Department of Transportation Air Carrier Acquisition Approval Act of 1985

Department of Transportation Air Carrier Acquisition Approval Act of 1985 - Amends the Federal Aviation Act of 1958 to require any person seeking ownership or control of any air carrier whose Board of Directors has not approved such proposed ownership to file an application with the Secretary of Transportation (the Secretary) which discloses specified information, including the identities of the persons involved and their managerial and financial resources.

Requires the Secretary to hold a hearing within 60 days after the receipt of such application to determine whether the public interest, convenience, and necessity will be served by the approval of such application.

Makes it unlawful for any person who owns an air carrier which is the subject of such an application to purchase any of the carrier's equity securities from any person who holds more than three percent of the class of securities to be purchased and has held such securities for less than two years, unless: (1) such purchase has been approved by the affirmative majority vote of the outstanding aggregate voting securities of the issuer; and (2) the issuer offers a price (equal to the price paid to such person) to all holders of securities of such class and to all holders of any class into which such securities may be converted.