Decision No. 620-A-1998
December 15, 1998
APPLICATION by Canadian Airlines International Ltd. carrying on business under the firm name and style of either Canadian Airlines International or Canadi*n (hereinafter Canadi*n), on behalf of itself and American Airlines, Inc. (hereinafter American), for an 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 Canadi*n, while providing its scheduled international service between Canada and Mexico, to sell transportation in its own name and apply its own code to flights operated by American between points in the United States of America and points in Mexico as part of a continuous journey under Canadi*n's code between points in Canada and points in Mexico, for a three-year period commencing December 28, 1998.
File No. M4835-3-21-8
Docket No. 980123AG
Canadi*n, on behalf of itself and American, has applied to the Canadian Transportation Agency (hereinafter the Agency) for the approval set out in the title. The application was received on November 13, 1998.
Under Licence No. 975013, Canadi*n is authorized to operate a scheduled international service in accordance with the Air Transport Agreement between the Government of Canada and the Government of the United Mexican States signed on December 21, 1961 (hereinafter the Agreement).
The Agency notes that Canadi*n and American already hold approval by the Agency to code share on each other's services between points in Canada and points in the United States of America, and that the approval requested would allow Canadi*n to provide additional service between Canada and Mexico by applying its code and selling transportation in its own name on American's flights between the United States of America and Mexico.
The Agency has reviewed and considered the application and the material filed in support thereof, and is satisfied that it meets the requirements set out in section 8.2 of the Air Transportation Regulations, SOR/88-58, as amended (hereinafter the ATR).
Accordingly, the Agency, pursuant to paragraph 60(1)(b) of the Canada Transportation Act (hereinafter the CTA) and section 8.2 of the ATR hereby approves the use by Canadi*n of aircraft and crew belonging to American, and the provision by American of such aircraft and crew to Canadi*n to permit Canadi*n, while providing its scheduled international service between Canada and Mexico, to sell transportation in its own name and apply its own code on flights operated by American between points in the United States and points in Mexico for the carriage of Canadi*n's traffic as part of a continuous journey under Canadi*n's code between points in Canada and points in the Mexico, for a three-year period commencing December 28, 1998, subject to the following conditions:
- Canadi*n and American shall continue to hold the required licence authorities.
- Air transportation using Canadi*n's code on American's flights between points in the United States of America and Mexico shall not be sold separately and shall only be available to Canadi*n's traffic carried on a continuous journey between Canada and Mexico.
- Canadian shall apply its published tariffs, on file with the Agency and in effect, to the carriage of its traffic between Canada and Mexico. 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.
Canadi*n and American 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 Canadi*n and American from the requirements of other legislative acts or regulations, including those of Transport Canada.
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