If your flight gets canceled or delayed for hours because of an airline screw-up, don’t expect a check in the mail anytime soon. The Trump administration announced Thursday it’s scrapping a Biden-era proposal that would have forced airlines to shell out cash—anywhere from $200 to $775—when passengers were stranded due to mechanical issues or computer meltdowns.
The Biden administration pitched the rule back in December 2024, just before leaving office, touting it as a long-overdue win for fliers fed up with endless delays. Transportation Secretary Pete Buttigieg even called it a “game changer,” pointing out that airlines in Europe, Canada, Brazil, and the UK already have similar protections.
Under the plan, US travelers could’ve pocketed:
- At least $200 for a canceled flight or major delay caused by the airline.
- Up to $775 if the delay dragged on for nine hours or more.
- Plus, free meals, hotel stays, and rebooking—including on rival airlines.
But airlines weren’t having it. Spirit Airlines argued the rule would jack up costs and eventually lead to pricier tickets, warning of a “perverse incentive” to cancel flights earlier to avoid bigger payouts. The industry’s main lobbying group, Airlines for America, cheered the Trump administration’s decision, calling Biden’s plan “burdensome” and “beyond the DOT’s authority.”
Currently, US carriers only have to refund tickets when a flight is canceled. Some airlines voluntarily cover hotels or meals during long delays, but there’s no law requiring them to—and passengers usually have to beg at the gate.
Critics say the rollback is a setback for passengers. Former Biden adviser Bharat Ramamurti argued the rule would’ve not only put cash back in people’s pockets but also pressured airlines to prevent cancellations and delays in the first place.
The move fits a broader Trump-era push to cut back federal regulations across industries—from banking to health care to aviation. The DOT is also reviewing Biden rules that would’ve forced airlines to disclose extra fees upfront and redefine what counts as a “canceled flight.”
For now, American travelers remain stuck with the status quo: refunds for canceled flights, but little else if the airline leaves you stranded.
NBC News, Bloomberg, the New York Times, Reuters, and USA Today contributed to this report.
The latest news in your social feeds
Subscribe to our social media platforms to stay tuned