Determination No. A-2019-22
APPLICATION by Virgin Atlantic Airways Limited (Virgin Atlantic), on behalf of itself and Koninklijke Luchtvaart Maatschappij, N.V. (K.L.M. Royal Dutch Airlines) [KLM], 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).
Virgin Atlantic, on behalf of itself and KLM, has applied to the Canadian Transportation Agency (Agency) for an approval to permit Virgin Atlantic to provide its scheduled international services between Canada and member states of the European Community by selling transportation in its own name on flights operated by KLM, for an indefinite period.
Virgin Atlantic 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 Virgin Atlantic from the application of subsection 8.2(2) of the ATR.
Virgin Atlantic 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 Virgin Atlantic of aircraft with flight crew provided by KLM, and the provision by KLM of such aircraft and flight crew to Virgin Atlantic, to permit Virgin Atlantic to provide its scheduled international services on licensed routes between Canada and member states of the European Community by selling transportation in its own name on flights operated by KLM, for an indefinite period from the date of this Determination.
This approval is subject to the following conditions:
- Virgin Atlantic shall continue to hold the valid licence authority.
- Virgin Atlantic 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.
- Virgin Atlantic and KLM 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.
- Virgin Atlantic shall continue to comply with the public disclosure requirements set out in section 8.5 of the ATR.
- Virgin Atlantic and KLM 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 Virgin Atlantic's code on flights operated by KLM between points within the same member state of the European Community shall not be sold separately and shall only be available to traffic carried on a continuous journey between Canada and member states of the European Community.