
From the U.S. Code Online via GPO Access
[wais.access.gpo.gov]
[Laws in effect as of January 23, 2000]
[Document affected by Public Law 107-71 Section 116]
[CITE: 49USC41309]

 
                        TITLE 49--TRANSPORTATION
 
                     SUBTITLE VII--AVIATION PROGRAMS
 
                     PART A--AIR COMMERCE AND SAFETY
 
                     subpart ii--economic regulation
 
                 CHAPTER 413--FOREIGN AIR TRANSPORTATION
 
Sec. 41309. Cooperative agreements and requests

    (a) Filing.--An air carrier or foreign air carrier may file with the 
Secretary of Transportation a true copy of or, if oral, a true and 
complete memorandum of, an agreement (except an agreement related to 
interstate air transportation), or a request for authority to discuss 
cooperative arrangements (except arrangements related to interstate air 
transportation), and any modification or cancellation of an agreement, 
between the air carrier or foreign air carrier and another air carrier, 
a foreign carrier, or another carrier.
    (b) Approval.--The Secretary of Transportation shall approve an 
agreement, request, modification, or cancellation referred to in 
subsection (a) of this section when the Secretary finds it is not 
adverse to the public interest and is not in violation of this part. 
However, the Secretary shall disapprove--
        (1) or, after periodic review, end approval of, an agreement, 
    request, modification, or cancellation, that substantially reduces 
    or eliminates competition unless the Secretary finds that--
            (A) the agreement, request, modification, or cancellation is 
        necessary to meet a serious transportation need or to achieve 
        important public benefits (including international comity and 
        foreign policy considerations); and
            (B) the transportation need cannot be met or those benefits 
        cannot be achieved by reasonably available alternatives that are 
        materially less anticompetitive; or

        (2) an agreement that--
            (A) is between an air carrier not directly operating 
        aircraft in foreign air transportation and a carrier subject to 
        subtitle IV of this title; and
            (B) governs the compensation the carrier may receive for the 
        transportation.

    (c) Notice and Opportunity To Respond or for Hearing.--(1) When an 
agreement, request, modification, or cancellation is filed, the 
Secretary of Transportation shall give the Attorney General and the 
Secretary of State written notice of, and an opportunity to submit 
written comments about, the filing. On the initiative of the Secretary 
of Transportation or on request of the Attorney General or Secretary of 
State, the Secretary of Transportation may conduct a hearing to decide 
whether an agreement, request, modification, or cancellation is 
consistent with this part whether or not it was approved previously.
    (2) In a proceeding before the Secretary of Transportation applying 
standards under subsection (b)(1) of this section, a party opposing an 
agreement, request, modification, or cancellation has the burden of 
proving that it substantially reduces or eliminates competition and that 
less anticompetitive alternatives are available. The party defending the 
agreement, request, modification, or cancellation has the burden of 
proving the transportation need or public benefits.
    (3) The Secretary of Transportation shall include the findings 
required by subsection (b)(1) of this section in an order of the 
Secretary approving or disapproving an agreement, request, modification, 
or cancellation.

(Pub. L. 103-272, Sec. 1(e), July 5, 1994, 108 Stat. 1129; Pub. L. 104-
88, title III, Sec. 308(l), Dec. 29, 1995, 109 Stat. 948; Pub. L. 104-
287, Sec. 5(71), Oct. 11, 1996, 110 Stat. 3396.)

                                          Historical and Revision Notes
                                                 Pub. L. 103-272
-------------------------------------------------------------------------------
---------------------------------
           Revised  Section                    Source (U.S. Code)              
 Source (Statutes at Large)
-------------------------------------------------------------------------------
---------------------------------
41309(a)..............................  49 App.:1382(a)(1).              Aug. 2
3, 1958, Pub. L. 85-726, 72 Stat.
                                                                          731, 
Sec.  412(a), (b); added Oct. 24,
                                                                          1978,
 Pub. L. 95-504, Sec.  28(c), 92
                                                                          Stat.
 1729; Feb. 15, 1980, Pub. L. 96-
                                                                          192, 
Sec.  11, 94 Stat. 39.
                                        49 App.:1551(a)(6) (related to   Aug. 2
3, 1958, Pub. L. 85-726, 72 Stat.
                                         49 App.:1382).                   731, 
Sec.  1601(a)(6) (related to Sec.
                                                                           412)
; added Oct. 4, 1984, Pub. L. 98-
                                                                          443, 
Sec.  3(c), 98 Stat. 1704.
                                        49 App.:1551(b)(1)(C) (related   Aug. 2
3, 1958, Pub. L. 85-726, 72 Stat.
                                         to 49 App.:1382(a)).             731, 
Sec.  1601(b)(1)(C) (related to
                                                                          Sec. 
 412(a), (b)); added Oct. 24,
                                                                          1978,
 Pub. L. 95-504, Sec.  40(a), 92
                                                                          Stat.
 1745; Oct. 14, 1982, Pub. L. 97-
                                                                          309, 
Sec.  4(b), 96 Stat. 1454; Oct.
                                                                          4, 19
84, Pub. L. 98-443, Sec.  3(a),
                                                                          98 St
at. 1703.
41309(b)..............................  49 App.:1382(a)(2)(A).
                                        49 App.:1551(a)(6), (b)(1)(C)
                                         (as 1551(a)(6), (b)(1)(C)
                                         relates to 49 App.:1382(a)).
41309(c)(1)...........................  49 App.:1382(b).
                                        49 App.:1551(a)(6), (b)(1)(C)
                                         (as 1551(a)(6), (b)(1)(C)
                                         relates to 49 App.:1382(b)).
41309(c)(2)...........................  49 App.:1382(a)(2)(B).
41309(c)(3)...........................  49 App.:1382(a)(2)(C).
                                        49 App.:1551(a)(6), (b)(1)(C)
                                         (as 1551(a)(6), (b)(1)(C)
                                         relates to 49 App.:1382(a)).
-------------------------------------------------------------------------------
---------------------------------

    In this section, the word ``contract'' is omitted as being included 
in ``agreement''.
    In subsection (a), the words ``(whether enforceable by provisions 
for liquidated damages, penalties, bonds, or otherwise)'' are omitted as 
surplus. The words ``(except an agreement related to interstate air 
transportation)'' and ``(except arrangements related to interstate air 
transportation)'' are added because of 49 App.:1551(a)(6) (related to 49 
App.:1382). The word ``working'' is omitted as surplus. The words ``in 
force on October 24, 1978, or thereafter entered into'' are omitted as 
executed. The words ``and any modification or cancellation of an 
agreement'' are substituted for ``or any modification or cancellation 
thereof'' for clarity and consistency.
    In subsection (b), before clause (1), the words ``The Board shall by 
order disapprove any contract, agreement, or request . . . that it finds 
to be adverse to the public interest or in violation of this chapter'' 
are omitted as surplus because of the language restated in this 
subsection that sets out the requirements for approval by the Secretary 
of Transportation before the antitrust exemption is effective. The words 
``whether or not previously approved by it'' are omitted as surplus 
because of the language in clause (1) requiring periodic review and 
continuing approval. The words ``by order'' are omitted as unnecessary 
because of 5:ch. 5, subch. II. The text of 49 App.:1382(a)(2)(A)(iii) is 
omitted as obsolete because of 49 App.:1551(a)(6) (related to 49 
App.:1382).
    In subsection (c)(1), the words ``in accordance with regulations 
which it prescribes'' are omitted as surplus. The words ``in accordance 
with regulations prescribed by the Board'' are omitted as surplus.


                             Pub. L. 104-287

    This amends 49:41309(b)(2)(B) for consistency in the subsection.


                               Amendments

    1996--Subsec. (b)(2)(B). Pub. L. 104-287 substituted ``carrier'' for 
``common carrier''.
    1995--Subsec. (b)(2)(A). Pub. L. 104-88 substituted ``a carrier'' 
for ``a common carrier''.


                    Effective Date of 1995 Amendment

    Amendment by Pub. L. 104-88 effective Jan. 1, 1996, see section 2 of 
Pub. L. 104-88, set out as an Effective Date note under section 701 of 
this title.

                  Section Referred to in Other Sections

    This section is referred to in sections 41101, 41110, 41308, 41503, 
41710, 42111 of this title.
