Airline Passenger Fairness Act

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Airline Passenger Fairness Act''.

SEC. 2. FINDINGS.

    The Congress makes the following findings:
            (1) The number of airline passengers on United States 
        carriers is expected to grow from about 600 million per year 
        today to about 1 billion by the year 2008.
            (2) Since 1978 the number of certified large air carriers 
        has decreased from 30 to 10. In 1998, 6 of the United States' 
        largest air carriers sought to enter into arrangements that 
        would result in 3 large networks comprising approximately 70 
        percent of the domestic market.
            (3) Only \2/3\ of all communities in the United States that 
        had scheduled air service in 1978 still have it today, and \1/
        2\ of those remaining are served by smaller airlines feeding 
        hub airports.
            (4) The Department of Transportation's Domestic Airline 
        Fares Consumer Report for the 3rd Quarter of 1997 listed 75 
        major city pairs where fares increased by 30 percent or more 
        year-over-year, while total traffic in these city pairs 
        decreased by 863,500 passengers, or more than 20 percent.
            (5) A 1998 Department of Transportation study found that 
        large United States air carriers charge twice as much at their 
        large hub airports where there is no low fare competition as 
        they charge at a hub airport where a low fare competitor is 
        present. The General Accounting Office found that fares range 
        from 12 percent to 71 percent higher at hubs dominated by one 
        carrier or a consortium.
            (6) Complaints filed with the Department of Transportation 
        about airline travel have increased by more than 25 percent 
        over the previous year, and complaints against large United 
        States air carriers have increased from 6,394 in 1997 to 7,994 
        in 1998.
            (7) The 1997 National Civil Aviation Review Commission 
        reported that recent data indicate the problem of delay in 
        flights is getting worse, and that the number of daily aircraft 
        delays of 15 minutes or longer was nearly 20 percent higher in 
        1996 than in 1995.
            (8) The 1997 National Civil Aviation Review Commission 
        forecast that United States domestic and international 
        passenger enplanements are expected to increase 52 percent 
        between 1996 and 2006, and the Federal Aviation Administration 
        forecasts annual growth in revenue passenger miles will average 
        4.2 percent.
            (9) A 1998 Department of Transportation study found that 
        the large United States air carriers charge about 60 percent 
        more to passengers traveling to or from small communities than 
        they charge to passengers traveling between large communities.
            (10) The Congress has directed the Secretary of 
        Transportation to prohibit unfair and deceptive practices in 
        the airline industry.

SEC. 3. FAIR PRACTICES FOR AIRLINE PASSENGERS.

    Section 41712 of title 49, United States Code, is amended--
            (1) by striking ``On the initiative'' and inserting ``(a) 
        Duty of the Secretary.--On the initiative''; and
            (2) by adding at the end thereof the following:
    ``(b) Specific Practices.--For purposes of subsection (a), the 
terms `unfair or deceptive practice' and `unfair method of competition' 
include, in the case of a certificated air carrier, an air carrier's 
failure--
            ``(1) to inform a ticketed passenger, upon request, whether 
        the flight on which the passenger is ticketed is oversold;
            ``(2) to permit a passenger holding a confirmed reserved 
        space on a flight to use portions of that passenger's ticket 
        for travel, rather than the entire ticket, regardless of the 
        reason any other portion of the ticket is not used;
            ``(3) to deliver a passenger's checked baggage within 24 
        hours after arrival of the flight on which the passenger 
        travelled and on which the passenger checked the baggage, 
        except for reasonable delays in delivery of such baggage;
            ``(4) to provide a consumer full access to all fares for 
        that air carrier, regardless of the technology the consumer 
        uses to access the fares if such information is requested by 
        that consumer;
            ``(5) to provide notice to each passenger holding a 
        confirmed reserved space on a flight with reasonable prior 
        notice when a scheduled flight will be delayed for any reason 
        (other than reasons of national security);
            ``(6) to inform passengers accurately and truthfully of the 
        reason for the delay, cancellation, or diversion of a flight;
            ``(7) to refund the full purchase price of an unused ticket 
        if the passenger requests a refund within 48 hours after the 
        ticket is purchased;
            ``(8) to disclose to consumers information that would 
        enable them to make informed decisions about the comparative 
        value of frequent flyer programs among airlines, including--
                    ``(A) the number of seats redeemable on each 
                flight; and
                    ``(B) the percentage of successful and failed 
                redemptions on each airline and on each flight.
    ``(c) Report.--The Secretary shall include information about 
violations of subsection (a) by certificated air carriers in the 
Department of Transportation's monthly Air Travel Consumer Report.
    ``(d) Confirmed reserved space.--The term `confirmed reserved 
space' shall mean a space on a specific date and on a specific flight 
and class of service of a carrier which has been requested by a 
passenger and which the carrier or its agent has verified, by 
appropriate notation on the ticket or in any other manner provided by 
the carrier, as being reserved for the accommodation of the 
passenger.''.

Summary: Airline Passenger Fairness Act - Amends Federal aviation law to revise provisions prohibiting an air carrier, foreign air carrier, or ticket agent from engaging in unfair or deceptive practices or unfair methods of competition in air transportation to include within the definition of such prohibited practices an air carrier's failure to: (1) inform a ticketed passenger, upon request, whether the flight on which the passenger is ticketed is oversold; (2) permit a passenger holding a confirmed reserved space on a flight to use portions of that passenger's ticket for travel, rather than the entire ticket, regardless of the reason any other portion of the ticket is not used; (3) deliver a passenger's checked baggage within 24 hours after the arrival of the flight on which the passenger traveled and on which the passenger checked the baggage, except for reasonable delays in delivery of such baggage; (4) provide a consumer full access to all fares for that air carrier, regardless of the technology the consumer uses to access the fares if such information is requested by that consumer; (5) provide notice to each passenger holding a confirmed reserved space on a flight with reasonable prior notice when a scheduled flight will be delayed for any reason (other than reasons of national security); (6) inform passengers accurately and truthfully of the reason for the delay, cancellation, or diversion of a flight; (7) refund the full purchase price of an unused ticket if the passenger requests a refund within 48 hours after the ticket is purchased; and (8) disclose to consumers information that would enable them to make informed decisions about the comparative value of frequent flyer programs among airlines.