A federal court on Monday expressed skepticism toward an argument from large-scale mailers that the U.S. Postal Service should not be able to raise its rates well above inflation, potentially dealing a significant blow to customers fighting the change.
A price increase that upped regular, First-Class mail by 6.8% and package services by 8.8%—unprecedented in size in recent years—went into effect at the end of August, but mailers are still fighting against the underlying authority postal management used to institute the hikes. The Postal Regulatory Commission created a new system last year that enabled the unusually sizable increases and the biggest users of the Postal Service have been fighting it ever since.
A coalition of groups representing the mailers argued before the U.S. Court of Appeals for the D.C. Circuit on Monday that the commission’s new pricing structure violated federal statute.