Canada Transportation Act (S.C. 1996, c. 10)

Marginal note: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).

• Marginal note: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.

• Marginal note:Reinstatement 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.

Marginal note:Notice of discontinuance 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.

• Marginal note:Notice of discontinuance of certain services

  (1.1) If a licensee proposes to discontinue its year-round non-stop scheduled air service between two points in Canada and that discontinuance would result in a reduction, as compared to the week before the proposal is to take effect, of at least 50% of the weekly passenger-carrying capacity of all licensees operating year-round non-stop scheduled air services between those two points, the licensee shall give notice of the proposal in the prescribed form and manner to the prescribed persons.

• Marginal note:Discussion with elected officials

  (1.2) A licensee shall, as soon as practicable, provide an opportunity for elected officials of the municipal or local government of the community of the point or points, as the case may be, to meet and discuss with the licensee the impact of the proposed discontinuance or reduction.

• Marginal note:Notice period

  (2) A licensee shall not implement a proposal referred to in subsection (1) or (1.1) until the expiry of 120 days, or 30 days if the service referred to in that subsection has been in operation for less than one year, after the notice is given or until the expiry of any shorter period that the Agency may, on application by the licensee, specify by order.

• Marginal note:Considerations re whether exemption to be granted

  (3) In considering whether to specify a shorter period under 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) or between the points referred to in subsection (1.1);

  • (b) other means by which air service to the point or between the points is or is likely to be provided;

  • (c) whether the licensee has complied with subsection (1.2); and

  • (d) the particular circumstances of the licensee.

• Definition of non-stop scheduled air service

  (4) In this section, non-stop scheduled air service means an air service operated between two points without any stops in accordance with a published timetable or on a regular basis.

Marginal note: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 120 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.

Marginal note:Unreasonable fares or rates

• 66 (1) If, on complaint in writing to the Agency by any person, the Agency finds that a licensee, including affiliated licensees, is the only person providing a domestic service between two points and that a fare, cargo rate or increase in a fare or cargo rate published or offered in respect of the service is unreasonable, the Agency may, by order,

  • (a) disallow the fare, rate or increase;

  • (b) direct the licensee to amend its tariff by reducing the fare, rate or increase by the amounts and for the periods that the Agency considers reasonable in the circumstances; or

  • (c) direct the licensee, if practicable, to refund amounts specified by the Agency, with interest calculated in the prescribed manner, to persons determined by the Agency to have been overcharged by the licensee.

• Marginal note:Complaint of inadequate range of fares or rates

  (2) If, on complaint in writing to the Agency by any person, the Agency finds that a licensee, including affiliated licensees, is the only person providing a domestic service between two points and that it is offering an inadequate range of fares or cargo rates in respect of that service, the Agency may, by order, direct the licensee, for a period that the Agency considers reasonable in the circumstances, to publish and apply in respect of that service one or more additional fares or cargo rates that the Agency considers reasonable in the circumstances.

• Marginal note:Relevant information

  (3) When making a finding under subsection (1) or (2) that a fare, cargo rate or increase in a fare or cargo rate published or offered in respect of a domestic service between two points is unreasonable or that a licensee is offering an inadequate range of fares or cargo rates in respect of a domestic service between two points, the Agency may take into consideration any information or factor that it considers relevant, including

  • (a) historical data respecting fares or cargo rates applicable to domestic services between those two points;

  • (b) fares or cargo rates applicable to similar domestic services offered by the licensee and one or more other licensees, including terms and conditions related to the fares or cargo rates, the number of seats available at those fares and the cargo capacity and cargo container types available at those rates;

  • (b.1) the competition from other modes of transportation, if the finding is in respect of a cargo rate, an increase in a cargo rate or a range of cargo rates; and

  • (c) any other information provided by the licensee, including information that the licensee is required to provide under section 83.

• Marginal note:Alternative domestic services

  (4) The Agency may find that a licensee is the only person providing a domestic service between two points if every alternative domestic service between those points is, in the Agency’s opinion, unreasonable, taking into consideration the number of stops, the number of seats offered, the frequency of service, the flight connections and the total travel time and, more specifically, in the case of cargo, the cargo capacity and cargo container types available.

• Marginal note:Alternative service

  (4.1) The Agency shall not make an order under subsection (1) or (2) in respect of a licensee found by the Agency to be the only person providing a domestic service between two points if, in the Agency’s opinion, there exists another domestic service that is not between the two points but is a reasonable alternative taking into consideration the convenience of access to the service, the number of stops, the number of seats offered, the frequency of service, the flight connections and the total travel time and, more specifically, in the case of cargo, the cargo capacity and cargo container types available.

• Marginal note:Consideration of representations

  (5) Before making a direction under paragraph (1)(b) or subsection (2), the Agency shall consider any representations that the licensee has made with respect to what is reasonable in the circumstances.

• (6) and (7) [Repealed, 2007, c. 19, s. 19]

• Marginal note:Confidentiality of information

  (8) The Agency may take any measures or make any order that it considers necessary to protect the confidentiality of any of the following information that it is considering in the course of any proceedings under this section:

  • (a) information that constitutes a trade secret;

  • (b) information the disclosure of which would likely cause material financial loss to, or prejudice to the competitive position of, the person providing the information or on whose behalf it is provided; and

  • (c) information the disclosure of which would likely interfere with contractual or other negotiations being conducted by the person providing the information or on whose behalf it is provided.

Marginal note:Tariffs to be made public

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

  • (a) display in a prominent place at the business offices of the licensee a sign indicating that the tariffs for the domestic service offered by the licensee, including the terms and conditions of carriage, are available for public inspection at the business offices of the licensee, and allow the public to make such inspections;

  • (a.1) publish the terms and conditions of carriage on any Internet site used by the licensee for selling 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, and publish them on its Internet site, for a period of not less than three years after the tariffs have ceased to have effect.

• Marginal note:Prescribed tariff information to be included

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

• Marginal note:No fares, etc., unless set out in tariff

  (3) The holder of a domestic licence shall not apply any fare, rate, charge or term or condition of carriage applicable to the domestic service it offers unless the fare, rate, charge, term or condition is set out in a tariff that has been published or displayed under subsection (1) and is in effect.

• Marginal note: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.

67.1 [Repealed, 2023, c. 26, s. 454]

Marginal note:Unreasonable or unduly discriminatory terms or conditions

• 67.2 (1) If the Agency finds that the holder of a domestic licence has applied terms or conditions of carriage applicable to the domestic service it offers that are unreasonable or unduly discriminatory, the Agency may suspend or disallow those terms or conditions and substitute other terms or conditions in their place.

• Marginal note:Prohibition on advertising

  (2) The holder of a domestic licence shall not advertise or apply any term or condition of carriage that is suspended or has been disallowed.

67.3 [Repealed, 2023, c. 26, s. 456]

Marginal note:Applying decision to other passengers

67.4 The Agency may, to the extent that it considers it appropriate, make applicable to some or to all passengers of the same flight as the complainant all or part of its decision respecting a complaint related to any term or condition of carriage concerning any obligation prescribed by regulations made under paragraph 86.11(1)(b).

Marginal note:Non-application of fares, etc.

• 68 (1) Sections 66 to 67.2, 85.04 and 85.07 do not apply in respect of fares, rates or charges 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.

• Marginal note:Non-application of terms and conditions

  (1.1) Sections 66 to 67.2, 85.04 and 85.07 do not apply in respect of terms and conditions of carriage applicable to a domestic service provided for under a contract referred to in subsection (1) to which an employer is a party and that relates to travel by its employees.

• Marginal note:Provisions regarding exclusive use of services

  (2) The parties to the contract shall not include in it provisions with respect to the exclusive use by the other person of a domestic service operated by the holder of the domestic licence between two points in accordance with a published timetable or on a regular basis, unless the contract is for all or a significant portion of the capacity of a flight or a series of flights.

• Marginal note:Retention of contract required

  (3) The holder of a domestic licence who is a party to the contract shall retain a copy of it for a period of not less than three years after it has ceased to have effect and, on request made within that period, shall provide a copy of it to the Agency.

Licence for Scheduled International Service

Marginal note: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.

• Marginal note:Eligibility of Canadians

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

• Marginal note: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.