The Trump administration formally withdrew a proposed rule Friday that would have required airlines to compensate passengers for significantly delayed or canceled flights.
The rule, which was proposed late last year under the Biden administration and former Secretary of Transportation Pete Buttigieg, would have required airlines to pay passengers $200 to $300 for domestic flights delayed more than three hours.
The rule would have applied to delays that are caused by something considered to be within the airline's control, like maintenance issues or staffing challenges, but not external factors like air traffic control delays or bad weather. That would have aligned the U.S. more closely with Europe's EU261 rule, which is generally seen as the gold standard of consumer protections in air travel.
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