Prepare for Landing: The DOT’s Authority to Regulate Unfair and Deceptive Practices Amidst the Supreme Court’s Elimination of Chevron Deference

Authors

Ali Garman, Southern Methodist University, Dedman School of LawFollow

Abstract

On June 28, 2024, the Supreme Court overturned Chevron U.S.A., Inc. v. Natural Resources Defense Council, Inc. with their decision in Loper Bright v. Raimondo—holding that judges are not obligated to defer to agency interpretations of the statutes they administer. One month after this decision, the Fifth Circuit Court of Appeals held that the Department of Transportation does not have authority to issue a rule regulating how airlines communicate certain fees to customers during the booking process. This decision contradicts the Seventh Circuit Court of Appeals’ earlier decision to uphold similar DOT regulations attempting to prohibit unfair and deceptive practices in the air travel industry. Therefore, a circuit split arose over the scope of the DOT’s rulemaking authority. This comment addresses the historic scope of the DOT’s predecessor to regulate the aviation industry and the ongoing circuit split regarding the DOT’s current regulatory authority. Specifically, this comment seeks to analyze the impact that the Loper Bright decision will have on the DOT’s future authority to regulate unfair or deceptive practices in the aviation industry. Ultimately, this comment concludes that the Fifth Circuit’s decision accurately predicts the fate of the DOT’s regulatory power, and therefore, it is likely the aviation industry will experience a deregulation effect specifically pertaining to consumer protections.

Recommended Citation

Ali Garman, Prepare for Landing: The DOT’s Authority to Regulate Unfair and Deceptive Practices Amidst the Supreme Court’s Elimination of Chevron Deference, 90 J. Air L. & Com. 517 (2025)