Reuters: U.S.: Supreme Court will not hear airline appeal over ad rule

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Supreme Court will not hear airline appeal over ad rule Apr 1st 2013, 14:19 Tweet Share this Email Print Related News Supreme Court indicates it may strike down marriage law Wed, Mar 27 2013 Supreme Court rules for Comcast in class action Wed, Mar 27 2013 Supreme Court wary of broad gay marriage ruling Tue, Mar 26 2013 Supreme Court agrees to hear Michigan affirmative action case Mon, Mar 25 2013 UPDATE 3-U.S. high court rules against publisher on copyright protections Tue, Mar 19 2013 Analysis & Opinion Anthony Lewis and the need for journalism that inspires Malone swoop frees Barclays but traps Ziggo Passengers disembark a Southwest Airlines 737-700 at Bob Hope Airport in Burbank, California April 4, 2011. Credit: Reuters/Mario Anzuoni By Lawrence Hurley WASHINGTON | Mon Apr 1, 2013 10:19am EDT WASHINGTON (Reuters) - The Supreme Court on Monday declined to weigh a federal government rule that requires airlines to advertise the full cost of tickets. Allegiant Travel Co, Southwest Airlines Co and Spirit Airlines Inc had all challenged the Department of Transportation's regulation, which prohibits airlines from leaving taxes and government fees out of their advertised rates. A three-judge panel of the U.S. Court of Appeals for the District of Columbia Circuit upheld the rule in July on a 2-1 vote. The airlines say the regulation infringes upon their free speech rights. It requires that any price shown in an advertisement must be "the entire price to be paid by the customer," the Department of Transportation said. Airlines can give a separate breakdown of taxes and other costs, but it must be in a smaller size than the total cost and not "displayed prominently," the agency said. The airlines' lawyer, Paul Clement, said in court papers that the Obama administration introduced the rule at a time when it was calling for "new, higher taxes on airline passengers." He noted that some airlines had explicitly criticized the taxes in their advertisements. In seeking the high court's review, the airlines also said the federal government was seeking to assert authority in contravention of the 1978 law that deregulated the industry. The Obama administration said in court papers that it could issue the rule under its authority to ban unfair or deceptive practices. The rule "constitutes a reasonable exercise of the department's longstanding authority to prevent consumer confusion in airfare advertising," Solicitor General Donald Verrilli wrote. The case is Spirit Airlines v. Department of Transportation, U.S. Supreme Court, No. 12-656. (Reporting by Lawrence Hurley; Editing by Kevin Drawbaugh and Lisa Von Ahn) Related Quotes and News Company Price Related News Tweet this Link this Share this Digg this Email Reprints We welcome comments that advance the story through relevant opinion, anecdotes, links and data. If you see a comment that you believe is irrelevant or inappropriate, you can flag it to our editors by using the report abuse links. Views expressed in the comments do not represent those of Reuters. For more information on our comment policy, see http://blogs.reuters.com/fulldisclosure/2010/09/27/toward-a-more-thoughtful-conversation-on-stories/ Comments (0) Be the first to comment on reuters.com. Add yours using the box above.

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