Public announcements or press releases from companies regarding new transparency measures

FTC Bans 'Junk Fees', Saving Consumers 53 Million Hours and $11 Billion

Dec 17, 2024, 07:45 PM

The Federal Trade Commission (FTC) has finalized a rule that bans surprise 'junk fees' for live event tickets, hotels, and vacation rentals. This rule mandates that businesses disclose the total price, including all mandatory fees, upfront to consumers. The initiative, which received bipartisan support among FTC commissioners, aims to eliminate deceptive pricing practices that have led to billions of dollars in additional costs for American consumers. FTC Chair Lina Khan emphasized that the rule will save consumers up to 53 million hours per year and approximately $11 billion over the next decade by ensuring transparency in pricing. The rule is set to take effect 120 days after its announcement, with potential financial penalties for non-compliance. The move is part of a broader effort by the Biden administration to combat hidden fees across various industries. However, Commissioner Andrew Ferguson dissented, citing the timing of the rule's issuance. Ticketmaster has expressed support for the rule, having already adopted all-in pricing at its venues.