Decision No. 117-A-2009

March 27, 2009

March 27, 2009

APPLICATION by El Al Israel Airlines Ltd., on behalf of itself, American Airlines, Inc. and American Eagle Airlines, Inc. pursuant to section 60 of the Canada Transportation Act, S.C., 1996, c. 10, as amended, and section 8.2 of the Air Transportation Regulations, SOR/88-58, as amended, for an approval to permit El Al Israel Airlines Ltd. to provide its scheduled international service between Israel and Canada by selling transportation in its own name on flights operated by American Airlines, Inc. and American Eagle Airlines, Inc. between Toronto, Ontario, Canada and Boston, Massachusetts, Chicago, Illinois, Miami, Florida, New York, New York and Los Angeles, California, United States of America, and between Montréal, Quebec, Canada and New York, from March 30, 2009 to March 27, 2010.

File No. M4835-11


El Al Israel Airlines Ltd. (El Al), on behalf of itself, American Airlines, Inc. (American Airlines) and American Eagle Airlines, Inc. (American Eagle) has applied to the Canadian Transportation Agency (Agency) for the approval set out in the title. The application was complete on March 19, 2009.

El Al has also requested an exemption from the application of subsection 8.2(2) of the Air Transportation Regulations (ATR), which requires the filing of an application for an approval at least 45 days before the first planned flight.

The Agency notes that this application is a renewal of the approval granted by Decision No. 372-A-2008 dated July 16, 2008.

Under Licence No. 090012, El Al is authorized to operate a scheduled international service in a manner consistent with the Agreed Minute between Canada and Israel signed on February 17, 2009 (Agreed Minute).

Condition No. 3 of Licence No. 090012 states:

This licence, unless cancelled at an earlier date, shall be in effect until March 27, 2010.

The Agency notes that under the terms of the Agreed Minute, and subject to normal regulatory requirements, El Al may sell transportation under its own code on flights operated by Air Canada and one third country airline on any routing to, from and beyond cities in Canada.

With respect to the request for an exemption from the application of subsection 8.2(2) of the ATR, the Agency has considered the request and is of the opinion that compliance by El Al with subsection 8.2(2) of the ATR is impractical in this case. Accordingly, the Agency, pursuant to paragraph 80(1)(c) of the Canada Transportation Act (CTA), orders that El Al be exempt from the application of subsection 8.2(2) of the ATR.

The Agency has reviewed and considered the application and the material in support and is satisfied that it meets the remaining requirements of section 8.2 of the ATR.

With respect to the duration of the approval, the Agency is of the view that as the licence expires on March 27, 2010, concurrently with the entitlements for scheduled air services in the Agreed Minute, it would be inappropriate to consider approval of the application beyond the expiry date of the licence.

Accordingly, the Agency, pursuant to paragraph 60(1)(b) of the CTA and section 8.2 of the ATR, approves the use by El Al of aircraft and flight crew provided by American Airlines and American Eagle and the provision by American Airlines and American Eagle of such aircraft and flight crew to El Al, to permit El Al to provide its scheduled international service on licensed routes between Israel and Canada by selling transportation in its own name on flights operated by American Airlines and American Eagle between Toronto and Boston, Chicago, Miami, New York and Los Angeles and between Montréal and New York, from March 30, 2009 to March 27, 2010, subject to the following conditions:

  1. El Al shall continue to hold the required licence authority.
  2. The carriage of local traffic between points in Canada is prohibited.
  3. El Al shall apply its published tariffs, in effect, to the carriage of its traffic. In particular, nothing in any commercial agreement between the air carriers relating to limits of liability shall diminish the rights of passengers as stated in such tariffs.
  4. The air service approved shall only be provided as long as a code-sharing agreement providing for such services remains in effect.

El Al and American Airlines are reminded of the continuing requirement to comply with sections 8.2 and 8.5 of the ATR.

El Al and American Airlines are further reminded to provide the Agency with a copy of any new agreement or amendments to their commercial agreement, including any new or amended annex, without delay.

This approval does not exempt El Al, American Airlines and American Eagle from the requirements of other legislative acts or regulations, including those of Transport Canada.

Members

  • Raymon J. Kaduck
  • J. Mark MacKeigan

Member(s)

Raymon J. Kaduck
J. Mark MacKeigan
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