Competitive line rate provisions binding on Agency	(3) If a shipper and a company agree under subsection 136(4) on the manner in which the service obligations are to be fulfilled by the local carrier, the terms of the agreement are binding on the Agency in making its determination.
Orders of Agency	(4) If the Agency determines that a company is not fulfilling any of its service obligations, the Agency may
	(a) order that
	(i) specific works be constructed or carried out,
	(ii) property be acquired,
	(iii) cars, motive power or other equipment be allotted, distributed, used or moved as specified by the Agency, or
	(iv) any specified steps, systems or methods be taken or followed by the company;
	(b) specify in the order the maximum charges that may be made by the company in respect of the matter so ordered; or
	(c) order the company to fulfil that obligation in any manner and within any time or during any period that the Agency deems expedient, having regard to all proper interests, and specify the particulars of the obligation to be fulfilled.
Right of action on default	(5) Every person aggrieved by any neglect or refusal of a company to fulfil its service obligations has, subject to this Act, an action for the neglect or refusal against the company.
Company not relieved	(6) Subject to the terms of a confidential contract referred to in subsection 113(4) or a tariff setting out a competitive line rate referred to in subsection 136(4), a company is not relieved from an action taken under subsection (5) by any notice, condition or declaration if the damage claimed in the action arises from any negligence or omission of the company or any of its employees.
	Tariffs - General
Rates to be charged	117. (1) Subject to section 126, a railway company shall not charge a rate in respect of the movement of traffic or passengers unless the rate is set out in a tariff that has been issued and published in accordance with this Division and is in effect.
Tariff to include prescribed information	(2) The tariff must include any information that the Agency may prescribe by regulation.
Publication of tariff	(3) The railway company shall publish and either publicly display the tariff or make it available for public inspection at its offices.
Copy of tariff on payment of fee	(4) The railway company shall provide a copy of the tariff, or any portion of it, to any person who requests it and pays a fee not exceeding the cost of making the copy.
Record of tariff	(5) The railway company shall keep a record of the tariff for at least three years after its cancellation.
	Tariffs - Freight
Freight tariff requested by shipper	118. A railway company shall, at the request of a shipper, issue a tariff in respect of the movement of traffic on its railway.
Increasing rates in freight tariff	119. (1) A railway company that proposes to increase a rate in a tariff for the movement of traffic shall publish a notice of the increase at least twenty days before its effective date.
Effect of freight tariff	(2) If a railway company issues and publishes a tariff of rates for the movement of traffic in accordance with this Division and Division VI,
	(a) the rates are the lawful rates of the railway company and, subject to subsection (1), they take effect on the date stated in the tariff;
	(b) the tariff supersedes any preceding tariff or any portion of it in so far as any rate in the tariff is varied; and
	(c) a railway company that owns or operates a railway line in respect of which the tariff is issued shall charge the rates in the tariff until they expire or until the tariff is superseded by a new tariff.
Application to vessels	120. The provisions of this Division relating to tariffs, in so far as the Agency considers them applicable, apply to traffic carried by a railway company by water between ports or places in Canada if the company owns, charters, uses, maintains or operates vessels for carrying traffic by water between ports or places in Canada, or is a party to an arrangement for using, maintaining or operating vessels for that purpose.
	Joint Rates
Continuous route in Canada	121. (1) If traffic is to move over a continuous route in Canada and portions of it are operated by two or more railway companies, the companies shall, at the request of a shipper intending to move the traffic,
	(a) agree on a joint tariff for the continuous route and on the apportionment of the rate in the joint tariff; or
	(b) enter into a confidential contract for the continuous route.
Agency may decide if no agreement	(2) If the railway companies fail to agree or to enter into a confidential contract, the Agency, on the application of the shipper, may
	(a) direct the companies, within any time that the Agency may specify, to agree on a joint tariff for the continuous route and an apportionment of the rate that is satisfactory to the Agency; or
	(b) within ninety days after the application is received by the Agency,
	(i) determine the route and the rate and apportion the rate among the companies, and
	(ii) determine the dates, not earlier than the date of receipt by the Agency of the application, when the rate comes into effect and when it must be published.
Refund to shipper	(3) If the Agency determines a rate under paragraph (2)(b), the companies that operate the route shall pay a shipper who moved traffic over the route an amount equal to the difference, if any, between the rate that was paid by the shipper and the rate determined by the Agency, applicable to all movements of traffic by the shipper over the route from the date on which the application was made to the date on which the determined rate comes into effect.
Publication requirements for joint tariff or rate	122. (1) If a joint tariff or rate is agreed on or determined under section 121, the requirements of this Division for the publication of the tariff or rate apply only to the railway company operating the railway line on which the movement of the traffic originates.
Publication of subsection 121(2) tariff or rate	(2) A joint tariff or rate agreed on or determined under subsection 121(2) must be published without delay, or within any additional time that the Agency may specify.
Publication of joint tariff - from Canada to or through foreign country	123. If traffic is to move over a continuous route from a point in Canada through a foreign country into Canada, or from a point in Canada to a foreign country, and the continuous route is operated by two or more railway companies, the requirements of this Division for the publication of an applicable joint tariff apply only to the railway company operating the railway line on which the movement of the traffic originates.
Publication of joint tariff - from foreign country to or through Canada	124. If traffic is to move over a continuous route from a point in a foreign country into Canada, or from a foreign country through Canada into a foreign country, and the continuous route is operated by two or more companies, the requirements of this Division for the publication of an applicable joint tariff apply only to the railway company operating the railway line on which the traffic is first moved in Canada.
Continuous carriage not to be prevented	125. (1) No railway company shall, by any combination, contract or agreement, express or implied, or by any other means, prevent traffic from being moved on a continuous route from the point of origin to the point of destination.
Break in bulk, etc.	(2) A break in bulk, stop or interruption made by a railway company does not prevent the movement of traffic from being treated, for the purposes of sections 121 to 124, as one continuous movement from the point of origin to the point of destination, if the break, stop or interruption was made in good faith for a necessary purpose and without intent to avoid or unnecessarily interrupt the continuous movement or to evade the provisions of this Division.
Agency may require information	(3) The Agency may direct a railway company operating on a continuous route to inform the Agency of the proportion of the rates that the railway company, or any other company operating on the continuous route, is to receive or has received under a joint tariff or confidential contract applicable to the route.
	Confidential Contracts
Confidential contracts	126. (1) A railway company may enter into a contract with a shipper that the parties agree to keep confidential respecting
	(a) the rates to be charged by the company to the shipper;
	(b) reductions or allowances pertaining to rates in tariffs that have been issued and published in accordance with this Division;
	(c) rebates or allowances pertaining to rates in tariffs or confidential contracts that have previously been lawfully charged;
	(d) any conditions relating to the traffic to be moved by the company; and
	(e) the manner in which the company shall fulfill its service obligations under section 113.
No investigation or arbitration of confidential contracts	(2) No party to a confidential contract is entitled to submit a matter governed by the contract to the Agency for final offer arbitration under section 161, without the consent of all the parties to the contract.
	Interswitching
Application to interswitch traffic between connecting lines	127. (1) If a railway line of one railway company connects with a railway line of another railway company, an application for an interswitching order may be made to the Agency by either company, by a municipal government or by any other interested person.
Order	(2) The Agency may order the railway companies to provide reasonable facilities for the convenient interswitching of traffic in both directions at an interchange between the lines of either railway and those of other railway companies connecting with them.
Interswit- ching limits	(3) If the point of origin or destination of a continuous movement of traffic is within a radius of 30 km, or a prescribed greater distance, of an interchange, a railway company shall not transfer the traffic at the interchange except in accordance with the regulations.
Extension of interswit- ching limits	(4) On the application of a person referred to in subsection (1), the Agency may deem a point of origin or destination of a movement of traffic in any particular case to be within 30 km, or a prescribed greater distance, of an interchange, if the Agency is of the opinion that, in the circumstances, the point of origin or destination is reasonably close to the interchange.
Regulations	128. (1) The Agency may make regulations
	(a) prescribing terms and conditions governing the interswitching of traffic, other than terms and conditions relating to safety;
	(b) determining the rate per car to be charged for interswitching traffic, or prescribing the manner of determining that rate, including the adjustments to be made to that rate as a result of changes in costs, and establishing distance zones for those purposes; and
	(c) prescribing, for the purposes of subsections 127(3) and (4), a greater distance than 30 km from an interchange.
Cost savings to be considered	(2) In determining an interswitching rate, the Agency shall take into consideration any reduction in costs that, in the opinion of the Agency, results from moving a greater number of cars or from transferring several cars at the same time.
Limit on rate	(3) In determining an interswitching rate, the Agency shall consider the average variable costs of all movements of traffic that are subject to the rate and the rate must not be less than the variable costs of moving the traffic, as determined by the Agency.
Transfer of lines does not affect entitlement	(4) For greater certainty, the transfer of a railway line, or an operating interest in it, under Division V or section 158 of the National Transportation Act, 1987 does not affect any entitlement to an interswitching rate.
Review of interswit- ching regulations	(5) The Agency shall review the regulations when the circumstances warrant and at least once in every five year period after the regulations are made.
	Competitive Line Rates
Application	129. (1) Sections 130 to 136 apply where
	(a) a shipper has access to the lines of only one railway company at the point of origin or destination of the movement of the shipper's traffic; and
	(b) a continuous route between those points is operated by two or more companies.
Transferred railway lines	(2) For greater certainty, the transfer of a railway line, or an operating interest in it, under Division V or section 158 of the National Transportation Act, 1987 does not affect the right of a shipper to obtain a competitive line rate under sections 130 to 136.
When competitive line rate to be established on shipper's request	130. (1) Subject to section 131, the local carrier serving the shipper at the point of origin or destination, as the case may be, shall, on the request of the shipper, establish a competitive line rate applicable to the movement of the traffic between the point of origin or destination, whichever is served exclusively by the local carrier, and the nearest interchange with a connecting carrier.
Requirement unaffected by extent of carrier's capability	(2) The local carrier shall establish the competitive line rate even if it is able to move the traffic over the whole of the continuous route or a portion of that route that is longer than the portion in respect of which the competitive line rate is to apply.
Designation of route by shipper	(3) The shipper may designate the continuous route for the movement of the shipper's traffic from the point of origin to the point of destination.
Route within Canada	(4) If the ultimate point of destination of a movement of the shipper's traffic is in Canada, the shipper shall designate a route wholly within Canada, unless there is no cost-effective continuous route wholly within Canada that is available to the shipper and over which it is reasonable to move the shipper's traffic.
Export and import	(5) For the purposes of this section,
	(a) if the point of destination of a movement of traffic is a port in Canada for export out of Canada, that port is the ultimate point of destination in Canada; and
	(b) if the point of origin of a movement of traffic is a port in Canada for import into Canada, that port is the point of origin.
Nearest interchange	(6) For the purposes of subsection (1), the nearest interchange is the one nearest the point of origin or destination, whichever is served exclusively by the local carrier, in the reasonable direction of the movement of the traffic from the point of origin to the point of destination on the continuous route designated by the shipper, unless the local carrier can demonstrate that the interchange cannot be used for engineering reasons.
Shipper and connecting carriers must agree	131. (1) A competitive line rate must not be established unless the shipper agrees with the connecting carrier, and with any other company, other than the local carrier, that moves traffic over a portion of the continuous route, on the terms and conditions governing their movement of the traffic, including the applicable rate.
No other rate applies	(2) If an interswitching rate determined under paragraph 128(1)(b) is available for a portion of the route operated by the local carrier, no other rate may be applied to that portion of the route.
Movement on flat cars or less than carload traffic	(3) A competitive line rate must not be established for the movement of trailers on flat cars, containers on flat cars or less than carload traffic, unless they arrive at a port in Canada by water for movement by rail or by rail for movement by water.
Maximum portion of traffic	(4) The portion of a movement of traffic in respect of which a competitive line rate may be established must not exceed 50 per cent of the total number of kilometres over which the traffic is moved by rail or 1 200 km, whichever is greater.
Exception	(5) On application of a shipper, the Agency may establish a competitive line rate for a greater portion of a movement of traffic if the Agency is satisfied that no interchange exists within the maximum portion referred to in subsection (4).
No other rates may be established	(6) If a competitive line rate has been established for a movement of traffic of a shipper, no other competitive line rate may be established in respect of that movement while the rate is in effect.