The National Air Transportation Association (NATA) recently encouraged its members to review and prepare for the implementation of the U.S. Department of Transportation’s (DOT) new standards on the sale of charter flights.
The Increasing Charter Air Transportation Options Effective rule goes into effect Feb. 14, 2019. It establishes a new class of indirect air carrier called “air charter brokers.” It also prohibits several specific actions the DOT has deemed are unfair and deceptive, creates refund requirements, and requires certain disclosures to consumers.
Brokers are typically not commercial aircraft operators but instead act as middlemen creating charter agreements between operators and consumers. The rule is intended to create a formal structure within which air charter brokers may operate, enhance protections for consumers and strengthen enforcement capabilities, and increase transparency in transactions.
“The DOT acted on many of NATA’s recommendations to the 2013 proposed rule. In conjunction with its Air Charter Committee, the association will conduct a thorough review of the rules and expects to provide members with additional analysis to aid in compliance,” Jacqueline Rosser NATA’s regulatory affairs senior adviser, said.
The air-charter industry has been calling for better oversight of transactions involving brokers for more than a decade, Rosser said.