Decision No. 153-A-2002
April 5, 2002
APPLICATION by Air Canada, on behalf of itself and Spanair S.A., for approval pursuant to section 60 of the Canada Transportation Act, S.C., 1996, c. 10, and section 8.2 of the Air Transportation Regulations, SOR/88-58, as amended, to permit Air Canada, while providing its scheduled international service between Canada and Spain, to sell transportation in its own name on flights operated by Spanair between points in Spain commencing on April 7, 2002.
File No. M4835-2-41
Docket No. 020315AG
Air Canada, on behalf of itself and Spanair S.A. (hereinafter Spanair), has applied to the Canadian Transportation Agency (hereinafter the Agency) for the approval set out in the title. The application was received on March 8 and was amended on April 4, 2002.
Under Licence No. 010104, Air Canada is authorized to operate a scheduled international service in accordance with the Agreement between the Government of Canada and the Government of Spain on Air Transport signed on September 15, 1988 (hereinafter the Agreement).
With respect to the request for an exemption from the application of subsection 8.2(2) of the Air Transportation Regulations (hereinafter the ATR), the Agency has considered the request and is of the opinion that compliance by Air Canada 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 (hereinafter the CTA), hereby orders that Air Canada be exempt from the application of subsection 8.2(2) of the ATR.
The Agency notes that, under the terms of the Agreement, designated air carriers are permitted to offer services through code sharing with other air carriers, including domestic air services as part of an international journey.
The Agency has reviewed and considered the application and the material filed in support thereof and is satisfied that it meets the remaining requirements of section 8.2 of the ATR.
With respect to the duration of the subject approval, Air Canada has requested that it be approved for a period of two years, or such longer period as the Agency considers appropriate. In this case, the Agency considers it appropriate to grant the subject approval until April 6, 2004.
Accordingly, the Agency, pursuant to paragraph 60(1)(b) of the CTA and section 8.2 of the ATR, hereby approves the use by Air Canada of aircraft and flight crew provided by Spanair, and the provision by Spanair of such aircraft and flight crew to Air Canada, to permit Air Canada, while providing its scheduled international air service between Canada and Spain, to sell transportation in its own name on flights operated by Spanair between points in Spain, from April 7, 2002 to April 6, 2004, subject to the following conditions:
- Air Canada shall continue to hold the required licence authority.
- Air transportation using Air Canada's code on flights operated by Spanair between points in Spain shall not be sold separately and shall only be available to traffic carried on an international journey between Canada and Spain.
- Air Canada shall apply its published tariff, on file with the Agency and 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 tariff.
- The air services approved herein shall only be provided as long as the Code-share Agreement between Air Canada and Spanair dated February 28, 2002 providing for such services remains in effect.
Air Canada and Spanair are reminded to advise the Agency in advance of any changes to the information provided in support of the subject application.
Air Canada and Spanair are further reminded of the continuing requirement to comply with sections 8.2 and 8.5 of the ATR.
The approval granted herein does not exempt Air Canada from the requirements of other legislative acts or regulations, including those of Transport Canada.
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