The tradition of fare restrictions: Travel Weekly

American Airlines places its Web fares only on AA.com, Orbitz and the GDS displays of agencies signing up for its EveryFare program.

Earlier this month, American obtained an injunction preventing FareChase from "screen-scraping" AA.com to collect fares without the carrier's permission.

Isn't it discriminatory for American to restrict access to its fares this way? What about the millions of people who don't have access to the Internet or don't use an EveryFare agency?

A: American's restrictions certainly discriminate against agencies that don't sign up for EveryFare, but such discrimination is not illegal.

The Department of Transportation has made it clear that every airline can decide how it wants to distribute its services, as long as the discrimination is not in furtherance of the airline's plan to bolster its monopoly hub.

In any case, giving special fares to some agencies and not others is a long tradition. Look at the ethnic consolidator markets, for example.

Discriminating against people without access to the Internet is another matter, as is an airline employee's failure to offer the Web fares on the telephone when a person without Web access calls.

I believe that such discrimination violates 49 USC 41712, which is the federal statute that empowers the DOT to outlaw an airline practice that is "unfair or deceptive."

For the time being, the DOT has declined to declare unfair or deceptive the major carriers' practice of putting Web fares out of the reach of the nonwired portion of the traveling public.

My guess is that consumers and consumer groups have not complained much, whereas the government has been inundated with complaints by agencies, GDSs and associations, none of which has any standing under the federal statute that I cited.

Ideally, all fares should be placed in all channels of distribution. Because it is obvious the airlines are not going to do so on their own, the government needs to compel them.

Such a universal-participation rule should extend even to Southwest, whose CEO's tantrum nine years ago has kept the airline out of all GDSs except Sabre.

Don't assume that just because the DOT has not acted on various requests to ban this discrimination it will never happen.

In the 1960s, it took the old Civil Aeronautics Board (predecessor to the DOT in regulating airlines) a decade to outlaw some discriminatory fares. The government does not move at Internet speed.

Mark Pestronk is a Fairfax, Va.-based attorney specializing in travel law. He answers your questions in the TravelWeekly.com Legal Ease forum. To contact Mark directly, e-mail him at [email protected].

From Our Partners


From Our Partners

Future Leaders in Travel: Meet Our Supplier Partners
Future Leaders in Travel: Meet Our Supplier Partners
Watch Now
Revenue, Retention and Risk: The Business Case for Integrated Travel Insurance Technology
Revenue, Retention and Risk: The Business Case for Integrated Travel Insurance Technology
Read More
Let's Sell Luxury Together
Let's Sell Luxury Together
Register Now

JDS Travel News JDS Viewpoints JDS Africa/MI