East-West Airlines (Operations) Ltd v Wraith, Kenneth F
[1983] FCA 98
•23 May 1983
CATCAWORDS
| J u d i c j a l | Review | - | Adminis t ra t ive | Pe 'c is jons | (Jur3jcial | Review) |
| Act | 1977 - | approva l of | d i s c o u n t a i r fare reques ted | - | c o n t e n t s |
| of | r e q u e s t | - | power | of | C o m m i t t e p | t o | impose | c o n d i t i o n s | - |
Independent A i r F a r e s Comrnlttee A c t 1983.
| Admin i s t r a t jve Decisions | ( J u d i c i a l | Rev iew! | Act | 1977 | ~ 7 . 5 , | 17. |
| Independent A i r P a r e s Committee Act | Iq81 ss.3,12,16,17,26. |
| EAST-WEST | A I R L T N E S | (OFERATTONS) LTD. V . KENNCTH F. | WRAITH, |
| i | - |
| D R . | D.W. | Z I N I C | and | IIOKJ. | K . M . | C A I R N S | i n t h e i r c a p a c i t y | a s |
| - | - | --- |
members of t h e INDEPFFDENT J T R FARES COYYTTTEF.
| VG No. | 54 of 1 9 R 3 |
| Smi thers | J. |
23 May l9R3
Melbourne.
| V I C T O R I A | D T S T R i C T | R E G I S T R Y | VG No. | 5 4 of 1093 |
| I | 1 |
| G E N E R A L | D T V I S J O N | \ |
!
| Between: | E A S T WFST | ?IFLIP.rES |
| ? O P E R A T I O \ l S \ | L T D . |
(app? icant)
| And : | KFMVETH | F. | W P A I T H , |
| - | DR. D.W. | ?TV!< and |
| HnN. | K.X. | C A T P V S in |
thejr capacity a s
mmnhers of the
(Respondents1
| J u d q e Makinq Order: | Smithers J. |
| Date of Orger: | 23 March 1983 |
| Where MaPe: | Me1 bourne |
O R D E R
| THE COURT | ORDERS | THP-T: |
1. The applicatjon be dismissed.
| 2. The | applicant pay the | respondents' | costs | of the |
appljcation.
l
i
| VG N o . | 5 4 of lQQ7 |
| Between: | E A S T VJrST ATRL, IMES |
| .. | f O P E R A T T O X S 7 | 1,Tn. |
(Applicant)
| And: | - | KENN'ZTH F. WRAITH, | ||
| ||||
| ||||
| their capacity as members o f the |
(ResponAentsl
| Coram: | Smithcrs J. |
23 May 1'387
Melbourne
| This 1 s an application to review a decision | of the |
respondents made F, March l"R3 pursuant to S . 1 7 f 4 1 of the
.
| Tndependent Air Fares - | CommiCtce Act. 1 Q R 1 (the Act), the | -- |
decision heinq that approval be qranted by the respondents (the Committee) to the applicant to charge a discount air fare of '$120 on the round trjp originatjnq jn Sydney or Melbourne on the route Me1 b"urne/Albury/Sy?ney during the
| period | March 1 9 x 3 to 30 Anrll | 3 9 x 3 . |
2.
The applicant is agqrjeved by the imposition of the
time limitation. It seeks a declaration that the limitation
1 s void and of no effect, and that the appllcant is entitled
to continue to charqe the said discount air fare for the relevant service until the approval is revoked pursuant to
| s.17(6! of the Act. | It seeks this relief under ss.5 and 16 |
of the Administrative Decisions (LTudir!:ial Review) Act 1977.
| ! | The applicant has for some time | operated an air |
| service between Sydney | and Alhury an? between Albury ancl |
Melbourne. A passenger who wished to travel from Sydney to Melbourne would pay the fare determined by the respondents in respect of the services from Sydney to Al.bury and from Alhury to Melbourne, the total fare heinq substantially in excess of s 1 2 0 . 0 0 . In February 1 qR3, thc applicant, f l e s j rinq to
introduce a service from Sydney to Melbourne at a fare which would represent a discount on the fare othcrw~ se payahle hy
| passenqcrs travellinq that | journey, sent a telex to the |
respondents dated 23 February 19R3 commencing with the words,
"Application in Accordance of Section l7 of the T A F C Act for Approval of a Di scount Air Fare". Tnter alia the trlex .
contained information to the effect that. thc route w a s
Melbourne/Sydney/Melhourne, hy FokPer P77 aircraft, that the
fare was S120 for a round trip, renresentinq A?.35? of currently approved cconomy fare. The telex advisecl that the proposed discount fare would he applied to services cond~~cted
b
| l | 3 . |
| L |
V
hy the appljcant over the route Melhourne /4 lbury /Sydney. Tt asserted that the justification for approval of the Alscount air fare was that It would constitute incremental revenue to augment the low load factors currently beinq achieved on route. It asserted that the jncrsment-a1 revenue would ensure the maintpnance of the perceived minimal level of air service desired over the route hy improvinq viability and that the approval of the discount air fare could have no effect on the level of approved economy air fares charcred by Ansett and the Australian National Airlines Commission in respect of thelr non-stop turbo jet aircraft on the route. It jndicatecl that the discount airfare would be sold only in respect of round
| trips originating from Sydney or Velhourne and that | it |
desired to introduce the approved discount fare as from March
1, 1983.
| On | 25 | February | 1 q R . 7 | the .Committee advised the |
applicant that it had given preliminary consideration to the request and that to fulfil its responsthiliti~s under the
IAFC Act it requjred certain addjtional informat-ion. Yhjrteen
items of information were requjred, i-ncludinq the load factor for the past six months on the Melhourne/Alhury, Sydney /Albury rout.es the numbrr of passengers and passenger type
who have travelled on a round trip oriqinatinq in Melhourne
or Sydney in the past six months, the applicant's estimate o f the numher of passenqers who would avail themselves of the proposer? discount, the applicant's anticipaCion of the
. . .
. .
4.
| d i l u t i o n | r a t e | from | passcnqers | w h o | c u r r e n t l y | u t j l i z e | t h e |
| r e t u r n | r o u t e | on | i t s | services, | t h e a p p l . j c a n t ' s o n t i c i p a r i o n | of |
| t h e | d i l u t i o n | r a t e | from | passengers | who | c u r r e n t l y | u t i l i z e | t h e |
| one-way | journey e i ther Melbourne t o Sydney or Sydney t o |
| M e l b o u r n e | b y | f a r e | t y p e | o n | t h e | a p p l i c a n t ' s | s e r v i c e s , | w h e t h e r |
| I | a d d i t i o n a l | services would | be | provided because | of | the d i s c o u n t |
| ra te , | whether | any | s e a t i n g | r e s t r i c t i o n | would | app ly , | wha | t | t he |
| a p p l i c a n t ' | a n t i c l p n t e d | h i s | competitor's | response | would | be | i f |
| I | the | d i s c o u n t | were | approved , | and | the | a p p l i c a n t ' s | a n t i c i p a t i o n |
| of | i t s cos t / r evenue | r e s u l t | from | the | d i s c o u n t | to | be | ~f | i t s |
| competitors were | t o lnatch the f a r c . | J t e m s | 1.1 | a n d | 1 7 were | i n |
| the | fo l lowinq | form: - |
| " ( 1 1 1 | For what | per iod | of | time | d o you | a n t i c i p a t e |
| t h e d i s c o u n t | will | be | e f f e c t i v e ? |
| (12' | What | d o | y o u | a n t i c i p a t e | will | he | t h e | n e t |
| revenue gained | from | the p roposed d i scoun t? |
| P l e a s e p r o b - i d e f u l l | details." |
| On | 2 5 February 19Q3 t h e | a p p l | j c a n t | r e p l i e d | t o | t h e s e |
| e n q u i r i e s . | I n | answer | t o item | 1 1 t h e | a p p l i c a n t | s t a t e d : |
| " ( 1 1 ) | T r i a l per iod | t o 3 0 | April. | I Q 9 - 4 | w i t h | o F t i o n |
| t o | e x t e n d | o n | s a v e | o r | v a r i a b l e | b a s i s |
| sub jec t t o | n e o o t i a t i o n | o f | TAFC" |
| i n respect | of | item | I:! | t he a p p l i c a n t s t a t e d : |
| " ( 1 2 ) | 600 RT | f a r e s monthly | nrosses | D L W | 144,000 |
| Mar/Apr | 1 ess | commissions | and | advert is jnq |
| l e a v e s DLRS | qP,000 | n e t a a i n , | less | i n + l i q h t |
| costs and PSGR overheads | 1-eaves | n e t | DLRS |
| 93,000 qa in ." |
| The | app l i can t a l so s t a t e d t h a t | it | be1 icverl | competitors would |
| n o t be | ahl e | t o ma tch | t he | fare | u n l e s s | they | adop ted | t he | same |
| COndlti.onS | a s L?os t /N~st inclu?i.na | a | chanqe of | a i r c r a f t or |
', I
4 . S.
| . | crew and a p p l i c a n t | f l i g h t | number | a t Albury. | It | a d v i s e d | t h a t | t h e |
| was | aiminq | t o | r e a c h | p r i c e | s e n . ; i t i v e | t r a v e l l e r s | who |
| c i t h e r uso'l | o t h e r means | of | t r a n s p o r t o r | who | cou ld | no | t | a f fo rd |
| t h e j e t Committee | f a r e s | on | t h e | d l r e c t | r o u t e . | On | 1 March | 1093 | t h e |
| requeqted | further | informat-Ion, | namely, |
| (1) | what | specif ic | f1inht .s | formed | t h e hasls | of | t h e |
| appl icant. ' S | estimat-e: | and |
| (21 | if a c l d l t i o n a l | f l i a h t s | w e r e | necessa ry . |
| On | 1 | March | 1 9 8 3 | t h e | a p p l i c a n t | a d v i s e d | t h a t | i t s |
I
| r s t i n a t e s were based | on | March | 5 | lC)F13 scbedu lcs | and | t ha t | i t |
| a n t i c i p a t e d | c a p a c i t y | b e i n g | aAd?d | t o | an | aqqr twate | of | t h r e e |
| ! | round | t r i p | s e r v i c e s | d a i l y | w i t h | u p | t o | f o u r | r o u n d | t r i p s | d a i l y |
| a 5 | t r a f f i c | d e v e l o p e d . | O n | 3 | March | 1923 | t'7e | a p p l i c a n t , | i n |
| answer | t o | a | t e l e p h o n e | i n a u i r y | from | t h e | Committee | suppl i e d |
| in format ion | a s | t o t h e p r o p o s e d f r e q u e n c i e s . |
| : | On 8 March | 19'33 | t h e | Committee | informed | t h e a p p l i c a n t , |
| as | fo l lows : - |
| "I r e f e r s u p p o r t i n s | t o | y o u r | t e l e x e s | of | 37, | 2 5 February, | 1 |
| and | 2 | March | 1 9 O 7 | r e q u e s t i n o | a p p r o v a l | wi | t h |
| d e t - a i l s | of o r i g i n a t i - n q | Droposed | d i scoun t | f a r e | of |
| S 1 2 0 | o n | t h e | r o u n d | t r j p | i n | S y d n e y | or |
| Mel .bourne | over | thP | Route Melbourne-Alhury - |
| Sydney | on | P37 a i r c r a f t . |
| I wish t o | a d v i s e | t h a t | f o l l o w i n q | c o n s i d e r a t i o n | of |
| t h e | i n f o r m a t i o n | p r o v j r l e d , | t h 2 | C o m m i t t e e | h a s |
| approved, | under | s . 1 7 f 4 ' | of | t h e | TAFC | A c t , | t h r |
| above | d i scoun t | f a r e | 011 | t h e | f o l l o w i n g c o n d j t i o n s : " |
| The | cond i t ions i nc lu r l ed t he fo l | 1 owinq: |
| (1' | a | d i s c o u n t | f a r e | of | $120.00 | f o r | r e t u r n |
| t r a v e l | ~ e l h o u r n e / ~ y d n e y | f o r | v i c e | v e r s a ) |
| ava l lab- . !p | wi | tb | ln | tFe | p ~ r l o d | R March to 3 0 |
6.
| A p r i l | 1087 | j n c l u s i v c . |
| 9 d d i t i o n a l c o n d i t i o n s w e r e t h a t t h e | service | would | be | prnvided |
| on F27 t h a t t h e f a r e | a i r c r a f t . | o n l y | on | t h e | r o u t e | MelhournefAlburylSydney, |
| would | be | a v a i l a b l e | on 30 A n r i l | a | r e t u r n basis | on ly , | each |
| r e t u r n xourney | to | be | comple | ted | by | 1 Q23, | t h a t | it | was |
| a v a i l a b l e | on | 25 | r e t u r n | f l i q h t s | a | week | SydneyfAlbury | and |
| 1 | e l e v e n | r e t u r n | f l i q h t s | p e r | week | Melbourne/42burp, | that | no |
| i |
| o t h e r | d i s c o u n t s | w e r e | a p p l i c a b l e , | t h a t | EWA | e n s u r e d | t h a t | t h e |
| c o n d i t i o n s | were | c l e a r l y | o u t l i n e d | i n | a d v e r t l s i n q | and | a t | t h e |
| time o f | r e s e r v a t i o n o r | s a l e | o f | t i c k e t s . | I t was | also a | s t a t e d |
| c o n d ~ t i o n | t h a t | t h e | a p p l i c a n t | p r o v i d e | f o r t n i g h t l y | r l e t a l l s | of |
| i t s | r e s u l t s | o f | t h e | d i s c o u n t | f a r e s | i n c l u d i n a | e s t j m a t e s | of | t h e |
| source of d j | s coun t | pas senge r s | ca rT ied . | The | Committee | a 1 so |
| a d v i s e d | t h a t | i n | r e a c h i n g | i t s | d e c i s j o n | it | n o t e d | i t s |
I
| r e s p o n s i b i l i t y | u n d e r | t h e | A c t | t o | b e | s a t i s f i e d | t h a t | t h e |
| i n t r o a u c t j o n | o f | a | proposed | d i scount | fa re | was | u n l j k e l y | t o |
| r e s u l t | i n | economy | a i r | f a r e s | i n | r ' e s p e c t | of | a i r | s e r v j | ces |
| pr0viclP.d | by | any | t runk | rou | te | ope ra to r | ove | r | t runk | rou te s | 1 w i n q |
| i n c r e a s e d . |
| It was | submi t ted | by | Mr. | L i d d e l l | f o r | t h e | a p p l j c a n t |
| t h a t t h e e f f e c t | of | t h e | communica t ions | s e t | o u t | a b o v e | was | t h a t |
| t h e Committee had | approved | t he | i n r roduc t ion | by | t he | app l i can t |
| of | t h e | d i s c o u n t | a i r | f a r e | a t t h e | amount | proposed , | accor r l inq ly |
| the | app l | l can t | might. | l a w f u l l y | c h a r q e | t h a t | r a t e | u n t ~ | l | t h e |
| approva l was | r evoked | pu r suan t | t o | S . l7(6) | of | the | Ac t . | H e |
| po in t ed | o u t | t h a t | t h e | Commjttec | ha3 | purported | t o mak- | i t s |
| ! | L |
| i *. | |
| . * |
| a p p r o v a l | c o n d i t i o n a l | i n t h e | sense t h a t l t was | t o e x p i r e | on | ?D |
i
| A p r i l . | I l e | c o n t e n d e d | t h a t | t h e | a t t e m p t | t o | i m p o s e | t h a t |
| c o n d i t i o n | wrls | i n v a l j d | and revoked . | i n e f f e c t i v e , | and | t h a t | t h e | a p p r o v a l |
| should | remain | in | force | un t i l . | I t | w a s | a | q n p s t i o n , | h e |
| said, | a s | t o | w h e t h e r | t h e | c o n d i t i o n | was | " seve rab le" | f rom | the |
I
| approva l . | He | con tended | t ha t | r evoca t ion | of | an | hpproval | was t o |
| be | ach | ieved | th rouqh | processes | descr ihc4 | i n s . 1 7 f 5 ) and | f f i ) | o f |
| t h e | A c t . | N o | such | r evoca t ion | has | a s | y e t | o c c u r r e d . |
| All | t h i s | d e p e n d s | upon | t h e p r o p e r c o n s t r u c t i o n | of | s.17 |
| of | t h e A c t . | That | s e c t i o n m u s t o f course h e | c o n s t r u e d | j n | t h e |
| I | c o n t e x t | i n | w h i c h | it | s t a n d s , | n a m e l y | t h e | o t h e r | p r o v i s j o p s | of |
| the | Act . | The | A c t i s c a l l e d , | "An | Act | t o | e s t a b l i s h | a | Commlttee |
| t o | r e v i e w t h e h - s i s | on | which | c e r t a i n d o m e s t i c p a s s e n q e r f a r e s |
| a r e det-ermined | and | t o | de te rmjne | t hose | domes t i c | pas senae r | air |
| f a r e s " . | I n P a r t | I1 of | t h e Act | the | Comnl t tee | i s | e s t a b l i s h e d . |
| I n P a r t t h a t t h e f u n c t i o n s | 111 | i ts | f u n c t i o n s | are | s t .a tea . | Sec t jon | 1 2 ( 1 ) | p rov ides |
| of | t h e | Committee | a r e , |
| ( a ) | t o | c o n d u c t , | i n | a c c o r d a n c e | w i t h | t h i s | A c t | c o s t |
| a l l o c a t i o n | r e v i e w s | ... |
| ( b ) | t o conduct , | ... m a j o r | a i r | f a r e | r e v i e w s | a n d | m i n o r |
| a i r | f a r e | r e v l e w s : |
| ( c ) | a f t e r | comple t jon | o f | each | ma2or | a i r | f a r e s | r e v i e w | or |
| m i n o r | a i r | f a r e s | r e v i e w | t o | d e t e r m l n e | t h e | amount | o r |
| t h e | economy | a i r f a r e s | t h a t | a r e | t h e | s u b j e c t | of | t h e |
| review | . . . |
| ( c l ) | t.0 | a p p r o v e . | i n | a c c o r d a n c e | w i t h | t h i s | A c t , | proposed |
| d i s c o u n t a i r f a r e s | . . . " |
| It | i s t h e | e f f e c t | of | s . 1 5 1 1 ) | t h a t upon | r e q u e s t hy | a | passenqer |
| o p e r a t o r | a | major | a i r | f a r e | r e v i e w | is | under t aken | hy | t he |
1
| Committee | and | t h e economy | f a r e s | t h a t | may | he | charqed | or |
1
| rmoposed | t o be | cFarqeP | i n r e s p e c t | of | spec i f l e r l | a i r s e r v i c e s |
.
| + | R . |
.
| are | de te rmined | by | t h e Committee. | Section | 1 6 | p r o v i d e s | t h a t | a |
| minor a i r fares revlew i s conducted unon a | r e q u e s t hy a |
| passenge r | ope ra to r | who | s e e k s | a | review | i n | r e s p e c t | of | a |
| proposed | increase | o | f | no t | more | than | 5 per | centum | i n an | economy |
| a i r | f a r e . | I n | t h e | a b s e n c e | of | such | a | r e q u e s t | t h e | Committee mav |
| not | conduct | a | m i n o r | a i r f a r e s r e v i e w . |
| Pursuant t o s.17(1) | of | t h e | A c t ' a | p a s s e n q e r | o p e r a t o r |
| may | r e q u e s t t h e | Committee | t o approve | a | d i s c o u n t a i r f a r e t h a t |
| the | ope ra to r p roposes | t o | c h a r q e i n r e s p e c t o f t r a v e l o v e r a n y |
| : | r o u t e . | S e c t i o n | 1 7 | i s | i n | t h e | € o l l o w i n q | terms:- |
| "Approval | of | d i s c o u n t f a r e s |
| 1 7 . | f l ) | A | p a s s e n a e r | o n e r a t o r | m a y , | i n |
| a c c o r d a n c e | w i t h | s u b - s e c t j o n | f 2 ) , | r e q u e s t | t h e |
| C o m m i t t P e | t o | approve | n | d i s c o u n t | a i r f a r e t h a t t h e |
| p a s s e n q e r | o n e r a t o r | p r o p o s e s | t o | c h a r q e | i n | r e s p c c t |
| of | t r ave l | ove r any | route. s u b - s e c t i o n |
| ( 2 ) | A | r e q u e s t | u n d e r | f 1) | i n |
| r e l a t i o n | t o | a | p r o p o s e d | d i s c o u n t | a i r | f a r e | i n |
| r e s p e c t | of | t r a v e l | o v e r | a | r o u t e | s h a l l | h e | made | by |
| n o t j c e | i n | w r j t i n q | q i v e n | t o | t h e | Chairman | s e t t l n s |
| o u t - |
| (a) | w h i c h e v e r | o f | t F e | f o l l o w i n g | a m o u n t s | i s |
a p p l i c a b l e :
| i n a | c a s e t o | which | su?-~p.~raqraph ( i i ) does |
| n o t | a p p l y | - | t h e | amount | (expresser1 | as | a |
| p e r c e n t a g e | of | t h e | e c o n o n y | a i r | f a r e s |
| charqed by t he | pas sen r Je r | ope ra to r | ove r |
| t h a t | r o u t e 1 | of | t h e | p r o p o s e d | d i s c o u n t | a l r |
| f a r e : | or |
| j n | t h e | c a s c | o f | a | r e q u e s t | by | a | pac,s?nqer |
| operator, | o t h c r | t h a n | 9 n s e t t | o r | t h e |
| Commissjon, | i n | r e s p e c t | of | t r a v e l | o v e r | a |
| t runk rou te ove r wh ich bo th Pnse t t | and | t h e |
| C o m m l s s i o n | p r o v i d c | a l r | s e r v i c e s | - | the |
| amount | frxpresserj | a s a | percen taqe of | t h c |
1
,.
9.
| i | purposes of sub-section 26f1). approved economy air fares that are, for the |
| air fares i.n relation to Pmsett and the Commission in relation to that route) of the proposer! discount air fare: and |
| (b) the proposed 6iscount air fare | conditions | (if | any) | under which the |
| is | to | he |
availabl e.
| ( 3 ) | Where a passenqer onerator requests the |
| ! | Committee to approve a discount alr f a r e , thc Committee shall, before the expiration of 7 days after the Committee obtains such information as it considers necessary to be ohtaine? from the passenger operator who made the request or from | |
| ||
| l | decision on the request. |
| ( 4 ) | If the Committee js satjqfied that - |
| (a’ the profitabi1it.y of the operat~ons of that passenoer operatof in relation to the provision of air services: | introduction of that proposed discount |
| air | fare | is | likely | to improve | the |
| (b) | the lntroduction of that proposed discount alr fare is unlikely to result in economy | |||
| ||||
| provided by any trunk route operator over trunk routes bclnq increased: and | ||||
| (C) |
| |||
| ||||
|
applied without discrimination between
| |||
| comply with the conditions, |
| the Committee shall approve the | proposed discount |
air fare hut, if the Commit.tee .is not s o satisfied, the Committee shall. not approve the proposed discount air fare.
(5) Where -
| (a) | the Committee has approved, 1n relation to a passcnqer operator, a eiscount air fare | |
|
| (b) any passenger operator | qjves | notice | in |
| wrlting to the Cha3rman | requestinq the |
| Committee to conduct | R review of the |
n -
10.
| a v a i l a b i l ~ t y | of | t h a t | d i s c o u n t | a i r | f a r e | o r |
| t.he | Committee | i s | s a t i s f i e d | t h a t | it | i s |
| d e s i r a b l e | t o | c o n d u c t | a | r e v i e w | o f | t h e |
| a v a i l a b i l i t y of | t.hat | discount. | a i r f a r e , |
| t h e | Committee | s h a l l d i s c o u n t | c o n d u c t | a | revjew | of | t h e |
| a v a i l a b i l i t y | o f | t h a t | a i r | f a r e | ancl | s h a l l |
| c o m p l e t e | t h e | r e v j e w | b e f o r e | t h e | e x p i r a t i o n | of | l A |
| d a y s a f t e r | t h e | Committee | obtains | such | inFormntion |
| as | it cons ide r s | necessa ry | t.o | be | oh ta ined | i n o r d e r |
| t o comple te | the | rev | iew. |
| I | ( 6 ) bfiere - |
| ( a ) | t h e | Committee | conducts | a | review OF t h e |
| a v a i l a h i l j t y | of | a | d i s c o u n t | a i r | c a r e | t h a t |
| was, | i n | r e l a t j o n | t o | a | p a s s e n q e r | o p e r a t o r , |
| approved | by | the | Committee | i n accordance |
| w i t h | t h l s | s e c t i o n : | a n d |
| (b) | the | Committee | - |
| (i.) | i s | satisfied | t h a t , | i € t h e | C o m m i t t e e |
| revoked | the | approval | of | t h a t d i s c o u n t | a i r |
I
| f a r e , t h e p r o f i t a b i l i t y | of | t h e o p e r a t i o n s |
| of | t h a t | p n s s e n s e r | o p e r a t o r | i n | r e l a t i o n t o |
| t h e p r o v i s i o n | of | a i r s e r v i c e s | would | n o t he |
a d v e r s e l y a f f e c t e d :
| ( ii) i s a v a i l a h i l i t y o f t h a t d i s c o u n t a i r f a r e | n o t | s a t i s f i e d | t h a t | t h e | c o n t i n u e ? |
i S
| u n l i k e l y | t o | r e s u l t | i n | a n y | economy | a i r |
| f a r e s | i n r e s p e c t | of | a i r | s e r v i c e s | p r o v i d e d |
| by | a | t r u n k | r o u t e | o p e r a t o r | o v e r | t r u n k |
| I | rou te s | bp | inq | i nc reaspd : | or |
| f i i i l i s a n y ) u n d e r w h i c h t h a t . | n o t | s a t i s f l e d | t - h a t d i s c o u n t a i r | t h e | c o n d i t i o n s | ( i f |
| f a r e | i s |
| a v a i l a b l e | a r e | r e a s o n a b l e | or | a r e | h c i n g |
| a p p l i e d | w i t h o u t | r? i scr imina t ion , |
| t h e Committee | s h a l l , | by | n o t i c e | i n | w r i t i n q | q i v e n |
| b y | t h e | C h a i r m a n | t o | t h a t | p a s s p n q e r | o p e r a t o r , |
| r e v o k e | t h e | a p p r o v a l | o f | t h a t | d i s c o u n t | a i r | f a r c |
| and, where s h a l l he | SUC? | a | n o t i c e | i s q i v e n , | t h e | Commit-t.ee |
| decmecl | n o t | t o | h a v e | a p p r o v e d | t h a t |
| d i s c o u n t | a i r | f a r e . |
| (7) | In | conduc t ina | a | review of | a | d i s c o u n t | a i r |
| f a r e | i n | a c c o r d a n c e | with | t h i S | s e c t i o n , | t.he |
| Committee | s h a l l | h a v e | r e q a r r ! | t o | t h e | f a c t | t h a t | a |
| d i s c o u n t | a i r | f a r e | app roved | by | t he | Commi t t ee | I n |
| r e l a t i o n | t o | a | Fassenqe r | ope ra t -o r | i n | r e snec t | of |
| t r a v e l | ovpr | a | r o u t - | may | he | cha rqe? , | i n | acco | rdance |
| w i t h t h i s | A c t , | b y a n y o t h e r p a s s e n q c r o p e r a t o r | j | n |
| r e s p e c t o f t r a v e l o v e r t h a t r o u t e . | I' |
| S e c t i o n | 2 6 | p r o v i d e s | a | M i n i s t c r i a l | s a n c t i o n | i n | t h e |
| n a t u r e | o f | an | excl.usion | from | t h e | u s e | o f | c e r t a j n | a i r f i ~ l d s |
| where | an | opera tor | charqes , | demands , | co l lec ts | o r | rece ives |
| economy | a i r | f a r e s | t h a t | a r e | n o t | approved | a i r | f a r e s | o r | who |
| a d v e r t j s e s | t h a t | h e | w i l l | c h a r g e | s u c h | f a r e s | o r | c h a r q e s , |
| demands, | c o l l e c t s | o r | r e c e i v e s | a | d i s c o u n t | a i r | f a r e | i n r e s p e c t |
| of | a | r o u t e t h a t | i s n o t | an approved d i scoun t a i r | fare | f o r t h a t |
| rou te or t h a t is n o t approved. | a d v e r t i s e s | t h a t | h | e | w i l l | c h a r g e | a | d i s c o u n t | a i r | f a r e |
| It | i s | i m p o r t a n t t o n o t e t h a t u n l e s s | the | Comrni t t e p | 3 S |
| s a t i s f i e d | of | t h e | m a t t e r s | s p e c i f i e d | i n | s . 1 7 f 4 ' | t h e | Committee |
| s h a l l | n o t | a p p r o v e | " t h e | p r o p o s e d | d i s c o u n t | a i r | f a r e " . | C)n | t h e |
| o t h e r | h a n d , | i f | it | is | so | s a t i s f i e d | t h e r e | i s | a | d u t y | on | t h e |
| Committee | to | app rove | " the | p roposed | . d i scoun t | a i r | f a r e " . | To |
| a s c e r t a i n t h e p r o p o s e d d i s c o u n t a i r f a r e o n e t u r n s | t o | s . 3 | and |
| s.1 7(1\ where it appears | tha t . | it | i s | a | d i s c o u n t a i r f a r e t h a t |
| t he | pas senge r | ope ra to r | p roposes | t o | charqe | i n | r e s p e c t | of |
| t r a v e l | o v e r | a n y | route. | An | o p e r a t o r | may | wish | t o | i n t r o d u c e | a |
.
| d i s c o u n t a j r | f a r e f o r a n i n d e f i n i t e p e r i o d | or | f o r | a | s p e c i f j e d |
| p e r i o d | or | p e r i o d s | commencjnq | a t o n c e | o r | on | a | f u t u r e | d a t e | o | r |
| d a t e s . | The period | chosen | i s , | I | t h i n k , | i n e v i t a h l y | an | element |
| of | " t h e | d i s c o u n t | a i r | f a r e | t h a t | t h e | p a s s e n q e r | o p c r a t - o r |
| proposes | t o charqe | i n | r e s p e c t | of | t r a v e l | o v e r " | t h e | r e l e v a n t |
| r o u t e . | An | a p p l i c a t i o n | for | approva l | wh ich | d id | no t | d i sc losc |
| \ |
12.
| 1 | t he | pe r lod | du r inq | wh ich | i t was | Droposed | hy | t h e | o p e r a t o r | t o |
| I |
| cha rge | t he | d i scoun t . | f a r e | woulil | n o t , | 1 |
|
| requi rements | o f | s . 1 7 ( 1 ) . | T f | t h e | o p e r a t o r | t o | cha rqe |
| t h e d i s c o u n t h o l i d a y s | f a r e | o n l y | w i t h | r e s p e c t | t o | t r a v e l | i.n | school |
| o r | some p e r i o d | r e l a t i n g | t o | some | even t | t empora r i ly |
| a f f e c t i n g | demand | for | t - r a v e l , | and | f a i l s t o d i s c l o s - | t h e p e r i o d |
| or | o c c a s i o n | w i t h | r e s p e c t | t o | which | it | i s | i n t e n d e d | t o | c h a r q e |
| t h e d i s c o u n t i n d e f i n i t e | f a r e | t h e n , | a n | a p p l i c a t i o n | would | r e l a t e | t o | a n |
| I | p e r i o d | a n d | would | n o t | t r u l y | r e f l e c t | t h e | a c t u a l |
| proposal | and | would | mislead the Corrmit tee . |
| I t | i s | s u g q e s t e d | t h a t | a | l i m i t a t i o n | o f | t h e | p e r i o d | f o r |
| which | it | is proposed | t o c h a r g e | t h e | d i s c o u n t | a i r | f a r e | i s | a |
| m a t t e r | t o | be s e t out i n | t h e | r e q u e s t | a s | a | m a t t e r | f a l l i n q |
| w i t h i n | t h e | s c o p e | of | t h e e x p r e s s i o n " c o n d i t i o n s | (1f any\ | under |
| VJhiCh | t h e | d i s c o u n t | a i r | f a r e | j s | t o | h e | a v a i l a h l e " . | S e e |
i
| s.l7(2)(b) | of | t he | Ac t . | I t | i s | p o i n t e d | o u t | t h a t | nolrhhere | i n t h e |
| s t a t u t o r y | p r o v i s i o n s | i s | t h e r e | a n y | e x p r e s s | referent-e | t o such |
| p e r i o d s | or | occas ions . |
| However | i t i s my | v i e w , | t h a t | t h e | c o n d i t i o n s | r e f e r r e d |
.
| t o i n d i s c o u n t . | s.l7(2)fb\ a r e | t h e | c o n d i t i o n s | upon | which | the | p roposed |
| a i r | f a r e , | ~f approved, | a n d wh i l e i n f o r c e , | i s t o he |
| ava i lab1 e | to | passengers . | Condi t ions | such | a s | t h e | t y p e | of |
| a j r c r a f t | t o | which | t h e | d i s c o u n t | f a r e | was | a p p l j c a b l e , | or | t h e |
| I | ayes | of | persons | t o whcm | t h e d i s c o u n t | f a r e | would | h e a v a i l a b l e |
| would | bc | c o n d i t i o n s | w i t h i n | t h e | s c o p e | o f | s . l 7 ( 2 ) ( b ) . | I t | i s |
| \ |
1
| ! | v | 1 3 . |
| n o t | t o be | douh | tcd | t ha t | app rova l | of | a is wi th in | cliscount a j r f a r e | t o he |
| charqed | dur ing | a | l imit-ed | per iod | t he | compr tencc | of |
| t h e | C o m m i t i e e . | The | d e f i n i t i o n | o f | t h e | r e l e v a n t | p e r i o d | i s | n o t |
| a | c o n d i t i o n | of | t h e | c o n t i n u a n c e | of | t h e | a p p r o v a l | a s | a n |
| o p e r a t i v e | a p p r o v a l . | I t | i s | n o t | i n | t h c | n a t u r e , | f o r | i n s t a n c e , |
| o f | a | c o n d i t i o n | s u b s e q u e n t | w h i c h | b r i n q s | l e g a l | r e l a t i o n s | t o | a | n |
| end | on | the | happeninq | of | some e v e n t . | The so ca l led | concl i t lon |
| i s b u t a | c o n s t i t u e n t element | of | what | i s | approved. | A t t h e end |
| of | t h e p e r i o d | the approva l comes | t o an | end | not | bccause | of | t h e |
| happening | of | some | e v e n t | b u t | because | o f | i t s | n a t u r e . | The |
| c r i t i c a l e l e m e n t i n t h e c u r r e n t p r o b l e m | i s | t h e l r l e n t i f i c a t i o n |
| o f | t h e | p r o p o s e d d i s c o u n t | f a r e . |
| I n | r e l a t i o n | t o | t h e | s u b j e c t | m a t t e r | t - h e r e | a r e , | i n | a |
| s e n s e , | two | k i n d s of | what may | h e | c a l l e d | c o n d i t i o n s | w h j c h c a l l |
| f o r | c o n s i d e r a t i o n . | F i r s t | t h e r e | a r e | t h o s e | c o n d i t i o n s | u n d e r |
| which, | when approva l is g iven , | and | whi le | it | p e r s i s t s , | a | a i r |
| € a r e will | be | a v a i l a b l e | t o passenqe r s . | The | o t h c r | i s | t h e | so |
| c a l l e d | c o n d i t i o n | upon | which | the | Committee | miqht | be U n d e r | prepared |
| t o | approve | a | p r o p o s e d | d i s c o u n t | a i r | f a r e . | t h e | l a t t e r |
| t h e r e | would | obv ious ly | be | a | q u e s t i o n | o | f | t h e | p e r i o d | for | which |
| the | approva l | w a s | t o | be | g r a n t e d . | T h i s | l a t t e r | k i n d | of |
| " c o n d i t i o n " | i s | no t , l l r n l t a t i o n | one | t o be a p p l i e d hy t h e Commjttee by | way |
| of | q u a l i f i c a t i o n | o r | of | what | i s | r eques t ed | hy | t he |
| o p e r a t o r . | I t i s what | i s requested | which | m u s t , | under | S . 17(Al |
| be | approved | or not | approvcd | and | it | i s n o t | f o r | t h e | Commil.teP |
| i t s e l f | t o a l t e r it. | I f | a | r e q u e s t | i s made | f o r a | f a r e t o be |
.
1 14.
| , | '0 | ||||||||||
|
| Committee | i s | u n w i l l i n g | t o | g r a n t a p p r o v a l f o r t h a t p e r i o d . | hu t |
| i s | w i l l i n g | t o g r a n t | it | i n | r e s p e c t | o f | a | l i m i t e d | p e r i o d , | t b e |
| Commlttee | may | i n v i t e | t h e | o p e r a t o r | t o | s u b m i t | an | amended |
| proposal . . | I f | it | does | so, | t h e | amended | proposal | m a y | he |
| approved . | I f | n o t , | and | t h e Committee | remains | of | t h e same |
| mind , | t h? | r eques t | w | i | l | he | l | r e fused . | The | problem | of | l i m i t i n n |
| or | n o t l i m i t i n g t h e p e r i o d | of | ope ra t ion -o f an approva l | i s | n o t |
| r e a l l y o n e what. is proposed. | of | a p p l y m g | c o n d i t i o n s . | I t | j s o n e | of | d e s i q n a t i n g |
I
| The words " i f | a n y " | i n | s.l7f?)(b) would b e |
| incongruous | i f t h e p e r l o r l s | or d i scoun t | o c c a s i o n s d u r i n g | or | o n | which | it |
| was | proposed | t o cha rge | t he | f a r e | were | r eqa rc l ed | a5 |
| cond i t ions unde r | s . l 7 ( 2 \ ( h ) , because | every | proposal . | t o | cha rqe |
| a | d i s c o u n t | a i r | fare | m u s t , | of | i t s v e r y | n a t u r e , | r e l a t e | t o | a |
| p e r i o d | or | p e r i o d s | o r | o c c a s l o n | o r | o c c a s i o n s . | The | p e r i o d | may |
| b e | o f | i n d e f i n i t e | or | d e f i n i t e | d u r a t i o n | b u t | it | m u s t | e x i s t . |
| !*en | t h e | a p p l i c a n t | d e f i n e s | t h e | p e r i o d | i t | proposes | t o | cha rqe |
| an | approved | d l scount | fa re | it | i s | n o t , | i n o rd ina ry | l anquaqe |
| s t a t i n g | a | c o n d i t i o n | subject | CO | which | an | approved | discount |
| f a r e | i s | a v a i l a b l e . | |||||||
|
| p roposa l | of | which | t h e | a p p l i c a n t | c o u l d | s a y | and | r l jd | s a y , | "I |
| p r o p o s e t o c h a r q e t h i s | alr | f a r e | i n | r e s p e c t | of | a i r t r a v e l o v e r |
| my | route". | Tha t | f a r e | m u s t | be | i den t - i f i ed | by | r e f e r e n c e | t o | t h e |
:
| communica t ions | be tween | the | par t les . | The | c r i t i c a l | d o c u m e n t s |
| a r e | t h e | a p p l i c a n t ' s | t e l e x | of | 2 3 | F e b r u a r y | 19F13, | t h e |
,
| Y | 1 5 . |
.
| Comml t t ee ' s | t e l ex | of | 2 5 | February | 1 0 R 3 | and | the | Commlt tee ' s |
| t e l e x | o f | R | March | laR3. | The c r l t i c a l | q u e s t i o n | i s whe the r , | t he |
| app l | l can t | was seekinq | approval | o f | a | p r o p o s a l | t o | c h a r a e | t h e |
| s p e c i f i e d | d i s c o u n t | f a r e | d u r i n q | t h e | p e r i o d | e n r l i n q | 30 | Apri l |
| 1983 | or | a | p roposa l | t o | c h a r q e t h ? d i s c o u n t f a r e i n d e f i n i t e l y . |
| The | t e l e x | o f | 2 3 | February | 1943 | containecl, | a | r e q u e s t |
| f o r | t h e | a p p r o v a l | o f | a | d i s c o u n t | a i r | f a r e | w h i c h , | u n l e s s |
| nodif iecl | or | e x p l a i n e d , | c a l l e d | for | a | d e c i s i o n of | approval | or |
| non-approval.. | The | Committee | souqbt | fu r the r | i n fo rma t lon | wh | ich |
| it | cons idered | necessary | i n o r d e r | t o | g i v e | i ts d e c i s i o n . | On | 75 |
| February | 1983, | it asked, | " 1 1 . | For | what | period | of | time d o you |
| a n t i c i p a t e | t h e | d i s c o u n t | will | be | e f f ec t ive?" | The re | j s | an |
| ambigu i ty | l u rk ing | i n | these | words . | They may mean | "for h p w |
| l o n g | d o | y o u | a n t i c i p a t e | t h a t | t h e | d i s c o u n t | w i l l | a t t - r a c t |
| pas senge r s | wllo | woulrl | n o t | o t h e r w i s e | t r a v e l ? " . | I t | may | mpan |
| " f o r how | long d o you | propose t o cha rge | t he | p | roposed | d j scoun t |
| f a r e s ? | ' I . | Whichever | It | m e a n t , | t h e | a p p l i c a n t | r e p l i e d | " I I . |
| Tr ia l | per ior l | t o 30 | A p r i l , | 1983 w i t h | opt ion | t o extend | on | same |
| or | v a r i a b l e | basls | s u b j e c t | t o | n e q o t i a t i o n | w l t h | I A F C . " | I t | i s |
| n o t | s u q g e s t e d | t h a t | i n | c o n s t r u i n q | e i t h e r | t h e | q u e s t i o n | or | t h e |
| answer , | he lp | i s to | he | found | i n | a n y o t h e r p a r t i c u l a r q u e s t i o n s |
| or | answers. | Lookina | a t t h e | words | however | it i s my conc lus ion |
| t h a t | on | 2 5 | Februa ry | t he | applicant | was | i n t i m a t j n q | t o | t h e |
I
l
| Committee | t h a t it proposed | t o c h a r y e | t h e | d i s c o u n t | f a r e | f o r | a |
| t r i a l period . endlnq | 3 9 | Apri; | and | i f | s a t i s f i e d | w i t h | t.he |
| resu l t s , | t h e r e a f t e r | i n d e f i n i t r l y , | and | i f | n o t | satisfied, t o |
I
| 'V | 16 . |
| . | nego t i a t e | w | l | th | t he | Commi t t ee | fo r | app rova l | o f | rl | d i s c o u n t | a i r |
| f a r e on some new and a s | y e t | u n s t a t - e d | b a s i s . | T h i s | a n s w e r |
| m u s t , | J | t h i n k , | b e | r e g a r d e d | a s | i n c o r p o r a t e d | i n | t h e | r e q u e s t . |
| Accord inq ly | t he | r eques t | has | t o | be | cons t rued | as | a | rccluest , | i n |
| accorr?ance | with | S . ] 7, f o r t h e a p p r o v a l | of | a | d i s c o u n t a i r f a r e |
| t h a t | t h e | a p p l i c a n t | p r o p o s e d | t o | c h a r a e | d u r i n q | t h e | p e r i o d |
| ending | 30 | A p r i l | 1953 h u t | i n | r e s p e c t | of | which | it | d j d | n o t , | at |
| t h e d a t e Whether | o f | t h e | r e q u e s t , | o t h e r w i s e | p r o p o s e | t o | c h a r q e . |
| it | e v e r | w o u l d | p r o p o s e | t o | c h a r g e | t h e | f a r e | i n |
| c o n t e m p l a t i o n a f t e r | 3 0 | A p r i l | 1 0 8 3 was | q u i t e | u n c e r t a i n . | So | f a r |
!
| a s t h e r e | i s | r e f e r e n c e | t o | a | f u t u r e a p p l j c a t i o n | for | a | v o r j a t i o n |
| on t h e r e l a t e s t o | p r o p o s a l | s u c h | r e f e r e n c e | may, | I | t h i n k , | h e | i q n n r e d . | I t |
| mere | f u t u r e p o s s i b i l i t i e s . |
| I t | i s | t o b e n o t e d t h a t l f | a | p roposed i i l s coun t | r a t e | is |
| a p p r o v e d | e i t h e r | f o r | a | s p e c i f i e d | p e r i o d | or | i n d e f i n i t e l y | t h e |
| I | o p e r a t o r | i s | not | obllged | by | law | t o | c o n t i n u e | t o | c h a r q e | t h a t |
| f a r e . | T h a t | would | seem | t o | follow | froT t h e | p r o v i s i o n s | of |
| s . 2 6 f 6 ) | which | ].ay | the | founr l a t jon | fo r | t he | impos i t i on | o f | a |
| s a n c t i o n | upon | an ope ra to r | who | charqes an un-approved djscount |
| fa re . | There | 1s no | sanct ion | provir | ler | l | for d i s c o u n t | charging | an | approved |
| economy | f a r e | i n s t e a d | of | a n | a p p r o v e d | f a r e . |
| N o t w i t h s t a n d l n q | t h i s | I | t h i n k | t h a t | l n | c o n s t r u i n a | t h e |
| commuT1ications | b e t w e e n | t h e | p a r t i e s | t h i s | f e a t u r e | i s | n o t | o f |
| importance. | I t i s not t o | h e | t h o u g h t | t h a t | t h e | a p p l i c a n t | and |
| t h e Committee were | speaklnq | of | an | approval | t o | he | qiven |
| o the rwlse | t han | as an | approval | t o | h e | i m p l e m e n t e d . | W i t h e r |
| h |
!
I
| 1 | 17. |
| ' V | I |
| party would express its attitude | on any othor hasis. It |
| I | would he most inconvenient that an approval should continue in €orce when it was iqnored. A l s o the criteria specifjril in |
| s.17(4) could not satisfactorily be considerad on any such | |
| basis. Almost i nevitably neqotiations €or anproval must proceed on the basis that an approval sought is souqht to be implemented. |
| The applicant's proposal. contains two el.ements. | The |
applicant states, in an absolute sensc, that, it proposes to chars.? the discount fare durinq the period ending 30 April
| I | lq83. It a1.so states that it proposes to charqe the discount | ||||
| fare thereaft-er if the trial period turns out satisfactorily to it. It is my view that S .l7 is not concerned with proposals which are only conditional. The Comvlttee 5s not required CO give a decision under s . 1 7 ( 4 ) in rei-ation to a discount fare which the appllcant proposes to charqe only If some condition is fulfil1 ed. Save in so far as the proposal related to the period expirinq on 30 April 1 0 8 3 it was a proposal to charge the discount fare if the applicant was | |||||
| |||||
| : |
.
| There was not before the | Committee a proposal to charge that |
| disc0ur.t fare. |
When the applicant referred to an "option to extend
on the same or variable hasis subject to neqotiation wlth
I A f C " it expressed an lntent.3on that the period in wliich the
1R.
| d i s c o u n t | f a r e | was | t o be | charged | was t o come t o an end u n l e s s |
| t h e | a p p l l c a n t | c h o s e | t o | e x t e n d | t h e | per lod . | I t | i s | t h e | word |
| “opt ion“ | which | 1 s | so | c r i t i c a l . | Of | c o u r s e | it | was | necessa ry |
| t h a t t h e p r o m p t l y a f t e r t h e | d e c i s i o n | t o | approve | or | n o t | approve | should | he | made |
| Committee | had | t h e i n f o r m a t i o n | i t r e q u i r e d . |
l
| A t | t h a t | s t a g e | it | r e q u l r e d | a | des iqna t - ion o f . t h e | t r a v e l | i n |
| r e s p e c t | of | wh ich | t he | r eques t | was | made. | I t | c o u l d | n o t | d e a l |
| w i th | a | r e q u e s t | w h i c h | d e a l t | w i t h it was a f a r e | a | d i s c o u n t | a i r f a r e | of which |
| it | cou ld | no t | be | s a i d | t h a t | t h a t | the | a p p i i c a n t |
| a c t u a l l y | p r o p o s e d | t o cha rge . | Under | t h e ~ r o v i s i o n s o f | s.17(4) |
| t h e | i n t r o d u c t i o n | of | an | a i r | f a r e | h a s | t o he | consir lercd | with |
| r e s p e c t | t o | t h e | p r o f i t a b i l l t y | o f r e s u l t i n q | t h e | a p p l l c a n t | a n d | t h e |
| l i k e l i h o o d | of | s u c h | i n t r o d u c t i o n | j n | a n | i n c r e a s e | of |
| e x i s t i n g | economy | a i r | f a r e s | o | f | a n y | t r u n k | r o u t e | o p e r a t o r | o v e r |
| i | I |
| t r u n k | routes . | I t | i s a p p a r e n t a | d i s c o u n t | a i r | f a r e | w h i c h | m i g h t |
1
I
| or | might | no t | be | a d o p t e d | b y | a n | a p p l i c a n t | f o r | a n y | p a r t i c u l a r |
i
I
| ! | p e r i o d | would | p r e s e n t | d l f f 1 c u l t i e s | i n | a s s e s s i n q | t h e | e f f e c t s |
| I | ||||||||
| l |
| t h e r e o f | f o r | t h e | p u r p o s e s | of | S. 1 7 ( 4 ) . | T t | i s | h a r d l y | s u c h | a s |
I
| c a n | be | t h o u g h t | t o | h e | wi t h i n | t h e | c o n t e m p l a t i o n | o f | t F e |
| l e g i s l a t u r c . | Such | a | d i s c o u n t . | f a r e | c o u l d | b a r r l l y | f i t | t h e |
| c o n c e p t | of | “ t h e | i n t r o d u c t i o n | o f “ | t h e | d i s c o u n t | f a r e | i n |
| accordance wi th | S. 17 | ( 4 ) ( a ) and | f b ) | . |
!
| The | p r o v i s i o n s | i n | s.l7(51(h) | a p i l | s . 1 7 f f i ) | c o n f e r r i n g |
| on | t h e | C o m m i t t e e | t h e | power | t o | r e v l e w | t h e | a v a j l a b i l i t y | o | f | a | n |
| a p p r o v e d | d i s c o u n t | a i r | f a r e | r e q u i r e | c o n s i A e r a t . j o n . | R u t | I | do |
| n o t | t h i n k | t h e y | a f f e c t | t h e | c o n s t r u c t i o n | of | s.17(1)(?)(3\ | and |
J
| 'F | l Q . |
| c |
| ( 4 ) . | The | p r o v i s i o n s | f o r | r e v i e v | arc? r e l e v a n t | t o | t h e | s i t u a t i o n |
| which | a r i s e s where | a | d i s c o u n t | a i r | f a r e | h a s | h e e n | a p p r o v e d | i n |
| r e s p e c t | o f | a | p e r i o d | e l t h e r | f l x e d | or | i n ? e f i n i t e | i n | d u r a t i o n , |
| and t h e r e c a l l s f o r r e c o n s i d e r a t i o n | i s | a | chanae | i n | t he | r e l evan t | c i r cums tances | wh ich |
| of | t h e s i t u a t i o n . |
| I t | was | a rgued | t ha t | t he | form | and | subs t ance | of | t h e |
| approval | was | t h a t | t h e | Committee | approved | t h e | a p p l i c a n t ' s |
| p r o p o s a l | f o r | a n | i n d e f i n i t e | p e r i o d , | s u b j e c t | t o | a | c o n d j t i o n , |
| t h a t | t h e | a p p r o v a l | was | n o t | t o c o n t i n u e heyonr? | 30 | A p r i l | l q R 3 . |
| I t was | s a i d | t h a t | t h e r e | was | no | s t a t u t o r y | a u t h o r i t y | t o | impose |
| such | a | c o n d i t j o n | a n d | t h a t | bc inq | so, | t h e | c o n d i t i o n | was | void |
| and | the | approva l | for | an | i n d e f i n i t e | p e r i o d p e r s i s t e d . |
| The form | of | the | approval | may | l e n d | s u p p o r t | t o | t h i s |
!
| view. | B u t | J | t h l n k | t h a t | on | reading | the | document | a5 a whole, |
| and | i n | t h e | c o n t e x t | o f | t h e | f o r e q o i n g | t e l e x | m e s s a g e s , | it |
| approves | the | c h a r a i n q | o f | t h e | d i s c o u n t | f a r e | o n l y | f o r | t h e |
| s t a t e d | p e r i o d . | I | do | n o t | r e a d | it | a s | an | approval | for | an |
| i n d e f i n i t e p e r i o d w i t h a n | i n c o n s i s t e n t | and | unlawful | condi | t | ion |
| a t t a c h e d | thereto. | Of | c o u r s e | j f | t h e | r e q u e s t | r e l a t e d | t o | a |
.
| p roposa l | t o | c h a r g e | t h e | d i s c o u n t | f a r e | f o r | a n | i n d e f i n i t e |
| perlod, and t h e | a p p r o v a l | was | q r a n t e d | i n | r e s p e c t | of | a | pe r iod |
| ending on 3n Apri l 1983, t h e | s i t u a t i o n | would | he | t h a t | t h e |
| Commit tee | had | fa j lcd | t o | a p p r o v e | " t h e | p r o p o s e d | d i s c o u n t | a i r |
| f a r e " . | B u t | it | is | my | v i e w | t h a t | t h e | C o m m i t t e e | c o r r e c t l y |
| in t ended | t o dea l | on | ly | w i th | t he | uncond i t iona l | p roposa l | be fo re |
| .- | - |
I
*
| ; ‘F | m. |
.y
| il, namely, | the proposal | t o ch r l rqe | t he | d i scoun t | f a r e | d u r i n q |
| the | per iod | ending | 30 Apr i l 1083. |
| It remains t o observe | tha t | whichever | way | the | p | roblem |
| i s approached it is fundamenta l | tha t | a11 | tha t | was | approved o n |
| l | F! March 1983 | was | “the | above | d j s c o u n t | f a r e ? . | The | above |
| d iscount | fa re | was , | accorc i inq | to the terms of | t h e | t e l e x | of |
| t h a t | d a t e , | t h a t | for | which | approval | was | requested, | “with |
| suppor t lng | detai ls | of | p roposed | d i scoun t | f a r e | o f | S130.00 | of |
| round | t r i p o r i g i n a t i n g | j n Syrlney | or | Melbourne | over | the | rou te |
| Melbourne/Alhury/SyAney | on | F27 | a i r c r a f t . ” . | Aqain | one | m u s t |
| r e t u r n | t o | I d e n t i f y | t h e | p r o p o s e r ? | 4 i s c o u n t | f a r e . | And | t h a t | f a r e |
| appears | t o | he | t h a t | w h i c h | t h e it proposed t o | a p p l i c a n t | h a d | s t a t e d , | an? |
| t r u t h f u l l y | s t a t e d , | t h a t | c h a r q e | i n | r e s p e c t | of |
| a i r | t r a v e l , | narne1.y | i n | r e s p e c t | of | t r a v e l | d u r i n g | t h e | p e r l o r l |
| ending 30 A p r i l 1oP3. | Accordinqly, | 1 do n o t t h i n k i t open t o |
| I | c o n s t r u e t h e a p p r o v a l | e x p r e s s d | i n the | Commit tee‘s | t e lex | o f | 8 |
| March 1963 as an | approval | opera t ing | for | an | i n d e f i n i t e | p e r i o d |
| w i t h | r e s p e c t | t o | rl | d i scoun t . | r a t e | with | a n | i n c o n s i s t e n t |
c o n d i t i o n a t t a c h e d .
| I f , a s I | t h i n k , | t h e | p r o p o s e d d i s c o u n t | fare was | a | f a r e |
| i n r e s p e c t of | which | the | o n l y | e x i s t i n q | p r o p o s a l | was | t o charge |
| It u n t i l 30 April 1°A3, | t h a t i s a l l , on | any | vlew, | t h a t was, |
| or could be, approved. | Thp f a c t | t h a t | t h e | l i m i t a t i o n | of | t h e |
| p e r l o d | i n | t h e | p r o p o s a l | was | s t a t e d | a s | a | c o n d i t i o n | o r |
| r e s t - r i c t i o n | should | be | reaarded | 3 s | e x e q i t i c a l | or | by | way | o f |
| Q | 3 1 . |
' 'F ' v .
| emphasis, | b u t it would | n o t | e n l a r q e | t h e | l e g a l | e f f e c t | o f | t h e |
| a c t u a l words | of | approval . | On | i t s proper | c o n s t r u c t i o n it | does |
| n o t o p e r a t e s t a t e s t h e quantum | b y | way | of | de feasance | of | something | qranted. | I t |
| of | what | was | qran ted . | As | a | r e s u l t | t h e |
| s i t u a t i o n | i s | n o t | o n e | r a i s i n q | c o n s i d e r a t i o n s | o f | t h e |
| s e v e r a b i l i t y o r o t h e r w i s e o f t h e t i m e | 1 i m i t a t j o n . |
| I f , | c o n t r a r y | t o | the | v i ew | expre-ssed | above, | it were |
| t h a t | t h e | p e r i o d | d u r i n q | w h i c h | t h e | o p e r a t o r | d e s i r e d | t h e |
| approval | OF t h e | d i s c o u n t | f a r e | t o a v a i l a b i l i t y | remain | i n w i t h i n | o p e r a t i o n , | o u q h t |
| t o be | regarded | as | a | c o n d l t i o n | o f | t h e |
!
| meaning of s.17f2)(b) of t h e Act, | t h e n jt. would | fo l low, a s |
| l | i n d i c a t e d | a b o v e , | t h a t | i t | i t s e l f | w i t h | a l l | o t h e r | s u c h |
| c o n d i t l o n s . | c o n s t i t u t e d | t h e | d i s c o u n t | a i r | f a r e | p r o p o s e d | t o be |
| ! | c h a r g e d | i n | r e s p e c t | oE t r a v e l o n t h e | r e l e v a n t | r o u t e . | T t would |
| f o l l o w | t h a t | i f | t h e | r e a u e s t | w e r e | g r a n t e d | t h e | o r a n t | w o u l d |
| o p e r a t e | i n r e s p e c t | of | a | f a r e proposed | to be | charsef i d u r i n g |
| t h e | s t a t e d | p e r i o d . | I n | t h a t | c a s e | t h e | l a n q u a q e | of | t h e | t e l e x | of |
| 8 March | 19R3 | s t a t i n g | t 5 e | time | limit | as | a | c o n d i t i o n wou1.d |
| a c c o r d | l i t e r a l l y | w | i | t | h | t h e | t e r m s | o f | t h e | p r o p o s a l | a s | I | have |
| i n t e r p r e t e d | it | w i t h | i t s | i n - b u i l t | t 3 m e | 1 i m i t . | So | t o | e x p r e s s |
| t h a t | " c o n d l t i o n " | would | be | w i t h i n | t h e | l e o a l | c&mpetc.nce of | t h e |
| Commj t t e e . | I t | w o u l d | n o t | o p e r a t e | as | a | q u a l - i f i c n t i o n | o r |
| modif lcat- ion of | t h e | t e r m s | o f | t h e | r e q u e s t | or | t h e | a p n l i c a n t ' s |
| proposal.. |
1L
2 2 .
| which T | a r r i v p i s t h a t on Q March | 1'787 t h c Cornmittre | apnro-rr3 |
| a | d i s c o u n t | a i r | f a r e | o n | s n e c i f i e d | c o n d i t i o n s | w h i c h | t h e |
| app l i can t | p roposed | t o | c h a r q e | i n | r e s p e r t | of | t h e | s p e c i f i e d |
| r o u t e | r l u r ina | t he | pe r iod | e n d i n q | on | 7 0 | Apri l | 1983 | and | n o |
| 1 oncler. |
| The | a p p l i c a t i o n | m u s t | t h e r e f o r e | b e | d i s m i s s e d | w i t h |
costs.
i
I
l '
.
0
0
0