[Federal Register Volume 62, Number 46 (Monday, March 10, 1997)]
[Proposed Rules]
[Pages 10758-10781]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 97-5361]
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DEPARTMENT OF TRANSPORTATION
Office of the Secretary
14 CFR Parts 221, 250, 293
[Docket No. OST-97-2050; Notice No. 97-1]
RIN 2105-AC61
Exemption From Passenger Tariff-Filing Requirements in Certain
Instances
AGENCY: Office of International Aviation, Office of the Secretary, DOT.
ACTION: Notice of proposed rulemaking.
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SUMMARY: The Department proposes to exempt U.S. and foreign air
carriers from the statutory and regulatory duty to file with DOT
international passenger tariffs in certain instances, subject to the
reimposition of the duty in specific cases when consistent with the
public interest. In addition, the Department proposes to reissue a new
version of part 221 that eliminates most of the traditional paper
format and filing procedures set forth in the present version of 14 CFR
part 221. This proposal is made on the Department's initiative in order
to streamline government operations and eliminate unjustified
regulatory burdens.
DATES: Comments should be received no later than May 9, 1997. Since the
proposal eliminates various requirements and creates no additional
burdens, a final rule based on this proposal would be effective
immediately upon issuance. However, the cancellation of certain tariff
rules would take place 90 days after the date of effectiveness of the
notice provided in Sec. 293.10 of new part 293.
ADDRESSES: Five (5) copies of any comments should be sent to the
Documentary Services Division, C-55, U.S. Department of Transportation,
400
[[Page 10759]]
7th Street, SW, Washington, D.C. 20590-0002, and should refer to this
docket. Acknowledgment of comments require you to include a stamped,
self-addressed postcard that the Docket Clerk will time and date-stamp,
and return.
FOR FURTHER INFORMATION CONTACT: Mr. John H. Kiser or Mr. Keith A.
Shangraw, Office of the Secretary, Office of International Aviation, X-
43, Department of Transportation, at the address above. Telephone:
(202) 366-2435.
SUPPLEMENTARY INFORMATION:
Background
Section 41504 of Title 49 of the United States Code (the Code),
formerly section 403(a) of the Federal Aviation Act of 1958, as
amended, requires every U.S. and foreign air carrier to file with the
Department, and to keep open for public inspection, tariffs showing all
prices for ``foreign air transportation'' between points served by that
carrier, as well as all rules relating to that transportation to the
extent required by the Department. This includes passenger fares,
related charges and governing rules. 14 CFR part 221 establishes the
detailed tariff-filing rules and authority for approvals, rejections
and waivers. Once approved by the respective government aviation
authorities, if required under the relevant bilateral agreements and/or
the Code, these tariffs become legally binding terms in the contract of
carriage for international air transportation.
In his Regulatory Reinvention Initiative Memorandum of March 4,
1995, President Clinton directed Federal agencies to conduct a page-by-
page review of all of their regulations and to ``eliminate or revise
those that are outdated or otherwise in need of reform.'' In response
to that directive, the Department has undertaken a review of its
aviation economic regulations contained in 14 CFR Chapter II to
determine whether changes should be made to promote economic growth,
create jobs, or eliminate unnecessary costs or other burdens on the
economy. Among the regulations reviewed are those governing the filing
of tariffs by airlines for their foreign air transportation, set forth
in 14 CFR part 221.
In two recently completed rulemaking proceedings, the Department
has determined that the amount of tariff material filed by carriers
exceeds our regulatory requirements in certain respects, that
alternative methods exist for protecting consumers and other elements
of the public interest which are more effective than filed tariffs, and
that procedures should be developed to permit the electronic filing and
review of those tariffs which should continue to be filed. On November
30, 1995, the Department published a final rule exempting carriers from
their regulatory duty to file tariffs for the foreign air
transportation of cargo. On April 24, 1996, the Department published a
final rule establishing procedures for the electronic filing of
passenger rules tariffs.
In this, the third rulemaking proceeding involving the tariff
system undertaken as part of the President's directive, the Department
has tentatively determined that the filing of certain tariffs with the
Department for the foreign air transportation of passengers is no
longer necessary or appropriate, and it accordingly proposes to grant
another exemption to the tariff-filing requirement set forth in part
221. In addition, the Department has tentatively identified a
substantial number of provisions in part 221 that are redundant,
contain obsolete references, or are out-dated given present regulatory
practices and needs. Accordingly, the Department proposes a general
revision of part 221 to eliminate redundancies, excess verbiage and
obsolete provisions, to make necessary technical changes, and to
reorganize the subparts in a more logical order.
Regulation of Carrier Pricing
The Standard Foreign Fare Level (SFFL)
Section 41509 of the Code establishes a fare flexibility (or ``no
suspend'') zone centered on a Standard Foreign Fare Level (SFFL). The
SFFL is the fare(s) in effect on or after October 1, 1979 for the city-
pair in question, as adjusted for inflation.1/ Fare increases of
up to five percent above the SFFL, and fare decreases of up to 50
percent below the SFFL, may not be suspended on the grounds that the
resulting new fare levels are too low or too high, although suspension
is still possible even for fares within the zone on certain other
statutory grounds. Approval of fares outside the zone is subject to
Department discretion.
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\1\ The statute established all fares in effect as of October 1,
1979 as the SFFL base fares. Seasonal fares were to maintain the
same percent difference between seasons that prevailed in 1978. We
discuss the mechanics of the SFFL process in greater detail in
footnote 3, below.
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Premium and Promotional Fares
Although the law permits the Department to establish a separate
SFFL for each fare class or type, and to regulate fare levels outside
the zone for each class or type, the Department has generally permitted
carriers to set premium fares (first and business class) and discount
fares at the levels they wish. Market forces are usually sufficient to
ensure that these fares are reasonably priced without government
intervention. However, in cases where foreign government policies or
actions seriously degrade competitive forces, the Department may be
required to look more closely at premium and discount fare pricing in
the affected markets.
Normal Economy Fares
As opposed to premium and discount fares, where the Department
intervenes only rarely, it maintains regulatory supervision over normal
economy fares (NEF's).2 These fares are the lowest prices
available without restrictions. As such, they are the fares used by
travelers who must travel and cannot adjust their plans to comply with
the various conditions attached to discount fares. The Department
believes the public interest favors ensuring access to these fares at
reasonable levels, especially so in markets where competitive forces
are weak. The Department relies primarily on the SFFL regulatory
mechanism to achieve this.3
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\2\ By normal economy fares, we are referring to the lowest
point-to-point one-way fare available for on-demand service in each
market. These are sometimes also called ``restricted'' normal
economy fares, or, in markets where these are not available,
``unrestricted'' normal economy fares.
\3\ The SFFL mechanism consists of two parts. The first part is
comprised of the base fare level which represents the lowest
available normal economy fare filed by a direct service carrier in a
given city-pair market, and approved for effectiveness on October 1,
1979. For those markets without direct service on October 1, 1979,
the fare filed by a carrier instituting direct service becomes the
base level. The second part is the cost adjustment factor to be
applied to the base fare. This factor is derived from the latest
estimated total cost per available seat mile (ASM), divided by the
actual total costs per ASM at October 1, 1979, for each Form 41
reporting entity. The statute requires us to adjust the SFFL index
every two months for fuel cost changes, and every six months for
other cost changes. In practice, we have always made adjustments for
both fuel and non-fuel costs every two months. The base fares are
than multiplied by the appropriate SFFL index. The product is then
increased by the amount of upward flexibility for the market
concerned to produce the regulatory ceiling. Discretionary grants of
upward flexibility in excess of the statutory five percent have been
made for markets where sufficient competition has been found to
exist.
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Normal economy fare proposals in direct service markets at or below
the cost-based regulatory ceiling are automatically approved. Fare
proposals above the ceiling are subject to disapproval. However, we
generally approve NEF's above the ceilings in markets governed by
double-disapproval bilateral pricing articles.
Carriers are always free to present economic justification to
support
[[Page 10760]]
proposed fares that exceed SFFL ceilings. Typically, such case-by-case
justification follows a more traditional rate-of-return methodology
used in public utility regulation. Upon a sufficient showing of a need
for additional revenue and a determination that it is in the public
interest, we will permit normal economy fares to exceed the regulatory
ceilings.
Carrier Pricing--International Liberalization
The U.S. Government has actively pursued the liberalization of
international aviation markets, including the right of carriers to set
their prices based on managements discretion, free of regulatory
intervention. To this end it has concluded air transport agreements
containing ``double-disapproval'' pricing articles which effectively
deregulate passenger prices in certain markets. Under these double-
disapproval provisions, both governments must agree in order to
disapprove a fare. Since the first double-disapproval pricing articles
were signed in the late 1970's, cases where a Party has sought the
agreement of its bilateral partner to disapprove a fare have been
extremely rare. In these circumstances, we now question whether any
purpose is served in burdening U.S. and foreign carriers with
continuing to file passenger fares for approval in markets where
pricing has been effectively deregulated by government agreement, and
the evolution of competitive market forces.
We have already taken other actions to reduce the industry's costs
of complying with the Department's filing requirements. In December of
1989, we permitted carriers to file their official international
passenger fare tariffs electronically, relieving the industry and the
Department of the burden of producing, filing and processing thousands
of tariff pages each year. As indicated above, in November 1995, we
exempted carriers from filing international cargo tariffs, and in April
1996, we promulgated a final rule to permit the electronic filing of
international passenger service rules, in a further effort to reduce
the costs of compliance with tariff filing requirements.
Against this background, we tentatively believe the opportunity now
exists to reduce the tariff filing burden on both industry and the
government even further by eliminating superfluous and burdensome
tariff-filing requirements. Selectively exempting U.S. and foreign air
carriers from the statutory and regulatory duty to file international
passenger tariffs would appear to be the next logical step in the
continuing evolution of a policy where we rely on market forces rather
than continual government oversight to set prices for air
transportation. In many cases, tariffs continue to be filed in markets
where all prices have been effectively deregulated. In others, market
forces are usually sufficient to ensure that most fares are reasonably
priced without government intervention. Indeed, the continued filing of
passenger fares serves a meaningful regulatory purpose only in those
markets where foreign government policies or actions seriously hinder
competitive forces, or where we continue to supervise normal economy
fares.
A. The Scope of the New Tariff-Filing Requirement
Fares and Related Fare Rules
We propose to selectively exempt carriers from their statutory and
regulatory duty to file passenger tariffs, both for fares and for
related rules that apply to specific fares as follows:
Category A: Third and fourth-freedom carriers would not file any
tariffs for travel to and/or from countries where the United States has
air transport agreements in force that contain double-disapproval
pricing rules, under which agreement of both Parties is required to
disapprove an existing or a proposed price, and where the country's
government is honoring the provisions of the aviation agreement and
there are no significant bilateral problems. At the present time these
would include the following 31 countries:
Western Hemisphere: Aruba, Canada, Chile, Costa Rica, El Salvador,
Dominican Republic, Guatemala, Jamaica, Trinidad & Tobago.
Europe & Middle East: Austria, Belgium, Czech Republic, Denmark,
Finland, Germany, Iceland, Ireland, Israel, Jordan, Luxembourg,
Netherlands, Norway, Pakistan, Russia, Sweden, and Switzerland.
Pacific: Fiji, Korea, Malaysia, Singapore, Taiwan.
Category B: All third and fourth-freedom carriers must file tariffs
only for regulated normal economy fares applicable to travel to and/or
from countries without double-disapproval pricing rules, but where
carriers generally have unfettered discretion in pricing initiatives,
and where the United States has no outstanding, significant bilateral
aviation problems. In this instance, the Department's only regulatory
concern is the level of normal economy fares set under existing SFFL
legislation. Because carriers frequently make changes in levels, fare
codes and other provisions applicable to both ``restricted'' and
``unrestricted'' normal economy fares, we would require continued
filing of all one-way economy class fares in these markets. This
approach would appear to be the most practical administratively for
both the industry and the Department. This category would encompass all
countries not specifically listed in Categories A and C.
Category C: All carriers must file tariffs for all fare types
applicable to travel to/from various markets where pricing initiatives
have been frustrated in recent years and/or where the U.S. has other
serious bilateral problems and/or very restrictive agreements. These
would include Brazil, China, Ecuador, France (including overseas
dependencies), Hong Kong, India, Italy, Japan, Spain, and the United
Kingdom (including overseas dependencies), for a total of 10 markets.
Carriers offering fares on a fifth or sixth freedom basis in
Category A or Category B markets would not have to file any tariffs in
those markets unless they are nationals of restrictive countries
identified in Category C. We have tentatively decided to retain
existing filing requirements for carriers of restrictive countries in
order to prevent free-rider problems. As long as the market for air
transportation between the United States and such countries is
constrained by government interference with airline pricing
initiatives, highly restrictive entry and capacity regimes, or
significant, unresolved bilateral problems, it would not be appropriate
to permit their carriers to routinely take advantage of the liberal,
virtually deregulated pricing regime in Category A markets or the
liberal regime that exists for promotional and premium fares in
Category B markets. Although we allow all carriers, regardless of
nationality, to match fares offered by other carriers in the market
(subject to reciprocity), how we treat price leadership proposals by
carriers of restrictive countries is entirely a matter of our
discretion. For this reason we tentatively conclude that we have a
continuing need to supervise all fares of such carriers and would
retain existing tariff filing requirements for them.
Under the proposed rule in a new part 293, the Assistant Secretary
for Aviation and International Affairs would issue a notice specifying
the terms of the exemptions for markets in Category A (no fare filing)
and Category B (NEF filing only), and enumerating the countries
included in Category A and
[[Page 10761]]
Category C; countries not listed in Categories A or C would be assumed
to be in Category B. Under the rule, the Assistant Secretary would
consider the following factors in listing countries in each category:
(1) Whether the U.S. has an aviation agreement in force with that
country providing double-disapproval treatment of prices filed by the
carriers of the Parties; (2) Whether the country's government has
disapproved or deterred U.S. carrier price leadership or matching
tariff filings in any market; (3) Whether the country's government has
placed significant restrictions on carrier entry or capacity in any
market; and (4) Whether the country's government is honoring the
provisions of the bilateral aviation agreement and whether there are
any significant bilateral problems.4
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\4\ Our proposed exemption from tariff-filing requirements would
not affect our treatment of IATA agreements, which will continue to
be reviewed by the Department under existing procedures.
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After the initial determination, countries could be transferred
between categories by subsequent notice of the Assistant Secretary, by
petition, or on the Department's own initiative. For example, entry
into force of a double-disapproval bilateral agreement would warrant
placing a country into Category A (no fare filing); conversely, action
by a foreign government denying U.S. carrier pricing initiatives could
justify re-institution of full tariff filing requirements by placing
that market in Category C.
General Rules Relating to Conditions of Carriage: In addition to
fares and fare-specific rules, existing passenger tariffs also set
forth--usually in a separate ``general rules tariff'' --provisions
governing the general ``conditions of carriage'' of each passenger.
These rules include such general subjects as notice of terms of
contract of carriage; carrier liability and limitations thereof; refund
and claims procedures; refusal to carry; denied boarding procedures;
carriage of passengers with disabilities; and other matters of general
significance to consumers of international passenger air
transportation.
With the exception of carrier liability limits under the Warsaw
Convention, discussed below, we see little need or justification for
the continued filing of such material in official tariffs by any
carrier, regardless of the nature of the market. First, the Department
has regulations in place that directly govern carrier conduct in
certain of these areas, such as denied boarding and with respect to
U.S. carriers, transportation of passengers with disabilities. Second,
to the extent that passengers might have questions about the
application or interpretation of certain provisions, it is likely that
they would consult the carrier directly, rather than its tariffs. And
third, to the extent that tariffs might set forth certain material in
greater detail than travel documents, the Department already has an
alternate framework in place to permit its incorporation into a
contract of carriage with adequate notice to passengers. Under current
section 221.177, carriers may incorporate all material not actually
printed on the ticket or other travel document by reference, provided
that they make the full text of all such incorporated terms readily
available for public inspection, in either electronic or printed
medium, at each airport or other sales office of the carrier. This
procedure preempts any conflicting state laws establishing
incorporation-by-reference standards, as did 14 CFR part 253 in the
case of interstate passenger air transportation.
In the 14 years since the filing of domestic passenger tariffs was
discontinued, incorporation by reference has generally worked well to
protect consumers, and we adopted the same regime for international
cargo transportation in November 1995. We see no reason not to apply
the same approach to all foreign air transportation of passengers.
Unlike the prices charged to passengers, which reflect the differing
competitive conditions and regulatory regimes that vary among markets
and thus justify differing filing requirements, general rules tend to
be uniform across markets. We are not aware of particular conditions or
issues in any market where continuation of rules tariffs would be
superior to a notice regime. The graduated system of written notice and
right of immediate inspection for general terms, coupled with direct
notice and/or a right to an immediate explanation of certain more
important terms, constitutes a deliberate balance between ease of
contract formation and the importance of informed assent. Once given
actual notice that terms may be incorporated by reference, the customer
is under an obligation to inquire about them, and the carrier is under
an obligation to make the information available to an inquiring
customer.
For these reasons, we tentatively conclude that general rules
material setting forth general conditions of carriage should not be
filed in official tariffs by any carrier. We propose to cancel this
material by operation of law 90 days following the Assistant
Secretary's notice setting forth the country categories; the notice
will also include an initial description of general conditions of
carriage.5 Each governing rules tariff would be required to
contain a statement that rules therein containing general conditions of
carriage are not part of the official tariff. This process will provide
a transition period for the industry comparable to that we provided in
canceling cargo rules tariffs.6
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\5\ No new filings on applications to file tariffs covered by
the exception would be permitted after the date of effectiveness of
the notice.
\6\ We also propose to delete section 250.4 of 14 CFR Part 250
(Oversales), which requires carriers to file tariffs governing
denied-boarding compensation.
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We also propose to include provisions in new part 293 which will
expressly authorize carriers to incorporate any terms by reference into
their contracts for the carriage of passengers in foreign air
transportation upon compliance with all of the notice, inspection,
explanation and other requirements set forth in 14 CFR 221.107.
Completing the basic parallel to 14 CFR parts 253 and 292, we will also
expressly provide that passengers are not bound by terms incorporated
without compliance with these notice requirements, and that the notice
requirements are intended to preempt any conflicting State requirements
governing incorporation of contract terms by reference.
However, the Department has specific provisions governing public
notice of carrier limitations on passenger and baggage liability, as
well as regulations and orders perfecting a required waiver of the
passenger liability limits and certain defenses provided by the Warsaw
Convention.7 The latter contain tariff-filing requirements
independent of those set forth in part 221. In particular, 14 CFR part
203 requires all direct U.S. and foreign air carriers, except certain
``air taxis,'' to file with the Department a signed counterpart to the
Montreal Agreement, and section 203.4 further provides that each
carrier include the Agreement's terms as part of its conditions of
carriage and that it file and maintain a tariff containing such terms
with the Department. Although generally exempt from filing tariffs,
most air taxis are also subject to this special requirement. (See 14
CFR 298.11(b) and 298.21(c)(4).)
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\7\ Section 221.38(j) of current part 221 requires carriers to
state in their tariffs whether they avail themselves of the
limitation on liability to passengers as provided in Article 22(1)
of the Warsaw Convention or whether they have elected to agree to a
higher limit of liability through the tariff, and in either case
what the limit is. Sections 221.175 and 221.176 set forth
requirements for special notices of passenger and/or baggage
liability limitations to be provided at ticket offices and with
travel documents.
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For several reasons we do not propose to eliminate these special
tariff
[[Page 10762]]
requirements or to modify the current language on liability notices in
part 221. The passenger liability regime established by the Warsaw
Convention and subsequent agreements has been under active
reexamination by various governments and carrier organizations, and
certain carrier agreements to waive Warsaw provisions have been
approved pendente lite by the Department, subject to conditions, with
exemptions from our regulations and orders sufficient to permit their
implementation.8 Some changes to part 221 as well as other
regulations may become necessary, but it is premature to attempt to
resolve such issues here. Therefore, subject to the waiver-agreement
implementation exemption, the existing tariff-filing requirements, and
the special notice provisions of sections 221.175 and 221.176, would
remain in effect.9 By proposing to retain the existing
requirements, carriers are not precluded from retaining the passenger
liability tariffs as specified in orders of the Department. We
recognize, however, that the proposed elimination of other general
rules tariffs may necessitate some changes in filing format for any
continuing requirement. We are therefore proposing to delegate to the
Director, Office of International Aviation, the authority to approve
non-substantive format changes for the refiling or new filing of
authorized tariff provisions.
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\8\ See Orders 96-10-7 and 96-11-6 in Dockets OST-95-232 and
OST-96-1607.
\9\ There being no specific requirement that carriers file
baggage liability tariffs, such tariffs would no longer be filed, or
remain on file, under the general tariff rules exemption proposed
here. Carriers' tariffs merely restate the baggage liability
provisions of the Warsaw Convention and their printed conditions of
carriage, which apply to the extent they are consistent with the
Department's review of IATA agreements, and other relevant orders.
As in other areas, the absence of tariffs does not relieve carriers
of their obligations to conform their contracts of carriage and
related practices to the Department's regulations and orders. Should
exceptional circumstances arise in which tariff rules on the subject
would be appropriate, the Department retains the authority to
require them on an ad hoc basis.
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Other General Rules and Unpublished Fare Rules: In addition to
market-specific fares themselves, prices for international passenger
air transportation include a number of provisions filed in current
rules tariffs. These include free baggage allowances and excess baggage
charges, fare construction rules, surcharges for government-imposed
fees or extraordinary costs authorized by the Department, and various
``unpublished'' fares specified as a percentage of published
fares,10 or fares applicable in more than one market, such as
spouse, air/sea, special event and countrywide excursion fares.
Similarly, there are a number of ``general fare rules'' which, while
they are not prices themselves, are essential to our understanding of
the applicability of particular published prices as well as to our
evaluation of the differences among published prices. These include
definitions of important terms such as ``stopover,'' as well as
currency provisions, classes of service, and capacity limitations. We
tentatively believe that a regulatory need exists for the continued
filing of such ``price-defining'' terms and provisions.
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\10\ For example, child, youth and senior citizen discounts.
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We will continue to scrutinize such prices through the tariff
system to the same extent, and for the same reasons, as we review the
market-specific fares themselves. This means that we will continue to
require such unpublished fare rules and general fare rules to be filed
in Category C markets, and in Category B markets to the extent that
they have applicability to the benchmark normal economy fares filed in
the latter markets. At the same time, we recognize that these rules are
not market-specific. We believe that it would be an unnecessary burden
on carriers to require each such rule to carry a notation specifying
the markets and fares to which it applies. Instead, we propose to allow
such rules to continue to be included in rules tariffs subject to a
clear general disclaimer, published as part of each separate rules
tariff, that the rules contained therein apply only to the market-
specific fares that the Department requires to be filed as tariffs, or,
in the case of baggage and other ancillary charges, to the services
covered by such fares.11
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\11\ We propose to delegate to the Director, Office of
International Aviation, the authority to determine which rules are
covered by the general exemption from tariff filing of conditions of
carriage, and which rules continue to be subject to tariff filing in
Category B and C markets.
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B. The General Revision of Part 221
The Department has tentatively determined that many provisions in
part 221 are obsolete in terms of current regulatory practices and
needs, that an additional exemption to certain tariff-filing
requirements is warranted to reduce unnecessary burdens on government
and industry, and that technical and editorial changes to many other
provisions in part 221 are necessary to make them current.
The last general revision of part 221 was in 1965, over thirty
years ago, and the last editorial review was in 1985 to reflect both
the statutory elimination of domestic tariffs and the transfer of the
economic functions of the former Civil Aeronautics Board to the
Department.
Since that time, the Department has exempted carriers from cargo
tariff-filing requirements, and both the Department and the industry
have made significant progress toward the goal of replacing the
traditional system of filing, reviewing, and publishing paper tariffs
with a far more efficient electronic system. We are also proposing a
further exemption to tariff-filing requirements here, including, for
all carriers, the extensive category of tariffs relating to the
``conditions of carriage.''
While the industry has not completed its development of an
acceptable format for the electronic filing of certain general fare
rules and unpublished fare rules discussed in the previous section, we
tentatively find that the volume of residual paper filings for those
rules does not warrant retention of the detailed requirements of part
221, which was designed for a fully-regulated and exclusively paper
tariff system to meet the needs of a previous era.
General. The proposed revisions to part 221 are extensive,
involving at least a 50 percent reduction in the number of existing
provisions. In addition, a number of provisions are being consolidated
and rewritten, and the various subparts are being reorganized for
clarity. Because of the extent and number of changes being made, we
propose to reissue part 221 in its entirety.
Major Changes
1. To reflect the exemption from the requirement to file cargo
tariffs, current subpart F is deleted in its entirety, as well as all
other references to cargo rates and rules throughout part 221. Should
the Department find it necessary to reimpose a cargo tariff filing
requirement in specific circumstances, pursuant to the procedures
specified in 14 CFR part 292, the necessary filing procedures and
formats will be specified in the Department's order.
2. To the extent that passenger fares, charges and other prices
remain subject to the tariff-filing requirement, the proposed rule
would dictate that all such filings be made electronically. See
proposed section 221.30. Currently, only a few of the smaller carriers
still file prices in a paper format. Should a carrier or tariff agent
be able to demonstrate exceptional circumstances which require that it
continue to file in a paper format, the Department will consider
applications for a temporary waiver of the electronic filing
requirement on a case-by-case basis. Any necessary procedural and
format
[[Page 10763]]
requirements for authorized paper filings will be established as part
of the Department's authorization.
3. Filing procedures and requirements specifically relating to
contract of carriage provisions will be deleted, reflecting our
proposal to exempt carriers from the filing of such tariffs for the
foreign air transportation of passengers. As in the case of cargo,
should the Department reimpose a filing requirement with regard to any
passenger contract of carriage provisions pursuant to the procedures
set forth in the proposed new part 293, any necessary filing procedures
and formats would be specified in the Department's order.
4. To the extent that passenger fare rules (as opposed to passenger
prices that are required to be filed electronically) remain subject to
the tariff-filing requirement, section 221.31 provides that such rules
may be filed electronically, if approved electronic formats exist; or
alternatively, that they may be filed in a paper format, subject to the
simplified requirements set forth in other provisions of the proposed
rule.
5. Most of the detailed format and justification specifications
originally designed for paper tariffs and related filings, such as
those set forth in current Subpart U and to varying degrees in current
subparts C, D, H, L, M, R, S, and T, have been eliminated. Many such
specifications are obsolete because they pertain to tariff material no
longer required to be filed, while many others go into much more detail
than is necessary for current or proposed tariff filing needs.12
The Department does not intend that the elimination of current format
specifications will render material filed in such formats unacceptable
to the extent such material must still be filed. If carriers find it
economically advantageous to continue using the same formats, they may
do so. Or, they may propose other formats that meet the basic
requirements set forth in the simplified provisions of the proposed
rule.
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\12\ For example, we have eliminated the prescribed forms for
items such as tariff transmittal letters, special tariff permission
applications, concurrences, and powers of attorney, as well as the
detailed specifications for economic data and information supporting
tariff changes. In the latter case, although all tariff changes must
still be explained and supported by adequate information and/or
data, we have aligned the requirements of part 221 with actual
industry practice, and eliminated the disparate justification
requirements for U.S. and foreign carrier filings.
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6. The proposed rule retains the language of current sections
221.38(h) and (j), 221.175 and 221.176. These sections set forth
requirements for filing tariffs and posting special notices of
passenger and/or baggage liability limitations under the Warsaw
Convention and other U.S. law. As noted above, changes are in the
process of being made to the current passenger liability regime.
Moreover, the Department has, by order, granted carriers appropriate
exemptions to implement waivers of the Warsaw passenger liability
limits to the extent that the current provisions of part 221 and other
regulations might be construed to be inconsistent with the approved
changes.
Conclusion
This rule will not materially lessen the Department's ability to
intervene in passenger pricing matters should it be necessary.13
First, the review of IATA passenger fare agreements will continue.
Second, the Department has always had the statutory authority to take
action directly against unfiled passenger fares and rules under a
variety of circumstances.14 And third, the Department will reserve
the option under the proposed rule of revoking the exemption, and thus
of reinstating the tariff-filing obligation, with regard to a
particular carrier or carriers, or for specific markets, where
consistent with the public interest. This would make available to the
Department, upon short notice, the full panoply of tariff-filing
requirements and review procedures, although the Department would not
necessarily implement them all in any particular case.
---------------------------------------------------------------------------
\13\ As in other instances where we have exempted carriers from
routine tariff filing requirements, we will rely primarily upon
competitors and users to bring any problems to our attention.
\14\ See, for example, 49 U.S.C. sections 41712, 41507 and
41310.
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Regulatory Analyses and Notices
Executive Order 12866 and DOT Regulatory Policies and Procedures
The Department has determined that this proposed rule is not a
significant regulatory action under Executive Order 12866. However, the
proposed rule is significant under the Department's Regulatory Policies
and Procedures (44 CFR 11034; Feb. 26, 1979), because it will reduce
the paperwork and filing burden for all U.S. and foreign air carriers
submitting international passenger tariffs to the Department. The
Department anticipates that the proposal could save international
scheduled service passenger airlines as much as $3.23 million in
tariff-filing and preparation expenses, based on figures submitted to
OMB under the Paperwork Reduction Act for reinstatement of the part 221
information collection. The Department does not expect there to be any
additional costs associated with this rule.
Executive Order 12612
This proposal has been analyzed in accordance with the principles
and criteria contained in Executive Order 12612 (``Federalism''), and
the Department has determined the rule does not have sufficient
federalism implications to warrant the preparation of a Federalism
Assessment.
Regulatory Flexibility Act
I certify that this rule, if adopted, will not have a significant
economic impact on a substantial number of small entities, because the
tariff filing requirements apply to scheduled service air carriers. The
vast majority of the air carriers filing international (``foreign'')
air passenger tariffs are large operators with revenues in excess of
several million dollars each year. Small air carriers operating
aircraft with 60 seats or less and 18,000 pounds payload or less that
offer on-demand air-taxi service are not required to file such tariffs.
Paperwork Reduction Act
With respect to the Paperwork Reduction Act, the proposed reissue
of part 221 would eliminate any residual paper tariff format and filing
procedures and replace them with more efficient electronic filing
procedures. In addition, the proposed new part 293 would exempt
carriers from their statutory and regulatory duty to file international
passenger tariffs in certain specific markets, subject to reimposition
of this duty when required by the public interest. Thus, this rule will
significantly reduce the paperwork and filing burden on government and
industry, even though it does not totally eliminate information
collection requirements that require the approval of the Office of
Management and Budget pursuant to the Act. While not estimated, we
expect that costs of governmental review, filing and archiving of paper
tariff rule filings will be similarly reduced.
The reporting and recordkeeping requirement associated with this
rule are being submitted to OMB for approval in accordance with The
Paperwork Reduction Act of 1995 (Pub. L. 104-113) under OMB No. 2105,
formerly 2105-0009; Administration: Department of Transportation;
Title: Exemption from Passenger Tariff-Filing Requirements in Certain
Instances, and Mandatory Electronic Filing of Residual
[[Page 10764]]
Passenger Tariffs; Need For Information: Exempts carriers from their
statutory and regulatory duty to file international passenger tariffs
in certain specific markets, subject to reimposition of this duty when
required by the public interest; and eliminates residual paper tariff
format and filing procedures, replacing them with more efficient
electronic filing procedures; Proposed Use of Information: Exemption is
based on evolution in regulatory circumstances, while elimination of
residual paper tariff filing procedures is based on the need to extend
the efficiencies of electronic data transmission and processing to the
filing of all passenger tariffs; Frequency: An initial passenger tariff
rule filing is required of each respondent; changes are voluntary,
whenever an air carrier elects; Estimated Total Annual Burden Under
Proposal: 650,000 hours; Respondents: 230; Form(s) 13,340 electronic
filings or applications per annum; Average Burden Hours Per Respondent:
2,826 hours.
For further information on paperwork reduction contact: The
Information Requirements Division, M-34, Office of the Secretary of
Transportation, 400 Seventh Street, SW., Washington, DC 20590, (202)
366-4735 or DOT Desk Officer, Office of Management and Budget, New
Executive Office Building, Room 3228, Washington, DC 20503.
Regulation Identifier Number
A regulation identifier number (RIN) is assigned to each regulatory
action listed in the Unified Agenda of Federal Regulations. The
Regulatory Information Service Center publishes the Unified Agenda in
April and October of each year. The RIN number contained in the heading
of this document can be used to cross reference this action with the
Unified Agenda.
List of Subjects
14 CFR Part 221
Air fare, Agents, Reporting and recordkeeping requirements.
14 CFR Part 250
Oversales, Denied boarding.
14 CFR Part 293
Air transportation, Exemptions, Tariffs.
The proposed rule is being issued under the authority contained in
49 CFR 1.56(j)(2)(ii). For the reasons set forth herein, 14 CFR Chapter
II would be amended as follows:
1. Part 221 is revised.
PART 221--TARIFFS
Subpart A--General
Sec.
221.1 Applicability of this part.
221.2 Carrier's duty.
221.3 Definitions.
221.4 English language.
221.5 Unauthorized air transportation.
Subpart B--Who is Authorized to Issue and File Tariffs
221.10 Carrier.
221.11 Agent.
Subpart C--Specifications of Tariff Publications
221.20 Specifications applicable to tariff publications.
Subpart D--Manner of Filing Tariffs
221.30 Passenger fares and charges.
221.31 Rules and regulations governing passenger fares and
services.
Subpart E--Contents of Tariff
221.40 Specific requirements.
221.41 Routing.
Subpart F--Requirements Applicable to all Statements of Fares and
Charges
221.50 Currency.
221.51 Territorial application.
221.52 Airport to airport application, accessorial services.
221.53 Proportional fares.
221.54 Fares stated in percentages of other fares; other
relationships prohibited.
221.55 Conflicting or duplicating fares prohibited.
221.56 Applicable fare when no through local or joint fares.
Subpart G--Governing Tariffs
221.60 When reference to governing tariffs permitted.
221.61 Rules and regulations governing foreign air transportation.
221.62 Explosives and other dangerous or restricted articles.
221.63 Other types of governing tariffs.
Subpart H--Amendment of Tariffs
221.70 Who may amend tariffs.
221.71 Requirement of clarity and specificity.
221.72 Reinstating canceled or expired tariff provisions.
Subpart I--Suspension of Tariff Provisions by Department
221.80 Effect of suspension by Department.
221.81 Suspension supplement.
221.82 Reissue of matter continued in effect by suspension to be
canceled upon termination of suspension.
221.83 Tariff must be amended to make suspended matter effective.
221.84 Cancellation of suspended matter subsequent to date to which
suspended.
Subpart J--Filing Tariff Publications with Department
221.90 Required notice.
221.91 Delivering tariff publications to Department.
221.92 Number of copies required.
221.93 Concurrences or powers of attorney not previously filed to
accompany tariff transmittal.
221.94 Explanation and data supporting tariff changes and new
matter in tariffs.
Subpart K--Availability of Tariff Publications for Public Inspection
221.100 Public notice of tariff information.
221.101 Inspection at stations, offices, or locations other than
principal or general office.
221.102 Accessibility of tariffs to the public.
221.103 Notice of tariff terms.
221.105 Special notice of limited liability for death or injury
under the Warsaw Convention.
221.106 Notice of limited liability for baggage; alternative
consolidated notice of liability limitations.
221.107 Notice of contract terms.
221.108 Transmission of tariff filings to subscribers.
Subpart L--Rejection of Tariff Publications
221.110 Department's authority to reject.
221.111 Notification of rejection.
221.112 Rejected tariff is void and must not be used.
Subpart M--Special Tariff Permission to File on Less Than Statutory
Notice
221.120 Grounds for approving or denying Special Tariff Permission
applications.
221.121 How to prepare and file applications for Special Tariff
Permission.
221.122 Special Tariff Permission to be used in its entirety as
granted.
221.123 Re-use of Special Tariff Permission when tariff is
rejected.
Subpart N--Waiver of Tariff Regulations
221.130 Applications for waiver of tariff regulations.
221.131 Form of application for waivers.
Subpart O--Giving and Revoking Concurrences to Carriers
221.140 Method of giving concurrence.
221.141 Method of revoking concurrence.
221.142 Method of withdrawing portion of authority conferred by
concurrence.
Subpart P--Giving and Revoking Powers of Attorney to Agents
221.150 Method of giving power of attorney.
221.151 Method of revoking power of attorney.
221.152 Method of withdrawing portion of authority conferred by
power of attorney.
Subpart Q--Adoption Publications Required to Show Change in Carrier's
Name or Transfer of Operating Control
221.160 Adoption notice.
221.161 Notice of adoption to be filed in former carrier's tariffs.
221.162 Receiver shall file adoption notices.
221.163 Agents' and other carriers' tariffs shall reflect adoption.
221.164 Concurrences or powers of attorney to be reissued.
[[Page 10765]]
221.165 Cessation of operations without successor.
Subpart R--Electronically Filed Tariffs
221.170 Applicability of the subpart.
221.180 Requirements for electronic filing of tariffs.
221.190 Time for filing and computation of time periods.
221.195 Requirement for filing printed material.
221.200 Content and explanation of abbreviations, reference marks
and symbols.
221.201 Statement of filing with foreign governments to be shown in
air carrier's tariff filings.
221.202 The filing of tariffs and amendments to tariffs.
221.203 Unique rule numbers required.
221.204 Adoption of provisions of one carrier by another carrier.
221.205 Justification and explanation for certain fares.
221.206 Statement of fares.
221.210 Suspension of tariffs.
221.211 Cancellation of suspended matter.
221.212 Special tariff permission.
221.300 Discontinuation of electronic tariff system.
221.400 Filing of paper tariffs required.
221.500 Transmission of electronic tariffs to subscribers.
221.550 Copies of tariffs made from filer's printer(s) located in
Department's public reference room.
221.600 Actions under assigned authority and petitions for review
of staff action.
Authority: 49 U.S.C. 40101, 40109, 40113, 46101, 46102, Chapter
411, Chapter 413, Chapter 415 and Subchapter I of Chapter 417,
unless otherwise noted.
Subpart A--General
Sec. 221.1 Applicability of this part.
All tariffs and amendments to tariffs of air carriers and foreign
air carriers filed with the Department pursuant to chapter 415 of the
statute shall be constructed, published, filed, posted and kept open
for public inspection in accordance with the regulations in this part
and orders of the Department.
Sec. 221.2 Carrier's duty.
(a) Must file tariffs. Except as provided in paragraph (d) of this
section, every air carrier and every foreign air carrier shall file
with the Department, and provide and keep open to public inspection,
tariffs showing all fares, and charges for foreign air transportation
between points served by it, and between points served by it and points
served by any other air carrier or foreign air carrier, when through
service and through rates shall have been established, and showing to
the extent required by regulations and orders of the Department, all
classifications, rules, regulations, practices, and services in
connection with such foreign air transportation. Tariffs shall be
filed, and provided in such form and manner, and shall contain such
information as the Department shall by regulation or order prescribe.
Any tariff so filed which is not consistent with chapter 415 of the
statute and such regulations and orders may be rejected. Any tariff so
rejected shall be void, and may not be used.
(b) Must observe tariffs. No air carrier or foreign air carrier
shall charge or demand or collect or receive a greater or less or
different compensation for foreign air transportation or for any
service in connection therewith, than the fares and charges specified
in its currently effective tariffs; and no air carrier or foreign air
carrier shall, in any manner or by any device, directly or indirectly,
or through any agent or broker, or otherwise, refund or remit any
portion of the fares, or charges so specified, or extend to any person
any privileges or facilities, with respect to matters required by the
Department to be specified in such tariffs, except those specified in
such tariffs.
(c) No relief from violations. Nothing contained in this part shall
be construed as relieving any air carrier or foreign air carrier from
liability for violations of the statute, nor shall the filing of a
tariff, or amendment thereto, relieve any air carrier or foreign air
carrier from such violations or from violations of regulations issued
under the statute.
(d) Exemption authority. Air carriers and foreign air carriers,
both direct and indirect, are exempted from the requirement of section
41504 of the statute and any requirement of this chapter to file, and
shall not file with the Department, tariffs for operations under the
following provisions:
(1) Part 291, Domestic Cargo Transportation;
(2) Part 296, Indirect Air Transportation of Property;
(3) Part 297, Foreign Air Freight Forwarders and Foreign
Cooperative Shippers Association;
(4) Part 298, Exemption for Air Taxi Operations, except to the
extent noted in Sec. 298.11(b);
(5) Part 380, Public Charters;
(6) Part 207, Charter Trips and Special Services;
(7) Part 208, Terms, Conditions, and Limitations of Certificates to
Engage in Charter Air Transportation;
(8) Part 212, Charter Trips by Foreign Air Carriers;
(9) Part 292, International Cargo Transportation, except as
provided in part 292.
(10) Part 293 International Passenger Transportation, except as
provided in part 293.
Sec. 221.3 Definitions.
As used in this part, terms shall be defined as follows:
Add-on means an amount published for use only in combination with
other fares for the construction of through fares. It is also referred
to as ``proportional fare'' and ``arbitrary fare''.
Add-on tariff means a tariff which contains add-on fares.
Area No. 1 means all of the North and South American Continents and
the islands adjacent thereto; Greenland; Bermuda; the West Indies and
the islands of the Caribbean Sea; and the Hawaiian Islands (including
Midway and Palmyra).
Area No. 2 means all of Europe (including that part of the former
Union of the Soviet Socialist Republics in Europe) and the islands
adjacent thereto; Iceland; the Azores; all of Africa and the islands
adjacent thereto; Ascension Island; and that part of Asia lying west of
and including Iran.
Area No. 3 means all of Asia and the islands adjacent thereto
except that portion included in Area No. 2; all of the East Indies,
Australia, New Zealand, and the islands adjacent thereto; and the
islands of the Pacific Ocean except those included in Area No. 1.
Bundled Normal Economy Fare means the lowest one-way fare available
for unrestricted, on-demand service in any city-pair market.
Capacity controlled fare means a fare for which a carrier limits
the number of seats available for sale.
Carrier means an air carrier or foreign air carrier subject to
section 41504 of the Statute.
Charge means the amount charged for baggage, in excess of the free
allowance, accompanying or checked by a passenger or for any other
service ancillary to the passenger's carriage.
Conditions of carriage means those rules of general applicability
that define the rights and obligations of the carrier(s) and any other
party to the contract of carriage with respect to the transportation
services provided.
Contract of carriage means those fares, rules, and other provisions
applicable to the foreign air transportation of passengers or their
baggage, as defined in the statute.
CRT means a video display terminal that uses a cathode ray tube as
the image medium.
Department means the Department of Transportation.
Direct-service market means an international market where the
carrier
[[Page 10766]]
provides service either on a nonstop or single-flight-number basis,
including change-of-gauge.
Electronic tariff means an international passenger fares or rules
tariff or a special tariff permission application transmitted to the
Department by means of an electronic medium, and containing fares for
the transportation of persons and their baggage, and including such
associated data as arbitraries, footnotes, routings, and fare class
explanations.
Fare means the amount per passenger or group of persons stated in
the applicable tariff for the air transportation thereof and includes
baggage unless the context otherwise requires.
Field means a specific area of a record used for a particular
category of data.
Filer means an air carrier, foreign air carrier, or tariff
publishing agent of such a carrier filing tariffs on its behalf in
conformity with this subpart.
Item means a small subdivision of a tariff and identified by a
number, a letter, or other definite method for the purpose of
facilitating reference and amendment.
Joint fare means a fare that applies to transportation over the
joint lines or routes of two or more carriers and which is made and
published by arrangement or agreement between such carriers evidenced
by concurrence or power of attorney.
Joint tariff means a tariff that contains joint fares.
Local fare means a fare that applies to transportation over the
lines or routes of one carrier only.
Local tariff means a tariff that contains local fares.
Machine-Readable Data means encoded computer data, normally in a
binary format, which can be read electronically by another computer
with the requisite software without any human interpretation.
On-line Tariff Database means the remotely accessible, on-line
version, maintained by the filer, of (1) the electronically filed
tariff data submitted to the Department pursuant to this part and
Department orders, and (2) the Departmental approvals, disapprovals,
and other actions, as well as any Departmental notation concerning such
approvals, disapprovals, or other actions, that subpart R of this part
requires the filer to maintain in its database.
Original tariff refers to the tariff as it was originally filed
exclusive of any supplements, revised records or additional records.
Passenger means any person who purchases, or who contacts a ticket
office or travel agent for the purpose of purchasing, or considering
the purchase of, foreign air transportation.
Passenger tariff means a tariff containing fares, charges, or
governing provisions applicable to the foreign air transportation of
persons and their baggage.
Publish means to display tariff material in either electronic or
paper media.
Record means an electronic tariff data set that contains
information describing one (1) tariff price or charge, or information
describing one (1) related element associated with that tariff price or
charge.
SFFL means the Standard Foreign Fare Level as established by the
Department of Transportation under 49 U.S.C. 41509.
Statute means Subtitle VII of Title 49, United States Code.
Statutory Notice means the number of days required for tariff
filings in Sec. 221.160(a).
Tariff publication means a tariff, a supplement to a tariff, or an
original or revised record of a tariff, including an index of tariffs
and an adoption notice (Sec. 221.161).
Through fare means the total fare from point of origin to
destination. It may be a local fare, a joint fare, or combination of
separately established fares.
Ticket Office means a station, office or other location where
tickets are sold or similar documents are issued, that is under the
charge of a person employed exclusively by the carrier, or by it
jointly with another person.
Unbundled Normal Economy Fare means the lowest one-way fare
available for on-demand service in any city-pair market which is
restricted in some way, e.g., by limits set and/or charges imposed for
enroute stopovers or transfers, exclusive of capacity control.
United States means the several States, the District of Columbia,
and the several Territories and possessions of the United States,
including the Territorial waters and the overlying air space thereof.
Warsaw Convention means the Convention for the Unification of
Certain Rules Relating to International Transportation by Air, 49 Stat.
3000.
Sec. 221.4 English language.
All tariffs and other documents and material filed with the
Department pursuant to this part shall be in the English language.
Sec. 221.5 Unauthorized air transportation.
Tariff publications shall not contain fares or charges, or their
governing provisions, applicable to foreign air transportation which
the issuing or participating carriers are not authorized by the
Department to perform, except where the Department expressly requests
or authorizes tariff publications to be filed prior to the Department's
granting authority to perform the foreign air transportation covered by
such tariff publications. Any tariff publication filed pursuant to such
express request or authorization which is not consistent with chapter
415 and this part may be rejected; any tariff publication so rejected
shall be void.
Subpart B--Who is Authorized to Issue and File Tariffs
Sec. 221.10 Carrier.
(a) Local or joint tariffs. A carrier may issue and file, in its
own name, tariff publications which contain:
(1) Local fares of such carrier only, and provisions governing such
local fares, and/or
(2) Joint fares which apply jointly via such issuing carrier in
connection with other carriers (participating in the tariff
publications under authority of their concurrences given to the issuing
carrier as provided in ' 221.140) and provisions governing such joint
fares. Provisions for account of an individual participating carrier
may be published to govern such joint fares provided ' 221.40(a)(9) is
complied with. A carrier shall not issue and file tariff publications
containing local fares of other carriers, joint rates or fares in which
the issuing carrier does not participate, or provisions governing such
local or joint fares.
(3) Rules and regulations governing foreign air transportation to
the extent provided by this part and/or Department order. Rules and
regulations may be published in separate governing tariffs, as provided
in subpart G.
(b) Issuing officer. An officer or designated employee of the
issuing carrier shall be shown as the issuing officer of a tariff
publication issued by a carrier, and such issuing officer shall file
the tariff publication with the Department on behalf of the issuing
carrier and all carriers participating in the tariff publication.
Sec. 221.11 Agent.
An agent may issue and file, in his or its own name, tariff
publications naming local fares and/or joint fares, and provisions
governing such fares, and rules and regulations governing foreign air
transportation to the extent provided by this part and/or Department
order, for account of carriers participating in such tariff
publications, under authority
[[Page 10767]]
of their powers of attorney given to such issuing agent as provided in
' 221.150. The issuing agent shall file such tariff publications with
the Department on behalf of all carriers participating therein. Only
one issuing agent may act in issuing and filing each such tariff
publication.
Subpart C--Specifications of Tariff Publications
Sec. 221.20 Specifications applicable to tariff publications.
(a) Numerical order. All items in a tariff shall be arranged in
numerical or alphabetical order. Each item shall bear a separate item
designation and the same designation shall not be assigned to more than
one item.
(b) Carrier's name. Wherever the name of a carrier appears in a
tariff publication, such name shall be shown in full exactly as it
appears in the carrier's certificate of public convenience and
necessity, foreign air carrier permit, letter of registration, or
whatever other form of operating authority of the Department to engage
in air transportation is held by the carrier, or such other name which
has specifically been authorized by order of the Department. A
carrier's name may be abbreviated, provided the abbreviation is
explained in the tariff.
(c) Agent's name and title. Wherever the name of an agent appears
in tariff publications, such name shall be shown in full exactly as it
appears in the powers of attorney given to such agent by the
participating carriers and the title ``Agent'' or ``Alternate Agent''
(as the case may be) shall be shown immediately in connection with the
name.
(d) Statement of prices. All fares and charges shall be clearly and
explicitly stated and shall be arranged in a simple and systematic
manner. Complicated plans and ambiguous or indefinite terms shall not
be used. So far as practicable, the fares and charges shall be
subdivided into items or similar units, and an identifying number shall
be assigned to each item or unit to facilitate reference thereto.
(e) Statement of rules. The rules and regulations of each tariff
shall be clear, explicit and definite, and except as otherwise provided
in this part, shall contain:
(1) Such explanatory statements regarding the fares, charges, rules
or other provisions contained in the tariff as may be necessary to
remove all doubt as to their application.
(2) All of the terms, conditions, or other provisions which affect
the fares or charges for air transportation named in the tariff.
(3) All provisions and charges which in any way increase or
decrease the amount to be paid by any passenger, or which in any way
increase or decrease the value of the services rendered to the
passenger.
(f) Separate rules tariff. If desired, rules and regulations may be
published in separate governing tariffs to the extent authorized and in
the manner required by subpart G.
(g) Rules of limited application. A rule affecting only a
particular fare or other provision in the tariff shall be specifically
referred to in connection with such fare or other provision, and such
rule shall indicate that it is applicable only in connection with such
fare or other provision. Such rule shall not be published in a separate
governing rules tariff.
(h) Conflicting or duplicating rules prohibited. The publication of
rules or regulations which duplicate or conflict with other rules or
regulations published in the same or any other tariff for account of
the same carrier or carriers and applicable to or in connection with
the same transportation is prohibited.
(i) Each tariff shall include:
(1) A prominent D.O.T. or other number identifying the tariff in
the sequence of tariffs published by the carrier or issuing agent;
(2) The name of the issuing carrier or agent;
(3) The cancellation of any tariffs superseded by the tariff;
(4) A description of the tariff contents, including geographic
coverage;
(5) Identification by number of any governing tariffs;
(6) The date on which the tariff is issued;
(7) The date on which the tariff provisions will become effective;
and
(8) the expiration date, if applicable to the entire tariff.
Subpart D--Manner of Filing Tariffs
Sec. 221.30 Passenger fares and charges.
(a) Fares tariffs, including associated data, shall be filed
electronically in conformity with subpart R. Associated data includes
arbitraries, footnotes, routing numbers and fare class explanations.
See Sec. 221.202(b)(8).
(b) Upon application by a carrier, the Department's Office of
International Aviation shall have the authority to waive the electronic
filing requirement in this paragraph and in subpart R in whole or in
part, for a period up to one year, and to permit, under such terms and
conditions as may be necessary to carry out the purposes of this part,
the applicant carrier to file fare tariffs in a paper format. Such
waivers shall only be considered where electronic filing, compared to
paper filing, is impractical and will produce a significant economic
hardship for the carrier due to the limited nature of the carrier's
operations subject to the requirements of this part, or other unusual
circumstances. Paper filings pursuant to this paragraph shall normally
conform to the requirements of Sec. 221.195 and other applicable
requirements of this part.
Sec. 221.31 Rules and regulations governing passenger fares and
services.
(a) Tariff rules and regulations governing passenger fares and
services other than those subject to Sec. 221.30 may be filed
electronically in conformity with subpart R. Such filings shall conform
to criteria approved by the Department's Office of International
Aviation as provided in Sec. 221.180 and shall contain at a minimum the
information required by Sec. 221.202(b)(9).
(b) Applications for special tariff permission may be filed
electronically, as provided in Sec. 221.212.
(c) Tariff publications and applications for special tariff
permission covered by paragraphs (a) and (b) of this section may be
filed in a paper format, subject to the requirements of this part and
Department orders.
Subpart E--Contents of Tariff
Sec. 221.40 Specific requirements.
(a) In addition to the general requirements in Sec. 221.20, the
rules and regulations of each tariff shall contain:
(1) Aircraft and seating. For individually ticketed passenger
service, the name of each type of aircraft used in rendering such
service by manufacturer model designation and a description of the
seating configuration (or configurations if there are variations) of
each type of aircraft. Where fares are provided for different classes
or types of passenger service (that is, first class, coach, day coach,
night coach, tourist, economy or whatever other class or type of
service is provided under the tariff), the tariff shall specify the
type of aircraft and the seating configuration used on such aircraft
for each class or type of passenger service. When two or more classes
or types of passenger service are performed in a single aircraft, the
seating configuration for each type or class shall be stated and
described.
(2) Rule numbers. Each rule or regulation shall have a separate
designation. The same designation shall not be assigned to more than
one rule in the tariff.
[[Page 10768]]
(3) Penalties. Where a rule provides a charge in the nature of a
penalty, the rule shall state the exact conditions under which such
charge will be imposed.
(4) Vague or indefinite provisions. Rules and regulations shall not
contain indefinite statements to the effect that traffic of any nature
will be ``taken only by special arrangements'', or that services will
be performed or penalties imposed ``at carrier's option'', or that the
carrier ``reserves the right'' to act or to refrain from acting in a
specified manner, or other provisions of like import; instead, the
rules shall state definitely what the carrier will or will not do under
the exact conditions stated in the rules.
(5) Personal liability rules. Except as provided in this part, no
provision of the Department's regulations issued under this part or
elsewhere shall be construed to require the filing of any tariff rules
stating any limitation on, or condition relating to, the carrier's
liability for personal injury or death. No subsequent regulation issued
by the Department shall be construed to supersede or modify this rule
of construction except to the extent that such regulation shall do so
in express terms.
(6) Notice of limitation of liability for death or injury under the
Warsaw Convention. Notwithstanding the provisions of paragraph (a)(5)
of this section, each air carrier and foreign air carrier shall publish
in its tariffs a provision stating whether it avails itself of the
limitation on liability to passengers as provided in Article 22(1) of
the Warsaw Convention or whether it has elected to agree to a higher
limit of liability by a tariff provision. Unless the carrier elects to
assume unlimited liability, its tariffs shall contain a statement as to
the applicability and effect of the Warsaw Convention, including the
amount of the liability limit in dollars. Where applicable, a statement
advising passengers of the amount of any higher limit of liability
assumed by the carrier shall be added.
(7) Extension of credit. Air carriers and foreign air carriers
shall not file tariffs that set forth charges, rules, regulations, or
practices relating to the extension of credit for payment of charges
applicable to air transportation.
(8) Individual carrier provisions governing joint fares. Provisions
governing joint fares may be published for account of an individual
carrier participating in such joint fares provided that the tariff
clearly indicates how such individual carrier's provisions apply to the
through transportation over the applicable joint routes comprised of
such carrier and other carriers who either do not maintain such
provisions or who maintain different provisions on the same subject
matter.
(9) Passenger property which cannot lawfully be carried in the
aircraft cabin. Each air carrier shall set forth in its tariffs
governing the transportation of persons, including passengers' baggage,
charges, rules, and regulations providing that such air carrier
receiving as baggage any property of a person traveling in air
transportation, which property cannot lawfully be carried by such
person in the aircraft cabin by reason of any Federal law or
regulation, shall assume liability to such person, at a reasonable
charge and subject to reasonable terms and conditions, within the
amount declared to the air carrier by such person, for the full actual
loss or damage to such property caused by such air carrier.
(b) [Reserved]
Sec. 221.41 Routing.
(a) Required routing. The route or routes over which each fare
applies shall be stated in the tariff in such manner that the following
information can be definitely ascertained from the tariff:
(1) The carrier or carriers performing the transportation,
(2) The point or points of interchange between carriers if the
route is a joint route (via two or more carriers),
(3) The intermediate points served on the carrier's or carriers'
routes applicable between the origin and destination of the fare and
the order in which such intermediate points are served.
(b) Individually stated routings--Method of publication. The
routing required by paragraph (a) of this section shall be shown
directly in connection with each fare or charge for transportation, or
in a routing portion of the tariff (following the fare portion of the
tariff), or in a governing routing tariff. When shown in the routing
portion of the tariff or in a governing routing tariff, the fare from
each point of origin to each point of destination shall bear a routing
number and the corresponding routing numbers with their respective
explanations of the applicable routings shall be arranged in numerical
order in the routing portion of the tariff or in the governing routing
tariff.
Subpart F--Requirements Applicable to All Statements of Fares and
Charges
Sec. 221.50 Currency.
(a) Statement in United States currency required. All fares and
charges shall be stated in cents or dollars of the United States except
as provided in paragraph (b) of this section.
(b) Statements in both United States and foreign currencies
permitted. Fares and charges applying between points in the United
States, on the one hand, and points in foreign countries, on the other
hand, or applying between points in foreign countries, may also be
stated in the currencies of foreign countries in addition to being
stated in United States currency as required by paragraph (a) of this
section: Provided, that:
(1) The fares and charges stated in currencies of countries other
than the United States are substantially equivalent in value to the
respective fares and charges stated in cents or dollars of the United
States.
(2) Each record containing fares and charges shall clearly indicate
the respective currencies in which the fares and charges thereon are
stated, and
(3) The fares and charges stated in cents or dollars of the United
States are published separately from those stated in currencies of
other countries. This shall be done in a systematic manner and the
fares and charges in the respective currencies shall be published in
separate records.
Sec. 221.51 Territorial application.
(a) Specific points of origin and destination. Except as otherwise
provided in this part, the specific points of origin and destination
from and to which the fares apply shall be specifically named directly
in connection with the respective fares.
(b) Directional application. A tariff shall specifically indicate
directly in connection with the fares therein whether they apply
``from'' and ``to'' or ``between'' the points named. Where the fares
apply in one direction, the terms ``From'' and ``To'' shall be shown in
connection with the point of origin and point of destination,
respectively, and, where the fares apply in both directions between the
points, the terms ``Between'' and ``And'' shall be shown in connection
with the respective points.
Sec. 221.52 Airport to airport application, accessorial services.
Tariffs shall specify whether or not the fares therein include
services in addition to airport-to-airport transportation.
Sec. 221.53 Proportional fares.
(a) Definite application. Add-on fares shall be specifically
designated as ``add-on'' fares on each page where they appear.
(b) A tariff may provide that fares from (or to) particular points
shall be
[[Page 10769]]
determined by the addition of add-ons to, or the deduction of add-ons
from, fares therein which apply from (or to) a base point. Provisions
for the addition or deduction of such add-ons shall be shown either
directly in connection with the fare applying to or from the base point
or in a separate provision which shall specifically name the base
point. The tariff shall clearly and definitely state the manner in
which such add-ons shall be applied.
(c) Restrictions upon beyond points or connecting carriers. If an
add-on fare is intended for use only on traffic originating at and/or
destined to particular beyond points or is to apply only in connection
with particular connecting carriers, such application shall be clearly
and explicitly stated directly in connection with such add-on fare.
Sec. 221.54 Fares stated in percentages of other fares; other
relationships prohibited.
(a) Fares for foreign air transportation of persons or property
shall not be stated in the form of percentages, multiples, fractions,
or other relationships to other fares except to the extent authorized
in paragraphs (b), (c), and (d) of this section with respect to
passenger fares and baggage charges.
(b) A basis of fares for refund purposes may be stated, by rule, in
the form of percentages of other fares.
(c) Transportation rates for the portion of passengers' baggage in
excess of the baggage allowance under the applicable fares may be
stated, by rule, as percentages of fares.
(d) Children's, infants' and senior citizen's fares, may be stated,
by rule, as percentages of other fares published specifically in
dollars and cents (hereinafter referred to as base fares): Provided,
that:
(1) Fares stated as percentages of base fares shall apply from and
to the same points, via the same routes, and for the same class of
service and same type of aircraft to which the applicable base fares
apply, and shall apply to all such base fares in a fares tariff.
(2) Fares shall not be stated as percentages of base fares for the
purpose of establishing fares applying from and to points, or via
routes, or on types of aircraft, or for classes of service different
from the points, routes, types of aircraft, or classes of service to
which the base fares are applicable.
Sec. 221.55 Conflicting or duplicating fares prohibited.
The publication of fares or charges of a carrier which duplicate or
conflict with the fares of the same carrier published in the same or
any other tariff for application over the same route or routes is
hereby prohibited.
Sec. 221.56 Applicable fare when no through local or joint fares.
Lowest combination fare applicable. Where no applicable local or
joint fare is provided from point of origin to point of destination
over the route of movement, whichever combination of applicable fares
provided over the route of movement produces the lowest charge shall be
applicable, except that a carrier may provide explicitly that a fare
cannot be used in any combination or in a combination on particular
traffic or under specified conditions, provided another combination is
available.
Subpart G--Governing Tariffs
Sec. 221.60 When reference to governing tariffs permitted.
(a) Reference to other tariffs prohibited except as authorized. A
tariff shall not refer to nor provide that it is governed by any other
tariff, document, or publication, or any part thereof, except as
specifically authorized by this part.
(b) Reference by fare tariff to governing tariffs. A fare tariff
may be made subject to a governing tariff or governing tariffs
authorized by this subpart: Provided, that reference to such governing
tariffs is published in the fare tariff in the manner required by
Sec. 221.20(h).
(c) Participation in governing tariffs. A fare tariff may refer to
a separate governing tariff authorized by this subpart only when all
carriers participating in such fare tariff are also shown as
participating carriers in the governing tariff: Provided, that:
(1) If such reference to a separate governing tariff does not apply
for account of all participating carriers and is restricted to apply
only in connection with local or joint fares applying over routes
consisting of only particular carriers, only the carriers for whom such
reference is published are required to be shown as participating
carriers in the governing tariff to which such qualified reference is
made.
(2) [Reserved].
(d) Maximum number of governing tariffs. A single fare tariff shall
not make reference to conflicting governing tariffs.
Sec. 221.61 Rules and regulations governing foreign air
transportation.
Instead of being included in the fares tariffs, the rules and
regulations governing foreign air transportation required to be filed
by Secs. 221.20 and 221.30 and/or Department order which do not govern
the applicability of particular fares may be filed in separate
governing tariffs, conforming to this subpart. Governing rules tariffs
shall contain an index of rules.
Sec. 221.62 Explosives and other dangerous or restricted articles.
Carriers may publish rules and regulations governing the
transportation of explosives and other dangerous or restricted articles
in separate governing tariffs, conforming to this subpart, instead of
being included in the fares tariffs or in the governing rules tariff
authorized by Sec. 221.61. This separate governing tariff shall contain
no other rules or governing provisions.
Sec. 221.63 Other types of governing tariffs.
Subject to approval of the Department, carriers may publish other
types of governing tariffs not specified in this subpart, such as
routing guides.
Subpart H--Amendment of Tariffs
Sec. 221.70 Who may amend tariffs.
A tariff shall be amended only by the carrier or agent who issued
the tariff (except as otherwise authorized in subparts P and Q).
Sec. 221.71 Requirement of clarity and specificity.
Amendments to tariffs shall identify with specificity and clarity
the material being amended and the changes being made. Amendments to
paper tariffs shall be accomplished by reissuing each page upon which a
change occurs with the change made and identified by uniform amendment
symbols. Each revised page shall identify and cancel the previously
effective page, show the effective date of the previous page, and show
the intended effective date of the revised page. Amendments in
electronic format shall conform to the requirements of Sec. 221.202 and
other applicable provisions of subpart R.
Sec. 221.72 Reinstating canceled or expired tariff provisions.
Any fares, rules, or other tariff provisions which have been
canceled or which have expired may be reinstated only by republishing
such provisions and posting and filing the tariff publications
(containing such republished provisions) on lawful notice in the form
and manner required by this part.
Subpart I--Suspension of Tariff Provisions by Department
Sec. 221.80 Effect of suspension by Department.
(a) Suspended matter not to be used. A fare, charge, or other
tariff provision which is suspended by the Department, under authority
of chapter 415 of the
[[Page 10770]]
statute, shall not be used during the period of suspension specified by
the Department's order.
(b) Suspended matter not to be changed. A fare, charge, or other
tariff provision which is suspended by the Department shall not be
changed in any respect or withdrawn or the effective date thereof
further deferred except by authority of an order or special tariff
permission of the Department.
(c) Suspension continues former matter in effect. If a tariff
publication containing matter suspended by the Department directs the
cancellation of a tariff or any portion thereof, which contains fares,
charges, or other tariff provisions sought to be amended by the
suspended matter, such cancellation is automatically suspended for the
same period insofar as it purports to cancel any tariff provisions
sought to be amended by the suspended matter.
(d) Matter continued in effect not to be changed. A fare, charge,
or other tariff provision which is continued in effect as a result of a
suspension by the Department shall not be changed during the period of
suspension unless the change is authorized by order or special tariff
permission of the Department, except that such matter may be reissued
without change during the period of suspension.
Sec. 221.81 Suspension supplement.
(a) Suspension supplement. Upon receipt of an order of the
Department suspending any tariff publication in part or in its
entirety, the carrier or agent who issued such tariff publication shall
immediately issue and file with the Department a consecutively numbered
supplement for the purpose of announcing such suspension.
(b) The suspension supplement shall not contain an effective date
and it shall contain the suspension notice required by paragraph (c) of
this section.
(c) Suspension notice. The suspension supplement shall contain a
prominent notice of suspension which shall:
(1) Indicate what particular fares, charges, or other tariff
provisions are under suspension,
(2) State the date to which such tariff matter is suspended,
(3) State the Department's docket number and order number which
suspended such tariff matter, and
(4) Give specific reference to the tariffs (specifying their D.O.T.
or other identifying numbers), original or revised records and
paragraphs or provisions which contain the fares, charges, or other
tariff provisions continued in effect.
Sec. 221.82 Reissue of matter continued in effect by suspension to be
canceled upon termination of suspension.
When tariff provisions continued in effect by a suspension are
reissued during the period of such suspension, the termination of the
suspension and the coming into effect of the suspended matter will not
accomplish the cancellation of such reissued matter. In such
circumstances, prompt action shall be taken by the issuing agent or
carrier to cancel such reissued provisions upon the termination of the
suspension in order that they will not conflict with the provisions
formerly under suspension.
Sec. 221.83 Tariff must be amended to make suspended matter effective.
(a) When the Department vacates an order which suspended certain
tariff matter in full or in part, such matter will not become effective
until the termination of the suspension period unless the issuing agent
or carrier amends the pertinent tariffs in the manner prescribed in
this subpart (except as provided in paragraph (b) of this section).
(b) If the Department vacates its suspension order prior to the
original published effective date of the tariff provisions whose
suspension is vacated, such provisions will become effective on their
published effective date.
Sec. 221.84 Cancellation of suspended matter subsequent to date to
which suspended.
(a) Endeavor to cancel prior to expiration of suspension period.
When an order of the Department requires the cancellation of tariff
provisions which were suspended by the Department and such cancellation
is required to be made effective on or before a date which is after the
date to which such tariff provisions were suspended, the issuing
carrier or agent shall, if possible, make the cancellation effective
prior to the date to which such tariff provisions were suspended.
(b) When necessary to republish matter continued in effect by
suspension. If suspended tariff provisions become effective upon
expiration of their suspension period and thereby accomplish the
cancellation of the tariff provisions continued in effect by the
suspension, the issuing agent or carrier shall republish and
reestablish such canceled tariff provisions effective simultaneously
with the cancellation of the suspended provisions in compliance with
the Department's order. The tariff amendments which reestablish such
canceled tariff provisions shall bear reference to this subpart and the
Department's order.
Subpart J--Filing Tariff Publications With Department
Sec. 221.90 Required notice.
(a) Statutory notice required. Unless otherwise authorized by the
Department or specified in a bilateral agreement between the United
States and a foreign country, all tariff filings shall be made on the
following schedule, whether or not they effect any changes:
(1) At least 30 days before they are to become effective, for
tariffs stating a passenger fare within the zone created by section
41509(e) of the statute or stating a rule that affects only such a
fare;
(2) At least 25 days before they are to become effective, for
matching tariffs that are to become effective on the same date as the
tariff to be matched and that meet competition as described in
Sec. 221.94(c)(1)(v); and
(3) At least 60 days before they are to become effective, for all
other tariffs.
(b) Computing number of days' notice. A tariff publication shall be
deemed to be filed only upon its actual receipt by the Department, and
the first day of any required period of notice shall be the day of
actual receipt by the Department.
(c) Issued date. All tariff publications must be received by the
Department on or before the designated issued date.
Sec. 221.91 Delivering tariff publications to Department.
Tariff publications will be received for filing only by delivery
thereof to the Department electronically, through normal mail channels,
or by delivery thereof during established business hours directly to
that office of the Department charged with the responsibility of
processing tariffs. No tariff publication will be accepted by the
Department unless it is delivered free from all charges, including
claims for postage.
Sec. 221.92 Number of copies required.
Two copies of each paper tariff, tariff revision and adoption
notice to be filed shall be sent to the Office of International
Aviation, Department of Transportation, Washington, DC 20428. All such
copies shall be included in one package and shall be accompanied by a
letter of tariff transmittal.
Sec. 221.93 Concurrences or powers of attorney not previously filed to
accompany tariff transmittal.
When a tariff is filed on behalf of a carrier participating therein
under authority of its concurrence or power of attorney, such
concurrence or power of attorney shall, if not previously filed with
the Department, be transmitted at
[[Page 10771]]
the same time such tariff is submitted for filing.
Sec. 221.94 Explanation and data supporting tariff changes and new
matter in tariffs.
When a tariff is filed with the Department which contains new or
changed local or joint fares or charges for foreign air transportation,
or new or changed classifications, rules, regulations, or practices
affecting such fares or charges, or the value of the service
thereunder, the issuing air carrier, foreign air carrier, or agent
shall submit with the filing of such tariff:
(a) An explanation of the new or changed matter and the reasons for
the filing, including (if applicable) the basis of rate making
employed. Where a tariff is filed pursuant to an intercarrier agreement
approved by the Department, the explanation shall identify such
agreement by DOT Docket number, DOT order of approval number, IATA
resolution number, or if none is designated, then by other definite
identification. Where a tariff is filed on behalf of a foreign air
carrier pursuant to a Government order, a copy of such order shall be
submitted with the tariff.
(b) Appropriate Economic data and/or information in support of the
new or changed matter.
(c) Exceptions: (1) The requirement for data and/or information in
paragraph (b) of this section will not apply to tariff publications
containing new or changed matter which are filed:
(i) In response to Department orders or specific policy
pronouncements of the Department directly related to such new or
changed matter;
(ii) Pursuant to an intercarrier agreement approved by the
Department setting forth the fares, charges (or specific formulas
therefor) or other matter: Provided that the changes are submitted with
the number of the DOT order of approval and fully comply with any
conditions set forth in that order;
(iii) To the extent fares for scheduled passenger service are
within a statutory or Department-established zone of fare flexibility;
and
(iv) To meet competition: Provided, that
(A) Changed matter will be deemed to have been filed to meet
competition only when it effects decreases in fares or charges and/or
increases the value of service so that the level of the fares or
charges and the services provided will be substantially similar to the
level of fares or charges and the services of a competing carrier or
carriers.
(B) New matter will be deemed to have been filed to meet
competition only when it establishes or affects a fare or charge and a
service which will be substantially similar to the fares or charges and
the services of a competing carrier or carriers.
(C) When new or changed matter is filed to meet competition over a
portion of the filing air carrier's system and is simultaneously made
applicable to the balance of the system, such matter, insofar as it
applies over the balance of the system, will be deemed to be within the
exception in this paragraph (c)(1)(iv) of this section only if such
carrier submits an explanation as to the necessity of maintaining
uniformity over its entire system with respect to such new or changed
matter.
(D) In any case where new or changed matter is filed to meet
competition, the filing carrier or agent must supply, as part of the
filing justification, the complete tariff references which will serve
to identify the competing tariff matter which the tariff purports to
meet. In such case the justification or attachment shall state whether
the new or changed matter is identical to the competing tariff matter
which it purports to meet or whether it approximates the competing
tariff matter. If the new or changed matter is not identical, the
transmittal letter or attachment shall contain a statement explaining,
in reasonable detail, the basis for concluding that the tariff
publication being filed is substantially similar to the competing
tariff matter.
(2) [Reserved].
Subpart K--Availability of Tariff Publications for Public
Inspection
Sec. 221.100 Public notice of tariff information.
Carriers must make tariff information available to the general
public, and in so doing must comply with either:
(a) Sections 221.101, 221.102, 221.103, 221.104, 221.105, and
221.106, or
(b) Sections 221.105, 221.106 and 221.107 of this subpart.
Sec. 221.101 Inspection at stations, offices, or locations other than
principal or general office.
(a) Each carrier shall make available for public inspection at each
of its stations, offices, or other locations at which tickets for
passenger transportation are sold and which is in charge of a person
employed exclusively by the carrier, or by it jointly with another
person, all tariffs applicable to passenger traffic from or to the
point where such station, office, or location is situated, including
tariffs covering any terminal services, charges, or practices
whatsoever, which apply to passenger traffic from or to such point.
(b) A carrier will be deemed to have complied with the requirement
that it ``post'' tariffs, if it maintains at each station, office, or
location a file in complete form of all tariffs required to be posted;
and in the case of tariffs involving passenger fares, rules, charges or
practices, notice to the passenger as required in Sec. 221.105.
(c) Tariffs shall be posted by each carrier party thereto no later
than the filed date designated thereon except that in the case of
carrier stations, offices or locations situated outside the United
States, its territories and possessions, the time shall be not later
than five days after the filed date, and except that a tariff which the
Department has authorized to be filed on shorter notice shall be posted
by the carrier on like notice as authorized for filing.
Sec. 221.102 Accessibility of tariffs to the public.
Each file of tariffs shall be kept in complete and accessible form.
Employees of the carrier shall be required to give any desired
information contained in such tariffs, to lend assistance to seekers of
information therefrom, and to afford inquirers opportunity to examine
any of such tariffs without requiring the inquirer to assign any reason
for such desire.
Sec. 221.103 Notice of tariff terms.
Each carrier shall cause to be displayed continuously in a
conspicuous public place at each station, office, or location at which
tariffs are required to be posted, a notice printed in large type
reading as follows:
Public Inspection of Tariffs
All the currently effective passenger tariffs to which this
company is a party and all passenger tariff publications which have
been issued but are not yet effective are on file in this office, so
far as they apply to traffic from or to. (Here name the point.)
These tariffs may be inspected by any person upon request and
without the assignment of any reason for such inspection. The
employees of this company on duty in this office will lend
assistance in securing information from the tariffs.
In addition, a complete file of all tariffs of this company,
with indexes thereof, is maintained and kept available for public
inspection at . (Here indicate the place or places where complete
tariff files are maintained, including the street address, and where
appropriate, the room number.)
Sec. 221.105 Special notice of limited liability for death or injury
under the Warsaw Convention.
(a)(1) In addition to the other requirements of this subpart, each
air carrier and foreign air carrier which, to any extent, avails itself
of the limitation on liability to passengers provided by
[[Page 10772]]
the Warsaw Convention, shall, at the time of delivery of the ticket,
furnish to each passenger whose transportation is governed by the
Convention and whose place of departure or place of destination is in
the United States, the following statement in writing:
Advice to International Passengers on Limitations of Liability
Passengers embarking upon a journey involving an ultimate
destination or a stop in a country other than the country of
departure are advised that the provisions of a treaty known as the
Warsaw Convention may be applicable to their entire journey
including the portion entirely within the countries of departure and
destination. The Convention governs and in most cases limits the
liability of carriers to passengers for death or personal injury to
approximately $10,000.
Additional protection can usually be obtained by purchasing
insurance from a private company. Such insurance is not affected by
any limitation of the carrier's liability under the Warsaw
Convention. For further information please consult your airline or
insurance company representative.
(2) Provided, however, That when the carrier elects to agree to a
higher limit of liability to passengers than that provided in Article
22(1) of the Warsaw Convention, such statement shall be modified to
reflect the higher limit. The statement prescribed herein shall be
printed in type at least as large as 10-point modern type and in ink
contrasting with the stock on:
(i) Each ticket;
(ii) A piece of paper either placed in the ticket envelope with the
ticket or attached to the ticket; or
(iii) The ticket envelope.
(b) Each air carrier and foreign air carrier which, to any extent,
avails itself of the limitation on liability to passengers provided by
the Warsaw Convention, shall also cause to be displayed continuously in
a conspicuous public place at each desk, station, and position in the
United States which is in the charge of a person employed exclusively
by it or by it jointly with another person, or by any agent employed by
such air carrier or foreign air carrier to sell tickets to passengers
whose transportation may be governed by the Warsaw Convention and whose
place of departure or destination may be in the United States, a sign
which shall have printed thereon the statement prescribed in paragraph
(a) of this section: Provided, however, That an air carrier, except an
air taxi operator subject to part 298 of this subchapter, or foreign
air carrier which provides a higher limitation of liability than that
set forth in the Warsaw Convention and has signed a counterpart of the
agreement among carriers providing for such higher limit, which
agreement was approved by the Civil Aeronautics Board by Order E-23680,
dated May 13, 1966 (31 FR 7302, May 19, 1966), may use the alternate
form of notice set forth in the proviso to Sec. 221.106(a) of this
chapter in full compliance with the posting requirements of this
paragraph. And provided further, That an air taxi operator subject to
part 298 of this subchapter, which provides a higher limitation of
liability than that set forth in the Warsaw Convention and has signed a
counterpart of the agreement among carriers providing for such higher
limit, which agreement was approved by the Civil Aeronautics Board by
Order E-23680, dated May 13, 1966 (31 FR 7302, May 19, 1966), may use
the following notice in the manner prescribed by this paragraph in full
compliance with the posting requirements of this paragraph. Such
statements shall be printed in bold faced type at least one-fourth of
an inch high.
Advice to International Passengers on Limitation of Liability
Passengers traveling to or from a foreign country are advised
that airline liability for death or personal injury and loss or
damage to baggage may be limited by the Warsaw Convention and tariff
provisions. See the notice with your ticket or contact your airline
ticket office or travel agent for further information.
Sec. 221.106 Notice of limited liability for baggage; alternative
consolidated notice of liability limitations.
(a)(1) Each air carrier and foreign air carrier which, to any
extent, avails itself of limitations on liability for loss of, damage
to, or delay in delivery of baggage shall cause to be displayed
continuously in a conspicuous public place at each desk, station, and
position in the United States which is in the charge of a person
employed exclusively by it or by it jointly with another person, or by
any agent employed by such air carrier or foreign air carrier to sell
tickets to persons or accept baggage for checking, a sign which shall
have printed thereon the following statement:
Notice of Limited Liability for Baggage
For most international travel (including domestic portions of
international journeys) liability for loss, delay, or damage to
baggage is limited to approximately $9.07 per pound for checked
baggage and $400 per passenger for unchecked baggage unless a higher
value is declared and an extra charge is paid. Special rules may
apply for valuables. Consult your carrier for details.
(2) Provided, however, that an air carrier or foreign air carrier
which provides a higher limitation of liability for death or personal
injury than that set forth in the Warsaw Convention and has signed a
counterpart of the agreement approved by the Civil Aeronautics Board by
Order E-23680, dated May 13, 1966 (31 FR 7302, May 19, 1966), may use
the following notice in full compliance with the posting requirements
of this paragraph and of Sec. 221.105(b):
Advice to Passengers on Limitations of Liability
Airline liability for death or personal injury may be limited by
the Warsaw Convention and tariff provisions in the case of travel to
or from a foreign country.
For most international travel (including domestic portions of
international journeys) liability for loss, delay or damage to
baggage is limited to approximately $9.07 per pound for checked
baggage and $400 per passenger for unchecked baggage unless a higher
value is declared and an extra charge is paid. Special rules may
apply to valuable articles.
See the notice with your tickets or consult your airline or
travel agent for further information.
(3) Provided, however, That carriers may include in the notice the
parenthetical phrase ``($20.00 per kilo)'' after the phrase ``$9.07 per
pound'' in referring to the baggage liability limitation for most
international travel. Such statements shall be printed in bold-face
type at least one-fourth of an inch high and shall be so located as to
be clearly visible and clearly readable to the traveling public.
(b)(1) Each air carrier and foreign air carrier which, to any
extent, avails itself of limitations of liability for loss of, damage
to, or delay in delivery of, baggage shall include on or with each
ticket issued in the United States or in a foreign country by it or its
authorized agent, the following notice printed in at least 10 point
type:
Notice of Baggage Liability Limitations
For most international travel (including domestic portions of
international journeys) liability for loss, delay, or damage to
baggage is limited to approximately $9.07 per pound for checked
baggage and $400 per passenger for unchecked baggage unless a higher
value is declared in advance and additional charges are paid. Excess
valuation may not be declared on certain types of valuable articles.
Carriers assume no liability for fragile or perishable articles.
Further information may be obtained from the carrier.
(2) Provided, however, that carriers may include in their ticket
notice the parenthetical phrase ``($20.00 per kilo)'' after the phrase
``$9.07 per pound'' in referring to the baggage liability limitation
for most international travel.
(c) It shall be the responsibility of each carrier to insure that
travel agents authorized to sell air transportation for such carrier
comply with the notice
[[Page 10773]]
provisions of paragraphs (a) and (b) of this section.
(d) Any air carrier or foreign air carrier subject to the
provisions of this section which wishes to use a notice of limited
liability for baggage of its own wording, but containing the substance
of the language prescribed in paragraphs (a) and (b) of this section
may substitute a notice of its own wording upon approval by the
Department.
(e) The requirements as to time and method of delivery of the
notice (including the size of type) specified in paragraphs (a) and (b)
of this section and the requirement with respect to travel agents
specified in paragraph (c) may be waived by the Department upon
application and showing by the carrier that special and unusual
circumstances render the enforcement of the regulations impractical and
unduly burdensome and that adequate alternative means of giving notice
are employed.
(f) Applications for relief under paragraphs (d) and (e) of this
section shall be filed with the Department's Office of International
Aviation not later than 15 days before the date on which such relief is
requested to become effective.
(g) Notwithstanding any other provisions of this section, no air
taxi operator subject to part 298 of this subchapter shall be required
to give the notices prescribed in this section, either in its capacity
as an air carrier or in its capacity as an agent for an air carrier or
foreign air carrier.
Sec. 221.107 Notice of contract terms.
(a) Terms incorporated in the contract of carriage. (1) A ticket,
or other written instrument that embodies the contract of carriage for
foreign air transportation shall contain or be accompanied by notice to
the passenger as required in paragraphs (b) and (d) of this section.
(2) Each carrier shall make the full text of all terms that are
incorporated in a contract of carriage readily available for public
inspection at each airport or other ticket sales office of the carrier:
Provided, That the medium, i.e., printed or electronic, in which the
incorporated terms and conditions are made available to the consumer
shall be at the discretion of the carrier.
(3) Each carrier shall display continuously in a conspicuous public
place at each airport or other ticket sales office of the carrier a
notice printed in large type reading as follows:
Explanation of Contract Terms
All passenger (and/or cargo as applicable) contract terms
incorporated into the contract of carriage to which this company is
a party are available in this office. These provisions may be
inspected by any person upon request and for any reason. The
employees of this office will lend assistance in securing
information, and explaining any terms.
In addition, a file of all tariffs of this company, with indexes
thereof, from which incorporated contract terms may be obtained is
maintained and kept available for public inspection at. (Here
indicate the place or places where tariff files are maintained,
including the street address and, where appropriate, the room
number.)
(4) Each carrier shall provide to the passenger a complete copy of
the text of any/all terms and conditions applicable to the contract of
carriage, free of charge, immediately, if feasible, or otherwise
promptly by mail or other delivery service, upon request at any airport
or other ticket sales office of the carrier. In addition, all other
locations where the carrier's tickets may be issued shall have
available at all times, free of charge, information sufficient to
enable the passenger to request a copy of such term(s).
(b) Notice of incorporated terms. Each carrier and ticket agent
shall include on or with a ticket or other written instrument given to
the passenger, that embodies the contract of carriage, a conspicuous
notice that:
(1) The contract of carriage may incorporate terms and conditions
by reference; passengers may inspect the full text of each applicable
incorporated term at any of the carrier's airport locations or other
ticket sales offices of the carrier; and passengers, shippers and
consignees have the right to receive, upon request at any airport or
other ticket sales office of the carrier, a free copy of the full text
of any/all such terms by mail or other delivery service;
(2) The incorporated terms may include, among others, the terms
shown in paragraphs (b)(2) (i) through (iv) of this section. Passengers
may obtain a concise and immediate explanation of the terms shown in
paragraphs (b)(2) (i) through (iv) of this section from any location
where the carrier's tickets are sold.
(i) Limits on the carrier's liability for personal injury or death
of passengers (subject to Sec. 221.105), and for loss, damage, or delay
of goods and baggage, including fragile or perishable goods.
(ii) Claim restrictions, including time periods within which
passengers must file a claim or bring an action against the carrier for
its acts or omissions or those of its agents.
(iii) Rules about re-confirmations or reservations, check-in times,
and refusal to carry.
(iv) Rights of the carrier and limitations concerning delay or
failure to perform service, including schedule changes, substitution of
alternate carrier or aircraft, and rerouting.
(c) Explanation of incorporated terms. Each carrier shall ensure
that any passenger can obtain from any location where its tickets are
sold or any similar documents are issued, a concise and immediate
explanation of any term incorporated concerning the subjects listed in
paragraph (b)(2) or identified in paragraph (d) of this section.
(d) Direct notice of certain terms. A passenger must receive
conspicuous written notice, on or with the ticket, or other similar
document, of the salient features of any terms that restrict refunds of
the price of the transportation, impose monetary penalties on
customers, or permit a carrier to raise the price or impose more
restrictive conditions of contract after issuance of the ticket.
Sec. 221.108 Transmission of tariff filings to subscribers.
(a) Each carrier required to file tariffs in accordance with this
part shall make available to any person so requesting a subscription
service as described in paragraph (b) of this section for its passenger
tariffs issued by it or by a publishing agent on its behalf.
(b) Under the required subscription service one copy of each new
tariff publication, including the justification required by
Sec. 221.94, must be transmitted to each subscriber thereto by first-
class mail (or other equivalent means agreed upon by the subscriber)
not later than one day following the time the copies for official
filing are transmitted to the Department. The subscription service
described in this section shall not preclude the offering of additional
types of subscription services by carriers or their agents.
(c) The carriers or their publishing agents at their option may
establish a charge for providing the required subscription service to
subscribers: Provided, That the charge may not exceed a reasonable
estimate of the added cost of providing the service.
Subpart L--Rejection of Tariff Publications
Sec. 221.110 Department's authority to reject.
The Department may reject any tariff which is not consistent with
section 41504 of the statute, with the regulations in this part, or
with Department orders.
Sec. 221.111 Notification of rejection.
When a tariff is rejected, the issuing carrier or agent thereof
will be notified electronically or in writing that the tariff is
rejected and of the reason for such rejection.
[[Page 10774]]
Sec. 221.112 Rejected tariff is void and must not be used.
A tariff rejected by the Department is void and is without any
force or effect whatsoever. Such rejected tariff must not be used.
Subpart M--Special Tariff Permission to File on Less Than Statutory
Notice
Sec. 221.120 Grounds for approving or denying Special Tariff
Permission applications.
(a) General authority. The Department may permit changes in fares,
charges or other tariff provisions on less than the statutory notice
required by section 41505 of the statute.
(b) Grounds for approval. The following facts and circumstances
constitute some of the grounds for approving applications for Special
Tariff Permission in the absence of other facts and circumstances
warranting denial:
(1) Clerical or typographical errors. Clerical or typographical
errors in tariffs constitute grounds for approving applications for
Special Tariff Permission to file on less than statutory notice the
tariff changes necessary to correct such errors. Each application for
Special Tariff Permission based on such grounds shall plainly specify
the errors and contain a complete statement of all the attending facts
and circumstances, and such application shall be presented to the
Department with reasonable promptness after issuance of the defective
tariff.
(2) Rejection caused by clerical or typographical errors or
unintelligibility. Rejection of a tariff caused by clerical or
typographical errors constitute grounds for approving applications for
Special Tariff Permission to file on less than statutory notice,
effective not earlier than the original effective dates in the rejected
tariff, all changes contained in the rejected tariff but with the
errors corrected. Each application for the grant of Special Tariff
Permission based on such grounds shall plainly specify the errors and
contain a complete statement of all the attending facts and
circumstances, and such application shall be filed with the Department
within five days after receipt of the Department's notice of rejection.
(3) Newly authorized transportation. The fact that the Department
has newly authorized a carrier to perform foreign air transportation
constitutes grounds for approving applications for Special Tariff
Permission to file on less than statutory notice the fares, rates, and
other tariff provisions covering such newly authorized transportation.
(4) The fact that a passenger fare is within a statutory or
Department-established zone of fare flexibility constitutes grounds for
approving an application for Special Tariff Permission to file a tariff
stating that fare and any rules affecting them exclusively, on less
than statutory notice. The Department's policy on approving such
applications is set forth in Sec. 399.35 of this chapter.
(5) Lowered fares and charges. The prospective lowering of fares or
charges to the traveling public constitutes grounds for approving an
application for Special Tariff Permission to file on less than
statutory notice a tariff stating the lowered fares or charges and any
rules affecting them exclusively. However, the Department will not
approve the application if the proposed tariff raises significant
questions of lawfulness, as set forth in Sec. 399.35 of this chapter.
(c) Filing notice required by formal order. When a formal order of
the Department requires the filing of tariff matter on a stated number
of days' notice, an application for Special Tariff Permission to file
on less notice will not be approved. In any such instance a petition
for modification of the order should be filed in the formal docket.
Sec. 221.121 How to prepare and file applications for Special Tariff
Permission.
(a) Form. Each application for Special Tariff Permission to file a
tariff on less than statutory notice shall conform to the requirements
of Sec. 221.212 if filed electronically.
(b) Number of paper copies and place of filing. For paper format
applications, the original and one copy of each such application for
Special Tariff Permission, including all exhibits thereto and
amendments thereof, shall be sent to the Office of International
Aviation, Department of Transportation, Washington, DC 20590.
(c) Who may make application. Applications for Special Tariff
Permission to file fares, or other tariff provisions on less than
statutory notice shall be made only by the issuing carrier or agent
authorized to issue and file the proposed tariff. Such application by
the issuing carrier or agent will constitute application on behalf of
all carriers participating in the proposed fares, or other tariff
provisions.
(d) When notice is required. Notice in the manner set forth in
paragraph (e) of this section is required when a carrier files an
application for Special Tariff Permission:
(1) To offer passenger fares that would be outside a Department-
established zone of price flexibility or, in markets for which the
Department has not established such a zone, outside the statutory zone
of price flexibility; or
(2) To file any price increase or rule change that the carrier
believes is likely to be controversial.
(e) Form of notice. When notice of filing of a Special Tariff
Permission application affecting passenger fares is required by
paragraph (d) of this section, the carrier shall, when it files the
application, give immediate telegraphic notice or other notice approved
by the Office of International Aviation, to all certificated and
foreign route carriers authorized to provide nonstop or one-stop
service in the markets involved, and to civic parties that would be
substantially affected. The application shall include a list of the
parties notified.
Sec. 221.122 Special Tariff Permission to be used in its entirety as
granted.
Each Special Tariff Permission to file fares, or other tariff
provisions on less than statutory notice shall be used in its entirety
as granted. If it is not desired to use the permission as granted, and
lesser or more extensive or different permission is desired, a new
application for Special Tariff Permission conforming with Sec. 221.121
in all respects and referring to the previous permission shall be
filed.
Sec. 221.123 Re-use of Special Tariff Permission when tariff is
rejected.
If a tariff containing matter issued under Special Tariff
Permission is rejected, the same Special Tariff Permission may be used
in a tariff issued in lieu of such rejected tariff provided that such
re-use is not precluded by the terms of the Special Tariff Permission,
and is made within the time limit thereof or within seven days after
the date of the Department's notice of rejection, whichever is later,
but in no event later than fifteen days after the expiration of the
time limit specified in the Special Tariff Permission.
Subpart N--Waiver of Tariff Regulations
Sec. 221.130 Applications for waiver of tariff regulations.
Applications for waiver or modification of any of the requirements
of this part 221 or for modification of chapter 415 of the statute with
respect to the filing and posting of tariffs shall be made by the
issuing carrier or issuing agent.
Sec. 221.131 Form of application for waivers.
Applications for waivers shall be in the form of a letter addressed
to the Office of International Aviation, Department of Transportation
Washington, DC 20590, and shall:
[[Page 10775]]
(a) Specify (by section and paragraph) the particular regulation
which the applicant desires the Department to waive.
(b) Show in detail how the proposed provisions will be shown in the
tariff under authority of such waiver if granted (submitting exhibits
of the proposed provision where necessary to clearly show this
information).
(c) Set forth all facts and circumstances on which the applicant
relies as warranting the Department's granting the authority requested.
No tariff or other documents shall be filed pursuant to such
application prior to the Department's granting the authority requested.
Subpart O--Giving and Revoking Concurrences to Carriers
Sec. 221.140 Method of giving concurrence.
(a) A concurrence prepared in a manner acceptable to the Office of
International Aviation shall be used by a carrier to give authority to
another carrier to issue and file with the Department tariffs which
contain joint fares or charges, including provisions governing such
fares or charges, applying to, from, or via points served by the
carrier giving the concurrence. A concurrence shall not be used as
authority to file joint fares or charges in which the carrier to whom
the concurrence is given does not participate, and it shall not be used
as authority to file local fares or charges.
(b) Number of copies. Each concurrence shall be prepared in
triplicate. The original of each concurrence shall be filed with the
Department, the duplicate thereof shall be given to the carrier in
whose favor the concurrence is issued, and the third copy shall be
retained by the carrier who issued the concurrence.
(c) Conflicting authority to be avoided. Care should be taken to
avoid giving authority to two or more carriers which, if used, would
result in conflicting or duplicate tariff provisions.
Sec. 221.141 Method of revoking concurrence.
(a) A concurrence may be revoked by filing with the Department a
Notice of Revocation of Concurrence prepared in a form acceptable to
the Office of International Aviation.
(b) Sixty days' notice required. Such Notice of Revocation of
Concurrence shall be filed on not less than sixty days' notice to the
Department. A Notice of Revocation of Concurrence will be deemed to be
filed only upon its actual receipt by the Department, and the period of
notice shall commence to run only from such actual receipt.
(c) Number of copies. Each Notice of Revocation of Concurrence
shall be prepared in triplicate. The original thereof shall be filed
with the Department and, at the same time that the original is
transmitted to the Department, the duplicate thereof shall be sent to
the carrier to whom the concurrence was given. The third copy shall be
retained by the carrier issuing such notice.
(d) Amendment of tariffs when concurrence revoked. When a
concurrence is revoked, a corresponding amendment of the tariff or
tariffs affected shall be made by the issuing carrier of such tariffs,
on not less than statutory notice, to become effective not later than
the effective date stated in the Notice of Revocation of Concurrence.
In the event of failure to so amend the tariff or tariffs, the
provisions therein shall remain applicable until lawfully canceled.
Sec. 221.142 Method of withdrawing portion of authority conferred by
concurrence.
If a carrier desires to issue a concurrence conferring less
authority than a previous concurrence given to the same carrier, the
new concurrence shall not direct the cancellation of such previous
concurrence. In such circumstances, such previous concurrence shall be
revoked by issuing and filing a Notice of Revocation of Concurrence in
a form acceptable to the Office of International Aviation. Such
revocation notice shall include reference to the new concurrence.
Subpart P--Giving and Revoking Powers of Attorney to Agents
Sec. 221.150 Method of giving power of attorney.
(a) Prescribed form of power of attorney. A power of attorney
prepared in accordance with a form acceptable to the Office of
International Aviation shall be used by a carrier to give authority to
an agent and (in the case of the agent being an individual) such
agent's alternate to issue and file with the Department tariffs which
contain local or joint fares or charges, including provisions governing
such fares or charges, applicable via and for account of such carrier.
Agents may be only natural persons or corporations (other than
incorporated associations of air carriers). The authority conferred in
a power of attorney may not be delegated to any other person.
(b) Designation of tariff issuing person by corporate agent. When a
corporation has been appointed as agent it shall forward to the
Department a certified excerpt of the minutes of the meeting of its
Board of Directors designating by name and title the person responsible
for issuing tariffs and filing them with the Department. Only one such
person may be designated by a corporate agent, and the title of such
designee shall not contain the word ''Agent''. When such a designee is
replaced the Department shall be immediately notified in like manner of
his successor. An officer or employee of an incorporated tariff-
publishing agent may not be authorized to act as tariff agent in his/
her individual capacity. Every tariff issued by a corporate agent shall
be issued in its name as agent.
(c) Number of copies. Each power of attorney shall be prepared in
triplicate. The original of each power of attorney shall be filed with
the Department, the duplicate thereof shall be given to the agent in
whose favor the power of attorney is issued, and the third copy shall
be retained by the carrier who issued the power of attorney.
(d) Conflicting authority prohibited. In giving powers of attorney,
carriers shall not give authority to two or more agents which, if used,
would result in conflicting or duplicate tariff provisions.
Sec. 221.151 Method of revoking power of attorney.
(a) A power of attorney may be revoked only by filing with the
Department in the manner specified in this section a Notice of
Revocation of Power of Attorney in a form acceptable to the Office of
International Aviation.
(b) Sixty days' notice required. Such Notice of Revocation of Power
of Attorney shall be filed on not less than sixty days' notice to the
Department. A Notice of Revocation of Power of Attorney will be deemed
to be filed only upon its actual receipt by the Department, and the
period of notice shall commence to run only from such actual receipt.
(c) Number of copies. Each Notice of Revocation of Power of
Attorney shall be prepared in triplicate. The original thereof shall be
filed with the Department and, at the same time that the original is
transmitted to the Department, the duplicate thereof shall be sent to
the agent in whose favor the power of attorney was issued (except, if
the alternate agent has taken over the tariffs, the duplicate of the
Notice of Revocation of Power of Attorney shall be sent to the
alternate agent). The third copy of the notice shall be retained by the
carrier.
(d) Amendment of tariffs when power of attorney is revoked. When a
power of attorney is revoked, a corresponding amendment of the tariff
or tariffs affected shall be made by the issuing
[[Page 10776]]
agent of such tariffs, on not less than statutory notice, to become
effective not later than the effective date stated in the Notice of
Revocation of Power of Attorney. In the event of failure to so amend
the tariff or tariffs, the provisions therein shall remain applicable
until lawfully canceled.
Sec. 221.152 Method of withdrawing portion of authority conferred by
power of attorney.
If a carrier desires to issue a power of attorney conferring less
authority than a previous power of attorney issued in favor of the same
agent, the new power of attorney shall not direct the cancellation of
such previous power of attorney. In such circumstances, such previous
power of attorney shall be revoked by issuing and filing a Notice of
Revocation of Power of Attorney in a form acceptable to the Office of
International Aviation. Such revocation notice shall include reference
to the new power of attorney.
Subpart Q--Adoption Publications Required to Show Change in
Carrier's Name or Transfer of Operating Control
Sec. 221.160 Adoption notice.
(a) When the name of a carrier is changed or when its operating
control is transferred to another carrier (including another company
which has not previously been a carrier), the carrier which will
thereafter operate the properties shall immediately issue, file with
the Department, and post for public inspection, an adoption notice in a
form and containing such information as is approved by the Office of
International Aviation. (The carrier under its former name or the
carrier from whom the operating control is transferred shall be
referred to in this subpart as the ``former carrier'', and the carrier
under its new name or the carrier, company, or fiduciary to whom the
operating control is transferred shall be referred to in this subpart
as the ``adopting carrier''.)
(b) The adoption notice shall be prepared, filed, and posted as a
tariff. The adoption notice shall be issued and filed by the adopting
carrier and not by an agent.
(c) Copies to be sent to agents and other carriers. At the same
time that the adoption notice is transmitted to the Department for
filing, the adopting carrier shall send copies of such adoption notice
to each agent and carrier to whom the former carrier has given a power
of attorney or concurrence. (See Sec. 221.163.)
Sec. 221.161 Notice of adoption to be filed in former carrier's
tariffs.
At the same time that the adoption notice is issued, posted, and
filed pursuant to Sec. 221.160, the adopting carrier shall issue, post
and file with the Department a notice in each effective tariff issued
by the former carrier providing specific notice of the adoption in a
manner authorized by the Office of International Aviation and which
shall contain no matter other than that authorized.
Sec. 221.162 Receiver shall file adoption notices.
A receiver shall, immediately upon assuming control of a carrier,
issue and file with the Department an adoption notices as prescribed by
Secs. 221.160 and 221.161 and shall comply with the requirements of
this subpart.
Sec. 221.163 Agents' and other carriers' tariffs shall reflect
adoption.
If the former carrier is shown as a participating carrier under
concurrence in tariffs issued by other carriers or is shown as a
participating carrier under power of attorney in tariffs issued by
agents, the issuing carriers and agents of such tariffs shall, upon
receipt of the adoption notice, promptly file on statutory notice the
following amendments to their respective tariffs:
(a) Cancel the name of the former carrier from the list of
participating carriers.
(b) Add the adopting carrier (in alphabetical order) to the list of
participating carriers. If the adopting carrier already participates in
such tariff, reference to the substitution notice shall be added in
connection with such carrier's name in the list of participating
carriers.
Sec. 221.164 Concurrences or powers of attorney to be reissued.
(a) Adopting carrier shall reissue adopted concurrences and powers
of attorney. Within a period of 120 days after the date on which the
change in name or transfer of operating control occurs, the adopting
carrier shall reissue all effective powers of attorney and concurrences
of the former carrier by issuing and filing new powers of attorney and
concurrences, in the adopting carrier's name, which shall direct the
cancellation of the respective powers of attorney and concurrences of
the former carrier. The adopting carrier shall consecutively number its
powers of attorney and concurrences in its own series of power of
attorney numbers and concurrence numbers (commencing with No. 1 in each
series if it had not previously filed any such instruments with the
Department), except that a receiver or other fiduciary shall
consecutively number its powers of attorney or concurrences in the
series of the former carrier. The cancellation reference shall show
that the canceled power of attorney or concurrence was issued by the
former carrier.
(b) If such new powers of attorney or concurrences confer less
authority than the powers of attorney or concurrences which they are to
supersede, the new issues shall not direct the cancellation of the
former issues; in such instances, the provisions of Sec. 221.142 and
221.152 shall be observed. Concurrences and powers of attorney which
will not be replaced by new issues shall be revoked in the form and
manner and upon the notice required by Secs. 221.141 and 221.151.
(c) Reissue of other carriers' concurrences issued in favor of
former carrier. Each carrier which has given a concurrence to a carrier
whose tariffs are subsequently adopted shall reissue the concurrence in
favor of the adopting carrier. If the carrier which issued the
concurrence to the former carrier desires to revoke it or desires to
replace it with a concurrence conferring less authority, the provisions
of Secs. 221.141 and 221.142 shall be observed.
Sec. 221.165 Cessation of operations without successor.
If a carrier ceases operations without having a successor, it
shall:
(a) File a notice in each tariff of its own issue and cancel such
tariff in its entirety.
(b) Revoke all powers of attorney and concurrences which it has
issued.
Subpart R--Electronically Filed Tariffs
Sec. 221.170 Applicability of the subpart.
(a) Every air carrier and foreign air carrier shall file its
international passenger fares tariffs consistent with the provisions of
this subpart, and part 221 generally. Additionally, any air carrier and
any foreign air carrier may file its international passenger rules
tariffs electronically in machine-readable form as an alternative to
the filing of printed paper tariffs as provided for elsewhere in part
221. This subpart applies to all carriers and tariff publishing agents
and may be used by either if the carrier or agent complies with the
provisions of subpart R. Any carrier or agent that files electronically
under this subpart must transmit to the Department the remainder of the
tariff in a form consistent with part 221, subparts A through Q, on the
same day that the electronic tariff would be deemed received under
Sec. 221.190(b).
(b) To the extent that subpart R is inconsistent with the remainder
of part
[[Page 10777]]
221, subpart R shall govern the filing of electronic tariffs. In all
other respects, part 221 remains in full force and effect.
Sec. 221.180 Requirements for electronic filing of tariffs.
(a) No carrier or filing agent shall file an electronic tariff
unless, prior to filing, it has signed a maintenance agreement or
agreements, furnished by the Department of Transportation, for the
maintenance and security of the on-line tariff database.
(b) No carrier or agent shall file an electronic tariff unless,
prior to filing, it has submitted to the Department's Office of
International Aviation, Pricing and Multilateral Affairs Division, and
received approval of, an application containing the following
commitments:
(1) The filer shall file tariffs electronically only in such format
as shall be agreed to by the filer and the Department. (The filer shall
include with its application a proposed format of tariff. The filer
shall also submit to the Department all information necessary for the
Department to determine that the proposed format will accommodate the
data elements set forth in Sec. 221.202.)
(2) The filer shall provide, maintain and install in the Public
Reference Room at the Department (as may be required from time to time)
one or more CRT devices and printers connected to its on-line tariff
database. The filer shall be responsible for the transportation,
installation, and maintenance of this equipment and shall agree to
indemnify and hold harmless the Department and the U.S. Government from
any claims or liabilities resulting from defects in the equipment, its
installation or maintenance.
(3) The filer shall provide public access to its on-line tariff
database, at Departmental headquarters, during normal business hours.
(4) The access required at Departmental headquarters by this
subpart shall be provided at no cost to the public or the Department.
(5) The filer shall provide the Department access to its on-line
tariff database 24 hours a day, 7 days a week, except, that the filer
may bring its computer down between 6:00 a.m. and 6:00 p.m. Eastern
Standard Time or Eastern Daylight Saving Time, as the case may be, on
Sundays, when necessary, for maintenance or for operational reasons.
(6) The filer shall ensure that the Department shall have the sole
ability to approve or disapprove electronically any tariff filed with
the Department and the ability to note, record and retain
electronically the reasons for approval or disapproval. The carrier or
agent shall not make any changes in data or delete data after it has
been transmitted electronically, regardless of whether it is approved,
disapproved, or withdrawn. The filer shall be required to make data
fields available to the Department in any record which is part of the
on-line tariff database.
(7) The filer shall maintain all fares and rules filed with the
Department and all Departmental approvals, disapprovals and other
actions, as well as all Departmental notations concerning such
approvals, disapprovals or other actions, in the on-line tariff
database for a period of two (2) years after the fare or rule becomes
inactive. After this period of time, the carrier or agent shall provide
the Department, free of charge, with a copy of the inactive data on a
machine-readable tape or other mutually acceptable electronic medium.
(8) The filer shall ensure that its on-line tariff database is
secure against destruction or alteration (except as authorized by the
Department), and against tampering.
(9) Should the filer terminate its business or cease filing
tariffs, it shall provide to the Department on a machine-readable tape
or any other mutually acceptable electronic medium, contemporaneously
with the cessation of such business, a complete copy of its on-line
tariff database.
(10) The filer shall furnish to the Department, on a daily basis,
on a machine-readable tape or any other mutually acceptable electronic
medium, all transactions made to its on-line tariff database.
(11) The filer shall afford any authorized Departmental official
full, free, and uninhibited access to its facilities, databases,
documentation, records, and application programs, including support
functions, environmental security, and accounting data, for the purpose
of ensuring continued effectiveness of safeguards against threats and
hazards to the security or integrity of its electronic tariffs, as
defined in this subpart.
(12) The filer must provide a field in the Government Filing File
for the signature of the approving U.S. Government Official through the
use of a Personal Identification Number (PIN).
(13) The filer shall provide a leased dedicated data conditioned
circuit with sufficient capacity (not less than 28.8K baud rate) to
handle electronic data transmissions to the Department. Further, the
filer must provide for a secondary or a redundancy circuit in the event
of the failure of the dedicated circuit. The secondary or redundancy
circuit must be equal to or greater than 14.4K baud rate. In the event
of a failure of the primary circuit the filer must notify the Chief of
the Pricing and Multilateral Affairs Division of the Department's
Office of International Aviation, as soon as possible, after the
failure of the primary circuit, but not later than two hours after
failure, and must provide the name of the contact person at the
telephone company who has the responsibility for dealing with the
problem.
(c) Each time a filer's on-line tariff database is accessed by any
user during the sign-on function the following statement shall appear:
The information contained in this system is for informational
purposes only, and is a representation of tariff data that has been
formally submitted to the Department of Transportation in accordance
with applicable law or a bilateral treaty to which the U.S.
Government is a party.
Sec. 221.190 Time for filing and computation of time periods.
(a) A tariff, or revision thereto, or a special tariff permission
application may be electronically filed with the Department immediately
upon compliance with Sec. 221.180, and anytime thereafter, subject to
Sec. 221.400. The actual date and time of filing shall be noted with
each filing.
(b) For the purpose of determining the date that a tariff, or
revision thereto, filed pursuant to this subpart, shall be deemed
received by the Department:
(1) For all electronic tariffs, or revisions thereto, filed before
5:30 p.m. local time in Washington, DC, on Federal business days, such
date shall be the actual date of filing.
(2) For all electronic tariffs, or revisions thereto, filed after
5:30 p.m. local time in Washington, DC, on Federal business days, and
for all electronic tariffs, or revisions thereto, filed on days that
are not Federal business days, such date shall be the next Federal
business day.
Sec. 221.195 Requirement for filing printed material.
(a) Any tariff, or revision thereto, filed in paper format which
accompanies, governs, or otherwise affects, a tariff filed
electronically, must be received by the Department on the same date
that a tariff or revision thereto, is filed electronically with the
Department under Sec. 221.190(b). Further, such paper tariff, or
revision thereto, shall be filed in accordance with the requirements of
subparts A through Q of part 221. No tariff or revision thereto, filed
electronically under this subpart, shall contain an effective date
which is at variance with the effective date of the
[[Page 10778]]
supporting paper tariff, except as authorized by the Department.
(b) Any printed justifications, or other information accompanying a
tariff, or revision thereto, filed electronically under this subpart,
must be received by the Department on the same date as any tariff, or
revision thereto, filed electronically.
(c) If a filer submits a filing which fails to comply with
paragraph (a) of this section, or if the filer fails to submit the
information in conformity with paragraph (b) of this section, the
filing will be subject to rejection, denial, or disapproval, as
applicable.
Sec. 221.200 Content and explanation of abbreviations, reference marks
and symbols.
(a) Content. The format to be used for any electronic tariff must
be that agreed to in advance as provided for in Sec. 221.180, and must
include those data elements set forth in Sec. 221.202. Those portions
that are filed in paper form shall comply in all respects with part
221, subparts A through Q.
(b) Explanation of abbreviations, reference marks and symbols.
Abbreviations, reference marks and symbols which are used in the tariff
shall be explained in each tariff.
(1) The following symbols shall be used:
R--Reduction
I--Increase
N--New Matter
X--Canceled Matter
C--Change in Footnotes, Routings, Rules or Zones
E--Denotes change in Effective Date only.
(2) Other symbols may be used only when an explanation is provided
in each tariff and such symbols are consistent throughout all the
electronically filed tariffs from that time forward.
Sec. 221.201 Statement of filing with foreign governments to be shown
in air carrier's tariff filings.
(a) Every electronic tariff filed by or on behalf of an air carrier
that contains fares which, by international convention or agreement
entered into between any other country and the United States, are
required to be filed with that country, shall include the following
statement:
The rates, fares, charges, classifications, rules, regulations,
practices, and services provided herein have been filed in each
country in which filing is required by treaty, convention, or
agreement entered into between that country and the United States,
in accordance with the provisions of the applicable treaty,
convention, or agreement.
(b) The statement referenced in Sec. 221.201(a) may be included
with each filing advice by the inclusion of a symbol which is properly
explained.
(c) The required symbol may be omitted from an electronic tariff or
portion thereof if the tariff publication that has been filed with any
other country pursuant to its tariff regulations bears a tariff filing
designation of that country in addition to the D.O.T. number appearing
on the tariff.
Sec. 221.202 The filing of tariffs and amendments to tariffs.
All electronic tariffs and amendments filed under this subpart,
including those for which authority is sought to effect changes on less
than bilateral/statutory notice under Sec. 221.212, shall contain the
following data elements:
(a) A Filing Advice Status File--which shall include:
(1) Filing date and time;
(2) Filing advice number;
(3) Reference to carrier;
(4) Reference to geographic area;
(5) Effective date of amendment or tariff;
(6) A place for government action to be recorded; and
(7) Reference to the Special Tariff Permission when applicable.
(b) A Government Filing File--which shall include:
(1) Filing advice number;
(2) Carrier reference;
(3) Filing date and time;
(4) Proposed effective date;
(5) Justification text; reference to geographic area and affected
tariff number;
(6) Reference to the Special Tariff Permission when applicable;
(7) Government control data, including places for:
(i) Name of the government analyst, except that this data shall not
be made public, notwithstanding any other provision in this or any
other subpart;
(ii) Action taken and reasons therefor.
(iii) Remarks, except that internal Departmental data shall not be
made public, notwithstanding any other provision in this or any other
subpart;
(iv) Date action is taken; and
(v) Personal Identification Number; and
(8) Fares tariff, or proposed changes to the fares tariffs,
including:
(i) Market;
(ii) Fare code;
(iii) One-way/roundtrip (O/R);
(iv) Fare Amount;
(v) Currency;
(vi) Footnote (FN);
(vii) Rule Number, provided that, if the rule number is in a
tariff, reference shall be made to that tariff containing the rule;
(viii) Routing (RG) Number(s), provided that the abbreviation MPM
(Maximum Permissible Routing) shall be considered a number for the
purpose of this file;
(ix) Effective date and discontinue date if the record has been
superseded;
(x) Percent of change from previous fares; and
(xi) Expiration date.
(9) Rules tariff, or proposed changes to the rules tariffs.
(i) Rules tariffs shall include:
(A) Title: General description of fare rule type and geographic
area under the rule;
(B) Application: Specific description of fare class, geographic
area, type of transportation (one way, round-trip, etc.);
(C) Period of Validity: Specific description of permissible travel
dates and any restrictions on when travel is not permitted;
(D) Reservations/ticketing: Specific description of reservation and
ticketing provisions, including any advance reservation/ticketing
requirements, provisions for payment (including prepaid tickets), and
charges for any changes;
(E) Capacity Control: Specific description of any limitation on the
number of passengers, available seats, or tickets;
(F) Combinations: Specific description of permitted/restricted fare
combinations;
(G) Length of Stay: Specific description of minimum/maximum number
of days before the passenger may/must begin return travel;
(H) Stopovers: Specific description of permissible conditions,
restrictions, or charges on stopovers;
(I) Routing: Specific description of routing provisions, including
transfer provisions, whether on-line or inter-line;
(J) Discounts: Specific description of any limitations, special
conditions, and discounts on status fares, e.g. children or infants,
senior citizens, tour conductors, or travel agents, and any other
discounts;
(K) Cancellation and Refunds: Specific description of any special
conditions, charges, or credits due for cancellation or changes to
reservations, or for request for refund of purchased tickets;
(L) Group Requirements: Specific description of group size, travel
conditions, group eligibility, and documentation;
(M) Tour Requirements: Specific description of tour requirements,
including minimum price, and any stay or accommodation provisions;
[[Page 10779]]
(N) Sales Restrictions: Specific description of any restrictions on
the sale of tickets;
(O) Rerouting: Specific description of rerouting provisions,
whether on-line or inter-line, including any applicable charges; and
(P) Miscellaneous provisions: Any other applicable conditions.
(ii) Rules tariffs shall not contain the phrase ``intentionally
left blank''.
(10) Any material accepted by the Department for informational
purposes only shall be clearly identified as ``for informational
purposes only, not part of official tariff'', in a manner acceptable to
the Department.
(c) A Historical File--which shall include:
(1) Market;
(2) Fare code;
(3) One-way/roundtrip (O/R);
(4) Fare amount;
(5) Currency;
(6) Footnote (FN);
(7) Rule Number, provided that, if the rule number is in a tariff
other than the fare tariff, reference shall be made to that tariff
containing the rule;
(8) Rule text applicable to each fare at the time that the fare was
in effect.
(9) Routing (RG) Number(s), provided that the abbreviation MPM
(Maximum Permissible Routing) shall be considered a number for the
purpose of this file;
(10) Effective Date;
(11) Discontinue Date;
(12) Government Action;
(13) Carrier;
(14) All inactive fares (two years);
(15) Any other fare data which is essential; and
(16) Any necessary cross reference to the Government Filing File
for research or other purposes.
Sec. 221.203 Unique rule numbers required.
(a) Each ``bundled'' and ``unbundled'' normal economy fare
applicable to foreign air transportation shall bear a unique rule
number.
(b) The unique rule numbers for the fares specified in this section
shall be set by mutual agreement between the filer and the Department
prior to the implementation of any electronic filing system.
Sec. 221.204 Adoption of provisions of one carrier by another carrier.
When one carrier adopts the tariffs of another carrier, the
effective and prospective fares of the adopted carrier shall be changed
to reflect the name of the adopting carrier and the effective date of
the adoption. Further, each adopted fare shall bear a notation which
shall reflect the name of the adopted carrier and the effective date of
the adoption, provided that any subsequent revision of an adopted fare
may omit the notation.
Sec. 221.205 Justification and explanation for certain fares.
Any carrier or its agent must provide, as to any new or increased
bundled or unbundled (whichever is lower) on-demand economy fare in a
direct-service market, a comparison between, on the one hand, that
proposed fare and, on the other hand, the ceiling fare allowed in that
market based on the SFFL.
Sec. 221.206 Statement of fares.
All fares filed electronically in direct-service markets shall be
filed as single factor fares.
Sec. 221.210 Suspension of tariffs.
(a) A fare, charge, rule or other tariff provision that is
suspended by the Department pursuant to section 41509 of the statute
shall be noted by the Department in the Government Filing File and the
Historical File.
(b) When the Department vacates a tariff suspension, in full or in
part, and after notification of the carrier by the Department, such
event shall be noted by the carrier in the Government Filing File and
the Historical File.
(c) When a tariff suspension is vacated or when the tariff becomes
effective upon termination of the suspension period, the carrier or its
agent shall refile the tariff showing the effective date.
Sec. 221.211 Cancellation of suspended matter.
When, pursuant to an order of the Department, the cancellation of
rules, fares, charges, or other tariff provision is required, such
action shall be made by the carrier by appropriate revisions to the
tariff.
Sec. 221.212 Special tariff permission.
(a) When a filer submits an electronic tariff or an amendment to an
electronic tariff for which authority is sought to effect changes on
less than bilateral/statutory notice, and no related tariff material is
involved, the submission shall bear a sequential filing advice number.
The submission shall appear in the Government Filing File and the
Filing Advice Status File, and shall be referenced in such a manner to
clearly indicate that such changes are sought to be made on less than
bilateral/statutory notice.
(b) When a filer submits an electronic tariff or an amendment to
the electronic tariff for which authority is sought to effect changes
on less than bilateral/statutory notice, and it contains related paper
under Sec. 221.195, the paper submission must bear the same filing
advice number as that used for the electronic submission. Such paper
submission shall be in the form of a revised tariff page rather than as
a separate request for Special Tariff Permission. All material being
submitted on a paper tariff page as part of an electronic submission
will clearly indicate the portion(s) of such tariff page that is being
filed pursuant to, and in conjunction with, the electronic submission
on less than bilateral/statutory notice.
(c) Departmental action on the Special Tariff Permission request
shall be noted by the Department in the Government Filing File and the
Filing Advice Status File.
(d) When the paper portion of a Special Tariff Permission that has
been filed with the Department pursuant to paragraph (b) of this
section is disapproved or other action is taken by the Department, such
disapproval or other action will be reflected on the next consecutive
revision of the affected tariff page(s) in the following manner:
(1) The portion(s) of ________ Revised Page ________ filed under
EFA No. ________ was/were disapproved by DOT.
(2) Example of other action: the portion(s) ________ Revised Page
________ filed under EFA No. ________ was/were required to be amended
by DOT.
(e) When the Department disapproves in whole or in part or
otherwise takes an action against any submission filed under this part,
the filer must take corrective action within two business days
following the disapproval or notice of other action.
(f) All submissions under this section shall comply with the
requirements of Sec. 221.202.
Sec. 221.300 Discontinuation of electronic tariff system.
In the event that the electronic tariff system is discontinued, or
the source of the data is changed, or a filer discontinues its
business, all electronic data records prior to such date shall be
provided immediately to the Department, free of charge, on a machine-
readable tape or other mutually acceptable electronic medium.
Sec. 221.400 Filing of paper tariffs required.
(a) After approval of any application filed under Sec. 221.180 of
this subpart to allow a filer to file tariffs electronically, the filer
in addition to filing electronically must continue to file printed
tariffs as required by subparts A through Q of part 221 for a period of
90
[[Page 10780]]
days, or until such time as the Department shall deem such filing no
longer to be necessary: Provided that during the period specified by
this section the filed printed tariff shall continue to be the official
tariff.
(b) Upon notification to the filer that it may commence to file its
tariffs solely in an electronic mode, concurrently with the
implementation of filing electronically the filer shall:
(1) Furnish the Department with a copy of all the existing
effective and prospective records on a machine-readable tape or other
mutually acceptable electronic medium accompanied by an affidavit
attesting to the accuracy of such records; and
(2) Simultaneously cancel such records from the paper tariff in the
manner prescribed by subparts A through Q of part 221.
Sec. 221.500 Transmission of electronic tariffs to subscribers.
(a) Each filer that files an electronic tariff under this subpart
shall make available to any person so requesting, a subscription
service meeting the terms of paragraph (b) of this section.
(b) Under the required subscription service, remote access shall be
allowed to any subscriber to the on-line tariff database, including
access to the justification required by Sec. 221.205. The subscription
service shall not preclude the offering of additional services by the
filer or its agent.
(c) The filer at its option may establish a charge for providing
the required subscription service to subscribers: Provided that the
charge may not exceed a reasonable estimate of the added cost of
providing the service.
(d) Each filer shall provide to any person upon request, a copy of
the machine-readable data (raw tariff data) of all daily transactions
made to its on-line tariff database. The terms and prices for such
value-added service may be set by the filer: Provided that such terms
and prices shall be non-discriminatory, i.e., that they shall be
substantially equivalent for all similarly-situated persons.
Sec. 221.550 Copies of tariffs made from filer's printer(s) located in
Department's public reference room.
Copies of information contained in a filer's on-line tariff
database may be obtained by any user at Departmental Headquarters from
the printer or printers placed in Tariff Public Reference Room by the
filer. The filer may assess a fee for copying, provided it is
reasonable and that no administrative burden is placed on the
Department to require the collection of the fee or to provide any
service in connection therewith.
Sec. 221.600 Actions under assigned authority and petitions for review
of staff action.
(a) When an electronically filed record which has been submitted to
the Department under this subpart, is disapproved (rejected), or a
special tariff permission is approved or denied, under authority
assigned by the Department of Transportation's Regulations, 14 CFR
385.13, such actions shall be understood to include the following
provisions:
(1) Applicable to a Record or Records Which is/are Disapproved
(rejected): The record(s) disapproved (rejected) is/are void, without
force or effect, and must not be used.
(2) Applicable to a record or records which is/are disapproved
(rejected), and to special tariff permissions which are approved or
denied: This action is taken under authority assigned by the Department
of Transportation in its Organization Regulations, 14 CFR 385.13.
Persons entitled to petition for review of this action pursuant to the
Department's Regulations, 14 CFR 385.50, may file such petitions within
seven days after the date of this action. This action shall become
effective immediately, and the filing of a petition for review shall
not preclude its effectiveness.
(b) [Reserved]
PART 250--OVERSALES
2. The authority citation for part 250 continues to read as
follows:
Authority: 49 U.S.C. chapters 401, 411, 413, 417.
Sec. 250.4 [Removed]
3. Section 250.4--Denied boarding compensation tariffs for foreign
air transportation is removed.
PART 293--[ADDED]
4. A new part 293 is added as follows:
PART 293--INTERNATIONAL PASSENGER TRANSPORTATION
Subpart A--General
Sec.
293.1 Applicability.
293.2 Definitions.
Subpart B--Exemption From Filing of Tariffs
293.10 Exemption.
293.11 Required statement.
293.12 Revocation of exemption.
Subpart C--Effect of Exemption
293.20 Rule of construction.
293.21 Incorporation of contract terms by reference.
293.22 Effectiveness of tariffs on file.
Authority: 49 U.S.C. 40101, 40105, 40109, 40113, 40114, 41504,
41701, 41707, 41708, 41709, 41712, 46101; 14 CFR 1.56(j)(2)(ii).
Subpart A General
Sec. 293.1 Applicability.
This part applies to air carriers and foreign air carriers
providing scheduled transportation of passengers and their baggage in
foreign air transportation.
Sec. 293.2 Definitions.
For purposes of this part the definitions in Sec. 221.3 of this
chapter apply.
Subpart B--Exemption from Filing Tariffs
Sec. 293.10 Exemption.
(a) Air carriers and foreign air carriers are exempted from the
duty to file passenger tariffs with the Department of Transportation,
as required by 49 U.S.C. 41504 and 14 CFR part 221, as follows:
(1) The Assistant Secretary for Aviation and International Affairs
will, by notice, issue and periodically update a list establishing the
following categories of markets:
(i) In Category A markets, carriers are exempted from the duty to
file all passenger tariffs, unless they are nationals of countries
listed in Category C;
(ii) In Category B markets, carriers are exempted from the duty to
file all passenger tariffs except those setting forth one-way economy-
class fares and governing provisions pertaining thereto, unless they
are nationals of countries listed in Category C;
(iii) In Category C markets, carriers shall continue to file all
passenger tariffs, except as provided in Sec. 293.10(b).
(2) The Assistant Secretary will list country-pair markets falling
in Categories A and C, based on the determining factors in paragraphs
(a)(2)(i) through (iv). All country-pair markets not listed in
Categories A or C shall be considered to be in Category B and need not
be specifically listed.
(i) Whether the U.S. has an aviation agreement in force with that
country providing double-disapproval treatment of prices filed by the
carriers of the Parties;
(ii) Whether the country's government has disapproved or deterred
U.S. carrier price leadership or matching tariff filings in any market;
(iii) Whether the country's government has placed significant
[[Page 10781]]
restrictions on carrier entry or capacity in any market; and
(iv) Whether the country's government is honoring the provisions of
the bilateral aviation agreement and there are no significant bilateral
problems.
(b) By petition or on the Department's own initiative, new country-
pair markets will be listed in the appropriate category, and existing
country-pair markets may be transferred between categories.
(c) Air carriers and foreign air carriers are exempted from the
duty to file governing rules tariffs containing general conditions of
carriage with the Department of Transportation, as required by 49
U.S.C. 41504 and 14 CFR part 221. An initial description of the general
conditions of carriage will be included in the Assistant Secretary's
notice.
(d) Notwithstanding paragraph (c) of this section, air carriers and
foreign air carriers shall file and maintain a tariff with the
Department to the extent required by 14 CFR Sec. 203.4 and other
implementing regulations.
(f) Authority for determining what rules are covered by paragraph
(c) and for determining the filing format for the tariffs required by
paragraph (d) is delegated to the Director of the Office of
International Aviation.
Sec. 293.11 Required statement.
Each governing rules tariff shall include the following statements:
(a) ``Rules herein containing general conditions of carriage are
not part of the official U.S. D.O.T. tariff.''
(b) ``The rules and provisions contained herein apply only to the
passenger fares and charges that the U.S. Department of Transportation
requires to be filed as tariffs.''
Sec. 293.12 Revocation of exemption.
(a) The Department, upon complaint or upon its own initiative, may,
immediately and without hearing, revoke, in whole or in part, the
exemption granted by this part with respect to a carrier or carriers,
when such action is in the public interest.
(b) Any such action will be taken in a notice issued by the
Assistant Secretary for Aviation and International Affairs, and will
identify the tariff matter to be filed, and the deadline for carrier
compliance.
(c) Revocations under this section will have the effect of
reinstating all applicable tariff requirements and procedures specified
in the Department's Regulations for the tariff material to be filed,
unless otherwise specified by the Department.
Subpart C--Effect of Exemption
Sec. 293.20 Rule of construction.
To the extent that a carrier holds an effective exemption from the
duty to file tariffs under this part, it shall not, unless otherwise
directed by order of the Department, be subject to tariff posting,
notification or subscription requirements set forth in 49 U.S.C. 41504
or 14 CFR part 221, except as provided in Sec. 293.21.
Sec. 293.21 Incorporation of contract terms by reference.
Carriers holding an effective exemption from the duty to file
tariffs under this part may incorporate contract terms by reference
(i.e., without stating their full text) into the passenger ticket or
other document embodying the contract of carriage for the scheduled
transportation of passengers in foreign air transportation, provided
that:
(a) The notice, inspection, explanation and other requirements set
forth in 14 CFR 221.107, paragraphs (a), (b), (c) and (d) are complied
with, to the extent applicable;
(b) In addition to other remedies at law, a carrier may not claim
the benefit under this section as against a passenger, and a passenger
shall not be bound by incorporation of any contract term by reference
under this part unless the requirements of paragraph (a) of this
section are complied with, to the extent applicable; and
(c) The purpose of this section is to set uniform disclosure
requirements, which preempt any conflicting State requirements on the
same subject, for incorporation of terms by reference into contracts of
carriage for the scheduled transportation of passengers in foreign air
transportation.
Sec. 293.22 Effectiveness of tariffs on file.
(a) Ninety days after the date of effectiveness of the Assistant
Secretary's notice, passenger tariffs on file with the Department
covered by the scope of the exemption will cease to be effective as
tariffs under 49 U.S.C. 41504 and 41510, and the provisions of 14 CFR
part 221, and will be canceled by operation of law.
(b) Ninety days after the date of effectiveness of the Assistant
Secretary's notice, pending applications for filing and/or
effectiveness of any passenger tariffs covered by the scope of the
exemption, will be dismissed by operation of law. No new filings or
applications will be permitted after the date of effectiveness of the
Assistant Secretary's notice except as provided under Sec. 293.12.
Issued in Washington, DC, on February 27, 1997.
Charles A. Hunnicutt,
Assistant Secretary for Aviation and International Affairs.
[FR Doc. 97-5361 Filed 3-7-97; 8:45 am]
BILLING CODE 4910-62-P
