Order No. 1992-A-383

October 30, 1992

October 30, 1992

IN THE MATTER OF an application by CanAir Cargo Ltd. to renew its exemption from paragraph 20(a) of the Air Transportation Regulations, SOR/88-58 between the Canadian point Toronto, Ontario and the U.S. point Cincinnati, Ohio.

File No. M4895/C239-4-1


WHEREAS CanAir Cargo Ltd. (hereinafter the applicant) has applied to the National Transportation Agency for the exemption set out in the title;

AND WHEREAS under Licence No. 900102, the applicant is authorized to operate a Class 9-4 Charter non- scheduled international service to transport goods between points in Canada and points in the United States of America using fixed wing aircraft in Group E;

AND WHEREAS by Order No. 1991-A-499 dated September 30, 1991, the applicant was exempted, pursuant to paragraph 70(1)(c) of the National Transportation Act, 1987, R.S.C., 1985, c. 28 (3rd Supp.), from complying with the requirements set out in paragraph 20(a) of the Air Transportation Regulations for the chartering of its Group E aircraft to DHL International Express Ltd. for the carriage of transborder courier traffic between the Canadian point Toronto, Ontario and the U.S. point Cincinnati, Ohio, until September 30, 1992;

AND WHEREAS on October 1, 1992, the exemption from the requirements of paragraph 20(a) of the Air Transportation Regulations granted by Order No. 1991-A-499 was extended by the Agency until October 31, 1992;

AND WHEREAS the applicant has applied for an exemption from paragraph 20(a) of the Air Transportation Regulations, which, if allowed, would permit it to charter its group E aircraft to DHL Airways, Inc. (hereinafter DHL) for the carriage of transborder courier traffic, as defined by paragraphs 16(a) and 16(b) of the Air Transportation Regulations, between the Canadian point Toronto, Ontario and the U.S. point Cincinnati, Ohio;

AND WHEREAS notice of the application was published on September 22, 1992 in the newspapers of the Toronto area and copies of the notice were sent to selected air carriers. No interventions opposing the granting of the application were filed with the Agency;

AND WHEREAS the Agency has considered the application and the material in support thereof and notes that the application was unopposed;

AND WHEREAS the Agency notes the particular and unique requirements necessary to satisfy a single customer such as DHL as well as that such requirements may not be compatible with obligations under a scheduled international licence to serve the public in general and serve points in accordance with a service schedule at a toll per unit of traffic. Accordingly, the Agency is of the opinion that compliance by the applicant with the requirements of paragraph 20(a) of the Air Transportation Regulations for the chartering of its Group E aircraft to DHL is unnecessary, undesirable and impractical.

NOW THEREFORE, IT IS ORDERED THAT:

CanAir Cargo Ltd. is hereby exempted, pursuant to paragraph 70(1)(c) of the National Transportation Act, 1987, from complying with the requirements set out in paragraph 20(a) of the Air Transportation Regulations for the chartering of its Group E aircraft to DHL for the carriage of transborder courier traffic, as defined by paragraphs 16(a) and 16(b) of the Air Transportation Regulations, between the Canadian point Toronto, Ontario and the U.S. point Cincinnati, Ohio, for a period of one year effective November 1, 1992, subject to the following condition:

CanAir Cargo Ltd. is required to file not less than two working days prior to the commencement of the flight or series of flights charter documentation for all Canadian originating departures, as set out in Division III of the Air Transportation Regulations, as applicable, with a charter permit to issue upon compliance with the said requirements and shall notify the Agency of all U.S. originating flights at least 48 hours prior to departure pursuant to the Canada U.S. Non-scheduled Air Service Agreement.

Should the applicant require an exemption from paragraph 20(a) of the Air Transportation Regulations for a longer period of time, an application must be filed with the Agency at least 60 days prior to the termination of this exemption.

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