The Federal Trade Commission (FTC) has implemented a new Junk Fees Rule targeting hidden costs in live event tickets and short-term lodging. This regulation aims to provide consumers with transparent, upfront pricing and is estimated to save Americans billions of dollars and 53 million hours annually in price-searching time.

Key aspects of the new rule:

• Businesses must display the total price, including all mandatory fees, upfront
• The most prominent price shown must be the all-in price
• Misleading or hidden fees are prohibited
• Applies to live event tickets and short-term lodging (hotels, vacation rentals)

FTC Chair Lina Khan emphasizes that consumers deserve clear, upfront pricing without surprise charges like "resort fees" or "convenience fees" that can add hundreds to the advertised price.

Notable opposition comes from major airlines through Airlines for America, with Alaska, American, Delta, JetBlue, and Hawaiian Airlines suing the Department of Transportation. Southwest Airlines stands alone in supporting the administration's position.

The rule passed with a 4-1 FTC vote and will take effect 120 days after Federal Register publication. However, its future remains uncertain with potential leadership changes at the FTC, as Khan's term expired in September.

Implementation details:

• Affects live event venues and short-term lodging providers
• Airlines not included in final ruling
• Requires clear disclosure of total prices in all advertising
• Prohibits misrepresentation of any fees or charges

This regulation represents a significant step toward price transparency in the entertainment and hospitality industries, though its long-term impact may depend on future FTC leadership decisions.

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