Decision No. 518-A-2008
October 16, 2008
APPLICATION by Air Canada, on behalf of itself and Corsair, pursuant to subsection 78(2) and 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 extra-bilateral authority and approval to permit Corsair to provide its scheduled international service on licenced routes between Canada and France by selling transportation in its own name on flights operated by Air Canada from each of Toronto and Montréal to Paris, commencing on October 26, 2008.
File No. M4835-2-57
Air Canada, on behalf of itself and Corsair, has applied to the Canadian Transportation Agency (the Agency) for the authority and approval set out in the title. The application was complete on October 8, 2008.
The Agency notes that this application is a renewal of part of the approval granted by Decision No. 151-A-2008 dated April 3, 2008.
Under Licence No. 975149, Corsair is authorized to operate a scheduled international service in accordance with the Agreement between the Government of Canada and the Government of the French Republic on Air Transport, signed on June 15, 1976, as amended (the Agreement).
Condition No. 2 of Licence No. 975149 reads as follows:
The operation of the scheduled international service authorized herein shall be conducted subject to the provisions of the Agreement and to any applicable arrangements as may be agreed to between Canada and France.
The Agency has reviewed and considered the application and the material filed in support thereof.
Air Canada and Corsair are requesting extra-bilateral authority to permit Corsair to provide its scheduled international service on licenced routes between Canada and France by selling transportation in its own name on flights operated by Air Canada from each of Toronto and Montréal to Paris, commencing on October 26, 2008. Under the terms of the Agreement, there is no provision for code-sharing services.
Due to the extra-bilateral nature of the application, the Agency, by letter dated September 12, 2008, gave notice of the application to parties that may have an interest, namely, Air Transat A.T. Inc., carrying on business as Air Transat, Skyservice Airlines Inc. carrying on business as Skyservice, the Montréal Pierre Elliott Trudeau International Airport (Montréal Airport) and the Greater Toronto Airports Authority (Toronto Airport). The Montréal Airport filed an intervention in support of the application and the Toronto Airport, in its intervention, advised that it does not oppose granting extra-bilateral authority. No other interventions were received.
In its consideration of this application, the Agency has determined that to operate as proposed, Condition No. 2 of Licence No. 975149 must be varied to allow for the provision of services not permitted under the Agreement.
With respect to the duration of the approval and the licence condition variance that would permit the operation of the proposed services, the Agency is prepared to grant approval and licence condition variance to Corsair from October 26, 2008 to the end of the 2008-2009 IATA Winter season, i.e., until March 28, 2009.
Accordingly, the Agency, pursuant to subsection 78(2) of the Canada Transportation Act (the CTA), hereby varies Condition No. 2 of Licence No. 975149 to the extent necessary to authorize Corsair to provide its scheduled service between Canada and France by selling transportation in its own name on flights operated by Air Canada between each of Toronto and Montréal to Paris, from October 26, 2008 to March 28, 2009.
With respect to the request for approval under section 60 of the CTA and section 8.2 of the Air Transportation Regulations (the ATR), the Agency is satisfied that the application meets the requirements of section 8.2 of the ATR.
Accordingly, the Agency hereby approves the use by Corsair of aircraft and flight crew provided by Air Canada, and the provision by Air Canada of such aircraft and flight crew to Corsair, to permit Corsair to provide its scheduled international service on licensed routes between Canada and France by selling transportation in its own name on flights operated by Air Canada between each of Toronto and Montréal and Paris, from October 26, 2008 to March 28, 2009.
This approval is subject to the following conditions:
- Corsair shall continue to hold the required licence authority.
- The carriage of local traffic between points in Canada is prohibited.
- Corsair shall apply its published tariff, 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 a code-sharing agreement providing for such services remains in effect.
- The approvals granted herein do not apply to the carriage of cargo.
Air Canada and Corsair are reminded of the continuing requirement to comply with sections 8.2 and 8.5 of the ATR.
Air Canada and Corsair are further reminded to provide the Agency with a copy of new agreement or any amendment to their commercial agreement, including any new or amended annex, without delay.
The authority and approval granted herein do not exempt Air Canada and Corsair from the requirements of other legislative acts or regulations, including those of Transport Canada.
This Decision shall form part of Licence No. 975149 and shall remain affixed thereto until March 28, 2009.
Members
- John Scott
- J. Mark MacKeigan
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