§42305 Refunds for cancelled or significantly delayed or changed flights

Summary

Airlines must give a full refund, including taxes and extra fees, to a passenger with a nonrefundable ticket on a scheduled flight to, from, or within the United States if the flight is canceled or is changed or delayed enough that the passenger decides not to fly, not to take a rebooking, or not to accept a voucher or credit. If the ticket was paid with a credit card, the airline must pay the refund within 7 business days after the passenger is treated as having asked for it. If the ticket was paid with cash or another method, the refund must be paid within 20 days. An airline may offer a voucher or credit instead of a cash refund only if the offer clearly explains the terms and tells the passenger they still have a right to a full refund. Any voucher or credit must be good for at least 5 years and the issuer must tell the recipient when it expires. A “significant” delay means arriving 3 or more hours late for domestic flights or 6 or more hours late for international flights. Rules will be made within 1 year to apply these same refund duties to ticket agents, and airlines must update their passenger notices so people owed refunds are told about their right.