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Canada Transportation Act

加拿大运输法

1996, c-10

________________________________________

? SHORT TITLE

? HER MAJESTY

? APPLICATION

? NATIONAL TRANSPORTATION POLICY

? INTERPRETATION

? PART I

? PART II

? PART III

? PART IV

? PART V

? PART VI

? PART VII

? SCHEDULES

? Established by

? List of Amendments

________________________________________

Canada Transportation Act

CHAPTER C-10.4 (1996, c. 10)

[C-10.4]

An Act to continue the National Transportation Agency as the CanadianTransportation Agency, to consolidate and revise the National TransportationAct, 1987 and the Railway Act and to amend or repeal other Acts as a consequence

[Assented to 29th May, 1996]

Her Majesty, by and with the advice and consent of the Senate and House ofCommons of Canada, enacts as follows:

SHORT TITLE

Short title

1. This Act may be cited as the Canada Transportation Act.

HER MAJESTY

Binding on Her Majesty

2. This Act is binding on Her Majesty in right of Canada or a province.

APPLICATION

Application generally

3. This Act applies in respect of transportation matters under the legislativeauthority of Parliament.

Conflicts

4. (1) Subject to subsection (2), where there is a conflict between any order orregulation made under this Act in respect of a particular mode of transportationand any rule, order or regulation made under any other Act of Parliament inrespect of that particular mode of transportation, the order or regulation madeunder this Act prevails.

Competition Act

(2) Nothing in or done under the authority of this Act affects the operation ofthe Competition Act.

NATIONAL TRANSPORTATION POLICY

Declaration

5. It is hereby declared that a safe, economic, efficient and adequate networkof viable and effective transportation services accessible to persons withdisabilities and that makes the best use of all available modes oftransportation at the lowest total cost is essential to serve the transportationneeds of shippers and travellers, including persons with disabilities, and tomaintain the economic well-being and growth of Canada and its regions and thatthose objectives are most likely to be achieved when all carriers are able tocompete, both within and among the various modes of transportation, underconditions ensuring that, having due regard to national policy, to theadvantages of harmonized federal and provincial regulatory approaches and tolegal and constitutional requirements,

(a) the national transportation system meets the highest practicable safetystandards,

(b) competition and market forces are, whenever possible, the prime agents inproviding viable and effective transportation services,

(c) economic regulation of carriers and modes of transportation occurs only inrespect of those services and regions where regulation is necessary to serve thetransportation needs of shippers and travellers and that such regulation willnot unfairly limit the ability of any carrier or mode of transportation tocompete freely with any other carrier or mode of transportation,

(d) transportation is recognized as a key to regional economic development andthat commercial viability of transportation links is balanced with regionaleconomic development objectives so that the potential economic strengths of eachregion may be realized,

(e) each carrier or mode of transportation, as far as is practicable, bears afair proportion of the real costs of the resources, facilities and servicesprovided to that carrier or mode of transportation at public expense,

(f) each carrier or mode of transportation, as far as is practicable, receivesfair and reasonable compensation for the resources, facilities and services thatit is required to provide as an imposed public duty,

(g) each carrier or mode of transportation, as far as is practicable, carriestraffic to or from any point in Canada under fares, rates and conditions that donot constitute

(i) an unfair disadvantage in respect of any such traffic beyond thedisadvantage inherent in the location or volume of the traffic, the scale ofoperation connected with the traffic or the type of traffic or service involved,

(ii) an undue obstacle to the mobility of persons, including persons withdisabilities,

(iii) an undue obstacle to the interchange of commodities between points inCanada, or

(iv) an unreasonable discouragement to the development of primary or secondaryindustries, to export trade in or from any region of Canada or to the movementof commodities through Canadian ports, and

(h) each mode of transportation is economically viable,

and this Act is enacted in accordance with and for the attainment of thoseobjectives to the extent that they fall within the purview of subject-mattersunder the legislative authority of Parliament relating to transportation.

INTERPRETATION

Definitions

6. In this Act,

"Agency"

? Office ?

"Agency" means the Canadian Transportation Agency continued by subsection 7(1);

"carrier"

? transporteur ?

"carrier" means a person who is engaged in the transport of goods or passengersby any means of transport under the legislative authority of Parliament;

"Chairperson"

? président ?

"Chairperson" means the Chairperson of the Agency;

"goods"

? marchandises ?

"goods" includes rolling stock and mail;

"member"

? membre ?

"member" means a member of the Agency appointed under paragraph 7(2)(a) andincludes a temporary member;

"Minister"

? ministre ?

"Minister" means the Minister of Transport;

"rolling stock"

? matériel roulant ?

"rolling stock" includes a locomotive, engine, motor car, tender, snow-plough,flanger and any car or railway equipment that is designed for movement on itswheels on the rails of a railway;

"shipper"

? expéditeur ?

"shipper" means a person who sends or receives goods by means of a carrier orintends to do so;

"sitting day of Parliament"

? jour de séance ?

"sitting day of Parliament" means a day on which either House of Parliamentsits;

"superior court"

? cour supérieure ?

"superior court" means

(a) in Ontario, the Superior Court of Justice,

(b) in Quebec, the Superior Court,

(c) in New Brunswick, Manitoba, Saskatchewan and Alberta, the Court of Queen'sBench,

(d) in Nova Scotia, British Columbia, Yukon and the Northwest Territories, theSupreme Court,

(e) in Prince Edward Island and Newfoundland, the Trial Division of the SupremeCourt, and

(f) in Nunavut, the Nunavut Court of Justice;

"temporary member"

? membre temporaire ?

"temporary member" means a temporary member of the Agency appointed undersubsection 9(1);

"Vice-Chairperson"

? vice-président ?

"Vice-Chairperson" means the Vice-Chairperson of the Agency.

PART I

ADMINISTRATION

Canadian Transportation Agency

Continuation and Organization

Agency continued

7. (1) The agency known as the National Transportation Agency is continued asthe Canadian Transportation Agency.

Composition of Agency

(2) The Agency shall consist of

(a) not more than seven members appointed by the Governor in Council, and

(b) such temporary members as are appointed under subsection 9(1),

each of whom must, on appointment or reappointment and while serving as amember, be a Canadian citizen or a permanent resident within the meaning ofsubsection 2(1) of the Immigration and Refugee Protection Act.

Chairperson and Vice-Chairperson

(3) The Governor in Council shall designate one of the members appointed underparagraph (2)(a) to be the Chairperson of the Agency and one of the othermembers appointed under that paragraph to be the Vice-Chairperson of the Agency.

Term of members

8. (1) Each member appointed under paragraph 7(2)(a) shall hold office duringgood behaviour for a term of not more than five years and may be removed forcause by the Governor in Council.

Reappointment

(2) A member appointed under paragraph 7(2)(a) is eligible to be reappointed onthe expiration of a first or subsequent term of office.

Continuation in office

(3) Where a member appointed under paragraph 7(2)(a) ceases to hold office, theChairperson may authorize the member to continue to hear any matter that wasbefore the member on the expiration of the member's term of office and thatmember is deemed to be a member of the Agency, but that person's status as amember does not preclude the appointment of up to seven members under paragraph7(2)(a) or up to three temporary members under subsection 9(1).

Temporary members

9. (1) The Minister may appoint temporary members of the Agency from the rosterof individuals established by the Governor in Council under subsection (2).

Roster

(2) The Governor in Council may appoint any individual to a roster of candidatesfor the purpose of subsection (1).

Maximum number

(3) Not more than three temporary members shall hold office at any one time.

Term of temporary members

(4) A temporary member shall hold office during good behaviour for a term of notmore than one year and may be removed for cause by the Governor in Council.

No reappointment

(5) A person who has served two consecutive terms as a temporary member is not,during the twelve months following the completion of the person's second term,eligible to be reappointed to the Agency as a temporary member.

Members - conflicts of interest

10. (1) A member appointed under paragraph 7(2)(a) shall not, directly orindirectly, as owner, shareholder, director, officer, partner or otherwise,

(a) be engaged in a transportation undertaking or business; or

(b) have an interest in a transportation undertaking or business or an interestin the manufacture or distribution of transportation plant or equipment, unlessthe distribution is merely incidental to the general merchandising of goods.

Temporary members may not hold other office

(2) During the term of office of a temporary member, the member shall not acceptor hold any office or employment that is inconsistent with the member's dutiesunder this Act.

Disposal of conflict of interest

(3) Where an interest referred to in subsection (1) vests in a member appointedunder paragraph 7(2)(a) for the benefit of the member by will or succession, theinterest shall, within three months after the vesting, be absolutely disposed ofby the member.

Remuneration

Remuneration

11. (1) A member shall be paid such remuneration and allowances as may be fixedby the Governor in Council.

Expenses

(2) Each member is entitled to be paid reasonable travel and living expensesincurred by the member in carrying out duties under this Act or any other Act ofParliament while absent from the member's ordinary place of work.

Members - retirement pensions

12. (1) A member appointed under paragraph 7(2)(a) is deemed to be employed inthe public Service for the purposes of the Public Service Superannuation Act.

Temporary members not included

(2) A temporary member is deemed not to be employed in the public Service forthe purposes of the Public Service Superannuation Act unless the Governor inCouncil, by order, deems the member to be so employed for those purposes.

Accident compensation

(3) For the purposes of the Government Employees Compensation Act and anyregulation made pursuant to section 9 of the Aeronautics Act, a member is deemedto be an employee in the federal public administration.

Chairperson

Duties of Chairperson

13. The Chairperson is the chief executive officer of the Agency and has thesupervision over and direction of the work of the members and its staff,including the apportionment of work among the members and the assignment ofmembers to deal with any matter before the Agency.

Absence of Chairperson

14. In the event of the absence or incapacity of the Chairperson or if theoffice of Chairperson is vacant, the Vice-Chairperson has all the powers andshall perform all the duties and functions of the Chairperson.

Absence of both Chairperson and Vice-Chairperson

15. The Chairperson may authorize one or more of the members to act asChairperson for the time being if both the Chairperson and Vice-Chairperson areabsent or unable to act.

Quorum

Quorum

16. (1) Subject to the Agency's rules, two members constitute a quorum.

Quorum lost because of incapacity of member

(2) Where a member who is conducting a hearing in respect of a matter becomesincapacitated or dies during the hearing or after the conclusion of the hearingbut before rendering a decision and quorum is lost as a result, the Chairpersonmay, with the consent of all the parties to the hearing,

(a) if the incapacity or death occurs during the hearing, authorize anothermember to continue the hearing and render a decision, or

(b) if the incapacity or death occurs after the conclusion of the hearing,authorize another member to examine the evidence presented at the hearing andrender a decision,

and in either case, the quorum in respect of the matter is deemed never to havebeen lost.

Quorum not lost because of incapacity of member

(3) Where a member who is conducting a hearing in respect of a matter becomesincapacitated or dies during the hearing and quorum is not lost as a result,another member may be assigned by the Chairperson to participate in the hearingand in the rendering of a decision.

Rules

Rules

17. The Agency may make rules respecting

(a) the sittings of the Agency and the carrying on of its work;

(b) the manner of and procedures for dealing with matters and business beforethe Agency, including the circumstances in which hearings may be held inprivate; and

(c) the number of members that are required to hear any matter or perform any ofthe functions of the Agency under this Act or any other Act of Parliament.

Head Office

Head office

18. (1) The head office of the Agency shall be in the National Capital Regiondescribed in the schedule to the National Capital Act.

Residence of Chairperson

(2) The Chairperson shall reside in the National Capital Region described in theschedule to the National Capital Act or within any distance of it that theGovernor in Council determines.

Staff

Secretary, officers and employees

19. The Secretary of the Agency and the other officers and employees that arenecessary for the proper conduct of the business of the Agency shall beappointed in accordance with the Public Service Employment Act.

Technical experts

20. The Agency may appoint and, subject to any applicable Treasury Boarddirective, fix the remuneration of experts or persons who have technical orspecial knowledge to assist the Agency in an advisory capacity in respect of anymatter before the Agency.

Records

Duties of Secretary

21. (1) The Secretary of the Agency shall

(a) maintain a record in which shall be entered a true copy of every rule,order, decision and regulation of the Agency and any other documents that theAgency requires to be entered in it; and

(b) keep at the Agency's office a copy of all rules, orders, decisions andregulations of the Agency and the records of proceedings of the Agency.

Entries in record

(2) The entry of a document in the record referred to in paragraph (1)(a) shallconstitute the original record of the document.

Copies of documents obtainable

22. On the application of any person, and on payment of a fee fixed by theAgency, the Secretary of the Agency or, in the absence of the Secretary, theperson assigned by the Chairperson to act in the absence shall issue under theseal of the Agency to the applicant a certified copy of any rule, order,regulation or any other document that has been issued by the Agency.

Judicial notice of documents

23. (1) Judicial notice shall be taken of a document issued by the Agency underits seal without proof of the signature or official character of the personappearing to have signed it.

Evidence of deposited documents

(2) A document purporting to be certified by the Secretary of the Agency asbeing a true copy of a document deposited or filed with or approved by theAgency, or any portion of such a document, is evidence that the document is sodeposited, filed or approved and, if stated in the certificate, of the time whenthe document was deposited, filed or approved.

Powers of Agency

Policy governs Agency

24. The powers, duties and functions of the Agency respecting any matter thatcomes within its jurisdiction under an Act of Parliament shall be exercised andperformed in conformity with any policy direction issued to the Agency undersection 43.

Agency powers in general

25. The Agency has, with respect to all matters necessary or proper for theexercise of its jurisdiction, the attendance and examination of witnesses, theproduction and inspection of documents, the enforcement of its orders orregulations and the entry on and inspection of property, all the powers, rightsand privileges that are vested in a superior court.

Power to award costs

25.1 (1) Subject to subsections (2) to (4), the Agency has all the powers thatthe Federal Court has to award costs in any proceeding before it.

Costs may be fixed or taxed

(2) Costs may be fixed in any case at a sum certain or may be taxed.

Payment

(3) The Agency may direct by whom and to whom costs are to be paid and by whomthey are to be taxed and allowed.

Scale

(4) The Agency may make rules specifying a scale under which costs are to betaxed.

Compelling observance of obligations

26. The Agency may require a person to do or refrain from doing any thing thatthe person is or may be required to do or is prohibited from doing under any Actof Parliament that is administered in whole or in part by the Agency.

Relief

27. (1) On an application made to the Agency, the Agency may grant the whole orpart of the application, or may make any order or grant any further or otherrelief that to the Agency seems just and proper.

Limitation

(2) Where an application is made to the Agency by a shipper in respect of atransportation rate or service, the Agency may grant the relief sought, in wholeor in part, but in making its decision the Agency must be satisfied, afterconsidering the circumstances of the particular case, that the applicant wouldsuffer substantial commercial harm if the relief were not granted.

Circumstances

(3) The circumstances to be considered by the Agency in making its decisionunder subsection (2) may include, but are not limited to, the following:

(a) the market or market conditions relating to the goods involved;

(b) the location and volume of traffic of the goods;

(c) the scale of operation connected with the traffic;

(d) the type of traffic or service involved;

(e) the availability to the applicant of alternative means of transporting thegoods; and

(f) any other matters that appear to the Agency to be relevant.

Amendments

(4) The Agency may, on terms or otherwise, make or allow any amendments in anyproceedings before it.

No applicability to final offer arbitration

(5) This section does not apply in respect of final offer arbitration under PartIV.

Orders

28. (1) The Agency may in any order direct that the order or a portion orprovision of it shall come into force

(a) at a future time,

(b) on the happening of any contingency, event or condition specified in theorder, or

(c) on the performance, to the satisfaction of the Agency or a person named byit, of any terms that the Agency may impose on an interested party,

and the Agency may direct that the whole or any portion of the order shall haveforce for a limited time or until the happening of a specified event.

Interim orders

(2) The Agency may, instead of making an order final in the first instance, makean interim order and reserve further directions either for an adjourned hearingof the matter or for further application.

Time for making decisions

29. (1) The Agency shall make its decision in any proceedings before it asexpeditiously as possible, but no later than one hundred and twenty days afterthe originating documents are received, unless the parties agree to an extensionor this Act or a regulation made under subsection (2) provides otherwise.

Period for specified classes

(2) The Governor in Council may, by regulation, prescribe periods of less thanone hundred and twenty days within which the Agency shall make its decision inrespect of such classes of proceedings as are specified in the regulation.

Pending proceedings

30. The fact that a suit, prosecution or proceeding involving a question of factis pending in any court does not deprive the Agency of jurisdiction to hear anddetermine the same question of fact.

Fact finding is conclusive

31. The finding or determination of the Agency on a question of fact within itsjurisdiction is binding and conclusive.

Review of decisions and orders

32. The Agency may review, rescind or vary any decision or order made by it ormay re-hear any application before deciding it if, in the opinion of the Agency,since the decision or order or the hearing of the application, there has been achange in the facts or circumstances pertaining to the decision, order orhearing.

Enforcement of decision or order

33. (1) A decision or an order of the Agency may be made an order of anysuperior court and is enforceable in the same manner as such an order.

Procedure

(2) To make a decision or order an order of a court, either the usual practiceand procedure of the court in such matters may be followed or the Secretary ofthe Agency may file with the registrar of the court a certified copy of thedecision or order, signed by the Chairperson and sealed with the Agency's seal,at which time the decision or order becomes an order of the court.

Effect of variation or rescission

(3) Where a decision or order that has been made an order of a court isrescinded or varied by a subsequent decision or order of the Agency, the orderof the court is deemed to have been cancelled and the subsequent decision ororder may be made an order of the court.

Option to enforce

(4) The Agency may, before or after one of its decisions or orders is made anorder of a court, enforce the decision or order by its own action.

Fees

34. (1) The Agency may, by rule, fix the fees that are to be paid to the Agencyin respect of applications made to it, including applications for licences orpermits and applications for amendments to or for the renewal of licences orpermits, and any other matters brought before or dealt with by the Agency.

Advance notice to Minister

(2) The Agency shall give the Minister notice of every rule proposed to be madeunder subsection (1).

Fees for witnesses

35. Every person summoned to attend before the Agency under this Part or beforea person making an inquiry under this Part shall receive the fees and allowancesfor so doing that the Agency may, by regulation, prescribe.

Approval of regulations required

36. (1) Every regulation made by the Agency under this Act must be made with theapproval of the Governor in Council.

Advance notice of regulations

(2) The Agency shall give the Minister notice of every regulation proposed to bemade by the Agency under this Act.

Inquiries

Inquiry into complaint

37. The Agency may inquire into, hear and determine a complaint concerning anyact, matter or thing prohibited, sanctioned or required to be done under any Actof Parliament that is administered in whole or in part by the Agency.

Appointment of person to conduct inquiry

38. (1) The Agency may appoint a member, or an employee of the Agency, to makeany inquiry that the Agency is authorized to conduct and report to the Agency.

Dealing with report

(2) On receipt of the report under subsection (1), the Agency may adopt thereport as a decision or order of the Agency or otherwise deal with it as itconsiders advisable.

Powers on inquiry

39. A person conducting an inquiry may, for the purposes of the inquiry,

(a) enter and inspect any place, other than a dwelling-house, or any structure,work, rolling stock or ship that is the property or under the control of anyperson the entry or inspection of which appears to the inquirer to be necessary;and

(b) exercise the same powers as are vested in a superior court to summonwitnesses, enforce their attendance and compel them to give evidence and produceany materials, books, papers, plans, specifications, drawings and otherdocuments that the inquirer thinks necessary.

Review and Appeal

Governor in Council may vary or rescind orders, etc.

40. The Governor in Council may, at any time, in the discretion of the Governorin Council, either on petition of a party or an interested person or of theGovernor in Council's own motion, vary or rescind any decision, order, rule orregulation of the Agency, whether the decision or order is made inter partes orotherwise, and whether the rule or regulation is general or limited in its scopeand application, and any order that the Governor in Council may make to do so isbinding on the Agency and on all parties.

Appeal from Agency

41. (1) An appeal lies from the Agency to the Federal Court of Appeal on aquestion of law or a question of jurisdiction on leave to appeal being obtainedfrom that Court on application made within one month after the date of thedecision, order, rule or regulation being appealed from, or within any furthertime that a judge of that Court under special circumstances allows, and onnotice to the parties and the Agency, and on hearing those of them that appearand desire to be heard.

Time for making appeal

(2) No appeal, after leave to appeal has been obtained under subsection (1),lies unless it is entered in the Federal Court of Appeal within sixty days afterthe order granting leave to appeal is made.

Powers of Court

(3) An appeal shall be heard as quickly as is practicable and, on the hearing ofthe appeal, the Court may draw any inferences that are not inconsistent with thefacts expressly found by the Agency and that are necessary for determining thequestion of law or jurisdiction, as the case may be.

Agency may be heard

(4) The Agency is entitled to be heard by counsel or otherwise on the argumentof an appeal.

Report of Agency

Report of Agency

42. (1) Each year the Agency shall, before the end of May, make a report on theactivities of the Agency for the preceding year and submit it to the Governor inCouncil through the Minister describing briefly, in respect of that year,

(a) applications to the Agency and the findings on them; and

(b) the findings of the Agency in regard to any matter or thing respecting whichthe Agency has acted on the request of the Minister.

Assessment of Act

(2) The Agency shall include in every report referred to in subsection (1) theAgency's assessment of the operation of this Act and any difficulties observedin the administration of this Act.

Tabling of report

(3) The Minister shall have a copy of each report made under this section laidbefore each House of Parliament on any of the first thirty days on which thatHouse is sitting after the Minister receives it.

Governor in Council

Directions to Agency

Policy directions

43. (1) The Governor in Council may, at the request of the Agency or of theGovernor in Council's own motion, issue policy directions to the Agencyconcerning any matter that comes within the jurisdiction of the Agency and everysuch direction shall be carried out by the Agency under the Act of Parliamentthat establishes the powers, duties and functions of the Agency in relation tothe subject-matter of the direction.

Limitation on directions

(2) A direction issued under subsection (1) shall not affect a matter that isbefore the Agency on the date of the direction and that relates to a particularperson.

Delay of binding effect

44. A direction issued under section 43 is not binding on the Agency until theexpiration of the thirtieth sitting day of Parliament after the direction hasbeen laid before both Houses of Parliament by or on behalf of the Minister,unless the direction has been previously laid before both Houses of Parliamentin proposed form by or on behalf of the Minister and thirty sitting days ofParliament have expired after the proposed direction was laid.

Referral to committee

45. Where a direction referred to in section 43 is issued or a proposeddirection referred to in section 44 is laid before a House of Parliament, itshall be referred without delay by that House to the committee of that Housethat it considers appropriate to deal with the subject-matter of the directionor proposed direction.

Consultation required

46. Before a direction referred to in section 43 is issued or a proposeddirection referred to in section 44 is laid before a House of Parliament, theMinister shall consult with the Agency with respect to the nature andsubject-matter of the direction or proposed direction.

Extraordinary Disruptions

Governor in Council may prevent disruptions

47. (1) Where the Governor in Council is of the opinion that

(a) an extraordinary disruption to the effective continued operation of thenational transportation system exists or is imminent, other than a labourdisruption,

(b) failure to act under this section would be contrary to the interests ofusers and operators of the national transportation system, and

(c) there are no other provisions in this Act or in any other Act of Parliamentthat are sufficient and appropriate to remedy the situation and counter theactual or anticipated damage caused by the disruption,

the Governor in Council may, on the recommendation of the Minister and theminister responsible for the Bureau of Competition Policy, by order, take anysteps, or direct the Agency to take any steps, that the Governor in Councilconsiders essential to stabilize the national transportation system, includingthe imposition of capacity and pricing restraints.

Minister may consult affected persons

(2) Before recommending that an order be made under this section, the Ministermay consult with any person who the Minister considers may be affected by theorder.

Order is temporary

(3) An order made under this section shall have effect for no more than ninetydays after the order is made.

Order to be tabled in Parliament

(4) The Minister shall cause any order made under this section to be laid beforeboth Houses of Parliament within seven sitting days after the order is made.

Reference to Parliamentary Committee

(5) Every order laid before Parliament under subsection (4) shall be referredfor review to the Standing committee designated by Parliament for the purpose.

Resolution of Parliament revoking order

(6) Where a resolution directing that an order made under this section berevoked is adopted by both Houses of Parliament before the expiration of thirtysitting days of Parliament after the order is laid before both Houses ofParliament, the order shall cease to have effect on the day that the resolutionis adopted or, if the adopted resolution specifies a day on which the ordershall cease to have effect, on that specified day.

Competition Act

(7) Notwithstanding subsection 4(2), this section and anything done under theauthority of this section prevail over the Competition Act.

Offence

(8) Every person who contravenes an order made under this section is guilty ofan offence and liable on summary conviction

(a) in the case of an individual, to a fine not exceeding $5,000, and

(b) in the case of a corporation, to a fine not exceeding $100,000,

for each day the person contravenes the order.

Minister

Support Agreements

Support agreements

48. The Minister may, with the approval of the Governor in Council and on theterms and conditions that the Governor in Council may specify, enter intoagreements in support of the national transportation policy set out in section 5or in respect of any transportation matter that the Minister considersappropriate.

Inquiries

Minister may request inquiry

49. The Minister may direct the Agency to inquire into any matter or thingconcerning transportation to which the legislative authority of Parliamentextends and report the findings on the inquiry to the Minister as and when theMinister may require.

Transportation Information

Regulations re information

50. (1) The Minister may, with the approval of the Governor in Council, makeregulations requiring carriers or transportation or grain handling undertakingsto which the legislative authority of Parliament extends to provide informationto the Minister, when and in the form and manner that the regulations mayspecify, for the purposes of

(a) national transportation policy development;

(b) annual reporting under section 52;

(c) operational planning;

(d) any safety or subsidy program;

(e) any infrastructure requirement;

(e.1) monitoring the grain transportation and handling system; or

(f) the administration of this Act.

Information to be provided

(2) Information required to be provided under subsection (1) may include thefollowing:

(a) financial data;

(b) traffic and operating statistics; and

(c) fitness and ownership information.

Restriction

(3) No regulation made under subsection (1) shall require or have the effect ofrequiring any person to provide the Minister with a contract referred to insubsection 68(1) or a contract entered into under subsection 126(1) or undersection 53 of the Canada Marine Act.

Limitation

(3.1) Subsection (3) does not apply in respect of a contract entered into undersubsection 126(1) to the extent that the information is required for the purposeof monitoring the grain transportation and handling system.

Report on the monitoring of the grain transportation and handling system

(3.2) The Minister must prepare, within six months after the end of each cropyear, a report on the monitoring of the grain transportation and handling systemand cause the report to be tabled in each House of Parliament on any of thefirst fifteen days on which that House is sitting after the Minister preparesit, if the Minister

(a) makes a regulation under paragraph (1)(e.1); and

(b) uses or communicates the information provided under the regulation for thepurpose of monitoring the grain transportation and handling system.

Exemptions

(4) The Minister may exempt a carrier or transportation undertaking from theapplication of all or any part of a regulation made under subsection (1) if theMinister is satisfied that is it not practicable for the carrier ortransportation undertaking to provide the information.

Consultations

(5) The Minister may consult with the Agency or Statistics Canada before makingany regulation under this section.

Confidentiality of information

51. (1) Except as otherwise specifically provided in this Act or any other Actof Parliament, information required to be provided to the Minister pursuant tothis Act is, when it is received by the Minister, confidential and must notknowingly be disclosed or made available by any person without the authorizationof the person who provided the information or documentation, except for thepurposes of a prosecution of a contravention of section 173.

Administrative use of information

(2) Subsection (1) does not apply so as to prohibit

(a) the communication of information to the Agency or to a minister of the Crownin right of Canada, the agent of any such minister or an officer or employee ofHer Majesty in right of Canada for the purposes of the administration of thisAct or any other Act of Parliament;

(b) the reporting of information in an aggregated form that prevents informationobtained from an identifiable person from being related to that person; or

(c) the communication of information by the Minister for the purpose ofmonitoring the grain transportation and handling system.

Safe and secure procedures

(3) The Minister shall ensure that the procedures and physical measures taken toensure the confidentiality of information provided to the Minister pursuant tothis Act, including the keeping of electronic data, are safe and secure.

Industry Review

Industry review

52. (1) Each year the Minister shall, before the end of May, lay beforeParliament a report briefly reviewing the state of transportation in Canada inrespect of the preceding year, including

(a) the financial viability of each mode of transportation and its contributionto the Canadian economy and the development of the regions;

(b) the extent to which carriers and modes of transportation were providedresources, facilities and services at public expense;

(c) the extent to which carriers and modes of transportation receivedcompensation, indirectly or directly, for the resources, facilities and servicesthat were required to be provided as an imposed public duty; and

(d) any other transportation matters that the Minister considers appropriate.

First year

(2) Subsection (1) does not apply in respect of the year in which this Act comesinto force if this Act was not in force for more than four months in that year.

Review of Act

Statutory review

53. (1) The Minister shall, no later than four years after the day this Actcomes into force, appoint one or more persons to carry out a comprehensivereview of the operation of this Act and any other Act of Parliament for whichthe Minister is responsible that pertains to the economic regulation of a modeof transportation and transportation activities under the legislative authorityof Parliament.

Objective of review

(2) The person or persons conducting the review shall assess whether thelegislation referred to in subsection (1) provides Canadians with an efficient,effective, flexible and affordable transportation system, and, where necessaryor desirable, recommend amendments to

(a) the national transportation policy set out in section 5; and

(b) the legislation referred to in subsection (1).

Consultations

(3) The review shall be undertaken in consultation with purchasers and suppliersof transportation services and any other persons whom the Minister considersappropriate.

Powers on review

(4) Every person appointed to carry out the review has, for the purposes of thereview, the powers of a commissioner under Part I of the Inquiries Act and mayengage the services of experts, professionals and other staff deemed necessaryfor making the review at the rates of remuneration that the Treasury Boardapproves.

Report

(5) The review shall be completed and a report of the review submitted to theMinister within one year after the appointment referred to in subsection (1).

Tabling of report

(6) The Minister shall have a copy of the report laid before each House ofParliament on any of the first thirty days on which that House is sitting afterthe Minister receives it.

General

Appointment of receiver not to bar jurisdiction

54. (1) The fact that a receiver, manager or other official of a carrier, or areceiver of the property of a carrier, has been appointed by a court in Canada,or is managing or operating a mode of transportation under the authority of anysuch court, is not a bar to the exercise of any jurisdiction granted under thisAct, but every such receiver, manager or official is bound to manage and operatethe mode of transportation in accordance with this Act and with the orders,regulations and directions made or issued under this Act, notwithstanding thefact that the receiver, manager, official or person has been appointed by oracts under the authority of a court.

Adaptation orders

(2) Wherever by reason of insolvency, sale under mortgage or any other cause, atransportation undertaking or a portion of a transportation undertaking isoperated, managed or held otherwise than by the carrier, the Agency or theMinister may make any order it considers proper for adapting and applying theprovisions of this Act.

PART II

AIR TRANSPORTATION

Interpretation and Application

Definitions

55. (1) In this Part,

"aircraft"

? aéronef ?

"aircraft" has the same meaning as in subsection 3(1) of the Aeronautics Act;

"air service"

? service aérien ?

"air service" means a service, provided by means of an aircraft, that ispublicly available for the transportation of passengers or goods, or both;

"basic fare"

? prix de base ?

"basic fare" means

(a) the fare in the tariff of the holder of a domestic licence that has norestrictions and represents the lowest amount to be paid for one-way airtransportation of an adult with reasonable baggage between two points in Canada,or

(b) where the licensee has more than one such fare between two points in Canadaand the amount of any of those fares is dependent on the time of day or day ofthe week of travel, or both, the highest of those fares;

"Canadian"

? Canadien ?

"Canadian" means a Canadian citizen or a permanent resident within the meaningof subsection 2(1) of the Immigration and Refugee Protection Act, a governmentin Canada or an agent of such a government or a corporation or other entity thatis incorporated or formed under the laws of Canada or a province, that iscontrolled in fact by Canadians and of which at least seventy-five per cent, orsuch lesser percentage as the Governor in Council may by regulation specify, ofthe voting interests are owned and controlled by Canadians;

"Canadian aviation document"

? document d'aviation canadien ?

"Canadian aviation document" has the same meaning as in subsection 3(1) of theAeronautics Act;

"domestic licence"

Version anglaise seulement

"domestic licence" means a licence issued under section 61;

"domestic service"

? service intérieur ?

"domestic service" means an air service between points in Canada, from and tothe same point in Canada or between Canada and a point outside Canada that isnot in the territory of another country;

"international service"

? service international ?

"international service" means an air service between Canada and a point in theterritory of another country;

"licensee"

? licencié ?

"licensee" means the holder of a licence issued by the Agency under this Part;

"non-scheduled international licence"

Version anglaise seulement

"non-scheduled international licence" means a licence issued under subsection73(1);

"non-scheduled international service"

? service international à la demande ?

"non-scheduled international service" means an international service other thana scheduled international service;

"prescribed"

? règlement ?

"prescribed" means prescribed by regulations made under section 86;

"scheduled international licence"

Version anglaise seulement

"scheduled international licence" means a licence issued under subsection 69(1);

"scheduled international service"

? service international régulier ?

"scheduled international service" means an international service that is ascheduled service pursuant to

(a) an agreement or arrangement for the provision of that service to whichCanada is a party, or

(b) a determination made under section 70;

"tariff"

? tarif ?

"tariff" means a schedule of fares, rates, charges and terms and conditions ofcarriage applicable to the provision of an air service and other incidentalservices.

(2) For the purposes of this Part,

(a) one corporation is affiliated with another corporation if

(i) one of them is a subsidiary of the other,

(ii) both are subsidiaries of the same corporation, or

(iii) both are controlled by the same person;

(b) if two corporations are affiliated with the same corporation at the sametime, they are deemed to be affiliated with each other;

(c) a partnership or sole proprietorship is affiliated with another partnershipor sole proprietorship if both are controlled by the same person;

(d) a corporation is affiliated with a partnership or a sole proprietorship ifboth are controlled by the same person;

(e) a corporation is a subsidiary of another corporation if it is controlled bythat other corporation or by a subsidiary of that other corporation;

(f) a corporation is controlled by a person other than Her Majesty in right ofCanada or a province if

(i) securities of the corporation to which are attached more than 50% of thevotes that may be cast to elect directors of the corporation are held, directlyor indirectly, whether through one or more subsidiaries or otherwise, otherwisethan by way of security only, by or for the benefit of that person, and

(ii) the votes attached to those securities are sufficient, if exercised, toelect a majority of the directors of the corporation;

(g) a corporation is controlled by Her Majesty in right of Canada or a provinceif

(i) the corporation is controlled by Her Majesty in the manner described inparagraph (f), or

(ii) in the case of a corporation without share capital, a majority of thedirectors of the corporation, other than ex officio directors, are appointed by

(A) the Governor in Council or the Lieutenant Governor in Council of theprovince, as the case may be, or

(B) a Minister of the government of Canada or the province, as the case may be;and

(h) a partnership is controlled by a person if the person holds an interest inthe partnership that entitles the person to receive more than 50% of the profitsof the partnership or more than 50% of its assets on dissolution.

Definition of "person"

(3) In subsection (2), "person" includes an individual, a partnership, anassociation, a corporation, a trustee, an executor, a liquidator of asuccession, an administrator or a legal representative.

Control in fact

(4) For greater certainty, nothing in subsection (2) shall be construed toaffect the meaning of the expression "controlled in fact" in the definition"Canadian" in subsection (1).

Non-application of Part

56. (1) This Part does not apply to aircraft that are used by the Canadian ArmedForces or by any other armed forces cooperating with the Canadian Armed Forcesand that bear the insignia or markings of the Canadian Armed Forces or thoseother armed forces.

Specialty service exclusion

(2) This Part does not apply to the operation of an air flight training service,aerial inspection service, aerial construction service, aerial photographyservice, aerial forest fire management service, aerial spraying service or anyother prescribed air service.

Review of Mergers and Acquisitions

Notice

56.1 (1) Every person who is required to notify the Commissioner undersubsection 114(1) of the Competition Act in respect of a transaction thatinvolves an air transportation undertaking shall give notice, containing,subject to the regulations, the information required under that subsection, ofthe transaction to the Minister and the Agency, when notice is given to theCommissioner and, in any event, no later than when the person is required tonotify the Commissioner.

Minister's determination

(2) If the Minister is of the opinion that the transaction does not raiseconcerns with respect to the public interest as it relates to nationaltransportation, the Minister shall, within 42 days after a person gives noticeunder subsection (1), give notice of the opinion to that person.

When sections 56.2 and 56.3 do not apply

(3) Sections 56.2 and 56.3 do not apply in respect of the transaction if theMinister gives notice under subsection (2).

Definition of "Commissioner"

(4) In this section and sections 56.2, 56.4 and 56.5, "Commissioner" has thesame meaning as in subsection 2(1) of the Competition Act.

Prohibition

56.2 (1) No person shall complete a transaction referred to in subsection56.1(1) unless the Agency determines that the transaction would result in an airtransportation undertaking that is Canadian and the transaction is approved bythe Governor in Council.

Commissioner 's report

(2) The Commissioner shall, as soon as feasible, report to the Minister and theparties to the transaction on any concerns regarding potential prevention orlessening of competition that may occur as a result of the transaction.

Minister to inform re concerns

(3) After receiving the Commissioner's report and before the Minister makes arecommendation for the purposes of subsection (6), the Minister shall inform theCommissioner and the parties to the transaction

(a) of any national transportation concerns that the Minister has in respect ofthe transaction; and

(b) of which of the Commissioner's concerns the Minister believes the partiesshould address with the Commissioner.

Measures to address concerns

(4) After conferring with the Minister and the Commissioner, the parties to thetransaction shall inform the Minister and the Commissioner of any measures theyare prepared to undertake to address the Minister's and the Commissioner'sconcerns and may propose revisions to the transaction.

Precondition to recommendation

(5) Before making a recommendation for the purposes of subsection (6), theMinister shall obtain the Commissioner's assessment of the adequacy of anyundertaking proposed by the parties to address the Commissioner's concerns andthe effects on those concerns of any proposed revisions to the transaction.

Approval of Governor in Council

(6) If the Governor in Council is satisfied that it is in the public interest toapprove the transaction, taking into account any revisions to it proposed by theparties and measures they are prepared to undertake, the Governor in Councilmay, by order made on the recommendation of the Minister, approve thetransaction and specify any terms and conditions that the Governor in Councilconsiders appropriate. The order shall indicate which of the terms andconditions relate to potential prevention or lessening of competition and whichrelate to national transportation concerns.

Variation of terms and conditions

(7) On application by a person who is subject to terms and conditions specifiedin an order, the Governor in Council may, on the recommendation of the Minister,vary or rescind the terms and conditions. If the terms and conditions to bevaried or rescinded affect competition, the Minister shall consult with theCommissioner before making the recommendation.

Commissioner 's representations

(8) If the Minister directs the Agency under section 49 to inquire into anymatter or thing to assist the Minister in making the recommendation undersubsection (6) or (7), the Agency shall give notice of the inquiry to theCommissioner and allow the Commissioner to make representations to the Agency.

Compliance with terms and conditions

(9) Every person subject to terms and conditions specified in an order shallcomply with them.

Canadian

56.3 The Agency shall determine whether a transaction referred to in section56.1 would result in an air transportation undertaking that is Canadian.

Substantial or complete control over domestic services

56.4 (1) If the Governor in Council is of the opinion that a licensee and itsaffiliated licensees have, after October 26, 1999, acquired or are about toacquire substantial or complete control over domestic services, otherwise thanas a result of a transaction approved under section 56.2, the Governor inCouncil may, by order made on the recommendation of the Minister, direct thelicensee or the affiliated licensees to take any action that the Governor inCouncil considers reasonable and necessary to protect the public interest fromthe consequences of that control, including requiring the divestiture of assets.

Precondition to recommendation

(2) The Minister shall not make a recommendation under subsection (1) unless theMinister has obtained the Commissioner's assessment of the state of competitionin the domestic airline industry.

Variation or rescission

(3) On application by a person who is subject to an order made under subsection(1) and on the recommendation of the Minister, the Governor in Council may, byorder, vary or rescind the order. If the order to be rescinded or varied affectscompetition, the Minister shall consult with the Commissioner before making therecommendation.

Order of divestiture - application by Minister

56.5 (1) If a person contravenes subsection 56.2(1), subsection 56.2(9) withrespect to a term or condition that relates to national transportation concernsor an order made under subsection 56.4(1), on application by the Minister, asuperior court may order the person to cease the contravention or do any thingthat is required to be done, and may make any other order that it considersappropriate, including an order requiring the divestiture of assets. TheMinister shall notify the Commissioner before making an application.

Order of divestiture - application by Commissioner

(2) If a person contravenes subsection 56.2(9) with respect to a term orcondition that relates to potential prevention or lessening of competition, onapplication by the Commissioner, a superior court may order the person to ceasethe contravention or do any thing that is required to be done, and may make anyother order that it considers appropriate, including an order requiring thedivestiture of assets. The Commissioner shall notify the Minister before makingan application.

Regulations

56.6 The Governor in Council may, on the recommendation of the Minister, makeregulations

(a) specifying information required in a notice under subsection 56.1(1); and

(b) exempting classes of transactions from the application of sections 56.1 to56.3.

Offence - subsection 56.1(1)

56.7 (1) Every person who contravenes subsection 56.1(1) is guilty of an offenceand is liable

(a) on summary conviction, to a fine of not more than $25,000; or

(b) on conviction on indictment, to a fine of not more than $50,000.

Offence - subsection 56.2(1) or (9)

(2) Every person who contravenes subsection 56.2(1) or (9) or an order madeunder subsection 56.4(1) is guilty of an indictable offence and liable toimprisonment for a term not exceeding five years or to a fine not exceeding$10,000,000 or to both.

Continuing offence

(3) If an offence under subsection (2) is committed or continued on more thanone day, the person who commits it is liable to be convicted for a separateoffence for each day on which it is committed or continued.

Officers, etc., of corporations

(4) If a corporation commits an offence under subsection (1) or (2), anyofficer, director or agent of the corporation who directed, authorized, assentedto, acquiesced in or participated in the commission of the offence is a party toand guilty of the offence and is liable on conviction to the punishment providedfor the offence whether or not the corporation has been prosecuted or convicted.

Sections 174 and 175 do not apply

(5) Sections 174 and 175 do not apply in respect of an offence committed undersubsection (1) or (2).

Prohibitions

Prohibition re operation

57. No person shall operate an air service unless, in respect of that service,the person

(a) holds a licence issued under this Part;

(b) holds a Canadian aviation document; and

(c) has the prescribed liability insurance coverage.

Licence not transferable

58. A licence issued under this Part for the operation of an air service is nottransferable.

Prohibition re sale

59. No person shall sell, cause to be sold or publicly offer for sale in Canadaan air service unless, where required under this Part, the person holds alicence issued under this Part in respect of that service.

Provision of aircraft with flight crew

60. (1) No person shall provide all or part of an aircraft, with a flight crew,to a licensee for the purpose of providing an air service pursuant to thelicensee's licence and no licensee shall provide an air service using all orpart of an aircraft, with a flight crew, provided by another person except

(a) in accordance with regulations made by the Agency respecting disclosure ofthe identity of the operator of the aircraft and other related matters; and

(b) where prescribed, with the approval of the Agency.

Conditions and Ministerial directions

(2) Approval by the Agency under subsection (1) is subject to any directions tothe Agency issued by the Minister and to any terms and conditions that theAgency may specify in the approval, including terms and conditions respectingroutes to be followed, points or areas to be served, size and type of aircraftto be operated, schedules, places of call, tariffs, fares, rates and charges,insurance, carriage of passengers and, subject to the Canada Post CorporationAct, carriage of goods.

Licence for Domestic Service

Issue of licence

61. On application to the Agency and on payment of the specified fee, the Agencyshall issue a licence to operate a domestic service to the applicant if

(a) the applicant establishes in the application to the satisfaction of theAgency that the applicant

(i) is a Canadian,

(ii) holds a Canadian aviation document in respect of the service to be providedunder the licence,

(iii) has the prescribed liability insurance coverage in respect of the serviceto be provided under the licence, and

(iv) meets prescribed financial requirements; and

(b) the Agency is satisfied that the applicant has not contravened section 59 inrespect of a domestic service within the preceding twelve months.

Qualification exemption

62. Where the Minister considers it necessary or advisable in the publicinterest that a domestic licence be issued to a person who is not a Canadian,the Minister may, by order, on such terms and conditions as may be specified inthe order, exempt the person from the application of subparagraph 61(a)(i) forthe duration of the order.

Mandatory suspension or cancellation

63. (1) The Agency shall suspend or cancel the domestic licence of a personwhere the Agency determines that, in respect of the service for which thelicence was issued, the person ceases to meet any of the requirements ofsubparagraphs 61(a)(i) to (iii).

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 thedomestic licence was issued, the licensee has contravened, or does not meet therequirements of, any regulation or order made under this Part or any provisionof this Part other than subparagraphs 61(a)(i) to (iii); or

(b) subject to section 64, in accordance with a request from the licensee forthe suspension or cancellation.

Reinstatement condition

(3) The Agency shall not reinstate a domestic licence that has been suspendedfor sixty days or longer unless the licensee establishes to the satisfaction ofthe Agency that the person meets the prescribed financial requirements.

Notice of discontinuance or reduction of certain services

64. (1) Where a licensee proposes to discontinue a domestic service or to reducethe 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 onelicensee or no licensee offering at least one flight per week to that point, thelicensee shall give notice of the proposal in prescribed form and manner to suchpersons as are prescribed.

Notice of discontinuance of certain services

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

Discussion with elected officials

(1.2) A licensee shall, as soon as practicable after giving notice undersubsection (1) or (1.1), provide an opportunity for elected officials of themunicipal or local government of the community of the point or points, as thecase may be, to meet and discuss with the licensee the impact of the proposeddiscontinuance or reduction.

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 inthat subsection has been in operation for less than one year, after the noticeis given or until the expiry of any shorter period that the Agency may, onapplication by the licensee, specify by order.

Considerations re whether exemption to be granted

(3) In considering whether to specify a shorter period under subsection (2), theAgency shall have regard to

(a) the adequacy of alternative modes of public transportation available at orin the vicinity of the point referred to in subsection (1) or between the pointsreferred to in subsection (1.1);

(b) other means by which air service to the point or between the points is or islikely 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 serviceoperated between two points without any stops in accordance with a publishedtimetable or on a regular basis.

Complaints re non-compliance

65. Where, on complaint in writing to the Agency by any person, the Agency findsthat a licensee has failed to comply with section 64 and that it is practicablein the circumstances for the licensee to comply with an order under thissection, the Agency may, by order, direct the licensee to reinstate the servicereferred to in that section

(a) for such a period, not exceeding sixty days after the date of the finding bythe Agency, as the Agency deems appropriate; and

(b) at such a frequency as the Agency may specify.

Unreasonable fares or rates

66. (1) If, on complaint in writing to the Agency by any person, the Agencyfinds that a licensee, including affiliated licensees, is the only personproviding a domestic service between two points and that a fare, cargo rate orincrease in a fare or cargo rate published or offered in respect of the serviceis 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 orincrease by the amounts and for the periods that the Agency considers reasonablein the circumstances; or

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

Complaint of inadequate range of fares or rates

(2) If, on complaint in writing to the Agency by any person, the Agency findsthat a licensee, including affiliated licensees, is the only person providing adomestic service between two points and that it is offering an inadequate rangeof 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 thecircumstances, to publish and apply in respect of that service one or moreadditional fares or cargo rates that the Agency considers reasonable in thecircumstances.

Relevant information

(3) When making a finding under subsection (1) or (2) that a fare, cargo rate orincrease in a fare or cargo rate published or offered in respect of a domesticservice between two points is unreasonable or that a licensee is offering aninadequate range of fares or cargo rates in respect of a domestic servicebetween two points, the Agency shall consider

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

(b) fares or cargo rates applicable to similar domestic services offered by thelicensee and one or more other licensees using similar aircraft, including termsand conditions of carriage and, in the case of fares, the number of seatsavailable at those fares;

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

(c) any other information that may be provided by the licensee, includinginformation that the licensee provides under section 83.

Alternative domestic services

(4) The Agency may find that a licensee is the only person providing a domesticservice between two points if every alternative domestic service between thosepoints is, in the opinion of the Agency, unreasonable, taking into considerationthe number of stops, the number of seats offered, the frequency of service, theflight connections and the total travel time.

Consideration of representations

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

Finding on the Agency's own motion

(6) The Agency may make a finding under subsection (1) or (2) on its own motionwithin two years after the date that this subsection comes into force. TheGovernor in Council may, by order, extend for a maximum of two years the periodwithin which the Agency may make a finding on its own motion.

Informing the Agency

(7) During the period during which the Agency may make a finding undersubsection (6), every licensee operating a domestic service between two pointsin accordance with a published timetable or on a regular basis shall

(a) keep the Agency informed of its existing tariffs in respect of that servicein the form and manner that the Agency may specify; and

(b) on request, inform the Agency of the tariffs it applied in respect of any ofits domestic services during the previous three years and provide the Agencywith any information that the Agency considers necessary for the purposes ofsubsection (6) and that is in support of those tariffs or related to thepassenger seating or cargo capacity offered or proposed to be offered inrelation to the fares or cargo rates set out in those tariffs.

Confidentiality of information

(8) The Agency may take any measures or make any order that it considersnecesssary to protect the confidentiality of any of the following informationthat 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 financialloss to, or prejudice to the competitive position of, the person providing theinformation or on whose behalf it is provided; and

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

Tariffs to be made public

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

(a) publish or display and make available for public inspection at the businessoffices of the licensee all the tariffs for the domestic service offered by thelicensee;

(b) in its tariffs, specifically identify the basic fare between all points forwhich a domestic service is offered by the licensee; and

(c) retain a record of its tariffs for a period of not less than three yearsafter the tariffs have ceased to have effect.

Prescribed tariff information to be included

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

No fares, etc., unless set out in tariff

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

Copy of tariff on payment of fee

(4) The holder of a domestic licence shall provide a copy or excerpt of itstariffs to any person on request and on payment of a fee not exceeding the costof making the copy or excerpt.

Fares or rates not set out in tariff

67.1 If, on complaint in writing to the Agency by any person or on its ownmotion, the Agency finds that, contrary to subsection 67(3), the holder of adomestic licence has applied a fare, rate, charge or term or condition ofcarriage applicable to the domestic service it offers that is not set out in itstariffs, the Agency may order the licensee to

(a) apply a fare, rate, charge or term or condition of carriage that is set outin its tariffs;

(b) compensate any person adversely affected for any expenses they incurred as aresult of the licensee's failure to apply a fare, rate, charge or term orcondition of carriage that was set out in its tariffs; and

(c) take any other appropriate corrective measures.

When unreasonable or unduly discriminatory terms or conditions

67.2 (1) If, on complaint in writing to the Agency by any person, the Agencyfinds that the holder of a domestic licence has applied terms or conditions ofcarriage applicable to the domestic service it offers that are unreasonable orunduly discriminatory, the Agency may suspend or disallow those terms orconditions and substitute other terms or conditions in their place.

Prohibition on advertising

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

Non-application of fares, etc.

68. (1) Sections 66, 67, 67.1 and 67.2 do not apply in respect of fares, rates,charges or terms and conditions of carriage applicable to a domestic serviceprovided for under a contract between a holder of a domestic licence and anotherperson whereby the parties to the contract agree to keep its provisionsconfidential.

Provisions regarding exclusive use of services

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

Retention of contract required

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

Licence for Scheduled International Service

Issue of licence

69. (1) On application to the Agency and on payment of the specified fee, theAgency shall issue a licence to operate a scheduled international service to theapplicant if

(a) the applicant establishes in the application to the satisfaction of theAgency 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 providedunder the licence,

(iii) has the prescribed liability insurance coverage in respect of the serviceto be provided under the licence, and

(iv) where the applicant is a Canadian, meets the prescribed financialrequirements; and

(b) the Agency is satisfied that the applicant has not contravened section 59 inrespect of the service to be provided under the licence within the precedingtwelve months.

Eligibility of Canadians

(2) The Minister may, in writing to the Agency, designate any Canadian aseligible to hold a scheduled international licence and, while the designationremains in force, that Canadian remains so eligible.

Eligibility of non-Canadians

(3) A non-Canadian is eligible to hold a scheduled international licence if thenon-Canadian

(a) has been designated by a foreign government or an agent of a foreigngovernment to operate an air service under the terms of an agreement orarrangement between that government and the Government of Canada; and

(b) holds, in respect of the air service, a document issued by a foreigngovernment or agent that, in respect of the service to be provided under thedocument, is equivalent to a scheduled international licence.

Determination of scheduled international service

70. The Minister may, in writing to the Agency,

(a) determine that an international service is a scheduled internationalservice; or

(b) withdraw a determination made under paragraph (a).

Terms and conditions of scheduled international licence

71. (1) Subject to any directions issued to the Agency under section 76, theAgency may, on the issuance of a scheduled international licence or from time totime thereafter, make the licence subject, in addition to any terms andconditions prescribed in respect of the licence, to such terms and conditions asthe Agency deems to be consistent with the agreement, convention or arrangementpursuant to which the licence is being issued, including terms and conditionsrespecting routes to be followed, points or areas to be served, size and type ofaircraft to be operated, schedules, places of call, tariffs, fares, rates andcharges, insurance, carriage of passengers and, subject to the Canada PostCorporation Act, carriage of goods.

Compliance with terms and conditions

(2) The holder of a scheduled international licence shall comply with every termand condition to which the licence is subject.

Mandatory suspension or cancellation

72. (1) The Agency shall suspend or cancel a scheduled international licencewhere the Agency determines that, in respect of the service for which thelicence was issued, the licensee ceases to meet any of the requirements ofsubparagraphs 69(1)(a)(i) to (iii).

Discretionary suspension or cancellation

(2) The Agency may suspend or cancel a scheduled international licence

(a) where the Agency determines that, in respect of the service for which thelicence was issued, the licensee has contravened, or does not meet therequirements of, any regulation or order made under this Part or any provisionof this Part other than subparagraphs 69(1)(a)(i) to (iii); or

(b) in accordance with a request from the licensee for the suspension orcancellation.

Reinstatement condition

(3) The Agency shall not reinstate the scheduled international licence of aCanadian that has been suspended for sixty days or longer unless the Canadianestablishes to the satisfaction of the Agency that the Canadian meets theprescribed financial requirements.

Licence for Non-scheduled International Service

Issue of licence

73. (1) Subject to any directions issued to the Agency under section 76, onapplication to the Agency and on payment of the specified fee, the Agency shallissue a licence to operate a non-scheduled international service to theapplicant if

(a) the applicant establishes in the application to the satisfaction of theAgency that the applicant

(i) is a Canadian,

(ii) holds a Canadian aviation document in respect of the service to be providedunder the licence,

(iii) has the prescribed liability insurance coverage in respect of the serviceto be provided under the licence, and

(iv) meets prescribed financial requirements; and

(b) the Agency is satisfied that the applicant has not contravened section 59 inrespect of the service to be provided under the licence within the precedingtwelve months.

Non-Canadian applicant

(2) Subject to any directions issued to the Agency under section 76, onapplication to the Agency and on payment of the specified fee, the Agency mayissue a non-scheduled international licence to a non-Canadian applicant if theapplicant establishes in the application to the satisfaction of the Agency thatthe applicant

(a) holds a document issued by the government of the applicant's state or anagent of that government that, in respect of the service to be provided underthe document, is equivalent to the non-scheduled international licence for whichthe application is being made; and

(b) meets the requirements of subparagraphs (1)(a)(ii) and (iii) and paragraph(1)(b).

Terms and conditions of non-scheduled international licence

74. (1) Subject to any directions issued to the Agency under section 76, theAgency may, on the issuance of a non-scheduled international licence or fromtime to time thereafter, make the licence subject, in addition to any terms andconditions prescribed in respect of the licence, to such terms and conditions asthe Agency deems appropriate, including terms and conditions respecting pointsor areas to be served, size and type of aircraft to be operated, schedules,places of call, tariffs, fares, rates and charges, insurance, carriage ofpassengers and, subject to the Canada Post Corporation Act, carriage of goods.

Compliance with terms and conditions

(2) The holder of a non-scheduled international licence shall comply with everyterm and condition to which the licence is subject.

Mandatory suspension or cancellation

75. (1) The Agency shall suspend or cancel a non-scheduled international licencewhere the Agency determines that, in respect of the service for which thelicence was issued, the licensee ceases to meet any of the requirements of

(a) in respect of a Canadian licensee, subparagraphs 73(1)(a)(i) to (iii); and

(b) in respect of a non-Canadian licensee, subparagraphs 73(1)(a)(ii) and (iii)and paragraph 73(2)(a).

Discretionary suspension or cancellation

(2) The Agency may suspend or cancel a non-scheduled international licence

(a) where the Agency determines that, in respect of the service for which thelicence was issued, the licensee has contravened, or does not meet therequirements of, any regulation or order made under this Part or any provisionof this Part other than the provisions referred to in paragraphs (1)(a) and (b);or

(b) in accordance with a request from the licensee for the suspension orcancellation.

Reinstatement condition

(3) The Agency shall not reinstate the non-scheduled international licence of aCanadian that has been suspended for sixty days or longer unless the Canadianestablishes to the satisfaction of the Agency that the Canadian meets theprescribed financial requirements.

Ministerial Directions for International Service

Minister may issue directions

76. (1) Where the Minister determines that it is necessary or advisable toprovide direction to the Agency in respect of the exercise of any of its powersor the performance of any of its duties or functions under this Part relating tointernational service,

(a) in the interest of the safety or security of international civil aviation,

(b) in connection with the implementation or administration of an internationalagreement, convention or arrangement respecting civil aviation to which Canadais a party,

(c) in the interest of international comity or reciprocity,

(d) for the purpose of enforcing Canada's rights under an internationalagreement, convention or arrangement respecting civil aviation or responding toacts, policies or practices by a contracting party to any such agreement,convention or arrangement, or by an agency or citizen of such a party, thatadversely affect or lead either directly or indirectly to adverse effects onCanadian international civil aviation services, or

(e) in connection with any other matter concerning international civil aviationas it affects the public interest,

the Minister may, subject to subsection (3), issue to the Agency directionsthat, notwithstanding any other provision of this Part, are binding on, andshall be complied with by, the Agency in the exercise of its powers or theperformance of its duties or functions under this Part relating to internationalservice.

Nature of directions

(2) Directions issued under subsection (1) may relate to

(a) persons or classes of persons to whom licences to operate an internationalservice shall or shall not be issued;

(b) the terms and conditions of such licences, or their variation;

(c) the suspension or cancellation of such licences; and

(d) any other matter concerning international service that is not governed by orunder the Aeronautics Act.

Concurrence required for certain directions

(3) A direction by the Minister relating to a matter referred to in paragraph(1)(c), (d) or (e) may be issued only with the concurrence of the Minister ofForeign Affairs.

Duties and Powers of Agency

Duties and functions of Agency under international agreements, etc.

77. Where the Agency is identified as the aeronautical authority for Canadaunder an international agreement, convention or arrangement respecting civilaviation to which Canada is a party, or is directed by the Minister to performany duty or function of the Minister pursuant to any such agreement, conventionor arrangement, the Agency shall act as the aeronautical authority for Canada orperform the duty or function in accordance with the agreement, convention,arrangement or direction, as the case may be.

Agency powers qualified by certain agreements, etc.

78. (1) Subject to any directions issued to the Agency under section 76, thepowers conferred on the Agency by this Part shall be exercised in accordancewith any international agreement, convention or arrangement relating to civilaviation to which Canada is a party.

Variations from agreements, etc.

(2) Notwithstanding subsection (1) and subject to any directions issued to theAgency under section 76, the Agency may issue a licence or suspend a licence, orvary the terms and conditions of a licence, on a temporary basis forinternational air services that are not permitted in an agreement, convention orarrangement relating to civil aviation to which Canada is a party.

Agency may refuse licence - individuals

79. (1) Where the Agency has suspended or cancelled the licence of an individualunder this Part or where an individual has contravened section 59, the Agencymay, for a period not exceeding twelve months after the date of the suspension,cancellation or contravention, refuse to issue a licence in respect of an airservice to the individual or to any corporation of which the individual is aprincipal.

Agency may refuse licence - corporations

(2) Where the Agency has suspended or cancelled the licence of a corporationunder this Part or where a corporation has contravened section 59, the Agencymay, for a period not exceeding twelve months after the date of the suspension,cancellation or contravention, refuse to issue a licence in respect of an airservice to

(a) the corporation;

(b) any person who, as a principal of the corporation, directed, authorized,assented to, acquiesced in or participated in a contravention that gave rise tothe suspension or cancellation; and

(c) any body corporate of which the corporation or the person referred to inparagraph (b) is a principal.

Exemption

80. (1) The Agency may, by order, on such terms and conditions as it deemsappropriate, exempt a person from the application of any of the provisions ofthis Part or of a regulation or order made under this Part where the Agency isof the opinion that

(a) the person has substantially complied with the provision;

(b) an action taken by the person is as effective as actual compliance with theprovision; or

(c) compliance with the provision by the person is unnecessary, undesirable orimpractical.

Exemption not to provide certain relief

(2) No exemption shall be granted under subsection (1) that has the effect ofrelieving a person from any provision of this Part that requires a person to bea Canadian and to have a Canadian aviation document and prescribed liabilityinsurance coverage in respect of an air service.

Inquiry into licensing matters

81. For the purposes of ensuring compliance with this Part, the Agency mayinquire into any matter for which a licence, permit or other document isrequired under this Part.

Licensee to provide notification

82. Every licensee shall notify the Agency without delay, in writing, if

(a) the liability insurance coverage in respect of the air service for which thelicence is issued is cancelled or is altered in a manner that results in thefailure by the licensee to have the prescribed liability insurance coverage forthat service;

(b) the licensee's operations change in a manner that results in the failure bythe licensee to have the prescribed liability insurance coverage for thatservice; or

(c) any change occurs that affects, or is likely to affect, the licensee'sstatus as a Canadian.

Disclosure of information required

83. A licensee shall, at the request of the Agency, provide the Agency withinformation or documents available to the licensee that relate to any complaintunder review or any investigation being conducted by the Agency under this Part.

Notification of agent required

84. (1) A licensee who has an agent in Canada shall, in writing, provide theAgency with the agent's name and address.

Appointment and notice of agent

(2) A licensee who does not have a place of business or an agent in Canada shallappoint an agent who has a place of business in Canada and, in writing, providethe Agency with the agent's name and address.

Notice of change of address

85. Where the address of a licensee's principal place of business in Canada orthe name or address of the licensee's agent in Canada is changed, the licenseeshall notify the Agency in writing of the change without delay.

Air Travel Complaints Commissioner

Designation

85.1 (1) The Minister shall designate a temporary member to act as the AirTravel Complaints Commissioner for the purposes of this section.

Filing of complaints

(2) A person shall file in writing with the Air Travel Complaints Commissioner acomplaint against a licensee in respect of its air service if the person madethe complaint to the licensee and the complaint was not resolved to the person'ssatisfaction.

Review and mediation

(3) The Commissioner, or a person authorized to act on the Commissioner'sbehalf, shall review and attempt to resolve every complaint filed undersubsection (2) for which no other remedy exists and may, if appropriate, mediateor arrange for the mediation of a complaint filed under that subsection.

Production of documents

(4) On request by the Commissioner or a person authorized to act on theCommissioner's behalf, a person shall produce for examination by theCommissioner any document, record or thing that is in the possession or underthe control of the person and is, in the opinion of the Commissioner, relevantto a complaint.

Report to parties

(5) The Commissioner or a person authorized to act on the Commissioner's behalfshall provide to the parties a report that outlines their positions and anysettlement that they reached.

Publicly available report

(6) The Commissioner shall, at least semi-annually, prepare a report to theGovernor in Council through the Minister setting out the number and nature ofcomplaints filed under subsection (2), including the names of the licenseesagainst whom the complaints were made and describing the manner in which theywere dealt with and any systemic problems observed. The Agency shall include theCommissioner's reports in its annual report.

Regulations

Regulations

86. (1) The Agency may make regulations

(a) classifying air services;

(b) classifying aircraft;

(c) prescribing liability insurance coverage requirements for air services oraircraft;

(d) prescribing financial requirements for each class of air service oraircraft;

(e) respecting the issuance, amendment and cancellation of permits for theoperation of international charters;

(f) respecting the duration and renewal of licences;

(g) respecting the amendment of licences;

(h) respecting traffic and tariffs, fares, rates, charges and terms andconditions of carriage for international service and

(i) providing for the disallowance or suspension by the Agency of any tariff,fare, rate or charge,

(ii) providing for the establishment and substitution by the Agency of anytariff, fare, rate or charge disallowed by the Agency, and

(iii) authorizing the Agency to direct a licensee to take corrective measuresthat the Agency considers appropriate and to pay compensation for any expenseincurred by a person adversely affected by the licensee's failure to apply thefares, rates, charges or terms or conditions of carriage applicable to theservice it offers that were set out in its tariffs;

(i) requiring licensees to file with the Agency any documents and informationrelating to activities under their licences that are necessary for the purposesof enabling the Agency to exercise its powers and perform its duties andfunctions under this Part and respecting the manner in which and the times atwhich the documents and information are to be filed;

(j) requiring licensees to include in contracts and arrangements with touroperators, charterers and other persons in conjunction with whom air servicesare provided to the public, or to make such contracts and arrangements subjectto, terms and conditions specified or referred to in the regulations;

(k) defining words and expressions for the purposes of this Part;

(l) excluding a person from any of the requirements of this Part;

(m) prescribing any matter or thing that by this Part is to be prescribed; and

(n) generally for carrying out the purposes and provisions of this Part.

Exclusion not to provide certain relief

(2) No regulation shall be made under paragraph (1)(l) that has the effect ofrelieving a person from any provision of this Part that requires a person to bea Canadian and to have a Canadian aviation document and prescribed liabilityinsurance coverage in respect of an air service.

Regulations and orders

(3) A regulation or order made under this Part may be conditional orunconditional or qualified or unqualified and may be general or restricted to aspecific area, person or thing or group or class of persons or things.

PART III

RAILWAY TRANSPORTATION

DIVISION I

INTERPRETATION AND APPLICATION

Definitions

87. In this Part,

"land"

? terres ?

"land" includes an interest in land and, in relation to land in the Province ofQuebec, includes the interest of a lessee;

"operate"

? exploitation ?

"operate" includes, with respect to a railway, any act necessary for themaintenance of the railway or the operation of a train;

"point of destination"

? point de destination ?

"point of destination" means, with respect to traffic on a railway line that issubject to a transfer described in subsection 128(4) or 129(2), the point wherethe traffic is transferred from the line of a railway company to a line to whichthis Part does not apply;

"point of origin"

? point d'origine ?

"point of origin" means, with respect to traffic on a railway line that issubject to a transfer described in subsection 128(4) or 129(2), the point wherethe traffic is transferred to the line of a railway company from a line to whichthis Part does not apply;

"railway"

? chemin de fer ?

"railway" means a railway within the legislative authority of Parliament andincludes

(a) branches, extensions, sidings, railway bridges, tunnels, stations, depots,wharfs, rolling stock, equipment, stores, or other things connected with therailway, and

(b) communications or signalling systems and related facilities and equipmentused for railway purposes;

"railway company"

? compagnie de chemin de fer ?

"railway company" means a person who holds a certificate of fitness undersection 92, a partnership of such persons or a person who is mentioned insubsection 90(2);

"road" ? route ?

"road" means any way or course, whether public or not, available for vehicularor pedestrian use;

"Special Act" ? loi spéciale ?

"Special Act" means an Act under which a railway company has authority toconstruct or operate a railway, or that is enacted with special reference to arailway, and includes

(a) letters patent constituting a company's authority to construct or operate arailway, granted before April 1, 1969, under any Act, and the Act under whichthe letters patent were granted or confirmed, and

(b) letters patent incorporating a company under section 11 of the Railway Acton or after April 1, 1969, whose objects are the construction or operation of arailway in Canada;

"tariff"

? tarif ?

"tariff" means a schedule of rates, charges, terms and conditions applicable tothe movement of traffic and incidental services;

"traffic"

? transport ? ou ? trafic ?

"traffic" means the traffic of goods, including equipment required for theirmovement.

Application

88. (1) This Part applies to all persons, railway companies and railways withinthe legislative authority of Parliament.

Special cases

(2) Without limiting the effect of subsection (1), this Part applies to

(a) a company operating a railway from the United States into Canada; and

(b) a railway, or a portion of a railway, whether or not constructed under theauthority of an Act of Parliament, that is owned, controlled, leased or operatedby a person who operates a railway within the legislative authority ofParliament.

Works for the general advantage of Canada

(3) A railway or a portion of a railway mentioned in paragraph (2)(b) isdeclared to be a work for the general advantage of Canada.

Cessation of declaration

(4) A declaration by subsection (3) or by any other Act of Parliament that arailway is a work for the general advantage of Canada, or for the advantage oftwo or more provinces, ceases to have effect with respect to a line of therailway, or a portion of it, whose operation is discontinued under Division V oris the subject of a transfer under that Division to a person other than acompany mentioned in paragraph (2)(b).

Special Act railways declared to be works for general advantage of Canada

89. If the construction or operation of a railway is authorized by a Special Actpassed by the legislature of a province and the railway is declared by an Act ofParliament to be a work for the general advantage of Canada, this Part appliesto the railway to the exclusion of any general railway Act of the province andany provisions of the Special Act that are inconsistent with this Part.

DIVISION II

CONSTRUCTION AND OPERATION OF RAILWAYS

Certificate of Fitness

Certificate required

90. (1) No person shall construct or operate a railway without a certificate offitness.

Exception - purchaser of railway

(2) Subsection (1) does not apply to a purchaser of a railway, or a portion of arailway, for a period of sixty days after the purchase if the railway or portionis purchased

(a) under a trust deed or mortgage;

(b) at the instance of the holders of a mortgage, bond or debenture for thepayment of which a charge has been created on the railway or portion; or

(c) under any other lawful proceeding.

Application for certificate of fitness

91. (1) Any person may apply for a certificate of fitness for a railway,including a person who owns or leases the railway or controls, either directlyor indirectly, a person who owns or leases the railway.

Application for certain types of operations

(2) If a person proposes to operate in Canada primarily on the railway ofanother railway company, the application must indicate the termini and route ofevery line of railway proposed to be operated.

Issuance of certificate of fitness

92. (1) The Agency shall issue a certificate of fitness for the proposedconstruction or operation of a railway if the Agency is satisfied that therewill be adequate liability insurance coverage for the proposed construction oroperation, as determined in accordance with the regulations.

Termini and route

(2) A certificate of fitness issued pursuant to an application mentioned insubsection 91(2) must specify the termini and route of every railway line to beoperated.

Regulations

(3) The Agency may make regulations for determining the adequacy of liabilityinsurance coverage, including self-insurance.

Variation of certificate

93. (1) The Agency may, on application, vary a certificate of fitness

(a) to change the termini or route of a line specified in the certificate;

(b) to add a line to the certificate; or

(c) to reflect a change in railway operations or circumstances relating to thoseoperations.

Variation when running rights granted

(2) The Agency may vary a certificate of fitness when it

(a) makes an order under paragraph 116(4)(e) that requires a railway company togrant a right to the holder of the certificate; or

(b) grants a right under section 138 to the holder of the certificate.

Notice of insurance changes

94. (1) The holder of a certificate of fitness shall notify the Agency inwriting without delay if

(a) the liability insurance coverage is cancelled or altered so that it may nolonger be adequate; or

(b) the construction or operation has changed so that the liability insurancecoverage may no longer be adequate.

Suspension or cancellation

(2) The Agency may suspend or cancel the certificate if it determines that theliability insurance coverage is no longer adequate.

General Powers of Railway Companies

Powers

95. (1) Subject to the provisions of this Part and any other Act of Parliament,a railway company may exercise the following powers for the purpose ofconstructing or operating its railway:

(a) make or construct tunnels, embankments, aqueducts, bridges, roads, conduits,drains, piers, arches, cuttings and fences across or along a railway,watercourse, canal or road that adjoins or intersects the railway;

(b) divert or alter the course of a watercourse or road, or raise or lower it,in order to carry it more conveniently across or along the railway;

(c) make drains or conduits into, through or under land adjoining the railwayfor the purpose of conveying water from or to the railway;

(d) divert or alter the position of a water pipe, gas pipe, sewer or drain, ortelegraph, telephone or electric line, wire or pole across or along the railway;and

(e) do anything else necessary for the construction or operation of the railway.

Minimal damage

(2) The railway company shall do as little damage as possible in the exercise ofthe powers.

Restoration

(3) If the railway company diverts or alters anything mentioned in paragraph(1)(b) or (d), the company shall restore it as nearly as possible to its formercondition, or shall put it in a condition that does not substantially impair itsusefulness.

Compensation

(4) The railway company shall pay compensation to a person who sustains actualloss or damage from the exercise of the powers and the compensation must equalthe amount of the loss or damage that the company would be liable to pay theperson if the powers had not been conferred by statute.

Land Transfer

Land taken pursuant to section 134 of Railway Act

96. (1) Where a railway company took possession of, used or occupied land undersection 134 of the Railway Act before the coming into force of section 185, therailway company may not alienate the land except to transfer it to a railwaycompany for the purpose of continuing railway operations or to the Crown.

Alienation to other persons

(2) The land may be transferred to any other person for the purpose ofcontinuing railway operations if

(a) in the case of land in Quebec, the transfer involves only a lease or adismemberment of the right of ownership; or

(b) in the case of land in any other province, the transfer does not involve atransfer of the fee simple in the land.

Continuing application to subsequent transfers

(3) If land is transferred under subsection (1) or (2) to any person other thanthe Crown in right of Canada, subsequent transfers of the land are subject tothe same limitations as those contained in this section.

Existing rights

(4) A transfer of land under this section does not affect any right or interestof a person, other than a railway company, that existed in the land immediatelybefore the coming into force of section 185.

Land obtained for railway purposes

97. (1) Subject to section 96, a railway company that obtained land from theCrown or any other person to assist in the construction or operation of itsrailway may acquire or transfer the land.

Transfer of authority

(2) If the railway company transfers the land to another company that hasentered into a contract for the construction or operation, in whole or in part,of the railway for which the land was obtained, the other company has the sameauthority under this section as the railway company had in respect of the land.

Railway Lines

No construction without Agency approval

98. (1) A railway company shall not construct a railway line without theapproval of the Agency.

Grant of approval

(2) The Agency may, on application by the railway company, grant the approval ifit considers that the location of the railway line is reasonable, taking intoconsideration requirements for railway operations and services and the interestsof the localities that will be affected by the line.

Exception

(3) No approval is needed for the construction of a railway line

(a) within the right of way of an existing railway line; or

(b) within 100 m of the centre line of an existing railway line for a distanceof no more than 3 km.

Filing agreements

99. (1) An agreement, or an amendment to an agreement, relating to theconstruction of a railway line across another railway line may be filed with theAgency.

Effect of filing

(2) When the agreement or amendment is filed, it becomes an order of the Agencyauthorizing the parties to construct the railway line as provided in theagreement.

No agreement

(3) If a person is unsuccessful in negotiating an agreement or amendmentmentioned in subsection (1), the Agency may, on application, authorize theconstruction of the railway line or any related work.

Road and Utility Crossings

Definitions

100. In this section and section 101,

"road crossing"

? franchissement routier ?

"road crossing" means the part of a road that passes across, over or under arailway line, and includes a structure supporting or protecting that part of theroad or facilitating the crossing;

"utility crossing"

? franchissement par desserte ?

"utility crossing" means the part of a utility line that passes over or under arailway line, and includes a structure supporting or protecting that part of theutility line or facilitating the crossing;

"utility line"

? desserte ?

"utility line" means a wire, cable, pipeline or other like means of enabling thetransmission of goods or energy or the provision of services.

Filing agreements

101. (1) An agreement, or an amendment to an agreement, relating to theconstruction, maintenance or apportionment of the costs of a road crossing or autility crossing may be filed with the Agency.

Effect of filing

(2) When the agreement or amendment is filed, it becomes an order of the Agencyauthorizing the parties to construct or maintain the crossing, or apportioningthe costs, as provided in the agreement.

No agreement on construction or maintenance

(3) If a person is unsuccessful in negotiating an agreement or amendmentmentioned in subsection (1), the Agency may, on application, authorize theconstruction of a suitable road crossing, utility crossing or related work, orspecifying who shall maintain the crossing.

No agreement on apportionment of costs

(4) Section 16 of the Railway Safety Act applies if a person is unsuccessful innegotiating an agreement relating to the apportionment of the costs ofconstructing or maintaining the road crossing or utility crossing.

Non-application of section

(5) This section does not apply in any circumstances where section 102 or 103applies.

Private Crossings

Divided land

102. If an owner's land is divided as a result of the construction of a railwayline, the railway company shall, at the owner's request, construct a suitablecrossing for the owner's enjoyment of the land.

Other crossings may be ordered

103. (1) If a railway company and an owner of land adjoining the company'srailway do not agree on the construction of a crossing across the railway, theAgency, on the application of the owner, may order the company to construct asuitable crossing if the Agency considers it necessary for the owner's enjoymentof the land.

Terms and conditions

(2) The Agency may include in its order terms and conditions governing theconstruction and maintenance of the crossing.

Costs of construction and maintenance

(3) The owner of the land shall pay the costs of constructing and maintainingthe crossing.

DIVISION III

FINANCIAL TRANSACTIONS OF RAILWAY COMPANIES

Mortgages and Hypothecs

Deposit and notice of mortgage or hypotheque

104. (1) A mortgage or hypothec issued by a railway company, or an assignment orother document affecting the mortgage or hypothec, may be deposited in theoffice of the Registrar General of Canada, and notice of the deposit must bepublished in the Canada Gazette without delay.

Other filing, deposit or registration not necessary

(2) The mortgage or hypothec, assignment or other document need not bedeposited, registered or filed under any other law or statute respecting real orpersonal property if it has been deposited and a notice has been published inaccordance with subsection (1).

Documents Dealing with Rolling Stock

Deposit of documents

105. (1) A document, or a copy or summary of a document, evidencing any of thefollowing transactions may be deposited in the office of the Registrar Generalof Canada:

(a) a lease, sale, conditional sale, mortgage, hypothec, bailment or securityagreement relating to rolling stock or any accessories or appurtenances relatingthereto; and

(b) an amendment, assignment or discharge of a document mentioned in paragraph(a).

Contents of summary

(2) A summary of a document must include any information that the Governor inCouncil may prescribe by regulation.

Effect of deposit

(3) Once the deposit is made, the document need not be deposited, registered orfiled under any other law or statute respecting real or personal property, andthe document is valid against all persons.

Notice of deposit

(4) Notice of the deposit must be published in the Canada Gazette without delay.

Insolvent Railway Companies

Scheme may be filed in Federal Court

106. (1) If a railway company is insolvent, the directors may prepare a schemeof arrangement between the company and its creditors and may file it in theFederal Court.

May affect shareholders and capital

(2) The scheme may include provisions for settling and defining any rights ofshareholders of the railway company as among themselves and for raisingadditional share and loan capital, if necessary.

Documents to be filed

(3) There must be filed with the scheme

(a) a declaration in writing to the effect that the railway company is unable tomeet its engagements with its creditors; and

(b) an affidavit made by the president and directors of the company, or by amajority of them, that the declaration is true to the best of their knowledge.

Federal Court may restrain action

(4) After the scheme is filed, the Federal Court may, on the application of therailway company, restrain any action against the company on any terms that theFederal Court considers appropriate.

Limitation

(5) No order of the Federal Court or any other court restraining action againstthe railway company affects the right of any person to take possession of therolling stock of the company as a creditor under a security agreement, bailment,mortgage or hypothec or as a lessor or conditional vendor, whether as trustee orotherwise, unless

(a) within 60 days after filing the scheme of arrangement, or any extendedperiod to which the person may agree, the railway company agrees to perform allits obligations under the security agreement, bailment, mortgage, hypothec,lease or conditional sale agreement; and

(b) any event that occurred before or after the scheme was filed and thatconstitutes a default under the security agreement, bailment, mortgage,hypothec, lease or conditional sale agreement is cured before the later of

(i) 30 days after the event, and

(ii) the end of the period mentioned in paragraph (a).

Extension of 60 day period

(6) An extension of the 60 day period under paragraph (5)(a) does not prejudicethe right to take possession of the rolling stock.

Assent to scheme

107. (1) The scheme is assented to when it is both assented to by the ordinaryshareholders of the railway company at a special meeting called for that purposeand assented to in writing by three quarters in value of the holders of

(a) mortgages, hypothecs, bonds and debenture stock of the company;

(b) any rent charge, or other payment, charged on the receipts of or payable bythe company in consideration of the purchase of the railway of another company;and

(c) each class of guaranteed or preferred shares of the company.

Assent of lessor

(2) If the railway company leases a railway from another company, the scheme isassented to by the other company when it is assented to

(a) by the ordinary shareholders of the other company at a special meetingcalled for that purpose; and

(b) in writing by three quarters in value of the holders of mortgages,hypotheques, bonds and debenture stock of the other company and each class ofguaranteed or preferred shares of that company.

No assent required from class not interested

(3) Assent to the scheme is not required by a class of holders mentioned insubsection (1) or another company mentioned in subsection (2) if the scheme doesnot prejudicially affect any right or interest of that class or company.

Application for confirmation of scheme

108. (1) The directors of the railway company may apply to the Federal Court forconfirmation of the scheme if, at any time within three months after the schemeis filed, or within any extended time that the Federal Court may allow, thedirectors consider the scheme to be assented to in accordance with section 107.

Notice of application

(2) Notice of the application must be published in the Canada Gazette.

Confirmation of Federal Court

(3) The Federal Court, after hearing the directors and any other persons whom itconsiders entitled to be heard on the application, may confirm the scheme, if itis satisfied that

(a) the scheme has been assented to in accordance with section 107 within theperiod mentioned in subsection (1); and

(b) no sufficient objection to the scheme has been established.

Registration in Federal Court

(4) When the scheme is confirmed, it shall be registered in the Federal Court,and from then on it is binding on the company and all persons.

Notice

(5) Notice of the confirmation and registration of the scheme must be publishedin the Canada Gazette.

Rules of practice

109. The judges of the Federal Court may, with the approval of the Governor inCouncil, make general rules governing the practice and procedure of the Courtunder sections 106 to 108.

Copies of the scheme to be kept for sale

110. The railway company shall keep at its principal or head office printedcopies of the scheme when confirmed and registered, and shall provide a copy toany person who requests one and pays a fee not exceeding the cost of making thecopy.

DIVISION IV

RATES, TARIFFS AND SERVICES

Interpretation

Definitions

111. In this Division,

"competitive line rate"

? prix de ligne concurrentiel ?

"competitive line rate" means a rate determined with respect to a shipper inaccordance with section 133;

"confidential contract"

? contrat confidentiel ?

"confidential contract" means a contract entered into under subsection 126(1);

"connecting carrier"

? transporteur de liaison ?

"connecting carrier" means a railway company, other than a local carrier, thatmoves traffic to or from an interchange over a portion of a continuous route inrespect of which the railway company and the shipper agree on the movement ofthe traffic, including the applicable rate;

"interchange"

? lieu de correspondence ?

"interchange" means a place where the line of one railway company connects withthe line of another railway company and where loaded or empty cars may be storeduntil delivered or received by the other railway company;

"interswitch"

? interconnexion ?

"interswitch" means to transfer traffic from the lines of one railway company tothe lines of another railway company in accordance with regulations made undersection 128;

"interswitching rate"

Version anglaise seulement

"interswitching rate" means a rate established by, or determined in accordancewith, regulations made under paragraph 128(1)(b);

"local carrier"

? transporteur local ?

"local carrier" means a railway company that moves traffic to or from aninterchange on a continuous route from the point of origin or to the point ofdestination that is served exclusively by the railway company;

"service obligations"

Version anglaise seulement

"service obligations" means obligations under section 113 or 114.

Rates and Conditions of Service

Commercially fair and reasonable

112. A rate or condition of service established by the Agency under thisDivision must be commercially fair and reasonable to all parties.

Level of Services

Accommodation for traffic

113. (1) A railway company shall, according to its powers, in respect of arailway owned or operated by it,

(a) furnish, at the point of origin, at the point of junction of the railwaywith another railway, and at all points of stopping established for thatpurpose, adequate and suitable accommodation for the receiving and loading ofall traffic offered for carriage on the railway;

(b) furnish adequate and suitable accommodation for the carriage, unloading anddelivering of the traffic;

(c) without delay, and with due care and diligence, receive, carry and deliverthe traffic;

(d) furnish and use all proper appliances, accommodation and means necessary forreceiving, loading, carrying, unloading and delivering the traffic; and

(e) furnish any other service incidental to transportation that is customary orusual in connection with the business of a railway company.

Carriage on payment of rates

(2) Traffic must be taken, carried to and from, and delivered at the pointsreferred to in paragraph (1)(a) on the payment of the lawfully payable rate.

Compensation for provision of rolling stock

(3) Where a shipper provides rolling stock for the carriage by the railwaycompany of the shipper's traffic, the company shall, at the request of theshipper, establish specific reasonable compensation to the shipper in a tarifffor the provision of the rolling stock.

Confidential contract between company and shipper

(4) A shipper and a railway company may, by means of a confidential contract orother written agreement, agree on the manner in which the obligations under thissection are to be fulfilled by the company.

Facilities for traffic

114. (1) A railway company shall, according to its powers, afford to all personsand other companies all adequate and suitable accommodation for receiving,carrying and delivering traffic on and from its railway, for the transfer oftraffic between its railway and other railways and for the return of rollingstock.

Through traffic

(2) For the purposes of subsection (1), adequate and suitable accommodationincludes reasonable facilities for the receiving, carriage and delivery by thecompany

(a) at the request of any other company, of through traffic and, in the case ofgoods shipped by carload, of the car with the goods shipped in it, to and fromthe railway of the other company, at a through rate; and

(b) at the request of any person interested in through traffic, of such trafficat through rates.

Connecting railway to reasonable facilities

(3) Every railway company that has or operates a railway forming part of acontinuous line of railway with or that intersects any other railway, or thathas any terminus, station or wharf near to any terminus, station or wharf ofanother railway, shall afford all reasonable facilities for delivering to thatother railway, or for receiving from or carrying by its railway, all the trafficarriving by that other railway without any unreasonable delay, so that

(a) no obstruction is offered to the public desirous of using those railways asa continuous line of communication; and

(b) all reasonable accommodation, by means of the railways of those companies,is at all times afforded to the public for that purpose.

Similar facilities for truckers

(4) If a railway company provides facilities for the transportation by rail ofmotor vehicles or trailers operated by any company under its control for theconveyance of goods for hire or reward,

(a) the railway company shall offer to all companies operating motor vehicles ortrailers for the conveyance of goods for hire or reward similar facilities atthe same rates and on the same terms and conditions as those applicable to themotor vehicles or trailers operated by the company under its control; and

(b) the Agency may disallow any rate or tariff that is not in compliance withthis subsection and direct the company to substitute a rate or tariff thatcomplies with this subsection.

Adequate and suitable accommodation

115. For the purposes of subsection 113(1) or 114(1), adequate and suitableaccommodation includes reasonable facilities

(a) for the junction of private sidings or private spurs with a railway owned oroperated by a company referred to in that subsection; and

(b) for receiving, carrying and delivering traffic on and from private sidingsor private spurs and placing cars and moving them on and from those privatesidings or private spurs.

Complaint and investigation concerning company's obligations

116. (1) On receipt of a complaint made by any person that a railway company isnot fulfilling any of its service obligations, the Agency shall

(a) conduct, as expeditiously as possible, an investigation of the complaintthat, in its opinion, is warranted; and

(b) within one hundred and twenty days after receipt of the complaint, determinewhether the company is fulfilling that obligation.

Confidential contract binding on Agency

(2) If a company and a shipper agree, by means of a confidential contract, onthe manner in which service obligations under section 113 are to be fulfilled bythe company, the terms of that agreement are binding on the Agency in making itsdetermination.

Competitive line rate provisions binding on Agency

(3) If a shipper and a company agree under subsection 136(4) on the manner inwhich the service obligations are to be fulfilled by the local carrier, theterms of the agreement are binding on the Agency in making its determination.

Orders of Agency

(4) If the Agency determines that a company is not fulfilling any of its serviceobligations, the Agency may

(a) order that

(i) specific works be constructed or carried out,

(ii) property be acquired,

(iii) cars, motive power or other equipment be allotted, distributed, used ormoved as specified by the Agency, or

(iv) any specified steps, systems or methods be taken or followed by thecompany;

(b) specify in the order the maximum charges that may be made by the company inrespect of the matter so ordered;

(c) order the company to fulfil that obligation in any manner and within anytime or during any period that the Agency deems expedient, having regard to allproper interests, and specify the particulars of the obligation to be fulfilled;

(d) if the service obligation is in respect of a grain-dependent branch linelisted in Schedule I, order the company to add to the plan it is required toprepare under subsection 141(1) an indication that it intends to take steps todiscontinue operating the line; or

(e) if the service obligation is in respect of a grain-dependent branch linelisted in Schedule I, order the company, on the terms and conditions that theAgency considers appropriate, to grant to another railway company the right

(i) to run and operate its trains over and on any portion of the line, and

(ii) in so far as necessary to provide service to the line, to run and operateits trains over and on any portion of any other portion of the railway of thecompany against which the order is made but not to solicit traffic on thatrailway, to take possession of, use or occupy any land belonging to that companyand to use the whole or any portion of that company's right-of-way, tracks,terminals, stations or station grounds.

Right of action on default

(5) Every person aggrieved by any neglect or refusal of a company to fulfil itsservice obligations has, subject to this Act, an action for the neglect orrefusal against the company.

Company not relieved

(6) Subject to the terms of a confidential contract referred to in subsection113(4) or a tariff setting out a competitive line rate referred to in subsection136(4), a company is not relieved from an action taken under subsection (5) byany notice, condition or declaration if the damage claimed in the action arisesfrom any negligence or omission of the company or any of its employees.

Tariffs-General

Rates to be charged

117. (1) Subject to section 126, a railway company shall not charge a rate inrespect of the movement of traffic or passengers unless the rate is set out in atariff that has been issued and published in accordance with this Division andis in effect.

Tariff to include prescribed information

(2) The tariff must include any information that the Agency may prescribe byregulation.

Publication of tariff

(3) The railway company shall publish and either publicly display the tariff ormake it available for public inspection at its offices.

Copy of tariff on payment of fee

(4) The railway company shall provide a copy of the tariff, or any portion ofit, to any person who requests it and pays a fee not exceeding the cost ofmaking the copy.

Record of tariff

(5) The railway company shall keep a record of the tariff for at least threeyears after its cancellation.

Tariffs-Freight

Freight tariff requested by shipper

118. A railway company shall, at the request of a shipper, issue a tariff inrespect of the movement of traffic on its railway.

Increasing rates in freight tariff

119. (1) A railway company that proposes to increase a rate in a tariff for themovement of traffic shall publish a notice of the increase at least twenty daysbefore its effective date.

Effect of freight tariff

(2) If a railway company issues and publishes a tariff of rates for the movementof traffic in accordance with this Division and Division VI,

(a) the rates are the lawful rates of the railway company and, subject tosubsection (1), they take effect on the date stated in the tariff;

(b) the tariff supersedes any preceding tariff or any portion of it in so far asany rate in the tariff is varied; and

(c) a railway company that owns or operates a railway line in respect of whichthe tariff is issued shall charge the rates in the tariff until they expire oruntil the tariff is superseded by a new tariff.

Application to vessels

120. The provisions of this Division relating to tariffs, in so far as theAgency considers them applicable, apply to traffic carried by a railway companyby water between ports or places in Canada if the company owns, charters, uses,maintains or operates vessels for carrying traffic by water between ports orplaces in Canada, or is a party to an arrangement for using, maintaining oroperating vessels for that purpose.

Joint Rates

Continuous route in Canada

121. (1) If traffic is to move over a continuous route in Canada and portions ofit are operated by two or more railway companies, the companies shall, at therequest of a shipper intending to move the traffic,

(a) agree on a joint tariff for the continuous route and on the apportionment ofthe rate in the joint tariff; or

(b) enter into a confidential contract for the continuous route.

Agency may decide if no agreement

(2) If the railway companies fail to agree or to enter into a confidentialcontract, the Agency, on the application of the shipper, may

(a) direct the companies, within any time that the Agency may specify, to agreeon a joint tariff for the continuous route and an apportionment of the rate thatis satisfactory to the Agency; or

(b) within ninety days after the application is received by the Agency,

(i) determine the route and the rate and apportion the rate among the companies,and

(ii) determine the dates, not earlier than the date of receipt by the Agency ofthe application, when the rate comes into effect and when it must be published.

Refund to shipper

(3) If the Agency determines a rate under paragraph (2)(b), the companies thatoperate the route shall pay a shipper who moved traffic over the route an amountequal to the difference, if any, between the rate that was paid by the shipperand the rate determined by the Agency, applicable to all movements of traffic bythe shipper over the route from the date on which the application was made tothe date on which the determined rate comes into effect.

Publication requirements for joint tariff or rate

122. (1) If a joint tariff or rate is agreed on or determined under section 121,the requirements of this Division for the publication of the tariff or rateapply only to the railway company operating the railway line on which themovement of the traffic originates.

Publication of subsection 121(2) tariff or rate

(2) A joint tariff or rate agreed on or determined under subsection 121(2) mustbe published without delay, or within any additional time that the Agency mayspecify.

Publication of joint tariff - from Canada to or through foreign country

123. If traffic is to move over a continuous route from a point in Canadathrough a foreign country into Canada, or from a point in Canada to a foreigncountry, and the continuous route is operated by two or more railway companies,the requirements of this Division for the publication of an applicable jointtariff apply only to the railway company operating the railway line on which themovement of the traffic originates.

Publication of joint tariff - from foreign country to or through Canada

124. If traffic is to move over a continuous route from a point in a foreigncountry into Canada, or from a foreign country through Canada into a foreigncountry, and the continuous route is operated by two or more companies, therequirements of this Division for the publication of an applicable joint tariffapply only to the railway company operating the railway line on which thetraffic is first moved in Canada.

Continuous carriage not to be prevented

125. (1) No railway company shall, by any combination, contract or agreement,express or implied, or by any other means, prevent traffic from being moved on acontinuous route from the point of origin to the point of destination.

Break in bulk, etc.

(2) A break in bulk, stop or interruption made by a railway company does notprevent the movement of traffic from being treated, for the purposes of sections121 to 124, as one continuous movement from the point of origin to the point ofdestination, if the break, stop or interruption was made in good faith for anecessary purpose and without intent to avoid or unnecessarily interrupt thecontinuous movement or to evade the provisions of this Division.

Agency may require information

(3) The Agency may direct a railway company operating on a continuous route toinform the Agency of the proportion of the rates that the railway company, orany other company operating on the continuous route, is to receive or hasreceived under a joint tariff or confidential contract applicable to the route.

Confidential Contracts

Confidential contracts

126. (1) A railway company may enter into a contract with a shipper that theparties agree to keep confidential respecting

(a) the rates to be charged by the company to the shipper;

(b) reductions or allowances pertaining to rates in tariffs that have beenissued and published in accordance with this Division;

(c) rebates or allowances pertaining to rates in tariffs or confidentialcontracts that have previously been lawfully charged;

(d) any conditions relating to the traffic to be moved by the company; and

(e) the manner in which the company shall fulfill its service obligations undersection 113.

No investigation or arbitration of confidential contracts

(2) No party to a confidential contract is entitled to submit a matter governedby the contract to the Agency for final offer arbitration under section 161,without the consent of all the parties to the contract.

Interswitching

Application to interswitch traffic between connecting lines

127. (1) If a railway line of one railway company connects with a railway lineof another railway company, an application for an interswitching order may bemade to the Agency by either company, by a municipal government or by any otherinterested person.

Order

(2) The Agency may order the railway companies to provide reasonable facilitiesfor the convenient interswitching of traffic in both directions at aninterchange between the lines of either railway and those of other railwaycompanies connecting with them.

Interswitching limits

(3) If the point of origin or destination of a continuous movement of traffic iswithin a radius of 30 km, or a prescribed greater distance, of an interchange, arailway company shall not transfer the traffic at the interchange except inaccordance with the regulations.

Extension of interswitching limits

(4) On the application of a person referred to in subsection (1), the Agency maydeem a point of origin or destination of a movement of traffic in any particularcase to be within 30 km, or a prescribed greater distance, of an interchange, ifthe Agency is of the opinion that, in the circumstances, the point of origin ordestination is reasonably close to the interchange.

Regulations

128. (1) The Agency may make regulations

(a) prescribing terms and conditions governing the interswitching of traffic,other than terms and conditions relating to safety;

(b) determining the rate per car to be charged for interswitching traffic, orprescribing the manner of determining that rate, including the adjustments to bemade to that rate as a result of changes in costs, and establishing distancezones for those purposes; and

(c) prescribing, for the purposes of subsections 127(3) and (4), a greaterdistance than 30 km from an interchange.

Cost savings to be considered

(2) In determining an interswitching rate, the Agency shall take intoconsideration any reduction in costs that, in the opinion of the Agency, resultsfrom moving a greater number of cars or from transferring several cars at thesame time.

Limit on rate

(3) In determining an interswitching rate, the Agency shall consider the averagevariable costs of all movements of traffic that are subject to the rate and therate must not be less than the variable costs of moving the traffic, asdetermined by the Agency.

Transfer of lines does not affect entitlement

(4) For greater certainty, the transfer of a railway line, or an operatinginterest in it, under Division V or section 158 of the National TransportationAct, 1987 does not affect any entitlement to an interswitching rate.

Review of interswitching regulations

(5) The Agency shall review the regulations when the circumstances warrant andat least once in every five year period after the regulations are made.

Competitive Line Rates

Application

129. (1) Sections 130 to 136 apply where

(a) a shipper has access to the lines of only one railway company at the pointof origin or destination of the movement of the shipper's traffic; and

(b) a continuous route between those points is operated by two or morecompanies.

Transferred railway lines

(2) For greater certainty, the transfer of a railway line, or an operatinginterest in it, under Division V or section 158 of the National TransportationAct, 1987 does not affect the right of a shipper to obtain a competitive linerate under sections 130 to 136.

When competitive line rate to be established on shipper's request

130. (1) Subject to section 131, the local carrier serving the shipper at thepoint of origin or destination, as the case may be, shall, on the request of theshipper, establish a competitive line rate applicable to the movement of thetraffic between the point of origin or destination, whichever is servedexclusively by the local carrier, and the nearest interchange with a connectingcarrier.

Requirement unaffected by extent of carrier's capability

(2) The local carrier shall establish the competitive line rate even if it isable to move the traffic over the whole of the continuous route or a portion ofthat route that is longer than the portion in respect of which the competitiveline rate is to apply.

Designation of route by shipper

(3) The shipper may designate the continuous route for the movement of theshipper's traffic from the point of origin to the point of destination.

Route within Canada

(4) If the ultimate point of destination of a movement of the shipper's trafficis in Canada, the shipper shall designate a route wholly within Canada, unlessthere is no cost-effective continuous route wholly within Canada that isavailable to the shipper and over which it is reasonable to move the shipper'straffic.

Export and import

(5) For the purposes of this section,

(a) if the point of destination of a movement of traffic is a port in Canada forexport out of Canada, that port is the ultimate point of destination in Canada;and

(b) if the point of origin of a movement of traffic is a port in Canada forimport into Canada, that port is the point of origin.

Nearest interchange

(6) For the purposes of subsection (1), the nearest interchange is the onenearest the point of origin or destination, whichever is served exclusively bythe local carrier, in the reasonable direction of the movement of the trafficfrom the point of origin to the point of destination on the continuous routedesignated by the shipper, unless the local carrier can demonstrate that theinterchange cannot be used for engineering reasons.

Shipper and connecting carriers must agree

131. (1) A competitive line rate must not be established unless the shipperagrees with the connecting carrier, and with any other company, other than thelocal carrier, that moves traffic over a portion of the continuous route, on theterms and conditions governing their movement of the traffic, including theapplicable rate.

No other rate applies

(2) If an interswitching rate determined under paragraph 128(1)(b) is availablefor a portion of the route operated by the local carrier, no other rate may beapplied to that portion of the route.

Movement on flat cars or less than carload traffic

(3) A competitive line rate must not be established for the movement of trailerson flat cars, containers on flat cars or less than carload traffic, unless theyarrive at a port in Canada by water for movement by rail or by rail for movementby water.

Maximum portion of traffic

(4) The portion of a movement of traffic in respect of which a competitive linerate may be established must not exceed 50 per cent of the total number ofkilometres over which the traffic is moved by rail or 1 200 km, whichever isgreater.

Exception

(5) On application of a shipper, the Agency may establish a competitive linerate for a greater portion of a movement of traffic if the Agency is satisfiedthat no interchange exists within the maximum portion referred to in subsection(4).

No other rates may be established

(6) If a competitive line rate has been established for a movement of traffic ofa shipper, no other competitive line rate may be established in respect of thatmovement while the rate is in effect.

Application to Agency to establish competitive line rates

132. (1) On the application of a shipper, the Agency shall, within forty-fivedays after receiving the application, establish any of the following matters inrespect of which the shipper and the local carrier do not agree:

(a) the amount of the competitive line rate;

(b) the designation of the continuous route;

(c) the designation of the nearest interchange; and

(d) the manner in which the local carrier shall fulfil its service obligations.

No final offer arbitration

(2) If a matter is established by the Agency under this section, the shipper isnot entitled to submit the matter to the Agency for final offer arbitrationunder section 161.

Competitive line rate

133. (1) A competitive line rate in respect of the movement of traffic of ashipper is the result obtained by applying the following formula:

A + (B/C x (D - E))

where

A is the amount resulting from the application of the interswitching rate;

B is the total revenue that the local carrier received in respect of allmovement over its lines of railway

(a) of traffic that

(i) is the same as or substantially similar to, the traffic moved, and

(ii) is moved over similar distances, unless no such traffic is moved oversimilar distances; and

(b) during the most recent period designated by the local carrier or any otherperiod determined by the Agency, if the Agency determines that the designatedperiod is not appropriate in the circumstances;

C is the total number of tonne kilometres of the movement of traffic thatgenerated the total revenue;

D is the number of kilometres over which the competitive line rate is to apply;and

E is the total number of kilometres to which the interswitching rate isapplicable.

Adjustment of rate

(2) If a shipper performs any of the activities in respect of which aninterswitching rate is applicable, the applicable interswitching rate in thedescription of A in the formula must be adjusted to account for the performanceof those activities.

Alternative determination

(3) The Agency may make an order in respect of a particular shipper or railwaycompany, or make regulations that apply generally to shippers or railwaycompanies, establishing an alternative method of determining the amount of acompetitive line rate if the amount cannot be determined in accordance with thissection.

Rate must be compensatory

(4) A competitive line rate determined under this section must not be less thanthe variable costs of moving the traffic, as determined by the Agency.

Rate to be included in tariff or confidential contract

134. A competitive line rate must be set out in a tariff or confidentialcontract.

Effective period of rate

135. If a competitive line rate is established by the Agency, it has effect forone year after its effective date, or for any other period that the shipper andthe local carrier agree on.

Obligation of carriers to provide cars

136. (1) If a competitive line rate is established, a railway company, otherthan the local carrier, shall provide the shipper with an adequate supply ofcars for the traffic being moved.

Additional obligations

(2) Subject to any agreement to the contrary between the local carrier and anyconnecting carrier concerned, the connecting carrier is responsible for

(a) a prorated share, determined in accordance with subsection (3), of the costsof operating and maintaining the interchange during the period in respect ofwhich the competitive line rate is in effect; and

(b) the capital cost of making any change or addition to the interchange thatmay be necessary for transferring the traffic for which the competitive linerate is established.

Determination of prorated share

(3) The prorated share is the proportion that

(a) the competitive line rate traffic transferred at the interchange during theperiod

is of

(b) the total traffic transferred at the interchange during the period.

Tariff to set out service obligations

(4) The tariff setting out a competitive line rate must set out the manner inwhich the local carrier issuing the tariff shall, subject to subsection (1),fulfil its service obligations

(a) as agreed on by the shipper and the local carrier, if they agree on theamount of the competitive line rate; or

(b) as determined by the Agency, if the amount of the competitive line rate isestablished by the Agency under section 132.

Limiting Carriers' Liability

Agreement limiting liability

137. (1) A railway company shall not limit or restrict its liability to ashipper for the movement of traffic except by means of a written agreementsigned by the shipper or by an association or other body representing shippers.

Liability if no agreement

(2) If there is no agreement, the railway company's liability is limited orrestricted to the extent provided in any terms and conditions that the Agencymay

(a) on the application of the company, specify for the traffic; or

(b) prescribe by regulation, if none are specified for the traffic.

Running Rights and Joint Track Usage

Application by railway company

138. (1) A railway company may apply to the Agency for the right to

(a) take possession of, use or occupy any land belonging to any other railwaycompany;

(b) use the whole or any portion of the right-of-way, tracks, terminals,stations or station grounds of any other railway company; and

(c) run and operate its trains over and on any portion of the railway of anyother railway company.

Application may be granted

(2) The Agency may grant the right and may make any order and impose anyconditions on either railway company respecting the exercise or restriction ofthe rights as appear just or desirable to the Agency, having regard to thepublic interest.

Compensation

(3) The railway company shall pay compensation to the other railway company forthe right granted and, if they do not agree on the compensation, the Agency may,by order, fix the amount to be paid.

Request for joint or common use of right-of-way

139. (1) The Governor in Council may

(a) on the application of a railway company, a municipal government or any otherinterested person, or on the Governor in Council's own initiative, and

(b) after any investigation that the Governor in Council considers necessary,

request two or more railway companies to consider the joint or common use of aright-of-way if the Governor in Council is of the opinion that its joint orcommon use may improve the efficiency and effectiveness of rail transport andwould not unduly impair the commercial interests of the companies.

Order in Council for joint or common use of right-of-way

(2) If the Governor in Council is satisfied that significant efficiencies andcost savings would result from joint or common use of the right-of-way by two ormore railway companies and would not unduly impair the commercial interests ofthe companies, the Governor in Council may make any order for the joint orcommon use of the right-of-way that the Governor in Council considers necessary.

Compensation

(3) The Governor in Council may also, by order, fix the amount of compensationto be paid in respect of the joint or common use of the right-of-way and anyrelated work if the companies do not agree on the amount of that compensation.

DIVISION V

TRANSFERRING AND DISCONTINUING THE OPERATION OF RAILWAY LINES

Definition of "railway line"

140. (1) In this Division, "railway line" includes a portion of a railway line,but does not include

(a) a yard track, siding or spur; or

(b) other track auxiliary to a railway line.

Determination

(2) The Agency may determine as a question of fact what constitutes a yardtrack, siding, spur or other track auxiliary to a railway line.

Three-year plan

141. (1) A railway company shall prepare and keep up to date a plan indicatingfor each of its railway lines whether it intends to continue to operate the lineor whether, within the next three years, it intends to take steps to discontinueoperating the line.

Public availability of plan

(2) The railway company shall make the plan available for public inspection inoffices of the company that it designates for that purpose.

When sale, etc., permitted

(3) A railway company may sell, lease or otherwise transfer its railway lines,or its operating interest in its lines, for continued operation.

Continued operation of a portion of a line

(4) A railway company that sells, leases or otherwise transfers a portion of agrain-dependent branch line listed in Schedule I, or its operating interest insuch a portion, to a person who intends to operate the portion shall continue tooperate the remaining portion for three years, unless the Minister determinesthat it is not in the public interest for the company to do so.

Compliance with steps for discontinuance

142. (1) A railway company shall comply with the steps described in thisDivision before discontinuing operating a railway line.

Limitation

(2) A railway company shall not take steps to discontinue operating a railwayline before the company's intention to discontinue operating the line has beenindicated in its plan for at least 12 months.

Community-based groups

(3) Subsection (2) does not apply and a railway company shall without delay takethe steps described in section 143 if

(a) the federal government, a provincial, municipal or district government or acommunity-based group endorsed in writing by such a government has written tothe company to express an interest in acquiring all or a portion of agrain-dependent branch line that is listed in Schedule I for the purpose ofcontinuing to operate that line or portion of a line; and

(b) that line or portion of a line is indicated on the company's plan as being aline or a portion of a line that the company intends to take steps todiscontinue operating.

Advertisement of availability of railway line for continued rail operations

143. (1) The railway company shall advertise the availability of the railwayline, or any operating interest that the company has in it, for sale, lease orother transfer for continued operation and its intention to discontinueoperating the line if it is not transferred.

Content of advertisement

(2) The advertisement must include a description of the railway line and how itor the operating interest is to be transferred, whether by sale, lease orotherwise, and an outline of the steps that must be taken before the operationof the line may be discontinued, including

(a) a statement that the advertisement is directed to persons interested inbuying, leasing or otherwise acquiring the railway line, or the railwaycompany's operating interest in it, for the purpose of continuing railwayoperations; and

(b) the date by which interested persons must make their interest known inwriting to the company, but that date must be at least sixty days after thefirst publication of the advertisement.

Agreement with VIA Rail

(3) The advertisement must also disclose the existence of any agreement betweenthe railway company and VIA Rail Canada Inc. in respect of the operation of arail passenger service on the railway line if VIA Rail advises the railwaycompany that it agrees to the transfer of the company's rights and obligationsunder the agreement to any person to whom the line, or the company's operatinginterest in it, is transferred.

Termination of agreement

(4) If VIA Rail has not advised the railway company that it agrees to thetransfer, or has advised that it does not agree to the transfer, the agreementterminates in respect of the railway line on the effective date of any transferof the line, or the company's operating interest, under this Division.

Disclosure of process

144. (1) The railway company shall disclose the process it intends to follow forreceiving and evaluating offers to each interested person who makes theirinterest known in accordance with the advertisement.

Evaluation of offers

(2) If the advertisement has disclosed the existence of an agreement mentionedin subsection 143(3), the railway company shall, in evaluating each offer,consider whether the offeror is willing to assume the company's rights andobligations under the agreement in respect of the railway line.

Negotiation in good faith

(3) The railway company shall negotiate with an interested person in good faithand in accordance with the process it discloses and the interested person shallnegotiate with the company in good faith.

Net salvage value

(3.1) The Agency may, on application by a party to a negotiation, determine thenet salvage value of the railway line and may, if it is of the opinion that therailway company has removed any of the infrastructure associated with the linein order to reduce traffic on the line, deduct from the net salvage value theamount that the Agency determines is the cost of replacing the removedinfrastructure. The party who made the application shall reimburse the Agencyits costs associated with the application.

Time limit for agreement

(4) The railway company has six months to reach an agreement after the finaldate stated in the advertisement for persons to make their interest known.

Decision to continue operating a railway line

(5) If an agreement is not reached within the six months, the railway companymay decide to continue operating the railway line, in which case it is notrequired to comply with section 145, but shall amend its plan to reflect itsdecision.

Remedy if bad faith by a railway company

(6) If, on complaint in writing by the interested person, the Agency finds thatthe railway company is not negotiating in good faith and the Agency considersthat a sale, lease or other transfer of the railway line, or the company'soperating interest in the line, to the interested person for continued operationwould be commercially fair and reasonable to the parties, the Agency may orderthe railway company to enter into an agreement with the interested person toeffect the transfer and with respect to operating arrangements for theinterchange of traffic, subject to the terms and conditions, includingconsideration, specified by the Agency.

Remedy if bad faith by an interested person

(7) If, on complaint in writing by the railway company, the Agency finds thatthe interested person is not negotiating in good faith, the Agency may orderthat the railway company is no longer required to negotiate with the person.

Offer to governments

145. (1) The railway company shall offer to transfer all of its interest in therailway line to the governments mentioned in this section for not more than itsnet salvage value to be used for any purpose if

(a) no person makes their interest known to the railway company, or no agreementwith an interested person is reached, within the required time; or

(b) an agreement is reached within the required time, but the transfer is notcompleted in accordance with the agreement.

Which governments receive offer

(2) After the requirement to make the offer arises, the railway company shallsend it simultaneously

(a) to the Minister if the railway line passes through

(i) more than one province or outside Canada,

(ii) land that is or was a reserve, as defined in subsection 2(1) of the IndianAct, or

(iii) land that is the subject of an agreement entered into by the railwaycompany and the Minister for the settlement of aboriginal land claims;

(b) to the minister responsible for transportation matters in the government ofeach province that the railway line passes through; and

(c) to the clerk or other senior administrative officer of each municipal ordistrict government through whose territory the railway line passes.

Time limits for acceptance

(3) After the offer is received

(a) by the Minister, the Government of Canada may accept it within thirty days;

(b) by a provincial minister, the government of the province may accept itwithin thirty days, unless the offer is received by the Minister, in which casethe government of each province may accept it within an additional thirty daysafter the end of the period mentioned in paragraph (a) if it is not acceptedunder that paragraph; and

(c) by a municipal or district government, it may accept it within an additionalthirty days after the end of the period or periods for acceptance underparagraphs (a) and (b), if it is not accepted under those paragraphs.

Communication and notice of acceptance

(4) Once a government communicates its written acceptance of the offer to therailway company, the right of any other government to accept the offer isextinguished and the railway company shall notify the other governments of theacceptance.

Net salvage value

(5) If a government accepts the offer, but cannot agree with the railway companyon the net salvage value within ninety days after the acceptance, the Agencymay, on the application of the government or the railway company, determine thenet salvage value.

Discontinuation

146. (1) Where a railway company has complied with the process set out insections 143 to 145, but an agreement for the sale, lease or other transfer ofthe railway line or an interest therein is not entered into through thatprocess, the railway company may discontinue operating the line on providingnotice thereof to the Agency. Thereafter, the railway company has no obligationsunder this Act in respect of the operation of the railway line and has noobligations with respect to any operations by VIA Rail Canada Inc. over therailway line.

No obligation

(2) If the railway line, or any interest of the railway company therein, issold, leased or otherwise transferred by an agreement entered into through theprocess prescribed by sections 143 to 145 or otherwise, the railway company thatconveyed the railway line has no obligations under this Act in respect of theoperation of the railway line as and from the date the sale, lease or othertransfer was completed and has no obligations with respect to any operations byVIA Rail Canada Inc. over the railway line as and from that date.

Compensation

146.1 A railway company that discontinues operating a grain-dependent branchline listed in Schedule I, or a portion of one, that is in a municipality ordistrict shall, commencing on the date on which notice was provided undersubsection 146(1), make three annual payments to the municipality or district inthe amount equal to $10,000 for each mile of the line or portion in themunicipality or district.

DIVISION VI

TRANSPORTATION OF WESTERN GRAIN

Interpretation

Definitions

147. In this Division,

"crop year"

? campagne agricole ?

"crop year" means the period beginning on August 1 in any year and ending onJuly 31 in the next year;

"export"

? exportation ?

"export", in respect of grain, means shipment by a vessel, as defined in section2 of the Canada Shipping Act, to any destination outside Canada and shipment byany other mode of transport to the United States for use of the grain in thatcountry and not for shipment out of that country;

"government hopper car"

? wagon-trémie du gouvernement ?

"government hopper car" means a hopper car provided to a prescribed railwaycompany by the government of Canada or a province or by the Canadian WheatBoard;

"grain"

? grain ?

"grain" means

(a) any grain or crop included in Schedule II that is grown in the WesternDivision, or any product of it included in Schedule II that is processed in theWestern Division, or

(b) any grain or crop included in Schedule II that is grown outside Canada andimported into Canada, or any product of any grain or crop included in ScheduleII that is itself included in Schedule II and is processed outside Canada andimported into Canada;

"movement"

? mouvement du grain ?

"movement", in respect of grain, means the carriage of grain by a prescribedrailway company over a railway line from a point on any line west of Thunder Bayor Armstrong, Ontario, to

(a) Thunder Bay or Armstrong, Ontario, or

(b) Churchill, Manitoba, or a port in British Columbia for export,

but does not include the carriage of grain to a port in British Columbia forexport to the United States for consumption in that country;

"port in British Columbia"

? port de la Colombie-Britannique ?

"port in British Columbia" means Vancouver, North Vancouver, New Westminster,Roberts Bank, Prince Rupert, Ridley Island, Burnaby, Fraser Mills, FraserSurrey, Fraser Wharves, Lake City, Lulu Island Junction, Port Coquitlam, PortMoody, Steveston, Tilbury and Woodwards Landing;

"prescribed railway company"

? compagnie de chemin de fer régie ?

"prescribed railway company" means the Canadian National Railway Company, theCanadian Pacific Railway Company and any railway company that may be specifiedin the regulations;

"Western Division"

? région de l'Ouest ?

"Western Division" means the part of Canada lying west of the meridian passingthrough the eastern boundary of the City of Thunder Bay, including the whole ofthe Province of Manitoba.

Application of Division IV

Application to tariffs and rates

148. The provisions of Division IV apply, with such modifications as thecircumstances require, to tariffs and rates under this Division to the extentthat those provisions are not inconsistent with this Division.

Tariffs

Issuance and publication

149. (1) A prescribed railway company shall issue and publish tariffs thatinclude single car rates in respect of the movement of grain from each graindelivery point on its railway.

Prohibition

(2) No prescribed railway company shall establish a single car rate in a tariffin respect of the movement of grain from a grain delivery point on one of itsbranch lines that is more than three per cent higher than any single car rate inits tariffs for the movement of the same type of grain under substantiallysimilar conditions for a substantially similar distance from the grain deliverypoint on one of its main lines that is nearest, as measured in a straight line,to the grain delivery point on the branch line.

Maximum Grain Revenue Entitlement

Ceiling

150. (1) A prescribed railway company's revenues, as determined by the Agency,for the movement of grain in a crop year may not exceed the company's maximumrevenue entitlement for that year as determined under subsection 151(1).

Payment of excess and penalty

(2) If a prescribed railway company's revenues, as determined by the Agency, forthe movement of grain in a crop year exceed the company's maximum revenueentitlement for that year as determined under subsection 151(1), the companyshall pay out the excess amount, and any penalty that may be specified in theregulations, in accordance with the regulations.

Items not included in revenue

(3) For the purposes of this section, a prescribed railway company's revenue forthe movement of grain in a crop year shall not include

(a) incentives, rebates or any similar reductions paid or allowed by thecompany;

(b) any amount that is earned by the company and that the Agency determines isreasonable to characterize as a performance penalty or as being in respect ofdemurrage or for the storage of railway cars loaded with grain; or

(c) compensation for running rights.

Impermissible reductions

(4) For the purposes of this section, a prescribed railway company's revenue forthe movement of grain in a crop year shall not be reduced by amounts paid orallowed as dispatch by the company for loading or unloading grain before theexpiry of the period agreed on for loading or unloading the grain.

Reductions from revenue

(5) For the purposes of this section, if the Agency determines that it wasreasonable for a prescribed railway company to make a contribution for thedevelopment of grain-related facilities to a grain handling undertaking that isnot owned by the company, the company's revenue for the movement of grain in acrop year shall be reduced by any amount that the Agency determines constitutesthe amortized amount of the contribution by the company in the crop year.

Agency to determine revenue

(6) The Agency shall make the determination of a prescribed railway company'srevenues for the movement of grain in a crop year on or before December 31 ofthe following crop year.

Maximum revenue entitlement

151. (1) A prescribed railway company's maximum revenue entitlement for themovement of grain in a crop year is the amount determined by the Agency inaccordance with the formula

[A/B + ((C - D) x $0.022)] x E x F

where

A is the company's revenues for the movement of grain in the base year;

B is the number of tonnes of grain involved in the company's movement of grainin the base year;

C is the number of miles of the company's average length of haul for themovement of grain in that crop year as determined by the Agency;

D is the number of miles of the company's average length of haul for themovement of grain in the base year;

E is the number of tonnes of grain involved in the company's movement of grainin the crop year as determined by the Agency; and

F is the volume-related composite price index as determined by the Agency.

Canadian National Railway Company

(2) For the purposes of subsection (1), in the case of the Canadian NationalRailway Company,

(a) A is $348,000,000;

(b) B is 12,437,000; and

(c) D is 1,045.

Canadian Pacific Railway Company

(3) For the purposes of subsection (1), in the case of the Canadian PacificRailway Company,

(a) A is $362,900,000;

(b) B is 13,894,000; and

(c) D is 897.

Volume-relate d composite price index

(4) The following rules are applicable to the volume-related composite priceindex:

(a) in the crop year 2000-2001, the index is deemed to be 1.0;

(b) the index applies in respect of all of the prescribed railway companies; and

(c) the Agency shall make adjustments to the index to reflect the incrementalcosts incurred by the prescribed railway companies for the purpose of obtainingcars as a result of the sale, lease or other disposal or withdrawal from serviceof government hopper cars.

When Agency to make determination

(5) The Agency shall make the determination of a prescribed railway company'smaximum revenue entitlement for the movement of grain in a crop year undersubsection (1) on or before December 31 of the following crop year and shallmake the determination of the volume-related composite price index on or beforeApril 30 of the previous crop year.

Regulations

Regulations

152. The Governor in Council may make regulations

(a) specifying railway companies for the purposes of the definition ``prescribedrailway company'' in section 147;

(b) specifying, in respect of a prescribed railway company other than theCanadian National Railway Company or the Canadian Pacific Railway Company,

(i) revenues for the movement of grain in the base year,

(ii) the number of tonnes for the movement of grain in the base year, and

(iii) the average length of haul for the movement of grain in the base year;

(c) specifying a penalty for the purposes of subsection 150(2) and respectingthe paying out of the penalty and the excess amount; and

(d) for carrying out the purposes and provisions of this Division.

153 to 155 [Repealed 2000, c. 16, s. 10]

DIVISION VII

OTHER MATTERS

Accounting

Uniform accounting system for CN and CP

156. (1) The Agency may prescribe for the Canadian National Railway Company andthe Canadian Pacific Limited a uniform classification and system of accounts oftheir assets, liabilities, revenues, working expenditures, capitalization,traffic and operating statistics relating to railway operations.

Uniform accounting system for other railway companies

(2) The Agency may prescribe for any other railway company a uniformclassification and system as described in subsection (1) or in a condensed form.

Items to be classed

(3) The Agency may prescribe the items to be classed as items relating torailway operations in the accounts.

Depreciation

(4) The Agency may prescribe the classes of property for which depreciationcharges may properly be included under operating expenses in the accounts, andthe rates of depreciation to be charged with respect to each of the classes ofproperty.

Requirements to keep accounts

(5) A railway company for which a classification and system of accounts isprescribed shall keep its accounts in accordance with the prescribedclassification and system.

Determination of Costs

Regulations for determining costs

157. (1) The Agency may make regulations prescribing items and factors that itshall consider in determining costs under this Part, including depreciation andthe cost of capital.

Additional considerations

(2) The Agency may also consider

(a) the principles of costing adopted by the Royal Commission on Transportationappointed by the Order in Council dated May 13, 1959 in arriving at theconclusions contained in its report; and

(b) later developments in railway costing methods and techniques and currentconditions of railway operations.

Computation of costs of a portion of an undertaking

(3) If the costs of a portion of the railway of a railway company, or one of itsoperations, are to be computed

(a) for a particular period, the Agency must include in the computation any ofthe costs of the whole railway, or any other portion of it, that, in the opinionof the Agency, are reasonably attributable to the portion or operation,irrespective of when, in what manner or by whom the costs were incurred; and

(b) in respect of future operations of the company, the costs must be determinedin accordance with estimates made on any basis that, in the opinion of theAgency, is reasonable in the circumstances.

Determination final and binding

(4) A determination of costs by the Agency under this Part is final and bindingon all interested or affected parties.

Agreements to apply transportation law to provincial railways

157.1 (1) The Minister may enter into an agreement with a provincial ministerresponsible for transportation matters providing for the administration, inrelation to persons who operate railways within the legislative authority of theprovince, of any law respecting railway safety, accident investigation andrailway crossings.

Designation

(2) The Minister may designate any body established under an Act of Parliament,or any person or class of persons employed in the federal public administration,to administer the law in accordance with the agreement.

Functions, duties and powers

(3) The designated body, person or class of persons may perform any function orduty and exercise any powers necessary for the enforcement of the law, to theextent specified in the agreement.

Police Constables

Appointment of police constables

158. (1) A judge of a superior court may appoint a person as a police constablefor the enforcement of this Part and for the enforcement of the laws of Canadaor a province in so far as their enforcement relates to the protection ofproperty owned or administered by a railway company and the protection ofpersons and property on that property.

Limitation

(2) The appointment must only be made on the application of a railway companythat owns or administers property located within the judge's jurisdiction.

Police constables peace officers

(3) The police constable has jurisdiction on property under the administrationof the railway company and in any place within 500 m of property that it owns oradministers.

Power to take persons before a court

(4) The police constable may take a person charged with an offence under thisPart, or any law referred to in subsection (1), before a court that hasjurisdiction in such cases over any area where property owned or administered bythe railway company is located, whether or not the person was arrested, or theoffence occurred or is alleged to have occurred, within that area.

Court's jurisdiction

(5) The court shall deal with the person as though the person had been arrested,and the offence had occurred, within the area of the court's jurisdiction, butthe court shall not deal with the person if the offence is alleged to haveoccurred outside the province in which the court is sitting.

Dismissal or discharge of police constable

(6) A superior court judge referred to in subsection (1) or the railway companymay dismiss or discharge the police constable and the dismissal or dischargeterminates the powers, duties and privileges conferred on the constable by thissection.

PART IV

FINAL OFFER ARBITRATION

Application

Application of sections 161 to 169

159. (1) Sections 161 to 169 apply only in respect of matters arising betweenshippers and carriers that involve

(a) the carriage of goods by air to which Part II applies, other than theircarriage internationally;

(b) the carriage of goods by railways to which this Act applies, other than thecarriage of goods in trailers or containers on flat cars unless the containersarrive by water at a port in Canada, served by only one railway company, forfurther movement by rail or arrive by rail at such a port in Canada for furthermovement by water; or

(c) the carriage by water, for hire or reward, of goods required for themaintenance or development of a municipality or any permanent settlement fornorthern marine resupply purposes, other than goods required in relation tonational defence or in relation to the exploration for or the development,extraction or processing of oil, gas or any mineral.

Scope of paragraph (1)(c)

(2) Paragraph (1)(c) applies only to resupply services on

(a) the rivers, streams, lakes and other waters within the watershed of theMackenzie River;

(b) the territorial sea and internal waters of Canada that are adjacent to thecoast of the mainland and islands of the Canadian Arctic and situated within thearea bounded by the meridians of longitude 95o West and 141o West and theparallels of latitude 66o 00'30" North and 74o00'20" North; and

(c) the internal waters of Canada comprised in Spence Bay and Shepherd Bay andsituated east of the meridian of longitude 95o West.

Application

(3) Paragraph (1)(c) applies only if

(a) the total register tonnage of all ships used to provide the resupply serviceexceeds fifty register tons; or

(b) the resupply service originates from a point situated on the watersdescribed in subsection (2).

Rail passenger services

160. Sections 161 to 169 also apply, with such modifications as thecircumstances require, in respect of the rates charged or proposed to be chargedby, or any of the conditions associated with the provision of services by, arailway company to

(a) a commuter rail authority designated by the government of a province; or

(b) a railway company engaged in passenger rail services.

Final Offer Arbitration

Submission for final offer arbitration

161. (1) A shipper who is dissatisfied with the rate or rates charged orproposed to be charged by a carrier for the movement of goods, or with any ofthe conditions associated with the movement of goods, may, if the matter cannotbe resolved between the shipper and the carrier, submit the matter in writing tothe Agency for a final offer arbitration to be conducted by one arbitrator or,if the shipper and the carrier agree, by a panel of three arbitrators.

Contents of submission

(2) A copy of a submission under subsection (1) shall be served on the carrierby the shipper and the submission shall contain

(a) the final offer of the shipper to the carrier in the matter, excluding anydollar amounts;

(b) [Repealed 2000 c.16, s.11(2)];

(c) an undertaking by the shipper to ship the goods to which the arbitrationrelates in accordance with the decision of the arbitrator;

(d) an undertaking by the shipper to the Agency whereby the shipper agrees topay to the arbitrator the fee for which the shipper is liable under section 166as a party to the arbitration; and

(e) the name of the arbitrator, if any, that the shipper and the carrier agreedshould conduct the arbitration or, if they agreed that the arbitration should beconducted by a panel of three arbitrators, the name of an arbitrator chosen bythe shipper and the name of an arbitrator chosen by the carrier.

Arbitration precluded in certain cases

(3) The Agency shall not have any matter submitted to it by a shipper undersubsection (1) arbitrated if the shipper has not, at least five days beforemaking the submission, served on the carrier a written notice indicating thatthe shipper intends to submit the matter to the Agency for a final offerarbitration.

Final offer arbitration not a proceeding

(4) A final offer arbitration is not a proceeding before the Agency.

Submission of final offers

161.1 (1) Within 10 days after a submission is served under subsection 161(2),the shipper and the carrier shall submit to the Agency their final offers,including dollar amounts.

Copies to the parties

(2) Without delay after final offers are submitted under subsection (1) by boththe shipper and the carrier, the Agency shall provide the shipper and thecarrier with copies of each other's final offer.

If no final offer from a party

(3) If one party does not submit a final offer in accordance with subsection(1), the final offer submitted by the other party is deemed to be the finaloffer selected by the arbitrator under subsection 165(1).

Arbitration

162. (1) Notwithstanding any application filed with the Agency by a carrier inrespect of a matter, within five days after final offers are received undersubsection 161.1(1), the Agency shall refer the matter for arbitration

(a) if the parties did not agree that the arbitration should be conducted by apanel of three arbitrators, to the arbitrator, if any, named under paragraph161(2)(e) or, if that arbitrator is not, in the opinion of the Agency, availableto conduct the arbitration or no arbitrator is named, to an arbitrator on thelist of arbitrators referred to in section 169 who the Agency chooses anddetermines is appropriate and available to conduct the arbitration; and

(b) if the parties agreed that the arbitration should be conducted by a panel ofthree arbitrators,

(i) to the arbitrators named by the parties under paragraph 161(2)(e) and to anyarbitrator who those arbitrators have, within 10 days after the submission wasserved under subsection 161(2), notified the Agency that they have agreed on, orif those arbitrators did not so notify the Agency, to an arbitrator on the listof arbitrators referred to in section 169 who the Agency chooses and determinesis appropriate and available to conduct the arbitration, or

(ii) if an arbitrator referred to in subparagraph (i) is not, in the opinion ofthe Agency, available to conduct the arbitration, to the arbitrators named inthat subparagraph who are available and to an arbitrator chosen by the Agencyfrom the list of arbitrators referred to in section 169 who the Agencydetermines is appropriate and available to conduct the arbitration.

Interpretation

(1.1) If a matter was referred to a panel of arbitrators, every reference insubsections (1.2) and (2) and sections 163 to 169 to an arbitrator or thearbitrator shall be construed as a reference to a panel of arbitrators or thepanel of arbitrators, as the case may be.

Delay in referral

(1.2) If the shipper consents to an application referred to in subsection (1)being heard before the matter is referred to an arbitrator, the Agency shalldefer referring the matter until the application is dealt with.

Decision or order affecting a matter being arbitrated

162.1 The Agency may, in addition to any other decision or order it may make,order that an arbitration be discontinued, that it be continued subject to theterms and conditions that the Agency may fix or that the decision of thearbitrator be set aside if

(a) the Agency makes a decision or an order arising out of an application thatis in respect of a matter submitted to the Agency for a final offer arbitrationand that is filed by a carrier before the matter is referred to arbitration; and

(b) the decision or order affects the arbitration.

Procedure

163. (1) In the absence of an agreement by the arbitrator and the parties as tothe procedure to be followed, a final offer arbitration shall be governed by therules of procedure made by the Agency.

Procedure generally

(2) The arbitrator shall conduct the arbitration proceedings as expeditiously aspossible and, subject to the procedure referred to in subsection (1), in themanner the arbitrator considers appropriate having regard to the circumstancesof the matter.

Exchange of information

(3) Within fifteen days after the Agency refers a matter for arbitration, theparties shall exchange the information that they intend to submit to thearbitrator in support of their final offers.

Interrogatories

(4) Within seven days after receipt of the information referred to in subsection(3), each party may direct interrogatories to the other, which shall be answeredwithin fifteen days after their receipt.

Withholding of information

(5) If a party unreasonably withholds information that the arbitratorsubsequently deems to be relevant, that withholding shall be taken into accountby the arbitrator in making a decision.

Arbitration information

164. (1) The arbitrator shall, in conducting a final offer arbitration between ashipper and a carrier, have regard to the information provided to the arbitratorby the parties in support of their final offers and, unless the parties agree tolimit the amount of information to be provided, to any additional informationthat is provided by the parties at the arbitrator's request.

Arbitration considerations

(2) Unless the parties agree otherwise, in rendering a decision the arbitratorshall have regard to whether there is available to the shipper an alternative,effective, adequate and competitive means of transporting the goods to which thematter relates and to all considerations that appear to the arbitrator to berelevant to the matter.

Summary process

164.1 If the Agency determines that a shipper's final offer submitted undersubsection 161.1(1) involves freight charges in an amount of not more than$750,000 and the shipper did not indicate a contrary intention when submittingthe offer, sections 163 and 164 do not apply and the arbitration shall proceedas follows:

(a) within seven days after a matter is referred to an arbitrator, the shipperand the carrier may file with the arbitrator a response to the final offer ofthe other party;

(b) subject to paragraph (c), the arbitrator shall decide the matter on thebasis of the final offers and any response filed under paragraph (a); and

(c) if the arbitrator considers it necessary, the arbitrator may invite theparties to make oral representations or may ask the parties to appear before himor her to provide further information.

Decision of arbitrator

165. (1) The decision of the arbitrator in conducting a final offer arbitrationshall be the selection by the arbitrator of the final offer of either theshipper or the carrier.

Requirements re decision

(2) The decision of the arbitrator shall

(a) be in writing;

(b) unless the parties agree otherwise, be rendered within 60 days or, in thecase of an arbitration conducted in accordance with section 164.1, 30 days afterthe date on which the submission for the final offer arbitration was received bythe Agency; and

(c) unless the parties agree otherwise, be rendered so as to apply to theparties for a period of one year or any lesser period that may be appropriate,having regard to the negotiations between the parties that preceded thearbitration.

Incorporation in tariff

(3) The carrier shall, without delay after the arbitrator's decision, set outthe rate or rates or the conditions associated with the movement of goods thathave been selected by the arbitrator in a tariff of the carrier, unless, wherethe carrier is entitled to keep the rate or rates or conditions confidential,the parties to the arbitration agree to include the rate or rates or conditionsin a contract that the parties agree to keep confidential.

Reasons not required

(4) No reasons shall be set out in the decision of the arbitrator.

Reasons may be requested

(5) The arbitrator shall, if requested by all of the parties to the arbitrationwithin 30 days or, in the case of an arbitration conducted in accordance withsection 164.1, seven days after the decision of the arbitrator, give writtenreasons for the decision.

Application of decision

(6) Except where both parties agree otherwise,

(a) the decision of the arbitrator on a final offer arbitration shall be finaland binding and be applicable to the parties as of the date on which thesubmission for the arbitration was received by the Agency from the shipper, andis enforceable as if it were an order of the Agency; and

(b) the arbitrator shall direct in the decision that interest at a reasonablerate specified by the arbitrator shall be paid to one of the parties by theother on moneys that, as a result of the application of paragraph (a), are owedby a party for the period between the date referred to in that paragraph and thedate of the payment.

Payment by party

(7) Moneys and interest referred to in paragraph (6)(b) that are owed by a partypursuant to a decision of the arbitrator shall be paid without delay to theother party.

Arbitration fees

166. (1) The Agency may fix the fee to be paid to an arbitrator for the costsof, and the services provided by, the arbitrator in final offer arbitrationproceedings.

Payment of fees and costs

(2) The shipper and the carrier shall share equally, whether or not theproceedings are terminated pursuant to section 168, in the payment of the feefixed under subsection (1) and in the cost

(a) borne by the Agency for administrative, technical and legal servicesprovided to the arbitrator pursuant to subsection 162(2); and

(b) of the preparation of any reasons requested pursuant to subsection 165(5).

Confidentiality of information

167. Where the Agency is advised that a party to a final offer arbitrationwishes to keep matters relating to the arbitration confidential,

(a) the Agency and the arbitrator shall take all reasonably necessary measuresto ensure that the matters are not disclosed by the Agency or the arbitrator orduring the arbitration proceedings to any person other than the parties; and

(b) no reasons for the decision given pursuant to subsection 165(5) shallcontain those matters or any information included in a contract that the partiesagreed to keep confidential.

Termination of proceedings

168. Where, before the arbitrator renders a decision on a final offerarbitration, the parties advise the Agency or the arbitrator that they agreethat the matter being arbitrated should be withdrawn from arbitration, thearbitration proceedings in respect of the matter shall be immediatelyterminated.

List of arbitrators

169. (1) The Agency shall, from time to time, in consultation withrepresentatives of shippers and carriers, establish a list of persons who agreeto act as arbitrators in final offer arbitrations. The list must state which ofthe persons have indicated that they have expertise that may assist them inconducting final offer arbitrations and the nature of that expertise.

List per mode

(2) A separate list of persons may be established under subsection (1) inrespect of each or any mode of transportation, as the Agency considersappropriate.

Publication of list

(3) The Agency shall have the list of persons made known to representatives ofshippers and carriers throughout Canada.

PART V

TRANSPORTATION OF PERSONS WITH DISABILITIES

Regulations

170. (1) The Agency may make regulations for the purpose of eliminating undueobstacles in the transportation network under the legislative authority ofParliament to the mobility of persons with disabilities, including regulationsrespecting

(a) the design, construction or modification of, and the posting of signs on, inor around, means of transportation and related facilities and premises,including equipment used in them;

(b) the training of personnel employed at or in those facilities or premises orby carriers;

(c) tariffs, rates, fares, charges and terms and conditions of carriageapplicable in respect of the transportation of persons with disabilities orincidental services; and

(d) the communication of information to persons with disabilities.

Incorporation by reference

(2) Regulations made under subsection (1) incorporating standards or enactmentsby reference may incorporate them as amended from time to time.

Exemption

(3) The Agency may, with the approval of the Governor in Council, make ordersexempting specified persons, means of transportation, services or relatedfacilities and premises from the application of regulations made undersubsection (1).

Coordination

171. The Agency and the Canadian Human Rights Commission shall coordinate theiractivities in relation to the transportation of persons with disabilities inorder to foster complementary policies and practices and to avoid jurisdictionalconflicts.

Inquiry re obstacles to persons with disabilities

172. (1) The Agency may, on application, inquire into a matter in relation towhich a regulation could be made under subsection 170(1), regardless of whethersuch a regulation has been made, in order to determine whether there is an undueobstacle to the mobility of persons with disabilities.

Compliance with regulations

(2) Where the Agency is satisfied that regulations made under subsection 170(1)that are applicable in relation to a matter have been complied with or have notbeen contravened, the Agency shall determine that there is no undue obstacle tothe mobility of persons with disabilities.

Remedies

(3) On determining that there is an undue obstacle to the mobility of personswith disabilities, the Agency may require the taking of appropriate correctivemeasures or direct that compensation be paid for any expense incurred by aperson with a disability arising out of the undue obstacle, or both.

PART VI

GENERAL

Enforcement

False information, etc.

173. (1) No person shall knowingly make any false or misleading statement orknowingly provide false or misleading information to the Agency or the Ministeror to any person acting on behalf of the Agency or the Minister in connectionwith any matter under this Act.

Obstruction and false statements

(2) No person shall knowingly obstruct or hinder, or make any false ormisleading statement, either orally or in writing, to a person designated as anenforcement officer pursuant to paragraph 178(1)(a) who is engaged in carryingout functions under this Act.

Offence

174. Every person who contravenes a provision of this Act or a regulation ororder made under this Act, other than an order made under section 47, is guiltyof an offence punishable on summary conviction and liable

(a) in the case of an individual, to a fine not exceeding $5,000; and

(b) in the case of a corporation, to a fine not exceeding $25,000.

Officers, etc., of corporation re offences

175. Where a corporation commits an offence under this Act, every person who atthe time of the commission of the offence was a director or officer of thecorporation is guilty of the like offence unless the act or omissionconstituting the offence took place without the person's knowledge or consent orthe person exercised all due diligence to prevent the commission of the offence.

Time limit for commencement of proceedings

176. Proceedings by way of summary conviction in respect of an offence underthis Act may be instituted within but not later than twelve months after thetime when the subject-matter of the proceedings arose.

Administrative Monetary Penalties

Regulation-making powers

177. The Agency may, by regulation,

(a) designate

(i) any provision of this Act or of any regulation, order or direction madepursuant to this Act,

(ii) the requirements of any provision referred to in subparagraph (i), or

(iii) any condition of a licence issued under this Act,

as a provision, requirement or condition the contravention of which may beproceeded with as a violation in accordance with sections 179 and 180; and

(b) prescribe the maximum amount payable for each violation, but the amountshall not exceed

(i) $5,000, in the case of an individual, and

(ii) $25,000, in the case of a corporation.

Notices of violation

178. (1) The Agency may

(a) designate persons, or classes of persons, as enforcement officers who areauthorized to issue notices of violation; and

(b) establish the form and content of notices of violation.

Powers of enforcement officers

(2) Every person designated as an enforcement officer pursuant to paragraph(1)(a) has the powers of entry and inspection referred to in paragraph 39(a).

Certification of designated persons

(3) Every person designated as an enforcement officer pursuant to paragraph(1)(a) shall receive an authorization in prescribed form attesting to theperson's designation and shall, on demand, present the authorization to anyperson from whom the enforcement officer requests information in the course ofthe enforcement officer's duties.

Powers of designated persons

(4) For the purposes of determining whether a violation referred to in section177 has been committed, a person designated as an enforcement officer pursuantto paragraph (1)(a) may require any person to produce for examination orreproduction all or part of any document or electronically stored data that theenforcement officer believes on reasonable grounds contain any informationrelevant to the enforcement of this Act.

Assistance to enforcement officers

(5) Any person from whom documents or data are requested pursuant to subsection(4) shall provide all such reasonable assistance as is in their power to enablethe enforcement officer making the request to carry out the enforcementofficer's duties and shall furnish such information as the enforcement officerreasonably requires for the purposes of this Act.

Violations

179. (1) Every person who contravenes a provision, requirement or conditiondesignated under section 177 commits a violation and is liable to a penaltyfixed pursuant to that section.

How contraventions may be proceeded with

(2) Where any act or omission can be proceeded with as a violation or as anoffence, proceedings may be commenced in respect of that act or omission as aviolation or as an offence, but proceeding with it as a violation precludesproceeding with it as an offence, and proceeding with it as an offence precludesproceeding with it as a violation.

Nature of violation

(3) For greater certainty, a violation is not an offence and, accordingly,section 126 of the Criminal Code does not apply.

Issuance of notice of violation

180. (1) Where a person designated as an enforcement officer pursuant toparagraph 178(1)(a) believes that a person has committed a violation, theenforcement officer may issue and serve on the person a notice of violation thatnames the person, identifies the violation and sets out

(a) the penalty, established in accordance with the regulations, for theviolation that the person is liable to pay; and

(b) particulars concerning the time for paying and the manner of paying thepenalty.

Application of Aeronautics Act

(2) Sections 7.8 to 8.2 of the Aeronautics Act apply to the contravention of aprovision, requirement or condition designated under section 177, with anymodifications that are necessary, and a reference in any of those provisions orin any document issued under any of those provisions to

(a) "this Act" shall be read as a reference to this Act;

(b) "designated provision" shall be read as a reference to a provision,requirement or condition designated under paragraph 177(a);

(c) ‘‘Minister’’ shall be read as a reference to the Agency or, in any provisionother than section 7.9 of the Aeronautics Act, to a person designated by theAgency;

(d) "notice" shall be read as a reference to a notice of violation; and

(e) "regulations made under paragraph 7.6(1)(b)" shall be read as a reference toregulations made under paragraph 177(b).

Time limit for proceedings

181. Proceedings in respect of a violation may be instituted not later thantwelve months after the time when the subject-matter of the proceedings arose.

PART VII

REPEALS, TRANSITIONAL PROVISIONS, CONSEQUENTIAL AND CONDITIONAL AMENDMENTS ANDCOMING INTO FORCE

Repeals

182. to 184. [Repeals]

Repeal of R.S., c. R-3

185. (1) Subject to subsection (2), the Railway Act is repealed, except to theextent that subsection 14(1), except paragraph (b), and sections 15 to 80, 84 to89, 96 to 98 and 109 of that Act continue to apply to a railway company that hasauthority to construct and operate a railway under a Special Act and has notbeen continued under the Canada Business Corporations Act.

Repeal of certain provisions

*(2) Sections 264 to 270, 344, 345 and 358 of the Railway Act are repealed on aday to be fixed by order of the Governor in Council.

*[Note: Repeal in force July 1, 1996, see SI/96-54.]

Interpretation

(3) For the purpose of applying the provisions mentioned in subsection (2) afterthis section comes into force,

(a) a reference in those provisions to the "Agency" shall be interpreted as areference to the Canadian Transportation Agency;

(b) a reference in those provisions to a "railway, telegraph, telephone andexpress company", a "railway or express company" or a "carrier by water" shallbe interpreted as a reference to a railway company, as defined in section 87 ofthis Act; and

(c) the reference to section 64 of the National Transportation Act, 1987 in thedefinition "claim period" in subsection 270(1) of the Railway Act shall beinterpreted as a reference to section 40 of this Act.

Transitional Provisions

Definition of "National Transportation Agency"

186. For the purposes of sections 187 to 199, "National Transportation Agency"means the National Transportation Agency established by the NationalTransportation Act, 1987.

Powers, duties and functions

187. Wherever under any Act of Parliament, any instrument made under an Act ofParliament or any contract, lease, licence or other document, a power, duty orfunction is vested in or exercisable by the National Transportation Agency, thepower, duty or function is vested in or exercisable by the CanadianTransportation Agency.

Appropriations

188. Any amount appropriated, for the fiscal year in which this section comesinto force, by an appropriation Act based on the Estimates for that year fordefraying the charges and expenses of the National Transportation Agency andthat, on the day on which this section comes into force, is unexpended isdeemed, on that day, to be an amount appropriated for defraying the charges andexpenses of the Canadian Transportation Agency.

Employment continued

189. (1) Nothing in this Act shall be construed to affect the status of anemployee who, immediately before the coming into force of this subsection,occupied a position under the authority of the National Transportation Agency,except that each of those persons shall, on the coming into force of thissection, occupy their position under the authority of the CanadianTransportation Agency.

Definition of "employee"

(2) For the purposes of this section, "employee" has the same meaning as insubsection 2(1) of the Public Service Employment Act.

References

190. Every reference to the National Transportation Agency in any deed,contract, agreement or other document executed by the National TransportationAgency shall, unless the context otherwise requires, be read as a reference tothe Canadian Transportation Agency.

Rights and obligations

191. All rights and property of the National Transportation Agency and of HerMajesty in right of Canada that are under the administration and control of theNational Transportation Agency and all obligations of the NationalTransportation Agency are transferred to the Canadian Transportation Agency.

Commencement of legal proceedings

192. Any action, suit or other legal proceeding in respect of an obligation orliability incurred by the National Transportation Agency may be brought againstthe Canadian Transportation Agency in any court that would have had jurisdictionif the action, suit or other legal proceeding had been brought against theNational Transportation Agency.

Continuation of legal proceedings

193. Any action, suit or other legal proceeding to which the NationalTransportation Agency is party pending in any court immediately before the daythis section comes into force may be continued by or against the CanadianTransportation Agency in like manner and to the same extent as it could havebeen continued by or against the National Transportation Agency.

Members cease to hold office

194. Except as provided for in subsection 195(4), all persons who hold office asa member of the National Transportation Agency immediately before the cominginto force of this section cease to hold office on that day.

Continuation of proceedings

195. (1) Subject to this section, proceedings relating to any matter before theNational Transportation Agency on the coming into force of this section,including any matter that is in the course of being heard or investigated by theNational Transportation Agency, shall be continued by the CanadianTransportation Agency.

Application of provisions

(2) Unless the Governor in Council, by order, directs that proceedings continuedunder this section are to be dealt with in accordance with the provisions ofthis Act, the proceedings shall be dealt with and determined in accordance withthe provisions of the National Transportation Act, 1987 as that Act readimmediately before the coming into force of section 183.

Directions re proceedings

(3) The Governor in Council may, by order, direct that proceedings in respect ofany class of matter referred to in subsection (1) in respect of which nodecision or order had been made on the coming into force of this section shallbe

(a) discontinued, or

(b) continued by the Canadian Transportation Agency,

on the terms and conditions specified in the order for the protection andpreservation of the rights and interests of the parties and of the generalpublic.

Member continues

(4) Where in any proceedings continued under this section any evidence was heardby a member of the National Transportation Agency, that person may, on therequest of the Chairperson of the Canadian Transportation Agency, continue tohear the matter and that person is deemed to be a member of the CanadianTransportation Agency for the specific purpose of the expeditious completion ofthe proceedings, after which time that member shall cease to hold office.

Deemed member

(5) A person referred to in subsection (4) who is deemed to be a member of theCanadian Transportation Agency under that subsection

(a) shall, unless the Governor in Council provides otherwise, be paid in amanner that is consistent with the remuneration the person was receivingimmediately before the coming into force of this section; but

(b) that person's status as a member does not preclude the appointment of up tothree members under paragraph 7(2)(a) or up to three temporary members undersubsection 9(1).

Continuation of previous orders, etc.

196. Subject to sections 197 to 199, every decision, order, licence, permit,rule, regulation and direction made or issued by the National TransportationAgency that was in force immediately before the coming into force of thissection and that is not inconsistent with this Act or any other Act ofParliament continues in force as if it were a decision, order, license, permit,rule, regulation or direction made or issued by the Canadian TransportationAgency.

Continuation of railway crossing and junction orders

197. An order of the National Transportation Agency made under section 197 ofthe Railway Act continues to have effect as if it had been made under section 99of this Act, but only to the extent that it is consistent with that section.

Continuation of road and utility crossing orders

198. An order of the National Transportation Agency made under subsection 196(6)or section 201, 202, 204, 212, 214 or 326 of the Railway Act continues to haveeffect as if it had been made under section 101 of this Act, but only to theextent that it is consistent with that section.

Continuation of private crossing orders

199. An order of the National Transportation Agency made under section 216 ofthe Railway Act continues to have effect as if it had been made under section103 of this Act, but, if the Canadian Transportation Agency amends the order toauthorize any new construction, payment of the costs of the new construction andmaintenance of it are governed by subsection 103(3) of this Act.

200. [Repealed, 1996, c. 10, s. 200]

Expropriation under Railway Act

201. Where proceedings under or governed by sections 160 to 188 of the RailwayAct were commenced before the coming into force of section 185 of this Act,those sections continue to apply in respect of those proceedings.

Confidentiality of information

201.1 (1) Where information concerning the costs of a railway company or otherinformation that is by its nature confidential was obtained from the company bythe Agency in the course of an investigation under the Railway Act or theNational Transportation Act, 1987, the information shall not be published ordisclosed in such a manner as to be available for the use of any other person,except in accordance with subsection (2) or if, in the opinion of the Agency,the publication is necessary in the public interest.

Disclosure to Minister

(2) The Agency shall disclose to the Minister any information in its possession,other than information contained in a confidential contract entered into undersubsection 120(1) of the National Transportation Act, 1987 or subsection 126(1)of this Act.

Consequential and Related Amendments

202. to 274. [Amendments]

Conditional Amendments

275. to 277. [Amendments]

Coming into Force

Coming into force

*278. This Act or any of its provisions, or any provision enacted or amended bythis Act, comes into force on a day or days to be fixed by order of the Governorin Council.

*[Note: Act, except subsection 142(2), in force July 1, 1996, subsection 142(2)in force July 21, 1996, see SI/96-53.]

SCHEDULE I

(Sections 116, 141, 142, 146.1)

CN GRAIN-DEPENDENT BRANCH LINES

SUBDIVISION BETWEEN MILEAGE

Alliance Alliance Jct. (M 0.0) Alliance (M 59.7) 59.7

Amiens Spiritwood (M 49.1) England (M 75.0) 25.9

Arborfield Crane (M 0.0) Arborfield (M 19.4) 19.4

Athabasca Morin Jct. (M 20.2) Legal (M 32.2) 12.0

Avonlea Moose Jaw Jct. (M 86.4) Moose Jaw Jct. (M 88.3) 1.9

Barrhead Carley Jct. (M 0.0) Barrhead (M 26.5) 26.5

Battleford Battleford (M 0.0) Battleford Jct. (M 7.8) 7.8

Blaine Lake Carlton (M 93.9) Denholm (M 116.5) 22.6

Bolney Spruce Lake Jct. (M 0.0) Paradise Hill (M 15.7) 15.7

Brooksby Naisberry Jct. (M 0.0) Carrot River (M 51.1) 51.1

Carman Carman Jct. (M 0.0) Carman Jct. (M 0.1) 0.1

Central Butte Kalium (M 25.0) Mile 442 (M 44.2) 19.2

Conquest Conrose Jct. (M 0.0) Beechy (M 94.3) 94.3

Cowan North Jct. (M 0.0) Garland (M 39.9) 39.9

Cowan Minitonas (M 85.1) Swan River (M 98.5) 13.4

Craik Warell (M 0.0) Newcross (M 154.1) 154.1

Cromer Maryfield (M 75.8) Kipling (M 128.6) 52.8

Cudworth Totzke (M 38.4) St. Louis (M 84.6) 46.2

Elrose Conquest Jct. (M 0.0) Glidden (M 104.8) 104.8

Erwood Swan River (M 0.0) Birch River (M 22.9) 22.9

Glenavon Kipling (M 0.0) McCallum (M 87.5) 87.5

Grande Prairie Hythe (M 89.1) Dawson Creek (M 138.9) 49.8

Imperial Watrous (M 0.0) End of Track (M 9.2) 9.2

Lewvan Minard Jct. (M 0.0) Whitmore (M 115.9) 115.9

Mantario Mantario Jct. (M 0.0) Glidden (M 43.8) 43.8

Matador Matador Jct. (M 0.0) Kyle (M 29.7) 29.7

Miami Morris (M 0.0) Morris (M 2.0) 2.0

Neepawa End of Track (M 0.0) Neepawa (M 1.1) 1.1

Preeceville Thunderhill Jct. (M 0.0) Sturgis Jct. (M 65.3) 65.3

Preeceville Lilian (M 67.4) Preeceville (M 72.7) 5.3

Rhein Campbell (M 0.0) Rhein (M 14.0) 14.0

Robinhood Speers Jct. (M 0.0) Glaslyn (M 69.6) 69.6

St. Brieux St. Brieux Jct. (M 0.0) Humboldt Jct. (M 54.1) 54.1

Tisdale Hudson Bay (M 0.0) Dief (M 157.6) 157.6

Turtleford North Battleford (M 0.0) St. Walburg (M 77.7) 77.7

White Bear Eston Jct. (M 0.0) Lacadena (M 24.5) 24.5

TOTAL CN 1597.4

CP GRAIN-DEPENDENT BRANCH LINES

SUBDIVISION BETWEEN MILEAGE

Altawan Shaunavon (M 0.0) Notukeu (M 65.7) 65.7

Arborg Rugby (M 5.4) Arborg (M 74.9) 69.5

Arcola Schwitzer (M 0.0) Carlyle (M 86.9) 86.9

Bromhead Estevan (M 0.0) End of Track

Southall Wye (M 1.0) Tribute (M 41.0) 42.0

Bulyea Neudorf (M 0.0) Bulyea (M 86.4) 86.4

Cardston Stirling (M 0.0) Cardston (M 42.3) 42.3

Expanse Curle (M 0.0) incl. Assiniboia East Spur (M 2.5) Assiniboia (M 65.2)67.7

Fife Lake Assiniboia (M 0.0) Coronach (M 60.5) 60.5

Glenboro/Carman Murray Park (M 5.1) Souris (M 146.0) 140.9

Gravelbourg Mossbank Jct. (M 0.0) Hodgeville (M 53.1) 53.1

Gretna-La Rivière Rosenfeld Jct. (M 0.0) Altona (M 6.8) 6.8

Gretna-La Rivière La Rivière (M 11.5) Rosenfeld Jct (M 54.2) 42.7

Hatton Hatton (M 0.0) Golden Prairie (M 17.8) 17.8

Irricana Bassano (M 0.0) Standard (M 36.5) 36.5

Kerrobert Conquest (M 8.6) incl. Spur (M 1.4) Kerrobert (M 102.5) 95.3

Lac du Bonnet Beauséjour (M 33.8) Molson (M 43.6) 9.8

La Rivière Rosenfeld (M 54.2) La Rivière (M 111.0) 56.8

Lacombe Stettler (M 59.5) Nevis (M 70.8) 11.3

Lloydminster Wilkie (M 0.0) Lloydminster (M 104.3) 104.3

Lomond Eltham (M 0.0) Vauxhall (M 97.0) 97.0

Macklin Kerrobert (M 0.0) Macklin (M 46.4) 46.4

Macleod Aldersyde (M 31.5) High River (M 39.2) 7.7

Melfort Lanigan (M 0.0) Naicam (M 49.4) 49.4

Napinka La Rivière (M 0.0) Napinka (M 108.5) 108.5

Notukeu Notukeu (M 0.0) Val Marie (M 96.9) 96.9

Outlook Moose Jaw (M 2.3) Broderick (M 115.8) 113.5

Radville Exon (M 0.0) End of Track (M 98.0) 98.0

Reford Kerrobert (M 0.0) Wilkie (M 42.8) 42.8

Rocanville Sylspur (M 50.7) Rocanville (M 53.5) 2.8

Shaunavon Assiniboia (M 0.0) Shaunavon (M 118.2) 118.2

Stirling Etzikom (M 20.7) Stirling (M 84.5) 63.8

Tisdale/Kelvington Goudie (M 0.0) incl. Kelvington (M.14.2) Nipawin (M 131.7)145.9

Tyvan Stoughton (M 0.0) Crecy (M 89.1) 89.1

Vanguard Swift Current (M 0.3) Meyronne (M 76.3) 76.0

White Fox Nipawin (M 0.0) Choiceland (M 28.4) 28.4

Willingdon Lloydminster (M 0.0) Bruderheim (M 144.1) 144.1

TOTAL CP 2424.8

SCHEDULE II

(Sections 147 and 155)

GRAIN, CROP OR PRODUCT

? Alfalfa meal, pellets or cubes, dehydrated

? Barley

? Barley, crushed

? Barley, pearl

? Barley, pot

? Barley sprouts

? Bean (except soybean) derivatives (flour, protein, isolates, fibre)

? Beans (except soybeans), including faba beans, splits and screenings

? Bran

? Breakfast foods or cereals (uncooked) in bags, barrels or cases --manufactured from commodities only as listed in this schedule

? Buckwheat

? Canary seed

? Corn, cracked ? Corn (not popcorn)

? Feed, animal or poultry (not medicated or condimental), containing not morethan thirty-five per cent of ingredients other than commodities as specified inthis schedule, in bags or barrels or in bulk

? Flax fibre

? Flax seed

? Flour, other than wheat, semolina or pea

? Flour, wheat or semolina

? Grain, feed, in sacks

? Groats

? Hulls, oat

? Lentils, including splits and screenings

? Malt (made from grain only)

? Meal, barley

? Meal, corn ? Meal, linseed

? Meal, oat

? Meal, rapeseed or canola

? Meal, rye

? Meal, wheat

? Meal, oil cake, linseed

? Meal, oil cake, rapeseed or canola

? Meal, oil cake, sunflower seed

? Middlings

? Millfeed

? Mustard seed

? Oats

? Oats, crushed

? Oats, rolled

? Oil, linseed

? Oil, rapeseed or canola

? Oil, sunflower seed

? Oil cake, linseed

? Oil cake, rapeseed or canola

? Oil cake, sunflower seed ? Pea derivatives (flour, protein, isolates, fibre)

? Peas, including splits and screenings

? Rapeseed or canola

? Rye

? Screenings or screenings pellets (applicable only to screenings from grainsspecified in this schedule)

? Seed grain in sacks

? Shorts

? Sunflower seed

? Triticale

? Wheat

? Wheat, rolled

? Wheat germ

Schedule III and IV

[Repealed 2000, c. 16, s. 19]

Established by the Statutes of Canada 1996

CHAPTER 10

LIST OF AMENDMENTS

Section Statutes of Canada In force

yyyy/mm/dd

6 1998, c. 30, s. 13(c) and 15(c) 1999/04/19

1999, c. 3, s. 20 1999/04/01

"superior court"

(d) 2002, c. 7, s. 114 2003/04/01

7(2) 2001, c. 27, s. 221 2002/06/28

12(1) 2005, c. 22, s. 225(j) 2005/04/01

12(2) 2005, c. 22, s. 225(j) 2005/04/01

12(3) 2005, c. 22, s. 224(w) 2005/04/01

33(1) replaced 2002, c. 8, s. 122 2003/07/02

50(1)(e.1) added 2000, c. 16 , s. 1(1) 2000/07/26

50(3.1) and (3.2) 2000, c. 16 , s. 1(2) 2000/07/26

50(3) 1998, c. 10, s. 163 1999/03/01

50(4) 1999, c. 31, s. 36 1999/06/17

51(2)(c) added 2000, c. 16 , s. 2 2000/07/26

55 2000, c. 15 , s. 1 2000/07/05

55(1) 2001, c. 27, s. 222 2002/06/28

56.1 to 56.7 added 2000, c. 15 , s. 2 2000/07/05

64(2) and (3) 2000, c. 15 , s. 3 2000/07/05

66 2000, c. 15 , s. 4 2000/07/05

67(3) 2000, c. 15 , s. 5 2000/07/05

67.1 and 67.2 added 2000, c. 15 , s. 6 2000/07/05

68 2000, c. 15 , s. 7 2000/07/05

85.1 added 2000, c. 15 , s. 7.1 2000/07/05

86(1)(h) 2000, c. 15 , s. 8 2000/07/05

93(2) 2000, c. 16 , s. 3 2000/07/26

heading before 104 1999, c. 31, s. 37 1999/06/17

104(1) 1999, c. 31, s. 38 1999/06/17

116(4)(d) and (e) added 2000, c. 16 , s. 4 2000/07/26

141(1) 2000, c. 16 , s. 5(1) 2000/07/26

141(3) 2000, c. 16 , s. 5(2) 2000/07/26

141(4) added 2000, c. 16 , s. 5(2) 2000/07/26

142 2000, c. 16 , s. 6 2000/07/26

144(3) to (5) 2000, c. 16 , s. 7 2000/07/26

144(6) and (7) added 2000, c. 16 , s. 7 2000/07/26

146.1 2000, c. 16 , s. 8 2000/07/26

147 2000, c. 16 , s. 9(1), 9(2) and 9(3) 2000/08/01

147 2005, c. 24, s. 3 2005/08/01

149 1996, c. 18, s. 41(a) 1996/06/20

149 to 152 2000, c. 16 , s. 10 2000/08/01

150.1 1996, c. 18, s. 41(b) 1996/06/20

150.2 1996, c. 18, s. 41(b) 1996/06/20

150.3 1996, c. 18, s. 41(b) 1996/06/20

150.4 1996, c. 18, s. 41(b) 1996/06/20

153 to 155 repealed 2000, c. 16 , s. 10 2000/08/01

157.1(2) 2005, c. 22, s. 224(w) 2005/04/01

161(1) 2000, c. 16 , s. 11(1) 2000/07/26

161(2)(a) 2000, c. 16 , s. 11(2) 2000/07/26

161(2)(b) repealed 2000, c. 16 , s. 11(2) 2000/07/26

161(2)(e) 2000, c. 16 , s. 11(3) 2000/07/26

161.1 added 2000, c. 16 , s. 12 2000/07/26

162(1) 2000, c. 16 , s. 13 2000/07/26

162.1 added 2000, c. 16 , s. 14 2000/07/26

164.1 added 2000, c. 16 , s. 15 2000/07/26

165(1) 2000, c. 16 , s. 16(1) 2000/07/26

165(2)(b) 2000, c. 16 , s. 16(2) 2000/07/26

165(5) 2000, c. 16 , s. 16(3) 2000/07/26

169(1) 2000, c. 16 , s. 17 2000/07/26

180(2), replaced 2001, c. 29, s. 52(1) 2003/06/30

180(2)(c), replaced 2001, c. 29, s. 52(2) 2003/06/30

200 1996, c. 10, s. 200 1997/07/01

Schedule I 2000, c. 16 , s. 18 2000/07/26

Schedules III and IV repealed 2000, c. 16 , s. 19 2000/07/26

Canada Shipping Act Oil Pollution Prevention Regulations

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