Tell Congress: Pass the Flight Refund Fairness Act (H.R. 5556)

Congress is considering bipartisan legislation, the Flight Refund Fairness Act (H.R. 5556), to close a gap in refund rules that has delayed travelers’ refunds and unfairly burdened ticket agents. 

Today, ticket agents are legally required by the Department of Transportation (DOT) to issue prompt refunds to passengers for canceled or significantly delayed flights. Yet airlines face no parallel deadline to return the customers’ funds to ticket agents. This imbalance leaves agents responsible for refunding customers before receiving reimbursement from the airlines, creating delays and unnecessary financial strain. 

The Flight Refund Fairness Act, introduced by Representative Maria Elvira Salazar (R-FL) with bipartisan co-sponsors, would fix this by requiring airlines to reimburse ticket agents within the same timelines that apply to consumer refunds. 

Background

Under DOT rules, when a flight is canceled, significantly delayed, or materially changed, passengers are entitled to a prompt refund. Ticket agents, including Online Travel Agencies, Global Distribution Systems, metasearch engines, and Travel Management Companies, play a central role in ensuring those refunds reach consumers quickly. 

However, existing regulations impose firm refund deadlines on ticket agents but not on airlines. Agents must refund travelers within seven business days for credit card purchases or within 20 days for other forms of payment, yet airlines face no corresponding requirement to return those funds to agents. As a result, agents are often required to issue refunds before receiving reimbursement from the airlines, creating an uneven financial and operational burden. 

The Flight Refund Fairness Act would correct this imbalance by establishing reciprocal refund timelines for airlines and agents, ensuring both are accountable under the same clear standards.