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DECISION NO. 236-A-2000

March 31, 2000

APPLICATION by Air Canada, on behalf of itself and Air Jamaica Limited, 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 Air Jamaica Limited, while providing its scheduled international service between Canada and Jamaica, to sell transportation in its own name on flights operated by Air Canada for a period of one month commencing April 1, 2000.

File No. M4835-2-22

Docket No. 000285AG
Air Canada, on behalf of itself and Air Jamaica Limited (hereinafter Air Jamaica), has applied to the Canadian Transportation Agency (hereinafter the Agency) for the approval set out in the title. The application was received on March 16, 2000 and was amended on March 29, 2000.

Under Licence No. 975132, Air Jamaica is authorized to operate a scheduled international service in accordance with the Agreement between the Government of Canada and the Government of Jamaica on Air Transport signed on October 18, 1985 (hereinafter the Agreement).

Condition No. 1 of Licence No. 975132 reads as follows:

The Licensee is authorized to operate the route(s) set out in the Agreement.
Condition No. 2 of Licence No. 975132 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 Jamaica.
Under Licence No. 975033, Air Canada is authorized to operate a scheduled international service, medium aircraft, and a scheduled international service, large aircraft, in accordance with the Agreement.

With respect to the request for an exemption from the application of subsection 8.2(2) of the Air Transportation Regulations (hereinafter the ATR), the Agency has considered the request and is of the opinion that compliance by Air Canada and Air Jamaica with subsection 8.2(2) of the ATR is impractical in this case. Accordingly, the Agency, pursuant to paragraph 80(1)(c) of the Canada Transportation Act (hereinafter the CTA), hereby orders that Air Canada and Air Jamaica be exempt from the application of subsection 8.2(2) of the ATR.

The Agency has reviewed and considered the application and the material filed in support thereof, and is of the opinion that the operation proposed by Air Canada and Air Jamaica is extra-bilateral because the use of another carrier's aircraft and flight crew is not provided for in the Agreement.

Accordingly, pursuant to subsection 78(2) of the CTA, the Agency hereby varies Conditions Nos. 1 and 2 of Air Jamaica's Licence No. 975132 to authorize the proposed services using aircraft and flight crew belonging to Air Canada between Canada and Jamaica.

With respect to the request for approval under section 60 of the CTA and section 8.2 of the ATR, the Agency is satisfied that the application meets the requirements set out in section 8.2 of the ATR.

Accordingly, the Agency, pursuant to paragraph 60(1)(b) of the CTA and section 8.2 of the ATR, hereby approves the use by Air Jamaica of aircraft and flight crew provided by Air Canada, and the provision by Air Canada of such aircraft and flight crew to Air Jamaica, to permit Air Jamaica, while providing its scheduled international service between Canada and Jamaica, to sell transportation in its own name on flights operated by Air Canada between Canada and Jamaica. This approval is granted from April 1, 2000 to April 30, 2000, subject to the following conditions:

  1. Air Jamaica shall continue to hold the required licence authority.

  2. The air services approved herein shall only be provided as long as the Commercial Agreement between Air Canada and Air Jamaica of April 1, 1996, as amended, providing for such services remains in effect.

  3. Air Jamaica shall apply its published tariffs, on file with the Agency and 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 tariffs.

  4. The approval granted herein does not apply to the blocking of space for the carriage of cargo.
Air Canada and Air Jamaica are reminded of the continuing requirement to comply with sections 8.2 and 8.5 of the ATR.

Air Canada and Air Jamaica are further reminded to provide the Agency with a copy of any amendment to their Commercial Agreement dated April 1, 1996 or any new or amended annex, upon signature.

It should be noted that the authority granted herein does not exempt Air Canada and Air Jamaica from the requirements of other legislative acts or regulations, including those of Transport Canada.

This decision shall form part of Licence No. 975132 and shall remain affixed thereto until April 30, 2000.

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