Bill C-26

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First Reading

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	(ii) has a contract that meets the prescribed requirements with the holder of a domestic licence 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,
	(iv) meets the prescribed financial requirements, and
	(v) intends to represent themself to the public as operating the service to be provided under the licence; and
	(b) the Agency is satisfied that the applicant has not contravened section 59 in respect of a domestic service within the preceding 12 months.
Qualification exemption	68.2 If the Minister considers it necessary or advisable in the public interest that a domestic service provider licence be issued to a person who is not a Canadian, the Minister may on any terms and conditions, and for any period, that the Minister may specify exempt the person from the application of subparagraph 68.1(a)(i).
Mandatory suspension or cancellation	68.3 The Agency shall suspend or cancel the domestic service provider licence of a person if the Agency is satisfied that, in respect of the service for which the licence was issued, the person has ceased to meet any of the requirements of subparagraphs 68.1(a)(i) to (iii).
Applicable sections	68.4 Subsections 63(2) and (3) and sections 64 to 68 apply, with any modifications that the circumstances require, to the holder of a domestic service provider licence.
	25. (1) Section 73 of the Act is amended by adding the following after subsection (1):
Public interest	(1.1) Despite subsection (1) and subject to any directions issued under section 76, the Agency may refuse to issue a licence under that subsection if, in the opinion of the Agency, it is in the public interest to do so.
	(2) Section 73 of the Act is amended by adding the following after subsection (2):
Public interest	(2.1) Subject to any directions issued under section 76, the Agency may refuse to issue a licence under subsection (2) if, in the opinion of the Agency, it is in the public interest to do so.
	26. The Act is amended by adding the following after section 75:
	Issuance of International Charter Permits
Issuance, amendment and cancellation of permits	75.1 The issuance of a permit for the operation of an international charter to a licensee and the amendment or cancellation of the permit shall be made in accordance with regulations made under paragraph 86(1)(e).
Public interest	75.2 Subject to any directions issued to the Agency under section 76, the Agency may refuse to issue a permit for the operation of an international charter to a licensee if, in the opinion of the Agency, it is in the public interest to do so.
2000, c. 15, s. 7.1	27. Subsection 85.1(1) of the Act is replaced by the following:
Designation	85.1 (1) The Minister shall designate a member to act as the Air Travel Complaints Commissioner for the purposes of this section.
	28. (1) The Act is amended by adding the following after section 85.1:
	Agreements
Obligation	85.2 (1) If a holder of a domestic licence or a domestic service provider licence requests another holder of a domestic licence or a domestic service provider licence to enter into an agreement with them on one of the following matters and for a duration of at least one year and the licensee that received the request does not enter into the agreement within a reasonable time, the Agency may, under the circumstances provided for in subsection (2), order the licensee to enter into the agreement:
	(a) a program that permits credits to be acquired and redeemed for domestic services, if the licensee receiving the request already has such a program;
	(b) the provision of domestic services on a continuous route by both licensees;
	(c) a common fare applicable to the domestic services provided by both licensees on a continuous route; and
	(d) the allocation of revenue from a common fare for domestic services between both licensees on a continuous route.
Circumstances	(2) The Agency may, on application of the licensee that requested the agreement, make an order under subsection (1) if
	(a) after consulting the Commissioner of Competition appointed under the Competition Act, the Agency is of the opinion that the absence of the agreement would substantially prevent or lessen competition; and
	(b) the Agency determines that the agreement would not cause financial hardship for the licensee that is subject to the order.
Taking into consideration	(3) If the agreement deals with a matter referred to in paragraphs (1)(b) to (d), the Agency, in deciding whether the agreement causes financial hardship, shall consider any agreement on the matter that has already been entered into by the licensee that is subject to the order with another holder of a domestic license or a domestic service provider licence.
Disagreement on terms	(4) If, after the making of an order under subsection (1), the licensees do not agree on the terms of the agreement or do not make the agreement within a reasonable time, the Agency may, on the request of either one, impose any terms that, in the opinion of the Agency, are commercially reasonable, including the duration of the agreement, and may specify the time period within which the agreement shall be made. The licensee that requested the agreement may refuse to enter into it if the licensee disagrees with the terms specified by the Agency.
Regulations	(5) The Agency may, on the recommendation of the Minister, make regulations prescribing the factors it may consider in determining what constitutes reasonable commercial terms and financial hardship for the purposes of this section.
Transitional provision for paragraph 85.2(1)(a)	(2) The undertakings referred to in subsection 10.1(2) of the Air Canada Public Participation Act that relate to matters referred to in paragraph 85.2(1)(a) of the Canada Transportation Act, as enacted by subsection (1), cease to have effect on the coming into force of that paragraph.
Transitional provision for paragraphs 85.2(1)(b) to (d)	(3) The undertakings referred to in subsection 10.1(2) of the Air Canada Public Participation Act that relate to matters referred to in paragraphs 85.2(1)(b) to (d) of the Canada Transportation Act, as enacted by subsection (1), cease to have effect on the coming into force of those paragraphs.
	29. (1) Subsection 86(1) of the Act is amended by adding the following after paragraph (d):
	(d.1) respecting the terms and conditions to be included in a contract between a domestic service provider and the holder of a domestic licence for the provision of a domestic service;
	(2) Paragraph 86(1)(h) of the Act is amended by striking out the word ``and'' at the end of subparagraph (ii), by adding the word ``and'' at the end of subparagraph (iii) and by adding the following after subparagraph (iii):
	(iv) requiring a licensee to display the terms and conditions of carriage for its international service on its Internet site, if the site is used for selling the international service of the licensee;
	(3) Paragraph 86(1)(j) of the Act is replaced by the following:
	(j) requiring licensees to include in contracts or arrangements with travel wholesalers , tour operators, charterers or other persons associated with the provision of air services to the public, or to make such contracts and arrangements subject to, terms and conditions specified or referred to in the regulations;
	30. Section 87 of the Act is amended by adding the following in alphabetical order:
``metropolitan area'' « région métropolitaine »	``metropolitan area'' means any area that is classified by Statistics Canada in its most recent census of Canada as a census metropolitan area;
``public passenger service provider'' « société de transport publique »	``public passenger service provider'' means VIA Rail Canada Inc., a passenger rail service provider designated by the Minister or an urban transit authority;
``urban transit authority'' « administrati on de transport de banlieue »	``urban transit authority'' means an entity owned or controlled by the federal government or a provincial, municipal or district government that provides commuter services in a metropolitan area.
	31. The Act is amended by adding the following after section 95:
	Noise
Obligation	95.1 When constructing or operating a railway, a railway company must do so in a manner that produces the least possible noise, taking into account
	(a) its obligations under sections 113 and 114, if applicable;
	(b) its operational requirements; and
	(c) the area where the construction or operation takes place.
Guidelines	95.2 (1) The Agency may issue and publish, in any manner that it considers appropriate, guidelines with respect to
	(a) the elements that the Agency will use to determine whether a railway company is complying with section 95.1; and
	(b) the collaborative resolution of noise complaints relating to the construction or operation of railways.
Consultations	(2) The Agency must consult with interested parties before issuing any guidelines.
Not statutory instruments	(3) The guidelines are not statutory instruments for the purposes of the Statutory Instruments Act.
Complaints and investigations	95.3 (1) On receipt of a complaint made by any person that a railway company is not complying with section 95.1, the Agency may order the railway company to undertake any changes in its railway construction or operation that the Agency considers reasonable in order to keep noise to a minimum, taking into account the factors referred to in that section.
Restriction	(2) If the Agency has published guidelines under subsection 95.2(1), it must first satisfy itself that the collaborative measures set out in the guidelines have been exhausted in respect of the noise complained of before it conducts any investigation or hearing in respect of the complaint.
Public passenger service providers	95.4 Sections 95.1 to 95.3 apply, with any modifications that the circumstances require, to public passenger service providers.
1999, c. 31, ss. 37(E) and 38(E)	32. Section 104 of the Act and the heading before it are replaced by the following:
	Security
Deposit of mortgage, hypothec or security agreement	104. (1) The following may, in accordance with the regulations , be deposited by any person in the office of the Registrar General of Canada or in any other place that the Governor in Council may, by order, specify:
	(a) a mortgage or hypothec issued by a railway company;
	(b) a security agreement entered into by a railway company;
	(c) an assignment or other document affecting a document referred to in paragraph (a) or (b) ; or
	(d) a copy of any document referred to in any of paragraphs (a) to (c) or a summary of any such document made in accordance with regulations made under section 105.1.
Effect of deposit	(2) Once the deposit is made , the mortgage or hypothec, assignment or other document need not be deposited, registered or filed under any other law or statute respecting real or personal property, and the deposited document is valid against all persons .
	33. (1) Subsections 105(1) and (2) of the Act are replaced by the following:
Deposit of documents	105. (1) A document, or a copy or summary of a document, evidencing any of the following transactions may, in accordance with the regulations , be deposited by any person in the office of the Registrar General of Canada or in any other place that the Governor in Council may, by order, specify :
	(a) a lease, sale, conditional sale, instalment sale , mortgage, hypothec, bailment, leasing, deposit , or security agreement relating to rolling stock or any accessories or appurtenances relating to rolling stock ; and
	(b) an amendment, assignment or discharge of a document mentioned in paragraph (a).
	(2) Subsection 105(4) of the Act is repealed.
	34. The Act is amended by adding the following after section 105:
	Regulations
Regulations	105.1 The Governor in Council may make regulations respecting
	(a) the depositing of copies of documents under sections 104 and 105;
	(b) the form and content of summaries to be deposited under those sections; and
	(c) the effects, in Canada, of the deposit, registration or filing in other countries of documents evidencing any transaction referred to in paragraph 105(1)(a) or of documents evidencing amendments, assignments or discharges of those documents.
	35. Subsections 106(5) and (6) of the Act are replaced by the following:
Limitation	(5) No order of the Federal Court or any other court restraining action against the railway company affects any right or remedy of a person in respect of, including the right to take possession of, the rolling stock, or any accessories or appurtenances relating to the rolling stock , of the company as a creditor under a security agreement, mortgage or hypothec or as a bailor, depositary , lessor or vendor under a conditional sale or an instalment sale , whether as trustee or otherwise, unless
	(a) within 60 days after filing the scheme of arrangement, or any extended period to which the person may agree, the railway company agrees to perform all its obligations under the security agreement, mortgage, hypothec, bailment, deposit , lease, conditional sale agreement or instalment sale agreement, as the case may be ;
	(b) any event that occurred before or after the scheme was filed and that constitutes a default under the security agreement, mortgage, hypothec, bailment, deposit , lease, conditional sale agreement or instalment sale agreement, as the case may be , is cured before the later of
	(i) 30 days after the event, and
	(ii) the end of the period referred to in paragraph (a); and
	(c) any event that occurred on or after the expiry of the period referred to in paragraph (a) and that constitutes a default under the security agreement, mortgage, hypothec, bailment, deposit, lease, conditional sale agreement or instalment sale agreement, as the case may be, is cured in accordance with that instrument.
Extension of 60-day period	(6) An extension of the 60-day period under paragraph (5)(a) does not prejudice the right to take possession of, or any other right or remedy in respect of, the rolling stock or the accessories or appurtenances relating to the rolling stock.
	36. (1) Subsection 108(2) of the Act is repealed.
	(2) Subsection 108(5) of the Act is repealed.
	37. (1) The definition ``competitive line rate'' in section 111 of the Act is repealed.
	(2) The definition ``connecting carrier'' in section 111 of the Act is replaced by the following:
``connecting carrier'' « transporteur de liaison »	``connecting carrier'' means a railway company, other than a local carrier, that moves traffic to or from an interchange over a portion of a continuous route;

Bill C-26

Issuance of International Charter Permits

Agreements