Decision No. 241-A-1998

May 22, 1998

File No. M4835-2-3

Docket No. 980338AG

Air Canada, on behalf of itself and Finnair OY, has applied to the Canadian Transportation Agency (hereinafter the Agency) for the approval set out in the title. The application was received on April 6, 1998.

Under Licence No. 975047, Air Canada is authorized to operate a scheduled international service on the route(s) set out in the Agreement between the Government of Canada and the Government of Finland for Air Services between and beyond their respective territories signed on May 28, 1990 (hereinafter the Agreement).

Under Licence No. 975122, Finnair OY is authorized to operate a scheduled international service on the route(s) set out in the Agreement.

The Agency has reviewed and considered the application and the material filed in support thereof and is satisfied that they meet the requirements set out in section 8.2 of the Air Transportation Regulations (hereinafter the ATR). Accordingly, the Agency, pursuant to paragraph 60(1)(b) of the Canada Transportation Act and section 8.2 of the ATR, hereby approves the use by Air Canada of aircraft and crew provided by Finnair OY, and the provision by Finnair OY of such aircraft and crew to Air Canada so that Air Canada may block space and sell transportation in its own name on flights operated by Finnair OY between Toronto and Helsinki. This approval is granted for the period from May 23, 1998 until September 9, 1998, subject to the following conditions:

1. Air Canada and Finnair OY shall continue to hold the required licence authorities.
2. Each air carrier shall apply its published tariffs, on file with the Agency and in effect, to the carriage of its traffic. In particular, nothing in any commercial agreement between the two air carriers relating to limits of liability shall diminish the rights of passengers as stated in such tariffs.
3. Air Canada and Finnair OY shall notify the Agency, by means of Service Schedules or otherwise, of any changes in aircraft type, frequency or normal allotment of space at least ten (10) days prior to the effective date of the changes.

Air Canada and Finnair OY are 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 and Finnair OY from the requirements of other legislative acts or regulations, including those of Transport Canada.