Decision No. 305-A-2011

Countryview Farms Greenhouses & Nursery Ltd. carrying on business as Countryview Farms Helicopter Air Services (applicant) has applied to the Canadian Transportation Agency (Agency) for a licence to operate a domestic service, small aircraft.

The Agency is satisfied that the applicant meets all the applicable requirements of paragraph 61(a) of the Canada Transportation Act (CTA).

In order for a licence to be issued, the Agency must also be satisfied, as provided for in paragraph 61(b) of the CTA, that the applicant has not contravened section 59 of the CTA within the preceding twelve months.

However, the Agency, pursuant to subsection 79(2) of the CTA, has discretion to issue a licence notwithstanding a contravention.

In this regard, the Agency notes that an enforcement officer designated pursuant to subsection 178(1) of the CTA issued a warning letter on May 19, 2011. This was in response to an alleged violation of section 59 of the CTA as the applicant had advertised through its Web site a publicly available air service.

Therefore, the applicant is not in a position to attest that it did not contravene section 59 of the CTA within the preceding twelve months.

On June 13, 2011, the applicant filed an explanation for the violation of section 59 of the CTA. The applicant advises that it did not willfully try to neglect the laws or conditions governing the advertisement posted on its Web site. The applicant first modified its Web site to indicate that its service would be "available soon", but when advised by the enforcement officer that any advertisements had to be removed from its Web site, the applicant did so immediately. Also, the applicant has undertaken, in respect of the applied for air service, that it will not contravene section 59 of the CTA prior to the issuance of the licence.

The Agency has reviewed this matter and finds that the applicant's failure to obtain a licence before offering the service was not a wilful attempt to avoid compliance with legislative and regulatory requirements, as evidenced by the filing of this application.

In light of the foregoing, the Agency will not refuse to issue a licence to the applicant even though it contravened section 59 of the CTA.

However, as provided for in section 59 of the CTA, the applicant should be aware that the Agency considers contraventions of provisions of the CTA or the Air Transportation Regulations, SOR/88-58, as amended, to be serious and will take appropriate punitive action should any such contraventions occur in the future.

Accordingly, the Agency will issue to the applicant a licence to operate a domestic service, small aircraft.