Order No. 2012-A-36

ABC Aerolineas, S.A. de C.V. carrying on business as Interjet (Licensee) has applied to the Canadian Transportation Agency (Agency) for exemptions from the Air Transportation Regulations (ATR) where provisions of the ATR conflict with the Government of Canada’s Policy for International Passenger Charter Air Services (Passenger Policy) announced by the Minister of Transport on April 4, 2000.

The Licensee is licensed to operate a non‑scheduled international service to transport traffic on a charter basis between Mexico and Canada.

The Agency is in the process of amending the ATR to ensure that they conform with the Passenger Policy. In the interim, the Minister of Transport has asked the Agency to take measures to implement the policy while the amendments to the ATR are being developed.

The Agency finds that, in light of the Passenger Policy, compliance by the Licensee with certain provisions of the ATR is unnecessary in this case.

Accordingly, the Agency, pursuant to paragraph 80(1)(c) of the Canada Transportation Act, S.C., 1996, c. 10, as amended, exempts the Licensee from the application of the following provisions of the ATR with respect to each charter type operated pursuant to its licence, from the date of this Order until such time as the amendments to the ATR are promulgated, subject to the terms and conditions set out below, as well as to any terms and conditions contained in any charter program permit issued to the Licensee by the Agency in relation to this Order:

1. In respect of international passenger charters of the Advance Booking (ABC), Inclusive Tour (ITC), Common Purpose (CPC) and Advance Booking/Inclusive Tour (ABC/ITC) types, the provisions of Part III of the ATR which require that:
1. an ABC be sold to the public not later than a specified number of days prior to the date of departure;
2. an air carrier provide return air transportation;
3. tariffs filed with the Agency include rates to be charged for the charter of aircraft;
4. return transportation not be commenced prior to a certain number of days following the day of departure from the point of origin;
5. a minimum price per seat be charged for charter transportation (floor price rule); and
6. Canadian air carriers be given the right of first refusal in respect of fifth freedom CPCs proposed to be operated by non-Canadian air carriers.
2. In respect of international entity charters, the provisions of Part III of the ATR that:
1. restrict the number of charterers to one;
2. grant Canadian air carriers the right of first refusal in respect of fifth freedom entity charters proposed to be operated by non-Canadian air carriers;
3. require that an affidavit of the charterer be filed with the Agency verifying the information set out in paragraph 34(1)(c) of the ATR; and
4. require tariffs filed with the Agency to include rates to be charged for the charter of aircraft in respect of entity passenger charters.

Terms and Conditions of Exemption Order

1. Not more than three charterers will be permitted for entity passenger charters.
2. The entire capacity of an aircraft must be chartered.
3. The direct sale of charter seats by the licensee to the public is prohibited.
4. Advance payments made for charter transportation shall be protected in accordance with the ATR.
5. The Passenger Policy envisages that foreign charter carriers should have the ability to operate under the same conditions as Canadian charter carriers, provided acceptable reciprocity exists for Canadian carriers.