Booking a flight with miles feels like flying for free. Most travelers don’t notice the small taxes and fees attached, or what happens to them when plans change.
A federal court case against JetBlue has put one of those fees in the spotlight. It raises a wider question for anyone who has ever cancelled a trip: is the airline handing back everything it owes you?
The $5.60 at the Center of the Case
Every U.S. flight ticket, including award tickets booked with miles, carries a TSA security fee of $5.60 per one-way trip. Under federal rules, that fee must be refunded if the passenger doesn’t travel.
When award tickets are cancelled, JetBlue keeps that fee and issues a travel credit instead. The credits can’t be transferred, and they expire if not used. Passengers say this breaks both federal rules and JetBlue’s own contract.
In July, a federal judge allowed passengers to sue. Other airlines, including American and Alaska, handle the fee differently.
Why a Small Fee Is a Big Deal
On its own, $5.60 sounds trivial. Across millions of cancelled award bookings, unreturned fees can add up to millions of dollars kept by an airline.
There is a further catch. JetBlue’s contract blocks class-action lawsuits, so each passenger has to pursue a claim individually. For a few dollars, almost nobody will. The TSA has previously sued other airlines over keeping security fees, but individual recovery remains impractical.
The Wider Lesson About Refunds
The JetBlue case is a reminder that airlines often default to credits when cash may be owed. Credits come with expiry dates and restrictions, and a large share are never used.
If an airline cancels your flight or changes it significantly and you choose not to travel, federal rules entitle you to a refund of the money you paid, not just a voucher. Many travelers accept a credit without realizing they had the right to ask for cash.
Keeping It in Proportion
The court has allowed the case to proceed, but it hasn’t yet ruled on whether JetBlue must repay passengers. The amounts for any individual traveler are small. The real value of the story is the habit it should encourage: checking what you’re owed every time you cancel.
How to Make Sure You Get Your Money Back
- Ask for a cash refund rather than a credit whenever the airline cancels or significantly changes your flight.
- After cancelling an award ticket, check that taxes and fees have come back, not just the miles.
- Note the expiry date of any credit you accept, and set a reminder to use it.
- File a complaint with the U.S. Department of Transportation if an airline refuses a refund you’re owed.
- Pay for flights with a credit card, which gives you a route to dispute a charge if a refund never arrives.
Source: Federal court ruling reported by View from the Wing and InsideFlyer, July 2026.
Amanda O’Brien is the creator and editor of The Boutique Adventurer. She has visited 80 countries and is a member of the British Guild of Travel Writers as well as the IFTWTA. She is passionate about wine had has just completed Level 3 of the WSET. Born in Australia, she lives in London.