``scheduled international service''
« service international régulier »

``scheduled international service'' means an international service that is a scheduled service pursuant to

      (a) an agreement or arrangement for the provision of that service to which Canada is a party, or

      (b) a determination made under section 70;

``tariff''
« tarif »

``tariff'' means a schedule of fares, rates, charges and terms and conditions of carriage applicable to the provision of an air service and other incidental services.

Non-
application of Part

56. (1) This Part does not apply to aircraft that are used by the Canadian Armed Forces or by any other armed forces cooperating with the Canadian Armed Forces and that bear the insignia or markings of the Canadian Armed Forces or those other armed forces.

Specialty service exclusion

(2) This Part does not apply to the operation of an air flight training service, aerial inspection service, aerial construction service, aerial photography service, aerial forest fire management service, aerial spraying service or any other prescribed air service.

Prohibitions

Prohibition re operation

57. No person shall operate an air service unless, in respect of that service, the person

    (a) holds a licence issued under this Part;

    (b) holds a Canadian aviation document; and

    (c) has the prescribed liability insurance coverage.

Licence not transferable

58. A licence issued under this Part for the operation of an air service is not transferable.

Prohibition re sale

59. No person shall sell, cause to be sold or publicly offer for sale in Canada an air service unless, where required under this Part, the person holds a licence issued under this Part in respect of that service.

Provision of aircraft with flight crew

60. (1) No person shall provide all or part of an aircraft, with a flight crew, to a licensee for the purpose of providing an air service pursuant to the licensee's licence and no licensee shall provide an air service using all or part of an aircraft, with a flight crew, provided by another person except

    (a) in accordance with regulations made by the Agency respecting disclosure of the identity of the operator of the aircraft and other related matters; and

    (b) where prescribed, with the approval of the Agency.

Conditions and Ministerial directions

(2) Approval by the Agency under subsection (1) is subject to any directions to the Agency issued by the Minister and to any terms and conditions that the Agency may specify in the approval, including terms and conditions respecting routes to be followed, points or areas to be served, size and type of aircraft to be operated, schedules, places of call, tariffs, fares, rates and charges, insurance, carriage of passengers and, subject to the Canada Post Corporation Act, carriage of goods.

Licence for Domestic Service

Issue of licence

61. On application to the Agency and on payment of the specified fee, the Agency shall issue a licence to operate a domestic service to the applicant if

    (a) the applicant establishes in the application to the satisfaction of the Agency that the applicant

      (i) is a Canadian,

      (ii) holds a Canadian aviation document in respect of the service to be provided under the licence,

      (iii) has the prescribed liability insurance coverage in respect of the service to be provided under the licence, and

      (iv) meets prescribed financial requirements; and

    (b) the Agency is satisfied that the applicant has not contravened section 59 in respect of a domestic service within the preceding twelve months.

Qualification exemption

62. Where the Minister considers it necessary or advisable in the public interest that a domestic licence be issued to a person who is not a Canadian, the Minister may, by order, on such terms and conditions as may be specified in the order, exempt the person from the application of subparagraph 61(a)(i) for the duration of the order.

Mandatory suspension or cancellation

63. (1) The Agency shall suspend or cancel the domestic licence of a person where the Agency determines that, in respect of the service for which the licence was issued, the person ceases to meet any of the requirements of subparagraphs 61(a)(i) to (iii).

Discretionary suspension or cancellation

(2) The Agency may suspend or cancel a domestic licence

    (a) where the Agency determines that, in respect of the service for which the domestic licence was issued, the licensee has contravened, or does not meet the requirements of, any regulation or order made under this Part or any provision of this Part other than subparagraphs 61(a)(i) to (iii); or

    (b) subject to section 64, in accordance with a request from the licensee for the suspension or cancellation.

Reinstate-
ment condition

(3) The Agency shall not reinstate a domestic licence that has been suspended for sixty days or longer unless the licensee establishes to the satisfaction of the Agency that the person meets the prescribed financial requirements.

Notice of disconti-
nuance or reduction of certain services

64. (1) Where a licensee proposes to discontinue a domestic service or to reduce the frequency of such a service to a point to less than one flight per week and, as a result of the proposed discontinuance or reduction, there will be only one licensee or no licensee offering at least one flight per week to that point, the licensee shall give notice of the proposal in prescribed form and manner to such persons as are prescribed.

Notice period

(2) A licensee shall not implement a proposal referred to in subsection (1) until the expiration of sixty days after the notice is given or until the expiration of such shorter period as the Agency may, on application by the licensee, specify by order.

Considera-
tions re whether exemption to be granted

(3) In considering whether to specify a shorter period pursuant to subsection (2), the Agency shall have regard to

    (a) the adequacy of alternative modes of public transportation available at or in the vicinity of the point referred to in subsection (1);

    (b) other means by which the point served by the service is or is likely to be served by air; and

    (c) the particular circumstances of the licensee.

Complaints re non-
compliance

65. Where, on complaint in writing to the Agency by any person, the Agency finds that a licensee has failed to comply with section 64 and that it is practicable in the circumstances for the licensee to comply with an order under this section, the Agency may, by order, direct the licensee to reinstate the service referred to in that section

    (a) for such a period, not exceeding sixty days after the date of the finding by the Agency, as the Agency deems appropriate; and

    (b) at such a frequency as the Agency may specify.

Disallowance or reduction of basic fare or increase

66. Where, on complaint in writing to the Agency by any person, the Agency finds that a licensee who is the only person providing a domestic service has imposed an unreasonable basic fare or increase in the basic fare in respect of the service, the Agency may, by order,

    (a) disallow the basic fare or increase;

    (b) direct the licensee to reduce the basic fare or increase by such amounts and for such periods as the Agency considers reasonable in the circumstances; or

    (c) direct the licensee, where practicable, to refund amounts specified by the Agency, with interest calculated in the manner prescribed, to persons determined by the Agency to have been overcharged by the licensee as a result of the increase in the basic fare.

Tariffs to be made public

67. (1) The holder of a domestic licence shall

    (a) publish or display and make available for public inspection at the business offices of the licensee all the tariffs for the domestic service offered by the licensee;

    (b) in its tariffs, specifically identify the basic fare between all points for which a domestic service is offered by the licensee; and

    (c) retain a record of its tariffs for a period of not less than three years after the tariffs have ceased to have effect.

Prescribed tariff information to be included

(2) A tariff referred to in subsection (1) shall include such information as may be prescribed.

No fares, etc., unless set out in tariff

(3) The holder of a domestic licence shall not impose any fare, rate or charge for the domestic service offered by it unless the fare, rate or charge is set out in a tariff that has been published or displayed pursuant to subsection (1) and is in effect.

Copy of tariff on payment of fee

(4) The holder of a domestic licence shall provide a copy or excerpt of its tariffs to any person on request and on payment of a fee not exceeding the cost of making the copy or excerpt.

Non-
application of fares, etc.

68. (1) Sections 66 and 67 do not apply in respect of fares, rates, charges or terms and conditions of carriage applicable to a domestic service provided for under a contract between a holder of a domestic licence and another person whereby the parties to the contract agree to keep its provisions confidential.

Retention of contract required

(2) The holder of a domestic licence who is a party to a contract referred to in subsection (1) shall retain a copy of the contract for a period of not less than three years after it has ceased to have effect.

Licence for Scheduled International Service

Issue of licence

69. (1) On application to the Agency and on payment of the specified fee, the Agency shall issue a licence to operate a scheduled international service to the applicant if

    (a) the applicant establishes in the application to the satisfaction of the Agency that the applicant

      (i) is, pursuant to subsection (2) or (3), eligible to hold the licence,

      (ii) holds a Canadian aviation document in respect of the service to be provided under the licence,

      (iii) has the prescribed liability insurance coverage in respect of the service to be provided under the licence, and

      (iv) where the applicant is a Canadian, meets the prescribed financial requirements; and

    (b) the Agency is satisfied that the applicant has not contravened section 59 in respect of the service to be provided under the licence within the preceding twelve months.

Eligibility of Canadians

(2) The Minister may, in writing to the Agency, designate any Canadian as eligible to hold a scheduled international licence and, while the designation remains in force, that Canadian remains so eligible.

Eligibility of non-
Canadians

(3) A non-Canadian is eligible to hold a scheduled international licence if the non-Canadian

    (a) has been designated by a foreign government or an agent of a foreign government to operate an air service under the terms of an agreement or arrangement between that government and the Government of Canada; and

    (b) holds, in respect of the air service, a document issued by a foreign government or agent that, in respect of the service to be provided under the document, is equivalent to a scheduled international licence.

Determi-
nation of scheduled international service

70. The Minister may, in writing to the Agency,

    (a) determine that an international service is a scheduled international service; or

    (b) withdraw a determination made under paragraph (a).

Terms and conditions of scheduled international licence

71. (1) Subject to any directions issued to the Agency under section 76, the Agency may, on the issuance of a scheduled international licence or from time to time thereafter, make the licence subject, in addition to any terms and conditions prescribed in respect of the licence, to such terms and conditions as the Agency deems to be consistent with the agreement, convention or arrangement pursuant to which the licence is being issued, including terms and conditions respecting routes to be followed, points or areas to be served, size and type of aircraft to be operated, schedules, places of call, tariffs, fares, rates and charges, insurance, carriage of passengers and, subject to the Canada Post Corporation Act, carriage of goods.

Compliance with terms and conditions

(2) The holder of a scheduled international licence shall comply with every term and condition to which the licence is subject.

Mandatory suspension or cancellation

72. (1) The Agency shall suspend or cancel a scheduled international licence where the Agency determines that, in respect of the service for which the licence was issued, the licensee ceases to meet any of the requirements of subparagraphs 69(1)(a)(i) to (iii).

Discretionary suspension or cancellation

(2) The Agency may suspend or cancel a scheduled international licence

    (a) where the Agency determines that, in respect of the service for which the licence was issued, the licensee has contravened, or does not meet the requirements of, any regulation or order made under this Part or any provision of this Part other than subparagraphs 69(1)(a)(i) to (iii); or

    (b) in accordance with a request from the licensee for the suspension or cancellation.

Reinstate-
ment condition

(3) The Agency shall not reinstate the scheduled international licence of a Canadian that has been suspended for sixty days or longer unless the Canadian establishes to the satisfaction of the Agency that the Canadian meets the prescribed financial requirements.