 
definitions in subsection (g).
    ``(i) Effective Date.--This section shall take effect on the date 
that is 180 days after the date of the enactment of the this 
section.''.
    (b) Clerical Amendment.--The analysis of chapter 417 of title 49, 
United States Code, is amended by inserting after the item relating to 
section 41726 the following:

``41727. Seating young children adjacent to an accompanying adult on 
                            aircraft.''.
    (c) Repeal of FAA Extension, Safety, and Security Act of 2016 
Family Seating Provision.--Section 2309 of the FAA Extension, Safety, 
and Security Act of 2016 (49 U.S.C. 42301 note prec.) is repealed.
                                 &lt;all&gt;
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