Determination No. A-2017-201
APPLICATION by Koninklijke Luchtvaart Maatschappij, N.V. (K.L.M. Royal Dutch Airlines) [K.L.M.], on behalf of itself and Endeavor Air, Inc.
carrying on business as Delta Connection (Endeavor), pursuant to section 60 of the Canada Transportation Act, S.C., 1996, c. 10, as amended (CTA), and section 8.2 of the Air Transportation Regulations, SOR/88-58, as amended (ATR).
K.L.M., on behalf of itself and Endeavor, has applied to the Canadian Transportation Agency (Agency) for an approval to permit K.L.M. to provide its scheduled international services between member states of the European Community and Canada by selling transportation in its own name on flights operated by Endeavor between the United States of America and Canada, for an indefinite period.
K.L.M. has also requested an exemption from the application of subsection 8.2(2) of the ATR, which requires the filing of an application for an approval at least 45 days before the first planned flight. The Agency finds that compliance with subsection 8.2(2) of the ATR is impractical in this case. Accordingly, the Agency, pursuant to paragraph 80(1)(c) of the CTA, exempts K.L.M. from the application of subsection 8.2(2) of the ATR.
K.L.M. is licensed to operate scheduled international services in accordance with the Agreement on Air Transport between Canada and the European Community and its Member States, signed on December 18, 2009.
The Agency has considered the application and the material in support and is satisfied that it meets the remaining requirements of 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, approves the use by K.L.M. of aircraft with flight crew provided by Endeavor, and the provision by Endeavor of such aircraft and flight crew to K.L.M., to permit K.L.M. to provide its scheduled international services on licensed routes between member states of the European Community and Canada by selling transportation in its own name on flights operated by Endeavor between the United States of America and Canada, for an indefinite period from the date of this Determination.
This approval is subject to the following conditions:
- K.L.M. shall continue to hold the valid licence authority.
- K.L.M. shall apply its published tariffs, in effect, to the carriage of its traffic. 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.
- The air services approved shall only be provided as long as a code-sharing agreement providing for such services remains in effect.
- 4. K.L.M. and Endeavor shall continue to comply with the insurance requirements set out in subsections 8.2(4), 8.2(5) and 8.2(6) of the ATR.
- K.L.M. shall continue to comply with the public disclosure requirements set out in section 8.5 of the ATR.
- K.L.M. and Endeavor shall provide the Agency with a copy of any new agreement or amendments to their code‑sharing agreement, including any new or amended annex, without delay.
- Air transportation using K.L.M.'s code on flights operated by Endeavor between the United States of America and Canada shall not be sold separately and shall only be available to traffic carried on a continuous journey under K.L.M.'s code between member states of the European Community and Canada or the United States of America. No local traffic may be carried under K.L.M.'s code between the United States of America and Canada.