IATA asks DOT to dismiss complaints

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WASHINGTON -- Several major carriers and IATA asked the Transportation Department to dismiss two separate complaints filed by United States Travel Agent Registry and ASTA that urged the department to remedy what they argued was an airline industry effort to propagate false fare information by excluding certain surcharges on published air fares.

American, Continental, Delta, Northwest, United and IATA filed the responses to a complaint made by Ustar in January that accused several airlines of certain ticket abuses, including improperly passing fuel costs onto consumers as surcharges.

In February, ASTA filed an addendum to the Ustar complaint that went on to charge the airlines with excluding surcharges from [CRS] fare displays in an attempt to lure the "consumer with fares lower than actually available for purchase."

But IATA and the airlines denied that was true.

"CRS display issues ... are beyond the control of the airline respondents and IATA," IATA said.

American argued, "Consumers do not see the CRS fare displays used by professional travel agents, and thus they cannot be misled or deceived by these displays."

American said "travel agents are professionals in the use of CRS functionality, and they can easily use a variety of tools available to them to determine quickly the lowest available total fare for a given itinerary."

For its part, Continental indicated that consumers are not confused by surcharges since they already have access to "full price information" through such sources as the airline's Web site.

"Itineraries entered into Continental's Web site are always priced on the basis of the full price of air travel," Continental said, adding that "Ustar's wanton allegation that Continental has engaged in price-fixing and schemes to defraud passengers are totally false."

Continental also denied a Ustar charge that it "conspired with IATA or any other airline or engaged in any scheme to defraud passengers of money to which Continental was not legally entitled."

Delta, in its response, said, "What Ustar is seeking is fundamental change in department rules and policy that would strip carriers of their longstanding ability to separately account for unusual, unique and often temporary factors affecting ticket price."

"There is no sound reason in law or policy for the department to mandate such changes through new regulation."

Northwest charged the Ustar and ASTA complaints contained "sweeping and wholly unsubstantiated allegations of consumer deception, fraud and anti-competitive conduct."

"Although they are very quick to make such serious charges, neither Ustar nor ASTA provide any evidence that Northwest or any other carrier has deceived a single consumer, harmed a single competitor or acted contrary to a single law."

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