### BEFORE THE

DEPARTMENT OF TRANSPORTATION
WASHINGTON, DOC.

Agreements Adopted by the Traffic

Conferences of th e International Air Transport Association Docket OST-2012-

APPLICATION FOR EXEM PTION FROM FILING

AND APPROVAL OF AN AGREEMENT BY THE

INTERNATIONAL AIR TRANSPORT ASSOCIATION

28 June 2012

Communications with respect to

this document should be sent to:

Douglas Lavin Regional Vice President – North America International Air Transport Association
1201 F Street, NW, Suite 650 Washington, D.C. 20004
(202) 628-929213455799.1 

### Summary DOCKET: OST-2012 DOT ORDER: pending

Date: 28 June 2012 Filing fee/IATA Acct: $61 – CAR003CH01

US/UST involved?: yes Intended effective date: 7 August 2012 Meeting date/time: CSC Mail Vote (S072) dated 14 May 2012 Agreement/Minutes: CSC/MailVote/001/2012 dated 14 May 2012 and



### CSC/MailVote/003/2012 dated 5 June 2012 

### Expedited Recommended Practice 1670

APPLICATION FOR EXEMPTION FR OM FILING AND APPROVAL (TIER 2 AGREEMENT FILING)

Pursuant to statements submitted by Member ai rlines of the Intern ational Air Transport

Association (IATA), th e undersigned has been constituted to be their attorn ey-in-fact for filing with

the Department of Transportation copies of agreem ents adopted by the IATA Traffic Conferences.

On their behalf, and pursuant to the procedures specified in Order 2012-4-18

(13 April 2012), I am filling with the Department this application, the subject agreement and

supporting documentation. This agreement is a Tier 2 agreement, as specified in Appendix B to

Order 2012-4-18. The intended effective date of the agreement is 7 August 2012.

The subject agreement amends or establishe s Resolutions and/or Recommended Practices

that are amongst subject areas which the Department has indicated it still chooses to review on a

case-by case basis.

The present Application requests an exemp tion from Condition #2 to the Department’s

approval of the Provisions for the Conduct of the IATA Traffic Conferences, which condition

requires that an agreement be filed for review and appropriate action by the Department prior to

an agreement’s being implemented.13455799.1 

### The text of the agreement and other conferen ce documentation sent to airline Members of

IATA accompany this Notice. There is also a summary document that explains the amendment

or agreement regarding its nature and purpose.

In that context, granting th e requested exemption would serve the public interest, and,

thus, meets the 49 USC §40109(c) standards for exemption from filing and approval

requirements.

Respectfully submitted:

_________________________________ Douglas Lavin Regional Vice President – North America International Air Transport Association Attorney-in-fact13455799.1 

### CERTIFICATE OF SERVICE

A copy of this application has been served this day by first class or priority mail on the

following persons:

Chief, Transportation, Ener gy & Agriculture Section

Antitrust Division Department of Justice Washington, DC 20530

A copy of this application has be en sent this day by email to John Kiser (JohnKiser@dot.gov) and to Della Davis (Della.Davis@dot.gov) of the Department of Transportation.

/s/ Douglas Lavin Douglas Lavin

Date Served

28 June 2012

## INTERNATIONAL AIR TRANSPORT ASSOCI ATION



# FINALLY ADOPTED RESOLUTION

CARGO SERVICES CONFERENCE (CSC)

### MEMORANDUM

CSC/FAR/001/2012

TO: All Members of IATA Cargo Servi c es Confere n ce Accredit ed Representatives

CC: Members, Cargo Procedures Conferences Management Gro up Members, I A TA/FIATA Consultative Council

IATA Strate gic Partners – Cargo Services IATA Cargo Managers

FROM: Secretary, Cargo Services Conference

DATE: 6 June 2012

SUBJECT: FINALLY ADOPT E D RESOL U TION –

CSC MAIL VOTE (S07 2)

EXPE DITE D RECOMMENDE D PRACTICE 16 70

Please find attached the amend ment to Rec o mmended Practice 1670 (RP167 0) adopte d through CSC Mail Vote (S072) dated 14 May 20 12 for expedited effectiv eness.

The filing period runs from 6 June 2 012 to 6 Au gust 2012, with an intended effecti v e date of 7 August 2012. The final effectiveness date will b e communicated to Members by a Declaration

of Effectiveness Memorandum as soon as all required g o vernment approvals have been

obtained.

Members a r e request ed to file t he revised RP1670 with their government authorities where required, and to advise IATA Secretariat of their government s’ act i on lat e st by 6 August 20 12 , the end of the filing period. As usual, filing formalities with the U.S. Department of Transportation and the Canadian Transportation Agency will be handled by IATA.

Please note that the revised RP1670 will be declared effective upon receipt of th e

necessary government approvals, in accordan ce with Resolutions 00 1 and 006.

Frederic Le ger Head of Cargo Business Process & Standards, IATA

Attachment Finally Adopted Resolution – CSC Mail Vote (S072) – RP1670

FINALLY ADOPTED RESOLUTION SUMMARY

The following amendment adopted through CSC Mail Vote (S072) is requested for approval.

The intended effective date is 7 August 2012

.

EXPEDITED RESOLUTION

Intended Effective Date: 7 August 2012

Resolution Summary of Resolution Summary of Amendment

RECOMMENDED PRACTICE

1670

Carriage of Cargo using Electronic Data Interchange

(Amending) Outlines the conditions and agreement in the carriage of cargo using electronic data interchange The following are the key changes in the revised

Recommended Practice 1670 (RP1670):

1. RP1670 to serve as an agreement between “freight

forwarder” and airline.

The previous version of RP1670 is an agreement between shipper and airline, where the freight forwarder acts as shipper with respect to shipment. The amendment replaces references to “shipper” with “freight forwarder” where appropriate, to avoid any confusion and provide further clarity on the roles.

2. Single EDI process for freight forwarder irrespective

of the route.

The previous version ofRP1670 was strictly for nonWarsaw routes (except Warsaw as amended by Montreal Protocol 4) which mean that freight forwarders have to produce, print, handle and archive paper air waybills for

the Warsaw routes.

(continued on next page...)Finally Adopted Resolution – CSC Mail Vote (S072) – RP1670

Resolution Summary of Resolution Summary of Amendment

The amendment to RP1670 provides the possibility on

Warsaw routes for an airline to print and sign the paper AWB on behalf of the freight

forwarder based on electronic data submitted by the freight

forwarder. The new feature is optional and stakeholders can decide whether they want to include it or not in the signed
agreement.

3. Enable freight forwarder to conclude cargo contracts on behalf of its shipper clients.

Instead of having the freight forwarder's shipper client signing an EDI agreement directly with the carrier, the

amendment to RP1670 provides the provision to enable the freight forwarder to send EDI messages on behalf of its

client.

Through the revised RP1670, the freight forwarder will be able

to:

a. represent to the carrier that it has the authority to enter into a contract for the shipment of cargo on behalf of its client

b. agree to the carrier's

conditions of contract on behalf of its client; and

c. provide consent to use

electronic means in lieu of a paper air waybill on behalf of its

client.RP1670-June2012 Page 1 RECOMMENDED PRACTICE 1670 CARRIAGE OF CARGO USING ELECTRONIC DATA INTERCHANGE (EDI)

CSC(MAIL S071 S072 )1670 Expiry: Indefinite Type: B

RECOMMENDED that:

Members engaged in the carriage of cargo using Electronic Data Interchange to transmit the information of the Shipment Record shall use the procedures and standards as

indicated in Attachment ‘A’ – MODE L AGREEMENT FOR ELECTRONIC DATA INTERCHANGE (EDI) as amended from time to time.

Members are encouraged to obtain the approval of their own Legal Department prior to entering into any agreement.RP1670-June2012 Page 2 

### RECOMMENDED PRACTICE 1670

Attachment ‘A’ MODEL AGREEMENT FOR ELECTRONIC DATA INTERCHANGE (EDI)

It is agreed that the goods shipped pursuant to this Agreement are accepted in apparent good order and condition (except as noted) for carriage SUBJECT TO

THE CONDITIONS OF CONTRACT. ALL GOODS MAY BE CARRIED BY ANY

OTHER MEANS INCLUDING ROAD OR ANY OTHER CARRIER UNLESS SPECIFIC CONTRARY INSTRUCTIONS ARE GIVEN BY THE SHIPPER, AND SHIPPER

AGREES THAT THE SHIPMENT MAY BE CARRIED VIA INTERMEDIATE STOPPING

PLACES WHICH THE CARRIER DEEMS APPROPRIATE. THE SHIPPER’S

ATTENTION IS DRAWN TO THE NOTICE CONCERNING CARRIER’S LIMITATION OF LIABILITY in the Conditions of Contract. Shipper may increase such limitation of liability by declaring a higher value for carriage and paying a supplemental charge if required. INSURANCE – If carrier offers insurance, and such insurance is requested in accordance with the conditions thereof, indicate amount to be insured in figures

in field "Amount of Insurance".

MODEL AGREEMENT FOR ELECTRONIC DATA INTERCHANGE (EDI)

Between

(Party A) of (address) represented by (name) (hereinafter referred to as “ Shipper Freight Forwarder 1 ”)

And

(Party B) of (address) represented by (name) (hereinafter referred to as “Carrier”)

Recitals

WHEREAS the Parties hereto have, or expect to have, commercial dealings with each other;

WHEREAS the Parties desire to improve the efficiency of any future commercial transactions by replacing the flow of paper air waybills between them with electronic data interchange;

WHEREAS the Parties acknowledge understanding understand the technical and legal consequences of using electronic data interchange to conduct commercial transactions;

and

1 “Freight Forwarder” is simply a placeholder fo r the contracting party, such as “Shipper”; “Intermediary”, “Cargo Agent” or the entity name.RP1670-June2012 Page 3 WHEREAS the Parties’ intention and desire is to ensure facilitate and conduct paperless electronic cargo transactions,

NOW, THEREFORE , the Parties agree as follows:

Article 1 — Preamble

1.1 The foregoing recitals and any footnotes, are incorporated into and shall form an integral part of the Agreement.

1.2 The Parties recognize that the use of electronic means in lieu of a paper air waybill may increase their liability exposure on traffic routes where electronic means are not recognized under international conventi on and local law. 1.2 This Agreement is suitable for use on any traffic routes where the preservation of the Shipment Record through electronic means in lieu of a paper air waybill is permitted under inte rnational convention and local law. For trade routes that are not governed by any international convention, the Parties should ensure that the use of electronic means in lieu of a paper air waybill is permissible under the local laws governing such traffic route. The Parties recognize that a paper air waybill may be required by Carrier to regulate liability ex posure on traffic routes where such waybill is necessary and electronic means are not recognized under the applicable international convention and local law.

Note: Text in italics refers to issues where the Parties will wish to choose between available options. Spaces have been left blank (....) to be filled accordingly.

Article 2 — Definitions

For the purpose of the Agreement, the terms listed below are defined as follows:

2.1 “Agreement” shall mean this Agreement, together with Annex ‘A’, Annex ‘B’, Annex ‘C’, and Annex ‘ C’. D’. In addition, the provisions of Resolution 670 and Recommended Practice 1672 of the IATA Cargo Services Conference Resolutions Manual are incorporated into the Agreement by reference, as if recited at length herein.

2.2 “EDI” or “Electronic Data Interchange” shall mean the electronic transfer, from computer to computer, of commercial, administrative and transport data using an agreed standard to structure an EDI Message, as set out in the Annex ‘A’.

2.3 “EDI Message” shall mean a message consisting of a set of segments, structured using an agreed standard, prepared in a computer readable format, transmitted via EDI, and capable of being automatically and unambiguously processed.

2.4 “IATA Message Standard” shall mean the message standard specified, published and updated by the International Air Transport Association (IATA) from time to time.

2.5 “Cargo Contract” shall mean a contract between the Parties, conducted entered into by EDI under this Agreement, for the transportation of, and settlement with respect to a specific cargo shipment.

2.6 “Parties” shall mean the parties identified on Page 1 . Party shall mean either of

them.RP1670-June2012 Page 4 2.7 “IATA” shall mean the International Air Transport Association.

2.8 “Cargo Receipt” or “Receipt for the Cargo” shall mean a document (in paper or electronic form) which is provided to the Shipper, by the Carrier in paper form unless otherwise agreed between the Parties, creating a Shipment Record as a

substitution substitute for the issuance of an air waybill and which permits identification of the shipment that has been accepted and deemed “ready for carriage”. The technical aspects of the Cargo Receipt shall be as described in Annex ‘A’ and in the

form set forth in Annex ‘C’. 2

2.9 “Shipment Record” shall mean any record of the Cargo Contract preserved by Carrier

, evidenced by means other than an air waybill.

. The technical aspects of the Shipment Record shall be as specified in Annex ‘A’.

2.10 “Warehouse Receipt” shall mean a paper document (in paper or electronic form) provided to the Shipper Freight Forwarder by the Carrier acknowledging the receipt of the cargo shipment as “freight on hand” for carriage by air. At a minimum, it shall specify (a)

the Shipper; (b) the weight and number of pieces of the cargo shipment; ( b c ) the date, time and place received by the Carrier; ( c d ) reference the shipment identification number covering the specific cargo shipment. To the extent it is readily available, an indication of the places of departure, destination and, if applicable, agreed stopping places, should also be specified.

2.11 “Shipper’s Delivery Note” shall mean a paper document (in paper or electronic form) provided to the Carrier by the Shipper Freight Forwarder acknowledging the delivery of the cargo shipment as “freight on hand” for carriage by air. At a minimum, it shall specify (a)

the Shipper; (b) the weight and number of pieces of the cargo shipment; ( b c ) the date, time and place received by the Carrier; ( c d ) reference the shipment identification number covering the specific cargo shipment. To the extent it is readily available, an indication of the places of departure, destination and, if applicable, agreed stopping places, should also be specified.

2 In the event that the Carrier is unable to provide the Shipper Freight Forwarder with the Cargo Receipt in paper form upon Shipper’s Freight Forwarder’s delivery of the cargo to the Carrier due to technical, procedural or other re asons, the Carrier must provide the Shipper Freight Forwarder with a Warehouse Receipt (in lieu of a Warehouse Receipt, the Carrier may verify the information on and countersign the Shipper's Deliv ery Note. Once verified and countersigned by the Carrier such delivery note shall serve as a Warehouse Receipt). Transportation of such cargo shipment by the Carrier continues to be subjec t to Carrier's subsequent confirmation that the cargo shipment is “ready for carriage”. For purp oses of the International Conventions (MC99 or MP4, as defined in Annex ‘A’), such Warehouse Receipt shall be deemed an interim “ Cargo Receipt cargo receipt ” (also known as “ Receipt receipt for the Cargo cargo ” under MP4) until the Carrier has determined that the cargo is "ready for carriage" and can produce the actual Cargo Receipt as per Annex ‘A’ hereof. Accordingly, the Cargo Receipt shall serve as prima facie evidence of the conclusion of the contract, of t he acceptance of the cargo and of the conditions of carriage mentioned therein, except that the Wa rehouse Receipt shall nonetheless continue to serve as prima facie evidence as to the weight and number of pieces delivered to Carrier at the date, time, and place specified on the Warehouse Receipt. The Parties shall archive the Warehouse Receipt pursuant to the archiving requi rements set forth in Article 8 Recording and Storage of EDI Messages.RP1670-June2012 Page 5 It is understood that there will be a transition period where some Parties may depend on paper for handover purposes 3 . Parties may use the paper form of their choosing for the Warehouse Receipt (or Shipper’s Delivery Note if used as a Warehouse Receipt)

. However it is envisioned that Parties shall endeavor to establish electronic means for the Cargo Receipt and for the Warehouse Receipt.

2.12 “Shipper” (which is equivalent to the term “Consignor”) shall mean the person whose name appears on the Air Waybill or Shipment Record, as the party contracting with Carrier for the Carriage of Cargo.

Article 3 — Object and Scope

3.1 It is the expectation of the Shipper Freight Forwarder and the Carrier that they shall be doing business together in the future. The objective of the Agreement is to permit the

Parties to conclude legally binding Cargo Contracts by electronic means and to ensure they are legally bound by such contracts . However, nothing in the Agreement

creates shall create any obligation for either Party to transact with the other, nor any obligation of exclusivity to deal only with the other

. , nor shall Carrier be obligated to contract pursuant to this Agreement for contracts to be concluded in respect of “Warsaw Carriage” as defined in Annex D to this Agreement.

3.2 In the absence of an express written agreement to the contrary, the provisions of the Agreement shall only apply to future Cargo Contracts, and not to any other commercial relations between the Parties. All shipments covered as a Cargo Contract under this Agreement shall be clearly identified as an EDI Message shipment by the Shipper Freight

Forwarder through the corresponding EDI message. Cargo Contracts concluded in respect of “Warsaw Carriage,” as defined in Annex D to this Agreement, shall be

concluded in accordance with the terms set out in that Annex.

3.3 Unless otherwise agreed in writing, the The Conditions of Contract detailed in Annex ‘B’ shall apply to all Cargo Contracts under this Agreement

. , except (i) as otherwise agreed in writing; or (ii) for Cargo Contracts concluded under Annex D.

Article 4 — Validity and Formation of Contract

4.1 The Parties acknowledge and agree that EDI is a proper means for concluding Cargo Contracts and agree not to contest the validity or terms of Cargo Contracts on the basis that they were concluded by EDI, that the original records are in electronic form, or that no signature(s) evidence such Cargo Contracts.

3 The Party providing the Warehouse Receipt shall determine its form so long as it complies with the requirements of Se ctions 2.10 or 2.11. In the event that a Party uses the form of an air waybill as a Warehouse Receipt, any mention or referenc e to conditions of contract therein shall be disregarded and considered null and void. When usi ng the form of an air waybill the form should include a clear indication on its face that it is a “Warehouse Receipt” only and not an air waybill to

avoid confusion.RP1670-June2012 Page 6 4.1.1 Without prejudice to the provisions of clause 3.2, this clause 4.1 and the overriding objective of the Agreement to ensure paperless electronic cargo transactions, a Cargo Receipt will be made available.

4.2 Each Party shall ensure that the content of an EDI Message sent or received complies with the law of i ts own the country where the shipment is tendered to the

Carrier , and shall take reasonable measures to inform the other Party of any inconsistency without delay.

4.3 A Cargo Contract shall be concluded once the Carrier has accepted the cargo and can provide a Cargo Receipt (or a Warehouse Receipt in the event that a Cargo Receipt cannot be provided at the time of delivery of the cargo shipment as per Footnote 1). Transportation of the cargo shipment, however, shall continue to be subject to (i) the Carrier confirming to the Shipper Freight Forwarder that the shipment is “ready for carriage” and (ii) Shipper Freight Forwarder complying with all other applicable rules and regulations.

In the event that the EDI Message from the Carrier confirming that the shipment is “ready for carriage” deviates in weight, volume and/or total number of pieces from the EDI Message sent by the Shipper Freight Forwarder initiating the Shipment Record, the cargo shipment shall be treated according to the exception management procedures agreed between the Parties. The particulars shall be incorporated into section 3 of the

Annex ‘A’.RP1670-June2012 Page 7 4.4 In the event that Freight Forwarder wishes to enter into a Cargo Contract on behalf of a third party (the “Third Party”), the Freight Forwarder warrants and represents that, prior to entering into such Cargo Contracts, it has obtained the authorization from the Third Party to act as its agent for purposes of concluding Cargo Contracts, including but not limited to identifying the Third Party as the “Shipper” on the EDI Message initiating the Cargo Contract. Freight Forwarder shall ensure that such EDI Messages are properly identified such that Carrier can recognize that the Freight Forwarder is sending and receiving EDI Messages on behalf of the Third Party for purposes of concluding a Cargo Contract between the Third Party and Carrier.

4.5 THE TRANSMITTAL OF EDI MESSAGES BY FREIGHT FORWARDER AS SET

FORTH IN SECTION 4.4 FOR PURPOSES OF CONCLUDING A CARGO CONTRACT BETWEEN A THIRD PARTY AND THE CARRIER FOR CARRIAGE BY AIR (“THIRD PARTY SHIPMENTS”) SHALL AUTHORIZE CARRIER, TO THE EXTENT REQUIRED
BY INTERNATIONAL CONVENTION, TO ISSUE A CARGO RECEIPT 

### IN THE NAME

OF THE THIRD PARTY 

### , A COPY OF WHICH SHALL BE DELIVERED TO THE

FREIGHT FORWARDER 

### AS THIRD PARTY 

### 'S AGENT . BY TRANSMITTING SUCH

EDI MESSAGES FREIGHT FORWARDER CERTIFIES THAT FREIGHT FORWARDER

HAS OBTAINED AUTHORIZATION FROM THE THIRD PARTY TO PERMIT SUCH

ISSUANCE.

4.6 The Freight Forwarder shall indemnify the Carrier against all damage suffered by it, or by any other person to whom Carrier is liable, by reason of the Freight Forwarder's breach of the warranties and representations set out in above Article 4.4 and for any irregularity, incorrectness or incompleteness of the particulars and statements set forth in the EDI Messages furnished by the Freight Forwarder or on the Third Party’s behalf. The representations and warranties set forth in Section 4.4 and this indemnity obligation shall survive termination of this Agreement.

Article 5 — Admissibility in Evidence of EDI Messages

The Parties agree that in the event of any dispute, the records of EDI Messages, maintained in accordance with the Agreement, shall be admissible as evidence before the Courts, any arbitrator(s), other tribunals, or any other means of dispute resolution. However such evidence may be challenged by any other means of evidence (e.g., any documents, witnesses, etc.).

Article 6 — Processing and Acknowledgement of Receipt of EDI Messages

6.1 EDI Messages shall be processed as soon as possible after receipt, but in any event, within the time limits specified in Annex ‘A’.

6.2 An acknowledgment of receipt of any ED I Message is not required unless stipulated in Annex ‘A’ or to be a condition of any particular Cargo Contract.

An acknowledgment of receipt may be requested, by specific provision in Annex ‘A’ or by express request of the sender of an EDI Message.RP1670-June2012 Page 8 6.3 Where an acknowledgment is required, a time limit shall be specified for receipt of the acknowledgment. The receiver of an EDI Message, which specifies a requirement for an acknowledgment, shall not act upon it until such acknowledgment is sent.

6.4 If the sender does not receive the acknowledgment within the time limit specified in Annex ‘A’, he may, upon notification to the recipient of the EDI Message, treat the Shipment Record initiation as rejected from the expiration of that time limit and the shipment shall be handled as agreed between the Parties (in the absence of agreed procedures the Carrier policy will be applicable).

Article 7 - Confidentiality and Protection of Data

7.1 The Parties shall ensure that EDI Messages shall be maintained in confidence and not disclosed or transmitted to other persons except: (i) in fulfillment of the Cargo Contract or this Agreement; (ii) if otherwise previously agreed to in writing by the Parties; or (iii) unless compelled to do so by operation of law or by order of a competent court or tribunal, government authorities or agencies at the origin, destination or transit country to disclose the confidential information in connection with the relevant Cargo Contract.

7.2 In the case where in the relevant Cargo Contract the Freight Forwarder appears as

the “ Shipper is a consolidating forwarder, not an agent of the Carrier ” , the information

contained in the forwarder's Freight Forwarder's 'House Waybill’ (if any) , including but not limited to, the name and address of the shipper and/or consignee shall be maintained in confidence and not disclosed or transmitted to other persons except: (i) in fulfillment of the Cargo Contract or this Agreement; (ii) if otherwise previously agreed to in writing by the Parties; or (iii) unless compelled to do so by operation of law or by order of a competent court or tribunal, government authorities or agencies at the origin, destination or transit country to disclose the confidential information in connection with the relevant Cargo Contract.

7.3 The Parties shall comply with all applicable legislation concerning data protection.

Article 8— Recording and Storage of EDI Messages

8.1 The EDI Messages which comprise the Shipment Record, as set forth in Annex ‘A’, shall be issued by the Carrier and shall be stored by each Party or their agents, unaltered and secured, for a minimum of three years. Parties recognize that their national laws may require archiving of EDI messages for a period of time in excess of the time limit set forth herein for accounting, taxation, or other purposes outside the scope of this Agreement.

Note: Parties may want to consider the two years limitation period in the international conventions and applicable fiscal laws — as well as the distinction between operational and accounting requirements.

8.2 Unless otherwise provided by national laws, EDI Messages shall be stored by the sender (or their agent/s) in the transmitted format and by the receiver (or their agent/s) in the format in which they are received.RP1670-June2012 Page 9 8.3 The Parties shall ensure that electronic or computer records of the EDI Messages shall be readily retrievable, are capable of being reproduced in a human readable form and of being printed, if required.

Article 9 — Operational Requirements for EDI

9.1 Operational Equipment

Each Party shall provide and maintain, at its own cost, all necessary equipment to fulfill its obligations under the Agreement incl uding hardware, software and services necessary to transmit, receive, translate, record, print and store EDI Messages.

9.2 Means of Communication

The Parties have detailed in Annex ‘A’ the means of communication to be used, including the telecommunication protocols, and if required, the choice of third party service provider(s).

9.3 EDI Message Standards

All EDI Messages shall be transmitted in accordance with the IATA Message Standards, recommendations and procedures as approved and updated by the Cargo

Services Conference from time to time.

Article 10 — Technical Specifications and Requirements

10.1 The Parties may agree to test the computer system of the other, to assure that it meets the integrity and security standards detailed at Article 11 below.

10.2 The Parties may agree to submit to a third party technical audit within 14 days of executing this Agreement and to have further periodic audits of their computer systems, at a mutually convenient time and subject to reasonable notice. For the avoidance of doubt, each party shall bear its own audit costs. ( Numerous scenarios are possible, e.g. third party technical audit, audits before signing, audits after signing, right to periodic audits, and it is not practical to draft text for each).

10.3 The Parties agree to accept as prima facie evidence of the integrity and security of the other Party’s systems any certification by a recognized independent certification

agency.

Note: Any EDI interchange agreement is predicated upon each Party being certain the system of the other meets generally acceptable standards of integrity (unintentional alteration, modification or destruction after transmission) and security (to prevent intentional alteration, modification or destruction of messages).

Given the fundamental importance of being certain that messages cannot be altered, it is expected that the Parties will want to draft unique and specific integrity and security clauses, or incorporate them in the Annex ‘A’.RP1670-June2012 Page 10 Article 11 — Security of EDI Messages

11.1 Each Party shall implement and maintain security procedures in accordance with the generally accepted best practices, in order to ensure the authenticity of EDI Messages, and the protection of EDI Messages against the risk of unauthorized access, alteration, delay, destruction or loss.

(Security procedures to verify the origin, and the verification of integrity, in order to identify the sender of an EDI Message and to ascertain that any EDI Message received is complete and has not been corrupted, are essential. Such security procedures and measures may be expressly specified in the Annex ‘A’.)

11.2 Each Party shall immediately inform the other if it becomes aware of any breach in its own security procedures, and take all nec essary steps to remedy the problem.

11.3 A Party informed of or who otherwise bec omes aware of a breach in its security, shall immediately give written notice of that to the other Party, who in turn, can immediately suspend the application of this Agreement and cease to act on EDI from that Party until the breach has been resolved to its reasonable satisfaction.

Article 12 — Authentication

12.1 The Parties shall establish a mutually satisfactory procedure for confirming the authenticity of each other’s EDI Messages.

12.2 As between themselves, and without prejudice to any recourse against a third party, the Parties agree that the sender of an EDI Message shall be responsible for the integrity of it, and responsible for any unauthorized use of or access to its authentication codes/procedures prior to receipt of the message on the recipient’s computer, unless such error, unauthorized use or access results from the acts or omissions of the recipient. The recipient shall be responsible for the integrity of the EDI Message, any unauthorized use of or access to the recipient’s authentication codes/procedures, after reception of the message on its computer unless such unauthorized use or access

results from the acts or omissions of the sender.

Article 13 — Non-compliance

In the event that the EDI communication system of a Party does not comply with the integrity and security standards as required by the Agreement, and there is a disagreement with respect to an EDI Message, the version of the Party whose system does comply will be deemed to be correct.

Article 14 — Liability

14.1 The Parties shall not be liable for any loss or damage suffered by the other Party caused by any delay or failure to perform in accordance with the provision of the Agreement, where such delay or failure is caused by an impediment beyond that Party’sRP1670-June2012 Page 11 control and which could not reasonably be expected to be taken into account at the time of conclusion of the Agreement or the consequences of which could not be avoided or

overcome.

14.2 If a Party engages any intermediary (service provider) to perform such services as the transmission, logging, storage or processing of an EDI Message, that Party shall be liable for the intermediary’s acts or omissions in the provision of said services.

14.3 If a Party requires another Party to use the services of an intermediary to perform the transmission, logging, storage or processing of an EDI Message, the Party who requires such use shall be liable to the other Party for damage from that intermediary’s acts or omissions in the provision of said services.

14.4 Except where this Agreement states differently, each Party’s liability shall be limited to proven compensatory damages, and in any event, no Party to the Agreement shall be liable for (i) any loss of profits, revenue, contracts, sales, anticipated savings, goodwill, and reputation; and (ii) special, indirect or consequential losses; or (iii) any form of non-compensatory damages caused by a failure to perform its obligations under the Agreement.

Article 15 — Dispute Resolution

15.1 Alternative 1 — Arbitration Clause

Any dispute arising out of or in connection with this Agreement, including any question regarding its existence, validity or termination, shall be settled by the following dispute resolution process:

15.1.1 Within 14 days of a dispute arising, the Parties’ representatives shall meet and seek to negotiate a resolution; If the Parties are unable to resolve the matter within 45 days from the dispute arising, the matter shall be referred to mediation to take place within 60 days thereafter.

15.1.2 If the mediation is not able to resolve the dispute, the matter shall be referred to and finally resolved by arbitration subject to the International Chamber of Commerce (ICC) Rules of Arbitration , before a single arbitrator to be agreed by the Parties, or failing agreement, by a panel of three arbitrators to be nominated in accordance with International Chamber of Commerce (ICC) Rules of Arbitration

.

15.1.3 Arbitration shall be conducted in English and the seat of the Arbitration shall be in (...[insert city and country]...). The decision of the Arbitrator(s) shall be final and binding.

15.2 Alternative 2 — Jurisdiction Clause

Any dispute arising out of or in connection with this contract shall be referred to the courts of (...[insert country]...) which shall have sole jurisdiction.RP1670-June2012 Page 12 Article 16 — Applicable Law

Without prejudice to any mandatory national law, which may apply to the Parties regarding recording and storage of EDI Messages or confidentiality and protection of personal data, the Agreement is governed by the laws of (...[insert country]...).

Shipper certifies that insofar as any part of a consignment contains dangerous goods, all measures prescribed by the Dangerous Goods Regulations have been respected.

Article 17 — General

17.1 Effect

The Agreement shall be effective from the date on which it is signed by both Parties, or if signed on a different date, the date signed by the latter of the two.

17.2 Modifications

The Agreement constitutes the entire agreement between the Parties on the subject matter. Any modifications, subsequent agreements or collateral agreements dealing directly or indirectly with the subject matter contained in the Agreement shall only be valid if set out in writing and signed by both Parties. This Agreement shall not be assigned by a Party, unless prior written consent is obtained from the other Party, such consent shall not be unreasonably withheld.

17.3 Notices

Any Notice to the other Party shall be in writing and shall be sent by certified mail, return receipt requested or by express courier with proof of delivery to the individuals and

addresses indicated below:RP1670-June2012 Page 13 For the Shipper Freight Forwarder For the Carrier

_________________ _________________

_________________ _________________

_________________ _________________

_________________ _________________

Either Party may change its address by notice to the other Party.

17.4 Termination

Either Party may terminate the Agreement by giving not less than (.........) days prior

written Notice.

Notwithstanding termination for any reason, the rights and obligations of the Parties referred to in Articles 4, 5, 7, 8 and 14 shall survive termination together with any other provision which by its nature survives termination.

Note: The Parties may want to specify a right of immediate termination in the event of bankruptcy, insolvency or similar events, and/or a right to terminate with or without prior notice if the other Party fails to fulfill its obligation under the present Agreement

.

17.5 Severability

If any provision or provisions of this Agreement shall be held to be invalid, illegal, unenforceable or in conflict with the law of any jurisdiction, that shall not affect: 1. The validity or enforceability in that jurisdiction of any other provision of this Agreement; or 2. The validity or enforceability in other jurisdictions of that or any other provision of this Agreement.

In such cases, this Agreement shall be construed as if such invalid, illegal or unenforceable provisions had never been contained herein, unless the deletion of such provision or provisions would result in such a material change so as to cause completion of the transactions contemplated herein to be unreasonable. Parties shall then negotiate in good faith an appropriate substitute for the provisions deemed invalid.

17.6 Interpretation

Words importing the singular shall include the plural and vice versa.

The headings of articles are for convenience only and shall not be used to interpret provisions of the Agreement or otherwise affect the substantial provisions.
In the event of any inconsistency between the provisions of this Agreement and any provisions incorporated by reference, as detai led in Article 2.1, the provisions of this Agreement shall prevail.RP1670-June2012 Page 14 17.7 No Waiver of Rights

The failure by either Party at any time to require performance by the other of any of its obligations, shall not affect the right to require such performance at any time thereafter. A waiver by either Party of a breach or specific delay shall not be taken or held to be a waiver of any subsequent breach or delay.

WHEREFORE the Parties have signed:

................................................... .............................................

Shipper Freight Forwarder

CarrierRP1670-June2012 Page 15 RECOMMENDED PRACTICE 1670

Attachment ‘A’

Annex ‘A’

TECHNICAL ANNEX TO MODEL EDI AGREEMENT

1) CONVENTIONS

In the event that the Carrier party to the EDI Agreement must make an unscheduled stopover at a country that is not signatory of the Convention for the Unification of Certain Rules Relating to International Carriage by Air, signed at Warsaw, 12 October 1929 as amended by Montreal Protocol No. 4 (MP4), or have ratified the Convention for the Unification of Certain Rules for International Carriage by Air, done at Montreal on 28 May 1999 (MC99), the Parties shall ensure that they can produce and deliver the Cargo Receipt requested by any third party, government authority requesting such

documentation.

2) EDI MESSAGES

All EDI Messages shall be structured and used in accordance with the IATA Cargo Interchange Message Procedures (Cargo-IMP) Manual or the Cargo-FACT Message

Manual or the Cargo-XML Message Manual . This Technical Annex addresses the CargoIMP environment.

In the event that the Parties wish to exchange particular version numbers of the CargoIMP messages then only FWB version number (....), FSU version number (....) and FNA version number (....) will be supported. In case Parties decide to use the Cargo-IMP FMA message then only FMA version number (....) will be supported.

3) SHIPMENT RECORD

To initiate the Shipment Record information the Shipper Freight Forwarder will send the completed air waybill data through an electronic message (FWB) as per Cargo Interchange Message Procedures (Cargo-IMP) Manual to the Carrier prior to the presentation of the consignment at the Carrier point of acceptance.

The Cargo Contract shall be subject to the FSU/RCS message being sent to the Shipper. Freight Forwarder. In the event that the weight, volume and/or total number of pieces of the FSU/RCS Message deviates from the weight, volume and/or total number of pieces of the FWB information the cargo shipment shall be treated according to the exception management procedures prev iously agreed between the Parties.

In case the Carrier cannot access the Shipment Record initiated in his system, at freight presentation, a fallback (or recovery) procedure should be agreed and in place between

the Carrier and Shipper Freight Forwarder

.RP1670-June2012 Page 16 4) REJECTION MESSAGE

The notification to the Shipper Freight Forwarder that the EDI message containing the air waybill data (FWB) has been rejected by the Carrier’s system and/or by his third party service provider due to syntax errors shall be performed using the standard electronic Error (FNA) message as per Cargo Interchange Message Procedures (Cargo-IMP)

Manual.

The FNA message should include the Message Improvement Program (MIP) error code and reasons as per the latest version of the MIP strategy document.

5) CONFIRMATION MESSAGE

The confirmation to the Shipper Freight Forwarder that the EDI message containing the air waybill data (FWB) has been received by the Carrier’s system and/or his third party service provider without syntax errors and application errors shall be performed using the standard electronic Acknowledgment (FMA) message as per the Cargo Interchange Message Procedures (Cargo-IMP) Manual. 4

A confirmation message is not required unless otherwise previously agreed by the Parties in writing.

In the event that the Shipper Freight Forwarder requires a confirmation (acknowledgment) message from the Carrier upon receipt of a FWB Message, the Carrier shall send the acknowledgment as soon as possible, however, in no case later than (....) minutes after receipt of the FWB. In the event that the Carrier fails to send an acknowledgment within the time period stated, the Shipment Record initiation shall be considered rejected and the shipment shall be handled as previously agreed between the Parties (or according to the Carrier policy if applicable).

In the event that the Carrier requires the FWB message from the Shipper Freight

Forwarder prior to presentation of the freight at the Carrier’s point of acceptance and the Shipper Freight Forwarder fails to send the FWB prior to presentation, there shall be no Shipment Record and the shipment shall be handled as previously agreed between the Parties (or according to the Carrier policy if applicable).

6) CARGO RECEIPT

The Cargo Receipt will evidence the conclusion of the contract (“including acceptance of all contract terms”) and evidence the acceptance of the cargo as “ready for carriage” (as indicated in the IATA Cargo Agency Conference Resolution 833 5 ).

The Carrier will send the standard electronic Status Update (FSU) message with the standard Status Code ready for carriage Shipment (RCS) as per Cargo Interchange Message Procedures (Cargo-IMP) Manual to the Shipper Freight Forwarder

.

4 Note: Alternatively the Cargo 2000 route map milestone (MUP-FWB) message could be used. In such a case both Parties need to be Cargo 2000 members and need to have agreed this previously.

5 Cargo Agency Conference Resolution 833 Ready for Carriage ConsignmentsRP1670-June2012 Page 17 The Carrier will send to the Freight Forwarder the electronic Status Update (FSU) message with the standard Status Code ready for carriage Shipment (RCS) including the actual event time, as per Cargo Interchange Message Procedures (Cargo-IMP) as soon as possible after the presentation of the freight by the Shipper Freight Forwarder to the Carrier’s point of acceptance and no later than ___ (if left blank, no time limit shall apply) minutes after the determination by the Carrier that the freight is indeed “ready for carriage”.

The Cargo Receipt will confirm the FWB message information and FSU/RCS message

information. The date of the Cargo Receipt shall be the date that the Carrier transmits the FSU/RCS message.

The Cargo Receipt document shall be produced either as a paper or electronic version as agreed between the Parties in the layout of the Cargo Receipt as described in the Annex ‘C’ of this Agreement.

Carrier will only send a FSU/RCS message if a FWB message is received from the Shipper at least (....) minutes prior to presentation of the freight at the Carrier’s point of acceptance. The Parties shall agree on the process to be followed in case the FWB message is not received in the agreed period of time.

7) ACCESS TO THE SHIPMENT RECORD BY THE CONSIGNEE

The Consignee may need to have access to the Cargo Receipt containing weight, volume and number of pieces.

The Carrier, upon request by the Shipper Freight Forwarder , may provide a copy of the Cargo Receipt to the Consignee.

8) CHARGES CORRECTION ADVICE (CCA)

In the case of discrepancies that affect charges between the data contained in the FWB message as transmitted by the Shipper Freight Forwarder and the data contained in the FSU/RCS message as transmitted by the Carrier, the Carrier shall send a Cargo

Correction Advice to the Shipp er Freight Forwarder unless otherwise agreed by the

Parties.

9) BAR CODE LABELS

For cargo acceptance, shipments must be labeled with machine-readable cargo labels that are in accordance with the specifications of IATA Cargo Services Conference

Resolution 606 6 , Bar Coded Label.

6 Cargo Services Conference Resolution 606 Bar Coded LabelRP1670-June2012 Page 18 RECOMMENDED PRACTICE 1670

Attachment ‘A’

Annex ‘B’

Notice: the provisions of Resolution 600i, including the Conditions of Contract set forth therein, are incorporated into this Agreement by this reference. The current Conditions of Contract as set forth in Resolution 600i are re-printed in this Annex B for the convenience of the parties. The parties agree to be bound by the current

version of the Resolution 600i Conditions of Contract as amended from time to time by the Cargo Services Conference and re-printed in the Cargo Services

Conference Resolutions Manual website without further amendment to this Agreement.

[INSERT CONDITIONS OF CONTRACT FOR CONTRACTS CONCLUDED BY

ELECTRONIC MEANS

AS SET FORTH IN THE CURRENT VERSION OF CARGO SERVICES CONFERENCE RESOLUTION 600i]

NOTICE CONCERNING CARRIER’S LIMITATION OF LIABILITY

If the carriage involves an ultimate destination or stop in a country other than the country of departure, the Montreal Convention or the Warsaw Convention may be applicable to the liability of the Carrier in respect of loss of, damage or delay to cargo. Carrier's limitation of liability in accordance with those Conventions shall be as set forth in subparagraph 4 unless a higher value is declared.

This contr act is subject to the following :

CONDITIONS OF CONTRACT

1. In this contract and the Notices appearing herewith:

CARRIER includes the air carrier issuing the Cargo Receipt and all carriers that carry or undertake to carry the cargo or perform any other services related to such carriage.

SPECIAL DRAWING RIGHT (SDR) is a Special Drawing Right as defined by the International Monetary Fund.

WARSAW CONVENTION means whichever of the following instruments is applicable to the contract of carriage:

the Conve ntion for the Unification of Certain Rules Relating to International Carriage by Air, signed at Warsaw, 12 October 1929; that Convention as amended at The Hague onRP1670-June2012 Page 19 28 September 1955; that Convention as amended at The Hague 1955 and by Montreal

Protocol No. 1, 2, or 4 (1975) as the case may be.

MONTREAL CONVENTION means the Conventi on for the Unification of Certain Rules for International Carriage by Air, done at Montreal on 28 May 1999.

2./2.1 Carriage is subject to the rules relating to liability establi shed by the Warsaw

Convention or the Montreal Convention unless such carriage is not “international carriage” as defined by the applicable Conventions.

2.2 To the extent not in conflict with the foregoing, carriage and other related services performed b y each Carrier are subject to:

2.2.1 applicable laws and government regulations;

2.2.2 provisions contained in the Carrier’s conditions of carriage and related rules, regulations, and timetables (but not the times of departure and arrival stated therein)

an d applicable tariffs of such Carrier, which are made part hereof, and which may be inspected at any airports or other cargo sales offices from which it operates regular services. When carriage is to/from the USA, the shipper and the consignee are entitled

, upon request, to receive a free copy of the Carrier’s conditions of carriage. The Carrier’s conditions of carriage include, but are not limited to:

2.2.2.1 limits on the Carrier’s liability for loss, damage or delay of goods, including fragile or perishable go ods;

2.2.2.2 claims restrictions, including time periods within which shippers or consignees must file a claim or bring an action against the Carrier for its acts or omissions, or those of its agents;

2.2.2.3 rights, if any, of the Carrier to change the terms of the con tract;

2.2.2.4 rules about Carrier’s right to refuse to carry;

2.2.2.5 rights of the Carrier and limitations concerning delay or failure to perform service, including schedule changes, substitution of alternate Carrier or aircraft and rerouting.

3. The agreed stopping places (which may be altered by Carrier in case of necessity) are those places, except the place of departure and place of destination, set forth in the Shipment Record or shown in Carrier’s timetables as scheduled stopping places for the route. Carriage to be performed hereunder by several successive Carriers is regarded as a single operation.

4

. For carriage to which the Montreal Convention does not apply, Carrier’s liability

limitation for cargo lost, damaged or delayed shall be 19 SDRs per kilogram un less

a greater per kilogram monetary limit is provided in any applicable Convention or in Carrier’s tariffs or general conditions of carriage.

5./5.1 Except when the Carrier has extended credit to the consignee without the written consent of the shipper, the shipper guarantees payment of all charges for theRP1670-June2012 Page 20 carriage due in accordance with Carrier’s tariff, conditions of carriage and related regulations, applicable laws (including nat ional laws implementing the Warsaw

Convention and the Montreal Convention ), government regulations, orders and requirements.

5.2 When no part of the consignment is delivered, a claim with respect to such consignment will be considered even though transportation charges thereon are unpaid.

6./6.1 For cargo accepted for car riage, the Warsaw Convention and the Montreal Convention permit shipper to increase the limitation of liability by declaring a higher value for carriage and paying a supplemental charge if required.

6.2 In carriage to which neither the Warsaw Convention n or the Montreal Convention applies Carrier shall, in accordance with the procedures set forth in its general conditions of carriage and applicable tariffs, permit shipper to increase the limitation of liability by declaring a higher value for carriage and paying a supplemental charge if so required.

7./7.1 In cases of loss of, damage or delay to part of the cargo, the weight to be taken into account in determining Carrier’s limit of liability shall be only the weight of the package or packages concerned.

7.2 Notwithstanding any other provisions, for “foreign air transportation” as defined by the U.S. Transportation Code:

7.2.1 in the case of loss of, damage or delay to a shipment, the weight to be used in determining Carrier’s limit of liability shall be the weight which is used to determine the charge for carriage of such shipment; and

7.2.2 in the case of loss of, damage or delay to a part of a shipment, the shipment weight in 7.2.1 shall be prorated to the packages covered by the same Cargo Receipt whose value is aff ected by the loss, damage or delay. The weight applicable in the case of loss or damage to one or more articles in a package shall be the weight of the entire package.

8. Any exclusion or limitation of liability applicable to Carrier shall apply to Carrie r’s agents, employees, and representatives and to any person whose aircraft or equipment is used by Carrier for carriage and such person’s agents, employees and representatives.

9. Carrier undertakes to complete the carriage with reasonable dispatch. Wher e permitted by applicable laws, tariffs and government regulations, Carrier may use alternative carriers, aircraft or modes of transport without notice but with due regard to the interests of the shipper. Carrier is authorized by the shipper to select the routing and all intermediate stopping places that it deems appropriate or to change or deviate from the routing shown in the Shipment Record.

10. Receipt by the person entitled to delivery of the cargo without complaint shall be prima facie evidence that the cargo has been delivered in good condition and in accordance with the contract of carriage.RP1670-June2012 Page 21 10.1 In the case of loss of, damage or delay to cargo a written complaint must be made to Carrier by the person entitled to delivery. Such complaint must be m ade:

10.1.1 in the case of damage to the cargo, immediately after discovery of the damage and at the latest within 14 days from the date of receipt of the cargo;

10.1.2 in the case of delay, within 21 days from the date on which the cargo was placed

at the disposal of the person entitled to delivery.

10.1.3 in the case of non

- delivery of the cargo, within 120 days from the date of receipt of the cargo for transportation by the Carrier.

10.2 Such complaint may be made to the Carrier who issued the Car go Receipt, or to the first Carrier or to the last Carrier or to the Carrier, which performed the carriage during which the loss, damage or delay took place.

10.3 Unless a written complaint is made within the time limits specified in 10.1 no action may be brought against Carrier.

10.4 Any rights to damages against Carrier shall be extinguished unless an action is brought within two years from the date of arrival at the destination, or from the date on which the aircraft ought to have arrived, or from the date on which the carriage stopped.

11. Shipper shall comply with all applicable laws and government regulations of any country to or from which the cargo may be carried, including those relating to the packing, carriage or delivery of the cargo, and shal l furnish such information to the Carrier as may be necessary to comply with such laws and regulations. Carrier is not liable to shipper and shipper shall indemnify Carrier for loss or expense due to shipper’s failure to comply with this provision.

12. N o agent, employee or representative of Carrier has authority to alter, modify or waive any provisions of this contract.RP1670-June2012 Page 22 RECOMMENDED PRACTICE 1670

Attachment ‘A’

Annex ‘C’

THE RECEIPT FOR THE CARGO (ALSO KNOWN AS THE CARGO RECEIPT) -

TECHNICAL SPECIFICATIONS AND COMPLETION

Measurements of the Cargo Receipt

The outside measurements of the Cargo Receipt shall be maintained exactly as shown in Appendix ‘A’.

Description of the Cargo Receipt

The Cargo Receipt shall have the same layout, wording and shading as specified in Appendix ‘B’;

Completion of the Cargo Receipt

The circled numbers in the following text correspond with the numbers in the boxes of the specimen illustrated in Appendix ‘C’.

1. Shipment Identification

The shipment identification number shall be entered and will be composed of the following Cargo-IMP data:

FWB Ref. 2.1.1 (DE 112) / 2.1.3 (DE 113) / 17.2.2 (DE 202) / 17.2.3 (DE 201) / 17.2.4 (DE 200)

A hyphen shall be inserted between DE 112 and DE 113 and also between DE 113 and

DE 202.

2. Shipper Name

The shipper’s name shall be entered and will be composed of the following Cargo-IMP

data:

FWB Ref. 5.4.2 (DE 300)

3. Issued By

The name of the carrier issuing the cargo receipt should be entered and would be aligned with DE 112 of the shipment identification. A company logo may also be

entered. 1

2

3RP1670-June2012 Page 23 4. Day/Month/Time (of Shipment Acceptance)

The Day/Month/Time (of Shipment Acceptance) shall be entered and will be composed of the following Cargo-IMP data:

FSU Ref. 3.3.1 (DE 202) / 3.3.2(DE 201) / 3.3.3(DE 203), if DE 203 is present.

A space shall be inserted between DE 202 and DE 201 and also between DE 201 and

DE 203. The year of shipment acceptance is not included in the Day/Month/Time (of Shipment Acceptance) box but can be deduced from the date of the Shipment Identification box.

5. Airport/City Code (of Shipment Acceptance)

The Airport/City Code (of Shipment Acceptance) shall be entered and will be composed of the following Cargo-IMP data:

FSU Ref. 3.3.5 (DE 313)

6. Total Number of Pieces

The Total Number of Pieces determined at acceptance shall be entered and will be composed of the following Cargo-IMP data:

FSU Ref. 2.3.3 or 2.4.2 (DE 701)

7. Weight / Code

7.1 Weight

The amount of the weight determined at acceptance shall be entered and will be composed of the following Cargo-IMP data:

FSU Ref. 2.3.5 (DE 600)

7.2 Code

The measurement unit code for the weight amount determined at acceptance shall be entered and will be composed of the following Cargo-IMP data:

FSU Ref. 2.3.4 (DE 601)

A space shall be inserted between DE 600 and DE 601.

8. Volume

The volume amount and its measurement unit code determined at acceptance may be entered if available and will be composed of the following Cargo-IMP data: 4

5

6

7

8

9RP1670-June2012 Page 24 FSU Ref. 3.8.2 (DE 500) / 3.8.1 (DE 604)

A space shall be inserted between DE 500 and DE 604

9. Airport/City Code (of Origin)

The Airport/City Code (of Origin) shall be entered and will be composed of the following Cargo-IMP data:

FWB Ref. 2.2.1 (DE 313)

10. Airport/City Code (of Destination)

The Airport/City Code (of Destination) shall be entered and will be composed of the following Cargo-IMP data:

FWB Ref. 2.2.2 (DE 313)

11. Airport/City Code (of Routing)

The Airport/City Code (of Routing) can be entered and will be composed of the following Cargo-IMP data:

FWB Ref. 4.2.2 and 4.3.2 (DE 313)

A slant shall be inserted between DE 313 and any repeats of DE 313.

The Airport/City Code (of Routing) must be entered if:

The places of departure and destination are within the territory of a single State Party and one or more agreed stopping places being within the territory of another State then an indication of at least one such stopping place must be indicated. 10

11

12RP1670-June2012 Page 25 Appendix ‘A’RP1670-June2012 Page 26 Appendix ‘B’



### Notes :

1. The boxes with bold titles indicate information specified by the Convention for

the Unification of Certain Rules for International Carriage by Air, done at Montreal on 28 May 1999 (MC99) and The C onvention for the Unification of Certain Rules Relating to International Carriage by Air, signed at Warsaw, 12 October 1929 as amended by Montreal Prot ocol No. 4 (MP4). Routing would only be included if applicable as specified in the Articles;

2. Airport/City Code (of Routing): As per MC99 and MP4, if the places of departure and destination are within the terri tory of a single State Party and one or more agreed stopping places being within the territory of another State then an

indication of at least one such stopping place must be indicated;

3. The year of shipment acceptance is not included in the “Day/Month/Time (of Shipment Acceptance)” box but can be de duced from the date of the “Shipment

Identification” box.RP1670-June2012 Page 27 Appendix ‘C’RP1670-June2012 Page 28 RECOMMENDED PRACTICE 1670

Attachment ‘A’

Annex ‘D’

TERMS FOR INITIATING AND CONCLUDING CARGO CONTRACTS IN RESPECT

OF WARSAW CARRIAGE

Where the Parties are contracting in relation to an international carriage of cargo within the meaning of either the Convention for the Unification of Certain Rules Relating to International Carriage by Air, signed at Warsaw, 12 October 1929 (the “Warsaw Convention”) and/or the Warsaw Convention, as amended at the Hague, 1955 (“Warsaw-Hague”), but falling outside the meaning ascribed to such carriage within either or both of the Conventions (as defined in Section 1 of Annex A of the Agreement) (each such carriage referred herein as a “Warsaw Carriage”), the Parties hereby agree to take the following steps in order to ensure that each Warsaw Carriage complies fully with the procedures relating to air consignment notes and air waybills set out respectively in the Warsaw Convention and Warsaw-Hague and that in any event any Cargo Contract in respect of a Warsaw Carriage shall be entered into in accordance with and subject to the following provisions:

1. AIR WAYBILL COMPLETION

Upon receipt of an air waybill data message (e.g. FWB) from Freight Forwarder for a Cargo Contract to be flown on a Warsaw Carriage route, Freight Forwarder hereby authorizes Carrier to make out a conforming air waybill relating to the carriage of the cargo described in such message (“Warsaw Cargo”) on behalf of Freight Forwarder pursuant to Resolution 600a, Attachment A, Section 3. Freight Forwarder agrees that such making out of the air waybill by the Carrier on its behalf complies with article 6(5) of both the Warsaw Convention and/or Warsaw-Hague, as applicable.

2. EDI MESSAGE DISCREPANCIES

Upon receipt by the Carrier of Warsaw Cargo, Carrier will confirm that such cargo is ready for carriage through a status update message (e.g. FSU/RCS) sent to Freight Forwarder. In the event Carrier cannot confirm that such cargo is ready for carriage or that the data in the status update message (e.g. FSU/RCS) to the Freight Forwarder deviates in weight, volume and/or total number of pieces in the air waybill data message (e.g. FWB) from the Freight Forwarder, the Warsaw Cargo shall be treated according to the exception management procedures agreed between the Parties as set forth in

Section 3 of Annex A.

3. SIGNATURES ON AIR WAYBILL

The Carrier shall be entitled to rely on Freight Forwarder authorizations, representations and undertakings set out in Section 5 of this Annex D and on that basis may upon acceptance of, but prior to loading of the Warsaw Cargo, stamp or print Freight Forwarder’s signature, or a Third Party’s signature if applicable pursuant to Section 6 of this Annex D, as “Shipper” on the first and second Originals 1 and 2 of the air waybillRP1670-June2012 Page 29 (marked “for issuing Carrier” and “for Consignee” respectively) for and on behalf of the Freight Forwarder (or Third Party if applicable) and countersign the Original 2 and sign the Original 3 of the air waybill (marked “for consignee” and “for Shipper” respectively) in its capacity as carrier and then shall return the Original 3 to the Freight Forwarder. Freight Forwarder further agrees that the stamping or printing of the signature on the air waybill by the Carrier on behalf of Freight Forwarder or a Third Party as set forth in this Section 3 of this Annex D complies fully with the requirements of article 6(4) of the Warsaw Convention and/or Warsaw-Hague and with the giving of notice to the Freight Forwarder of possible limits on the liability of Carrier in respect of loss of or damage to the Warsaw Cargo required under such Conventions.

4. CONCLUSION OF CARGO CONTRACTS FOR WARSAW CARRIAGE

Cargo Contracts for purposes of Warsaw Carriage under this Annex D shall be concluded upon the stamping or printing of the Shipper’s signature on the air waybill as set forth in Section 3 hereof, and such Cargo Contracts shall be governed by the Conditions of Contract printed on the reverse side of such air waybill(s) as set forth in the then current Cargo Services Conference Resolution 600b.

5. FREIGHT FORWARDER REPRESENTATIONS

Freight Forwarder represents to Carrier that:

a) Freight Forwarder has the full and unequivocal authority to enter into this Agreement and in particular to assume and be bound by the representations, undertakings and obligations set out in this Annex D; and

b) Throughout the term of the Agreement Freight Forwarder shall have the full and unequivocal authority to appoint Carrier as Freight Forwarder’s agent for the purpose of actions required to be undertaken by Carrier pursuant to this Annex D.

c) Carrier may at all times be entitled to rely on Freight Forwarder’s representations and undertakings herein contained and shall be under no obligation whatsoever to make any enquiries as to whether or not any or

all of these authorizations have been revoked.

d) in the event of a conflict between the provisions of this Annex D and the rest of the Agreement the provisions of this Annex D shall prevail.

6. THIRD-PARTY SHIPMENTS FOR WARSAW CARRIAGE

For Warsaw Carriage involving a Third Party as Shipper, as further described in Section 4.4 of the Agreement; Freight Forwarder shall comply with the conditions set forth in Section 4.4, 4.5 and Section 4.6.

Freight Forwarder shall accordingly identify the Third Party as the “Shipper” in the air waybill data message (e.g. FWB).RP1670-June2012 Page 30 THE TRANSMITTAL OF EDI MESSAGES AS SET FORTH IN SECTION 6 OF THIS

ANNEX D FOR PURPOSES OF CONCLUDING A CARGO CONTRACT BETWEEN A

THIRD PARTY AND THE CARRIER FOR CARRIAGE BY AIR SHALL AUTHORIZE CARRIER, TO THE EXTENT REQUIRED BY INTERNATIONAL CONVENTION, TO

MAKE OUT CONFORMING AIR WAYBILLS AND STAMP OR PRINT SIGNATURES

ON SUCH AIR WAYBILLS ON BEHALF OF THE THIRD PARTY BY TRANSMITTING

SUCH EDI MESSAGES FREIGHT FORWARDER C ERTIFIES THAT FREIGHT

FORWARDER HAS OBTAINED AUTHORIZATION FROM THE THIRD PARTY TO

PERMIT SUCH ISSUANCE.www.iata.or g International Air Transport Association

Route de l'Aéroport 33, PO Box 416 CH-1215 Geneva 15 Airport

Switzerland 

### MEMORANDUM

CSC/MailVote/003/2012

TO: All Members of IATA Cargo Services Conference Accredited Representatives

FROM: Secretary, Cargo Services Conference

DATE: 5 June 2012

SUBJECT: RESULT – CSC MAIL VOTE (S072) – RECOMMENDED PRACTICE 1670

Members are referred to Memorandum CSC/MailVote/001/2012 dated 14 May 2012 seeking approval for amendment to Recommended Practice 1670.

The voting period ended on 4 June 2012 and more than two-thirds affirmative votes were received from voting Members who have voted within the prescribed period. Accordingly, the amendment to Recommended Practice 1670 is hereby declared adopted by the Cargo

Services Conference. The Finally Adopted Resolution (FAR) for government filing will be circulated shortly.

Please note that the following typographical correc tion was made to Attachment 'A', Annex 'A', Section 4 “Rejection Message” to align with the remainder of the document.

4) REJECTION MESSAGE

The notification to the Shipper Freight Forwarder that the EDI message cont aining the air waybill data (FWB) has been rejected by the Carrier’s system and/or by his third party service provider due to syntax errors shall be performed using the standard electron ic Error (FNA) message as per Cargo Interchange Message Procedures (Cargo-IMP) Manual.

The final version of Recommended Practice 1670 is attached herewith for your reference.

Thank you for your participation.

Sincerely,

Frederic Leger Head of Cargo Business Process & Standards, IATA

 AttachmentRECOMMENDED PRACTICE 1670

CAR RIAGE OF CA RGO USI N G E L ECTR ONI C DATA I N TERCH AN GE (E DI)

CSC(MAIL S072)1670 Expiry: Indef inite

T y p e : B

REC O MME NDED that:

Members en gaged in the carriage of cargo using Electronic D a ta Intercha nge to transmit

the information of the Shipment Record shall use the pro c edures an d standards as

indicated in Attachment ‘A’ – MODE L AGREEMENT FOR ELECTRONIC DATA INTERCHANGE (EDI) as amended from time to time.

Members are encourag ed to obtain the approval of their o w n Legal Department prior t o entering into any agreement.

RP1670-June2 0 12 Page 1

### RECOMMENDED PRACTICE 1670

Attachment ‘A’

MODEL A G REE M ENT FOR ELE C TRONI C DA TA INTER C HAN GE (E DI)

It is agreed that the g oods shipp ed pursuant to this A g reement are accepted in
apparent g ood order and condition (except as noted) for carriag e SUBJ ECT T O

THE C O ND ITIONS OF CONT RA CT. ALL GOODS MAY BE CA RRIED BY AN Y

OTHE R ME ANS INCLUDING ROAD OR ANY OTHE R CARRIER UNL ESS SPE CI FIC

CONT RA R Y INSTRU CTION S A R E GIVE N BY THE SHIPPER, AND SHI PPER

AGR EES T HAT TH E S H IPMENT MAY BE C ARRIE D VI A INTE RME D IATE STOPPIN G

PLACE S WHICH TH E CAR RIE R DEE M S APPR OP RIATE. THE SHIP PER’ S

ATTENTI O N IS DR A W N TO TH E N O TICE CON C ER NI NG CA RRI ER’S LI MIT A TION

OF LIABILI TY in the Conditions of Contract. Shipper may increase such limitation of liability b y declarin g a higher value for carriage and pa y i ng a supplemental charge if required. INSURANCE – If carrier offers insurance, and such i nsurance is requested in

accordance w i th the c onditions thereof, indicate amount to be in sured in fi gures in field "Amount of Insurance".

MODEL AGREEMENT FOR

ELECTR ON IC DATA I N TERCH AN GE (E DI)

Betw een

(Part y A) of (address) represented b y (name ) (hereinafter referred to as “Freight Forw a rder 1 ”)

And

(Part y B) of (address) represented b y (name ) (hereinafter referred to as “Carrier”)

Recitals

WHEREAS the Parties hereto have

, or expect t o have, co mmercial de alings with each other;

WH E R EA S the Partie s desire to improve the efficiency of any future commercial

transaction s by replacin g the fl ow of paper air waybills be tween them with ele c tr onic

data interch ange; WHEREAS the Partie s understand the technical and legal conseq uences of using

electronic d a ta intercha nge to cond uct commercial transa c tions; and

WH E R EA S the Partie s’ intent ion and desire is to fa cilitate and co nduct pape rless electronic cargo transactions,

1 “Freight F o rwarde r” i s si mply a pla c ehold e r fo r the contractin g pa rty, such as “Ship p e r”;

“Interm edia r y”, “Ca r go Ag e n t” or the enti t y name.

RP1670-June2 0 12 Page 2NOW, TH E R EFORE , th e Parties ag ree as follo ws:

Article 1 — Preamble

1.1 The foregoing recit a ls and any footnotes, are incorporated into and shall form an integral part of the Agreement.

1.2 This Agr eement is s u itable for u se on an y tr affic rou t e s w h e r e the pr eserv a tion of the Shipment Re cord thr oug h electro nic means in lieu of a pape r air w a y b ill is permitted u nde r interna t ional conv ention and lo cal l a w

. Fo r tr a d e rou t es th at a r e n o t g o v e rned b y an y interna t ional conv ention, the Parties should ensu re tha t the u se of elec tro n ic means in lieu of a pa per ai r w a y b ill is permissible u nder the loc a l la w s gov erning such traffic route. The Parties recogniz e that a paper air w a y b i ll ma y b e required by Carrier to regulate liabilit y

expos ure on traffic rou t e s w h er e suc h w a y b ill is neces sary and electroni c means a r e not recogni zed under th e ap plicable inte rnation a l conv ention and local la w

.

Note: Text in italics refers to issue s where the Parties will wish to choose between

available o p t

ions. Space s have been left blank (.. ..) to be fille d accordingl y.

Article 2 — Definitions

For the purpose of the A g reement, the terms list ed below are defined as follows:

2.1 “Agreement” shall mean this Agreement, toget her with Annex ‘A’, Annex ‘B’, Annex ‘C’, and Annex ‘D’. In addition, th e provisions of Resolution 670 and Recomme nded

Practice 16 72 of the IATA Carg o Services Conference Resolutio n s Manual are incorporated into the Agreement by reference, as if recited at length herein.

2.2 “EDI” o r “Electronic Data Interchange” sh all mean the electronic transfer, from
computer to computer, of commerci a l, administrative and tra n sport data using an agree d

standard to structure an EDI Message, as set out in the Anne x ‘A’.

2.3 “EDI Message” sha ll mean a message con s isting of a set of segments, structu r ed using an agr eed standard, prepared in a computer readable format, tran smitted via EDI, and capable of being aut omatically and unambiguously processed.

2.4 “IATA Message Standard” sha ll mean the message standard spe c ified, published and updated by the International Air Transport Associat ion (I ATA) from ti me to time.

2.5 “Cargo Contract” shall mean a contract be tween the Parties, ent ered into by EDI under this Agreement, f o r the transportation of, and settlement with respect to a specific cargo shipment.

2.6 “Parties” shall mean the partie s identifie d on Page 1 . Party shall mean either of

them.

2.7 “IATA” shall mean the Internation a l Air Transport Associa t ion.

2.8 “Cargo Receipt” or “Receipt f o r the Carg o” shall mean a docu m ent (in pa per or electronic fo rm) which i s provided to the Shipper, by the Carrier in paper form u n less

RP1670-June2 0 12 Page 3otherwise a g reed between the Parties, creat ing a Shipment Record as a subst i tute f o r th e issuance of an air waybi ll and which permits identificatio n of the shipment that has been accepted an d deemed “ready for carriage”. The technical aspects o f the Cargo Receipt shall be as described in Annex ‘A’ and i n th e form set forth in Annex ‘C’. 2

2.9 “Shipme n t Record” shall mean any record of the Cargo Contract preserved by Ca rrier. The technical aspect s o f the Shipment Record shall be a s specified in Annex ‘A’.

2.10 “Warehouse Receipt” shall mean a document (in paper or electronic form) provided to the Freig h t Forwarder by the Carrier acknowledging the receipt of th e cargo shipment as “freight on hand” for carriage by air. At a mi nimum, it shall specify (a) the Shipp e r; (b) the weight and number of pieces of the cargo shipment; (c) the dat e, time and place received by the Carrier; (d) refere nce the shipment ident ification nu mber coveri ng the specific car go shipment . To the ext ent it is read ily available, an indicatio n of the places of departure, destination and, if app licable, agr eed stopping places, should a l so be specified

.

2.11 “Shipp er’s Deliver y Note” shall mean a document (in paper o r electronic form) provided to the Carrier by the Freig h t Forwarde r acknowledging the delivery of the cargo shipment as “freight on hand” for carriage by air. At a mini mum, it shall specify (a) the Shipper; (b) the weight and number of pie c es o f the cargo shipment; (c) the date, t i me and place r e ceived by the Carrier; (d) reference the shipment identificatio n n u mber covering the specific car go shipment. To the extent it is rea d ily available, an indicat i on o f the place s of departure , destinat ion and, if app licable, agre ed stopping places, sh ould also be spe c ified.

It is underst ood that there will be a transition per iod where some Parties ma y depen d on paper for h andover purposes 3 . Parties may use the paper f o rm of their choosing for the

2 In the event that the Ca rri e r is un able to provide th e F r eight Fo rw arder with the Cargo Re ceip t in

pape r form upon F r eight Forward e r’ s delivery of the cargo to the Carri er due to techn i cal,

pro c ed ural or other rea s o n s , the Carrier must p r ovid e the Freight Forwarde r with a Wa reh o u se Re ceipt (in l i eu of a Wareh o u s e Re ceipt, the Carri er may verify the informatio n on and

cou n tersign t he Shipp e r' s Delivery Not e

. Once ve ri fied and cou n tersi gne d b y the Carrie r su ch delivery note shall se rve a s a Wareho u s e Re ceipt). Tran sp ortatio n of su ch cargo shipme nt by the

Carrie r co ntinues to be su bject to Carri e r' s sub s e q u ent confirm a tion that the cargo shipm e nt is

“re ady for ca rriage ”. For pu rpo s e s of the Internat ional Convention s (MC9 9 or M P 4, as define d in Annex ‘A’), such Ware hou se Re cei p t shall be de em ed a n inte rim “cargo re cei p t” (also kno w n as “re cei p t for the ca rg o” un der MP4 ) unt il the Carrie r has d e termi n ed that the cargo i s "re a d y for

carria ge" and can produ ce the actual Cargo Re ce ipt as per Ann e x ‘A’ hereof. Acco rdi ngly, the Cargo Recei p t shall serv e as pri m a facie evid en ce of the con c lu sion of th e contract, o f th e accepta n ce of the cargo a nd of the co ndition s of carri age me ntioned the r ei n, except that the

Wa reho use Re ceipt sh all noneth e le ss contin ue to serv e a s prim a facie eviden ce as to the weig ht

and nu mbe r of piece s d e livered to Carrie r at the date, time, and pla c e spe c ified o n the

Wa reho use Re ceipt. T he Parties shall archive th e Wa reho use Re ceipt pursuant to th e archivin g requi rem ents set forth in Article 8 Re co rd ing and Stora ge of EDI Message s.

3 The Party providing the Wareh o u s e Re ceipt shall d e t ermine it s form so lo ng a s it complie s with the requirem ents of Se ctions 2.10 or 2. 11. In the event that a Part y uses the form of an air waybill

as a Wareho use Re ceipt, any mention or refe ren c e to conditio n s of co ntra ct therein shall be disrega rd ed and co nsi dered n u ll and void. When u s i ng the form of an air way b ill the form shoul d

RP1670-June2 0 12 Page 4Warehouse Receipt (o r Shipper’s Delivery Note if used as a Warehouse Receipt).

However it i s envisione d that Parties shall ende avor to establish ele c tro n ic means for the Cargo Receipt and for th e Warehouse Receipt.

2.12 “Shipper” (which is equivalent to the ter m “Consignor”) shall mean the per son whose name appears o n the Air W a ybill or Shi p ment Record, as th e p a rty contracting with Carrier for the Carriage of Cargo.

Article 3 — Object and Scope

3.1 It is the expectation of the Freight Forwarde r and the Carrier that they shall be doing

business to gether in the future. The objective of the Agreement is to permit the Parti e s to

conclude le gally binding Cargo Co ntracts by electronic means. However, nothing in the Agreement shall create any obligation for either Party to tra n sact with t he other, no r any obligation o f exclusivity to deal only with the other, nor shall Carrier be obligated to
contract pur suant to this Agreement for contracts to be concluded in resp ect of “Warsaw Carriage” as defined in A nnex D to th is Agreement.

3.2 In the a b sence of a n express written agree ment to the contrary, the provisions of the Agreement shall only a pply to future Cargo Contracts, and not to any other commercial

relations be tween the Parties. All shipments covered as a Cargo Contract under this Agreement shall be cle a rly identified as an EDI Messa ge shipment by the Freight Forwarder through the corresponding EDI message. Car go Contracts conclud ed in respect of “Warsaw Carriage,” as defined i n Annex D to this Agreement, sh all be

concluded in accordance w i th the terms set out in that Annex.

3.3 The Co nditions of Contract det ailed in Ann e x ‘B’ shall apply to all Cargo Contracts

under this Agreement, except (i) as otherwise agreed in writing; or (ii) for Cargo

Contracts concluded un der Annex D.

Article 4 — Validity an d Formation of Contra ct

4.1 The Parties ackno w ledge and agree that EDI is a proper mean s for conclu ding Cargo Contracts and agr ee not to co ntest the validity or terms of Cargo Contracts o n the

basis that th ey were concluded by EDI, that the original reco rds are in electronic for m , o r that no sign ature(s) evidence such C a rgo Contracts.

4.1.1 Witho u t prejudice to the provisions of clau se 3.2, this clause 4.1 a nd the overriding objective of the Agreement a Cargo Receipt will be made available.

4.2 Each Party shall ensure that the content of an EDI Message sent or received complies with the law of the country where the shipment is tendered to the Carrier, and

shall ta ke r easonable measures t o inform the other Party of any inco nsistency without delay.

inclu de a cle a r indication o n its face that it is a “Ware hou se Receip t” only and no t an air waybi ll to

avoid co nfusi on.

RP1670-June2 0 12 Page 54.3 A Cargo Contract shall be concluded once the Carrier h a s accepted the cargo and can provide a Cargo Receipt (or a Warehouse Receipt in t he event that a Cargo Receipt cannot be p r ovided at the time of delivery of the cargo sh ipment as p e r Footnote 1). Transportation of the cargo shipment, however, shall cont inue to be subject to (i) the Carrier confirming to the Freight Forwarder that the shipment is “ready for carriage” and (ii) Freight F o rwarder complying with all other ap plicable ru le s and regula t ions.

In the event that the EDI Message from the Carrier confirming that the shipment is “ready for carriage” deviates in weight, volume and/or total number of pieces fro m the

EDI Message sent by t he Freight Forwarder i n itiating the Shipment Record, the cargo shipment sh all be treate d according to the exception management procedures agr eed between the Parties. The particulars shall be in corporated into section 3 of the Annex

‘A’.

4.4 In the e v ent that Fr eight Forwa rder wishes to enter into a Cargo C ontract on b ehal f

of a third pa rty (the “Third Party”), the Freight Forwarder warrants and represent s that, prior to ent ering into such Cargo Contracts, it has obta i n ed the auth o rization fro m the Third Party to act as it s agent for purposes of co ncluding Ca rgo Contracts, includ ing but not limited to identifying the Third Party as the “Shipper” on the EDI Me ssage init iat i ng the Cargo Contract. Freight Forwarder shall ensure that such EDI Messages are properly identified su ch that Carrier can recognize that the Freight For warder is se nding

and receivin g EDI Messages on be half of the T h ird Party for purposes of concluding a Cargo Contract between the Third Party and Carrier.

4.5 THE T RANS MITT AL OF EDI ME SSA GE S BY FREI GHT F O R W ARDE R AS S E T

FORTH I N SECTION 4

. 4 FOR PU RPOSES OF CON C LU DING A CA RGO CONT RACT

BETWEE N A THIRD P ARTY A N D THE CA R R IER FOR CAR RIAGE BY AIR (“ THIRD

PARTY SHI P ME NTS”) SHALL A U T HORIZ E C ARRIE R , T O THE E X T E NT RE QUI R ED

BY INTER N A TION AL C O NV ENTION, TO ISSU E A CAR GO REC E IPT 

### IN THE NAME

OF THE THIRD PART Y 

### , A COPY OF WHICH S HAL L BE DELIVERED T O THE

FREIGHT F O RWA RDE R 

### AS T H IR D PA RTY 

### 'S A G E N T

. BY T RAN SMITTIN G SUC H

EDI MES S A GE S FREI GHT FORW ARDE R CE RTIFIES TH AT FREIGH T FORWAR DER

HAS OBTA INED A U T H ORIZ ATION FROM T H E THIR D PARTY T O PERMIT S U CH

ISSUANCE.

4.6 The Freight Forward er shall inde mnify the Carrier against all damage suffered by it, or by any other person t o whom Ca rrier is liable, by reason of the Fre i ght Forwarder's breach of the warranties and representations set out in above Article 4.4 and for any irregularity, incorrectness or incomp leteness of the particula rs and state m ents set f o rth

in the EDI Messages furnished by the Freight Forwarder o r on the Thi rd Party’s b ehalf. The representations and warranties set forth in Section 4.4 and this ind e mnity oblig ation shall survive termination of this Agre ement.

Article 5 — Admissibility in Evide nce of EDI Messages

The Parties agree that in the event of any d i spute, the records of EDI Messa ges, maintained in accordance with the Agreement, shall be admissible as evidence befo r e the Courts, any arbitrat or(s), other tribunals, or any other means of di spute resolu tion.

RP1670-June2 0 12 Page 6However su ch evidence may be challenged by any other means of evid ence (e.g., any documents, witnesses, e t c.).

Article 6 — Processing and Acknow l edgemen t of Receipt of EDI Mes sages

6.1 EDI Messages shall be pro c essed as soo n as po ssib l e after re ceipt, but in any event, within the time limits specified in Annex ‘A’.

6.2 An ackn owledgment of rece ipt of any ED I Me ssage is not required un less stipulat ed

in Annex ‘A’ or to be a co ndition of an y particular Cargo Contract.

An acknowledgment of receipt may be request ed, by specific provision in Annex ‘A ’ or by express request of th e sender of an EDI Mes s age.

6.3 Where an acknowledgment is required, a time limit shall be specif ied for receipt o f the acknowledgment. The receiver of an EDI Message, which specifies a require men t

for an ackno w ledgment, shall not a c t upon it until such ackno w ledgment is sent.

6.4 If the sender does not receive th e acknowledgment with in the time li mit specifie d in Annex ‘A’, he may, up on notification to the recipient of t he EDI Me ssage, treat the Shipment Record initiation as reject ed from the expiration of that time limit and t he shipment shall be handled as agreed between the Parties (in the absence of agreed procedures t he Carrier policy will be applicable).

Article 7 - Confidentiality and Protection of Data

7.1 The Parties shall en sure that EDI Messages shall be maintained in confidence and

not disclose d or transmitted to other persons except: (i) in fulf illment of the C a rgo Contract or t h is Agreement; (ii) if oth e rwise previously agreed to in writin g by the Parties; or (iii) unle s s compelled to do so by operation o f law or by order of a co mpetent court or tribunal, government aut horities or a gencies at t he origin, destination or t r ansit countr y to

disclo s e the confidentia l information in connectio n with the relevant Cargo Contract.

7.2 In the case where in the relevant Cargo Contract the Fr eight Forwarder appears a s the “Shipper”, the information contained in the Freight Forwarder's 'House Waybill’ (if any), including but not limited to, the name and address of the shipper and/or consig nee shall be maintained in confidence and not disclosed or tr ansmitted t o other per sons except: (i) in fulfillment of the Ca rgo Contract or this A g reement; (ii) if otherw i se previously agreed to in writing by the Partie s; or (iii) u n l e ss compell ed to do so by operation of law or by o r der of a competent court or tribunal, governme n t authoritie s or agencies at the origin, destination or transit country to disclose t he confide n tial

information in connectio n with the relevant Cargo Contract.

7.3 The Parties shall co mply with all applicable legislation co ncerning dat a protection.

Article 8— Recording and Storage of EDI Me ssages

8.1 The EDI Messages which comprise the Shipment Record, as set fo rth in Annex ‘A’, shall be issued by the Carrier and shall be stored by each Party or their ag ents,

unaltered a nd secured, for a minimum of three years. Parties recognize that their

RP1670-June2 0 12 Page 7national laws may require archiving of EDI mes s ages for a period of time in e x cess of

the time limit set forth herein for a ccounting, t a xation, or other purpo ses out side the scope of this Agreement.

Note: Parties m a y want to consider the two years lim itation period in the international

convention s and applicable fiscal la ws — as we ll as the dist inction between operational

and account ing requirements.

8.2 Unless otherwise provided by n a tional laws, EDI Messages shall b e stored by the sender (or t heir agent/s) in the tran smitted format and by th e receiver ( o r their age nt/s)

in the format in which the y are received.

8.3 The Parties shall en sure that electronic or computer records of the EDI Messages

shall be rea d ily retrievable, are cap able of bein g reproduce d in a human readable f o rm and of being printed, if re quired.

Article 9 — Operational Requirements for EDI

9.1 Operational Equipment

Each Party shall provid e and maintain, at its o w n cost, all necessary e quipment to fulfill its obligatio ns under t he Agreement incl ud in g hardware, software and services
necessary t o transmit, receive, translate, record , print and st ore EDI Mes s ages.

9.2 Means of Communication

The Parties have detailed in Anne x ‘A’ the means of co mmunication to be used, including th e telecommunication pr otocols, an d if required, the choice of third party service provider(s).

9.3 EDI Mes s age Standards

All EDI Messages sh all be tran smitted in accordance with the IATA Message Standards, recommenda tions and pr ocedures as approved and updated by the Carg o Services Conference fro m time to time.

Article 10 — Technical Specifications and Requirements

10.1 The Parties may agree to test the computer system of the other, to assure t hat it meets the integrity and security stan dards detailed at Article 11 below.

10.2 The P a rties may agree to su bmit to a third party technical aud it within 14 da ys of executing this Agreement and to ha ve further periodic audit s of their co mputer systems

, at a mutually convenien t time and subject to re asonable no tice. For the avoidance of
doubt, each party shall b ear its own audit cost s. ( Nu m e rous scenarios ar e possib l e, e.g. third party t e chnical a u d it, audits b e fore signin g , audits aft e r signing, r i ght to perio dic audits, and it is not pract i cal to draft t e

xt for each)

.

RP1670-June2 0 12 Page 810.3 The Pa rties agree t o accept a s prim a facie evidence of the integrity and security of the other Party’s systems any certification by a recognize d independent certifica t ion

agency.

Note: Any EDI intercha nge agreement is pre d icated upon e a ch Party b e ing certain the
system of the other meets generally accepta b l e standard s

of integrit y (unintenti onal alteration, modification or destruction after tr ansm i ssion) and se cur i ty (to pre v ent

intentional a l teration, m o dification or destruction of m e ssages).

Given the funda m ental importance of being certain that m e ssages cannot be altered, it is expected th at the Parti e s will want to draft uni que and sp ecific integri t y and se cu rity clauses, or incorporate t h e m in the Annex ‘A’

.

Article 11 — Security of EDI Mes sages

11.1 Each Party shall implement a nd maintain security procedures in accordance with the generally accepted best pract i ces, in ord e r to ensur e the auth enticity of EDI Messages, and the protection of EDI Messages against the risk of unaut horized access, alteration, d e lay, destruction or lo ss.

(Security procedures to verify the origin, and the verificat i on of integrity, in order to identify the sender of an EDI Mess age and to ascertain th at any EDI Message received

is com p lete and has not been corru pted, are essential. Such securit y

p r ocedures a nd

measures may be expre ssly specif ie d in the Ann e x ‘A’

. )

11.2 Each Party shall immediately inform the other if it be co mes aware of any breach in

its own secu rity procedures, and take all nec e ssa ry steps to remedy the p r oblem.

11.3 A Party informed of or who ot herwise bec omes aware of a breach in it s se curity, shall immediately give written notice of that to the other Party, wh o in turn, can immediately suspend th e applicat io n of this Ag reement and cease to act on EDI f r o m that Party until the brea ch has been resolved to its reasonab le satisf actio n

.

Article 12 — Authenti cation

12.1 The Parties sha ll establish a mutually satisfactory pr ocedure for confirming the authenticity of each othe r’s EDI Messages.

12.2 As between themselves, and without prejudice to an y recourse against a th ird party, the Parties agree that the sender of an EDI Message shall be responsible for the integrity of it, and responsible for any unauthorize d use of or access to its authentication codes/proce dures prior to receipt of the messa ge on the r e cipient’s computer, unless such error, unauthorized use or access re sults from the acts or omissions of th e recipient. T he recipient shall be responsible fo r the integrity of the EDI Message, any unauthorize d use of or access to th e recipient ’s authenticat ion codes/pr o cedures, af ter reception of the messa ge on its computer unless su ch u nauthorized use or a c cess results from the acts or o m issions of t he sender.

RP1670-June2 0 12 Page 9Article 13 — Non-co mpliance

In the event that the E D I communi cation syste m of a Party does not comply with the integrity and security standards as required by the Agreement, and there is a disagreement with resp ect to an E D I Message, the versio n of the Party whose system does compl y will be deemed to be correct.

Article 14 — Liability

14.1 The Parties shall not be liable for any loss or damag e suffered by the other Party caused by any delay or failure to perform in accordan ce with the provision of the Agreement, where such delay or failure is cause d by an imp ediment beyond that Party’s

control and which could not reasona bly be expe cted to be t a ken into account at the time

of conclu sio n of the Agreement or the consequ ences of wh ich could no t be avoided or

overcome.

14.2 If a Party engages any interme d iary (service provider) to perform such service s as the transmission, loggin g , storage or processing of an EDI Message, that Party sha ll b e liable for the intermediary’s acts or o m issions in t he provision of said serv ices.

14.3 If a Party requires another Party to use the services of an intermediary to perform the transmission, logging, storage or processing of an EDI Message , the Part y who requires such use shall be liable to t he other Party for da mage from that intermediary’s

acts or omissions in the provision of said service s

.

14.4 Except where this Agreement states diff erently, each Party’s li ability shal l be limited to proven compe n satory damages, and in any event, no Party to t he Agreeme n t

shall be liab le for (i) any loss of prof its, revenue, contracts, sales, anticip ated savings, goodwill, and reputation; and (ii) special, indire ct or consequential losses; or (iii) any form of non-compensatory damages caused by a failure to pe rform its obligations und er the Agreement.

Article 15 — Dispute Resolution

15.1 Alternative 1 — Arb i tration Clau se

Any dispute arising out of or in connection with this Agreement, including any question regarding it s existence, validity or termination, shall be sett led by the f o llowing dispute resolution pr ocess:

15.1.1 Within 14 days of a dispute arising, the Parties’ repr esentatives shall meet a nd seek to negotiate a resolution; If th e Parties are unable to resolve the matter withi n 45 days from t he dispute arising, the matter shall be referred to mediation to take place

within 60 da ys thereafter.

15.1.2 If the mediation is not ab le t o resolve th e dispute, th e matter sh all be re ferred to and finally resolved by arbitration subject to the International Cha m be r of Co mm e r ce

RP1670-June2 0 12 Page 10(ICC) Rules of Arbitration , before a single arb i trator to be agreed by the Parties, or failing agree ment, by a panel of three arbitrators to be nominated in accordance with

International Cha m ber of Co mmerce (ICC) Rules of Arbitratio n

.

15.1.3 Arbitr ation shall b e conducted in English and the sea t of the Arbitration shall be in (...[insert city and country]...). The decisio n of the Arbitrator(s) shall be fina l and binding.

15.2 Alternative 2 — Jurisdiction Cla u se

Any dispute arising out of or in co nnection wit h this contr a ct shall be referred to the courts of (... [insert count ry]...) which shall have sole jurisd iction.

Article 16 — Applicable La w

Without pre j udice to a n y mandato r y national law, which may appl y to the Parties regarding recording and storage of EDI Messages or confidentiality and protection of personal dat a, the Agreement is governed by the laws of (...[insert countr y ]...).

Shipper cert ifies tha t in sofar as any part of a co nsignment contains dan gerous good s, all measures prescribed by the Dangerous Goods Regulations h a ve been respected.

Article 17 — General

17.1 Effect

The Agreement shall be effective from the date on which it is signed by both Parties, or if signed on a different d a te, the date signed by the latter of t he two.

17.2 Modifications

The Agreement constitutes the e n tire agree ment between the Parties on t he subject matter. Any modificatio n s, sub s eq uent agree ments or collateral a g reements dealing directly or indirectly with the subject matter contained in the Agreement shall only be

valid if set out in writing and signed by both Parties. This Agreement shall not be assigned by a Party, unless prior written consent is obtained from the oth e r Party, su ch

consent sha ll not be unr easonably withheld.

17.3 Notices

Any Notice to the other Party shall be in writing and shall be sent by cert ified mail, return receipt requ ested or by express co urier with p r oof of delivery to the individuals and

addresses indicated below:

RP1670-June2 0 12 Page 11For the Freight Forwarder For the Carrier

_________________ _________________

_________________ _________________

_________________ _________________

_________________ _________________

Either Party may change its address by notice to the other Party.

17.4 Termination

Either Party may termin ate the Agr eement by giving not le ss than (.........) days prior

written Notice.

Notwithstanding termination for any reason, th e rights and obligations of the Part ies referred to in Articles 4, 5, 7, 8 and 14 shall sur v ive termination togethe r with any othe r provision which by its nat ure survives termination.

Note: The Parties m a y want to spe c ify a right of i m m ediate term ination in the event of bankruptcy, insolvency or sim ilar events, and /or a right t

o

term inate with or wit hout prior notice i f the other Party fails to f u lfill its obl ig ation under t he present Agree m ent

.

17.5 Severability

If any provision or pro v isions of t h is Agreement shal l be held to be invalid, ille gal,

unenforceab le or in conf lict with the law of any jurisdict i on, th at shall not affect: 1. The validity or enforceability in th at jurisdi c tio n of any other provision of this Agreement; or

2. The validi t y or enforceability in ot her jurisdi c ti ons of that or any other provision of this Agre ement.

In such ca ses, thi s Agreement shall be co nstrued as if such in valid, illegal or unenforceab le provisions had never been contained herein, unless the deletion of such provision or provisions would result in such a material change so as to ca use completion of the tran sactions cont emplated herein to be unreasonable. Parties shall then negotia te in good fa ith an appro p riate subst i tute for the provisions d eemed inval i d.

17.6 Interpretation

Words importing the sin gular shall include the p l ural and vice versa.

The headin g s of article s are for co nvenience only and shall not be used to interp ret provisions o f the Agreement or otherwise affect the substa ntial provisio ns.

In the event of any inconsistency b e tween the provisions of this Agreement and a n y provisions incorporated by referenc e, as detai led in Article 2.1, the provisions of this Agreement shall prevail.

RP1670-June2 0 12 Page 1217.7 No Waiver of Rights

The failure by either Party at any ti me to require performance by the other of any of its obligations, shall not aff e ct the right to require su ch performance at any time thereafter.

A waiver b y either Party of a breach or specific delay shall not be taken or held to be a waiver of any subsequent breach or delay.

WHEREF ORE the Parties have sig ned:

............ ... ............ ... ............ ... ... ... ......... ............ ... ............ ... ... ...

Freight For warder Carrier

RP1670-June2 0 12 Page 13RECOMMENDED PRACTICE 1670

Attachment ‘A’

Annex ‘A’

TECHNI CA L ANNE X T O MOD E L EDI A G REE M ENT

1) CONVENTIONS

In the event that the C a rrier party to the EDI Agreement must make an unsched uled
stopover at a country th at is not sig natory of th e Conventio n for the Uni f ication of Certain Rules Relating to International Carriage by Air, signed at Warsaw, 12 October 1929 as amended by Montreal Protocol No. 4 (MP4), or have ratified the Convention for the

Unification of Certain Rules for International Carriage by Air, done at Montreal on 28 May 1999 (MC99), the Parties shall ensure that they can produce and d e liver the Cargo Receipt requested by an y third party, g o vernment authority re questing such

documentation.

2) EDI ME S S AGES

All EDI Me ssages shall be structured and used in accordance with the IATA Cargo Interchange Message Procedures (Cargo-IMP) Manual or the Cargo-FACT Me ssage Manual or the Cargo-XML Message Manual. Thi s Techn ical Annex addresses the Cargo

IMP environ ment.

In the event that the Pa rties wish to exchange particular version numbers of the CargoIMP messages then only FWB versi on number (....), FSU ve rsion number (....) and F N A version number (....) will be supported. In case Parties decide to use the Cargo-IMP

FMA message then only FMA version number (....) will be su pported.

3) SHIPMENT RECORD

To initiate the Shipment Record information the Freigh t Forwarder will send the completed air waybill data through an electronic message (FWB) as per Cargo Interchange Message Procedures (Cargo-IMP) Manual to the Ca rrier prior t o th e presentation of the consignment at the Carrier point of accept ance.

The Cargo Contract shall be subje c t to the FSU/RCS mes s age being sent to the Freight Forwarder. In the event that the weight, volume and/or tot a l number of pieces o f the

FSU/RCS Message deviates from the weight, volume and/ or total number of piece s of the FWB information the cargo shipment shall be treated according t o the exception

managemen t procedures previously agreed between the Parties.

In case the Carrier cannot access th e Shipment Record initiated in his system, at fre i ght presentation

, a fallback ( o r recovery) procedure should be a g reed and in place bet wee n the Carrier and Freight F o rwarder.

RP1670-June2 0 12 Page 144) REJECTI O N MESS A G E

The notificat ion to the Fr eight Forwarder that the EDI message containin g the air wa ybill data (FWB) has been rejected by th e Carrier’s system and/o r by his third party service provider due to syntax errors shall be perfor m ed using the standard electronic Error (FNA) mess age as per Cargo Interchange Message Procedures (Cargo-IMP) Manu al.

The FNA message sho u ld include t he Message Improve m e n t Program (MIP) error code and reasons as per the latest versio n of the MIP strategy document.

5) CONFI R MATI ON MESSAGE

The confirmation to the Freight Forwarder tha t the EDI message containing th e air waybill data (FWB) has been recei v ed by the Carrier’s system and/or his th ird p a rty service provider without syntax erro rs and application errors shall be performed us in g the standar d electronic Acknowledgment (FMA) message a s per the C a rgo Interch ange Message Procedures (Cargo-IMP) Manual. 4

A confirmation message is not re quired unless otherwise previously agreed b y th e Parties in writing.

In the event that the Freight F o rwarder requires a confirmation (acknowle dgment) message from the Carrier upon re ceipt of a F W B Message, the Carrier shall sen d the acknowledg ment as so on as po ssible, however, in no case later than (....) minutes after receipt of t h e FWB. In t he event that the Carrier fails to se nd an ackn o w ledgment within the time period stated, t he Shipment Record initiation sha ll be consider ed rejected and the shipmen t shall be ha ndled as pr eviously agreed between the Partie s (or according to the Carrier policy if applicable).

In the event that the Carrier requires the FWB message from the Freight Forwarder p r ior
to presenta t ion of the freight at the Carrier’s point of acceptance and the F r eight

Forwarder fails to send the FWB prior to pre s entation, t here shall be no Ship ment Record and the shipment shall be handled as previously agreed between the Partie s (or accordin g to the Carrier policy if a pplicable).

6) CAR GO RECEI P T

The Cargo Receipt will evidence the conclu sion of the contr a ct (“incl udi ng acceptan ce o f

all contra ct t e rms”) and evidence th e acceptan ce of the cargo as “read y for carriag e” (as

indicated in the IATA Ca rgo Agency Conference Resolution 8 3 3 5 ).

The Carrier will send t he standard electroni c Status Update (FSU) message with the

standard Status Code ready for c a rriage Shipment (RCS) as per Cargo Interchange Message Procedures (Cargo-IMP) Manual to the Freight For warder.

4 Note: Alter nati v el y the Car g o 200 0 ro ute m ap mi lesto ne ( M UP-F W B ) messag e co uld be us ed. In su ch a

case both P a rti e s nee d to be Carg o 200 0 members a nd n e ed to hav e agr eed this pr evi o usl y

.

5 Carg o Age n c y Confer ence R e soluti on 8 33 R ead y for Carr ia ge Co nsig nme n ts

RP1670-June2 0 12 Page 15The Carrier will send t o the Freig h t Forwarder the ele c t r onic Status Update (F SU) message with the standard Status Code ready for carriage Shipment (RCS) including

the actual e v ent time, as per Cargo Interchang e Message Procedures (Cargo-IMP) as soon as possible after the presentation of the freight by t he Freight Forwarder t o the Carrier’s point of accept ance and no later than ___ (if left bla n k, no time limit shall ap ply) minutes after the determination by the Carrier that the freight is indeed “ready fo r carriage”.

The Cargo Receipt will confirm the FWB messa ge information and FSU/RCS message information. The date of the Cargo Receipt sha ll be the date that the Carrier transmits the FSU/RCS message.

The Cargo Receipt document shall be produced either as a paper or electronic version as agreed between the Parties in the layout of t he Cargo Receipt as d e scribed in the Annex ‘C’ of this Agree m ent.

Carrier will only send a FSU/RCS message if a FWB me ssage is re ceived from the Shipper at least (....) minutes prior to presentation of the freight at the Carrier’s point of
acceptance. The Partie s shall agre e on the pr ocess to be followed in case the F W B message is not received in the agree d period of time.

7) ACCE SS TO THE S H IPMENT R E CORD B Y THE C O NSI G NE E

The Consig nee may n eed to have access to the Cargo Receipt co ntaining weight,

volume and number of pieces.

The Carrier, upon reque st by the Fr eight Forwarder, may p r ovide a co py of the Cargo Receipt to t he Consign ee.

8) CHA RGE S CORRE C T ION A D VI CE (CC A )

In the case of discrepan cies t hat aff e ct charge s between the data con t ained in the F W B message as transmitte d by the Freight Forwarder and the data co ntained in the

FSU/RCS message as transmitted by the Carrier, the Carrier shall send a Cargo Correction Advice to the Freight For warder unless otherwise agreed by the Parties.

9) BAR C O DE LAB E L S

For cargo a cceptance, shipments must be labeled with machine-read able cargo labels

that are in accordance with the specification s of IATA Cargo Services Conference

Resolution 6 0 6 6 , Bar Coded Label.

6 Cargo Serv ice s Confere n ce Resol u tio n 60 6 Bar Code d La bel

RP1670-June2 0 12 Page 16RECOMMENDED PRACTICE 1670

Attachment ‘A’

Annex ‘B’

Notice : the provisions of Resoluti on 600i, including the Conditions of Contract set

forth therei n, are incorporated into this Agreement b y this reference. The cu rren t
Conditions of Contract as set forth in Resolu t ion 600i are re-printed in this An nex B for the c onvenience of the parti es. The pa rties agree to be boun d b y the cu rrent
version of the Resolution 600i Conditions of Contract as amended from time to

time b y th e Cargo Services Co nference a nd re-printed in the Cargo Se rvices

Conference Resolutio ns Manual w ebsite w i thout fu rther ame ndment to this Agreement.



### [INSERT C ONDITI ONS OF C O NTRAC T FOR CONTR A C TS C ONC LUDE D BY

ELECTRONIC MEANSAS SET FORTH IN T H

E CURRENT VERSI ON OF CARGO

SERVI CES CONFERENCE RES OLUTION 60 0i]

RP1670- CSCMai lVote-Ma y 2 0 12-u pdated-5June -c lean.doc Page 17 9-Ma y-2012RECOMMENDED PRACTICE 1670

Attachment ‘A’

Annex ‘C’

THE RE CE IPT FOR T H E CA RGO (ALS O KNOW N A S THE C A R GO RE C E IPT) -

TECHNI CA L SPECIFIC ATION S AN D COMPL E TION

Measureme n ts of the Cargo Receipt

The outside measurements of the Cargo Receipt shall be maintained exactly as shown in Appendix ‘A’.

Description of the Cargo Receipt

The Cargo Receipt sha ll have the same layout , wording and shading as specif ied in Appendix ‘B’;

Completion of the Cargo Receipt

The circled numbers in the followin g text corre spond with the numbers in the boxe s of the specime n illustrate d in Appendix ‘C’.

1. Shipment Identification 1

The shipme nt identif ica t ion number shall be entered an d will be composed of the following Cargo-IMP dat a:

FWB Ref. 2

. 1.1 (DE 11 2) / 2.1.3 (DE 113) / 17. 2.2 (DE 202 ) / 17.2.3 (DE 201) / 17. 2. 4 (DE 200)

A hyphen shall be inser t ed between DE 112 an d DE 113 a nd also bet ween DE 113 and

DE 202.

2. Shipper Name 2

The shipper ’s name shall be entere d and will b e composed of the follo wing Cargo-IMP

data:

FWB Ref. 5.4.2 (DE 300)

3. Issued By 3

The name of the carrier issu ing t he cargo re ceipt should be entered and would be aligned with DE 112 of the shipment identification. A company log o may also be

entered.

RP1670- CSCMai lVote-Ma y 2 0 12-u pdated-5June -c lean.doc Page 18 9-Ma y-20124 4. Da y / Mon t h/Time (of Shipment Acceptance)

The Day/Mo nth/Time (of Shipment Acceptance) shall be entered and will be composed of the following Cargo-IMP data:

FSU Ref. 3. 3.1 (DE 202) / 3.3.2(DE 201) / 3.3.3(DE 203), if DE 203 is present.

A space sh all be insert ed between DE 202 an d DE 201 a nd also bet ween DE 201 and

DE 203. The year of shipment acceptance is not included in the Day/Month/Time (of Shipment Acceptance) box but can be deduced from the date of the Shipment Identification box.

5. Airport/City Code (of Shipment Acceptance) 5

The Airport/City Code (of Shipment Acceptance ) shall be e n tered and will be composed of the following Cargo-IMP data:

FSU Ref. 3. 3.5 (DE 313)

6 6. Total Number of Pieces

The Total Number of Pieces dete r mined at a cceptance shall be ente r ed and will be composed of the followin g Cargo-IMP data:

FSU Ref. 2. 3.3 or 2.4.2 (DE 701)

7. Weight / Code

7 7.1 Weight

The amount of the weight determined at acceptance sh all be enter ed and will be composed of the followin g Cargo-IMP data:

FSU Ref. 2. 3.5 (DE 600)

7.2 Code 8

The measurement unit code for th e weight amount determined at a c ceptance sha ll be entered and will be composed of the following Cargo-IMP da ta:

FSU Ref. 2. 3.4 (DE 601)

A space sha ll be insert e d between DE 600 and DE 601.

8. Volume 9

The volume amount an d its measurement unit code determined at ac ceptance may be

entered if available and will be composed of the f o llowing Cargo-IMP data :

RP1670- CSCMai lVote-Ma y 2 0 12-u pdated-5June -c lean.doc Page 19 9-Ma y-2012FSU Ref. 3. 8.2 (DE 500) / 3.8.1 (DE 604)

A space sha ll be insert e d between DE 500 and DE 604

10 9. Airport/City Code (of Origin)

The Airport/City Code (of Origin) shall be enter ed and will be composed of the foll owing Cargo-IMP data:

FWB Ref. 2.2.1 (DE 313)

11 10. Airport/ City Code (of Destination)

The Airport/ City Code (of Destinati on) shall be entered an d will be co mposed of the following Cargo-IMP dat a:

FWB Ref. 2.2.2 (DE 313)

12 11. Airport/ City Code (of Routing)

The Airport/ City Code (of Routing) can be ente r ed and will be compose d of the fo llo win g Cargo-IMP data:

FWB Ref. 4.2.2 and 4.3. 2 (DE 313)

A slant shall be inserted between DE 313 and an y repeats of DE 313.

The Airport/City Code (o f Routing) must be enter ed if:

The places of departure and destina tion are with in the territo ry of a single State Party and one or more agreed stopping p l aces bein g within the te rritory of another State then

an indicatio n of at least one such st opping place must be indicated.

RP1670- CSCMai lVote-Ma y 2 0 12-u pdated-5June -c lean.doc Page 20 9-Ma y-2012Appendix ‘A’

RP1670- CSCMai lVote-Ma y 2 0 12-u pdated-5June -c lean.doc Page 21 9-Ma y-2012Appendix ‘B’



### Notes :

1. The boxes with bold titles indicate information spec ified by the Convention for

the Unification of Certain Rules for International Carriage by Air, done at Montreal on 28 May 1999 (MC99) and The C onvention for the Unification of Certain Rules Relating to International Carriage by Air, signed at Warsaw, 12 October 1929 as amended by M ontreal Prot ocol No. 4 (MP4). Routing would only be included if applicable as specified in the Articles;

2. Airport/City Code (of Routi ng): As per MC99 and MP4, if the places of departure and destination are within the terri tory of a single State Party and one or more agreed stopping plac es being within the territory of another State then an

indic a tion of at least one such stopping place must be indicated;

3. The y e ar of shipm ent accept ance is not inc l uded in the “Day/ M onth/Time (of Shipment Acceptanc e)” box but can be de duced from the date o f the “Shipment

Identification” box.

RP1670- CSCMai lVote-Ma y 2 0 12-u pdated-5June -c lean.doc Page 22 9-Ma y-2012Appendix ‘C’

RP1670- CSCMai lVote-Ma y 2 0 12-u pdated-5June -c lean.doc Page 23 9-Ma y-2012RECOMMENDED PRACTICE 1670

Attachment ‘A’

Annex ‘D’

TERMS FOR INITIATI NG AND C O NCL UDIN G C A R GO CONT RA C T S IN R E S PEC T

O F WA RSAW C A R R I AG E

Where the Parties are contracting in relation to an international carriag e of cargo within

the meanin g of either t he Conventi on for the Unification of Certain Rules Relating to International Carriage by Air, signed at Warsaw, 12 October 192 9 (the “Warsaw Convention”) and/or the Warsaw Conventio n, as amended at the Hague, 1955 (“Warsaw-Hague”), but falling outside the meaning ascr ibed to such carriage within

either or bot h of the Con v entions (as defined in Section 1 of Annex A of the Agreement) (each such carriage ref e rred herein as a “Warsaw Carriage”), the Parties hereby agree

to take the f o llowing ste p s in order t o ensure th at each War s aw Carriage complies f u lly with the pr ocedures r e lating to air consign m ent notes and air waybills set out respectively in the Warsaw Conve n tion and Warsaw-Hague and that i n any e v ent an y Cargo Contract in respe c t of a Warsaw Carriage shall be ent ered into in accordance with and subject to the following provisions:

1. AIR WAYBILL COMPLETION

Upon receip t of an air waybill data message (e.g. FWB) from Freight Forwarder for a Cargo Cont ract to be f l own on a Warsaw Carriage route, Freight Forwarder hereby

authorizes Carrier to make out a conforming air waybill relating to the carriage of the cargo descr ibed in such message (“Warsaw Cargo”) on behalf of Freight Forwarder pursuant to Resolution 600a, Attachment A, Section 3. Freight Forwarder agrees that such making out of the air waybill b y the Carrier on its behalf complies with article 6(5) of

both the Warsaw Conve n tion and/or Warsaw-Hague, as applicable.

2. EDI ME S S AGE DISCREPANCIE S

Upon receipt by the Ca rrier of Warsaw Cargo, Carrier will confirm that such carg o is ready for carriage through a statu s update message (e.g . FSU/RCS) sent to Freight

Forwarder. In the event Carrier cannot confirm that such ca rgo is ready for carriage or that the data in the status update message (e.g. FSU/RCS) to the Freight Forwarder

deviates in weight, volume and/or total number of piece s in the air waybill data messag e (e.g. FWB) f r om the Frei ght Forwarder, the Warsaw Cargo s hall be treated accordin g to the exception manage ment procedures agreed between the Parties as set fo rth in

Section 3 of Annex A.

3. SIGNAT URES ON A I R WAYBIL L

The Carrier shall be ent itled to rely on Freight Fo rwarder authorizations, representations

and underta kings set o u t in Sectio n 5 of this Annex D and on that basis may upon
acceptance of, but prior to loading of the Warsaw Cargo, stamp or print Freight Forwarder’s signature, or a Third Party’s signat ure if applicable pursua n t to Sectio n 6 of

this Annex D, as “Ship per” on the first and se cond Origin als 1 a nd 2 of the a i r waybill

RP1670- CSCMai lVote-Ma y 2 0 12-u pdated-5June -c lean.doc Page 24 9-Ma y-2012(marked “for issuing Carrier” and “fo r Consignee ” respectively) for and on behalf of t h e Freight Forwarder (or Third Party i f applicable) and countersign the Original 2 and sign the Original 3 of the air waybill (marked “for consignee” and “for Shipper” respectively) in its capa city as carrier and then shall return t he Original 3 to the Freight Forwarder. Freight For warder further agrees th at the stamping or printin g of the sign ature on the air waybill by the Carrier on behalf of Fr eight Forwarder or a Third Party as set forth in t h is

Section 3 o f this Anne x D compli es fully with the requirements of article 6(4) of the Warsaw Convention and/or Warsaw-Hague an d with the giving of notice to the Freight

Forwarder o f possible limits on the liability of Carrier in respect of loss of or damag e to the Warsaw Cargo required under su ch Conventions.

4. CON C L U SION OF CAR GO CONTRA CTS FOR WA RS AW CA RRI AGE

Cargo Cont racts for purposes of Warsaw Carriage under this Annex D sh all be

concluded u pon the stamping or pri n ting of the Shipper’s si gnature on the air wa ybill as set forth in Section 3 hereof, and such Cargo Contracts shall be governed by the

Conditions of Contract printed on t he reverse side of such air waybill(s) as set for t h in

the then cur r ent Cargo Services Conference Resolution 600 b.

5. FREIGHT FORWARDER REPRESENT A TI ONS

Freight For warder represents to C a rrier that:

a) Freight For warder has the full and unequivocal authority to enter into t h is Agreement and in particular t o assume and be bound by the representations, underta kings and o b ligations se t out in this Annex D; an d

b) Throughout the term of the Agreement Freight Forwarder shall have the full and unequivocal authority to ap point Carrier as Freight Forwarder’s agent for th e purpose of action s r equired to be undertaken by Carrier
pursuant to t h is Annex D.

c) Carrier ma y at all times be en titled to rely on Freig h t Forwarder’s representations and undertakings he rein contain ed and shall be under n o obligation whatsoever to make an y enquiries as to whether or not any o r all of these authorizatio ns have been revoked.

d) in the event of a conflict between th e provisions of this Ann e x D and th e rest of the A g reement the provisions of this Anne x D shall prevail.

6. THIRD-P ARTY S H IP MENT S FOR WARS A W CAR RIA G E

For Warsaw Carriage in volving a Third Party as Shipper, as further described in Se ctio n 4.4 of the Agreement; Freight For warder shall comply wit h the condit i ons set fort h in Section 4.4, 4.5 and Section 4.6.

Freight Forwarder shall accordingly identify the Third Party as the “Shipper” in the air waybill data message (e.g. FWB).

RP1670- CSCMai lVote-Ma y 2 0 12-u pdated-5June -c lean.doc Page 25 9-Ma y-2012THE TRANSMITTAL OF EDI MES S AGES AS SET F O RT H IN SECTI ON 6 OF T H I S

ANNE X D F O R P URP OSES OF C O NCLU D ING A CA RGO CONT RA C T BETWEE N A

THIRD PA RTY A N D THE C A R R I ER F O R C ARRI AGE BY AI R S H ALL A U TH ORIZE

CAR RIER, TO THE E X TENT RE QUIR ED B Y INTE RN ATION A L CON VENTI ON, T O

MAK E OUT CONFORMING AI R W A YBILLS A ND ST AMP OR PRI N T SIGN ATU R ES

ON S U C H AIR WAY B I LLS ON BE HALF OF T H E THIR D PARTY BY TRANS MIT T ING

SUCH E D I MESS AGES FREIGHT FORW ARDE R C ERTIFIES THAT FREIGHT

FORWA R D E R HA S OBTAINE D AUTH O RIZ A TION F R OM T H E T H IRD P A R T Y TO

PER MIT SU CH ISS UAN CE.

RP1670- CSCMai lVote-Ma y 2 0 12-u pdated-5June -c lean.doc Page 26 9-Ma y-2012M E M O R A N D U M

CSC/MailVote/001/2012

TO: All Members of IATA Cargo Services Conference (CSC) Accredited Representatives

CC: Members, Cargo Procedures Conferences Management Group IATA Cargo Managers

FROM: Secretary, Cargo Services Conference

DATE: 14 May 2012

SUBJECT: CSC MAIL VOTE (S072) – Recommended Practice 1670

In 2009 and 2010 IATA and FIATA successfully worked together to develop a “model agreement for electronic data interchange (EDI)” as a substitute for the traditional paper air waybill which was adopted by the Cargo Service Conference as Recommended Practice 1670 (RP1670).

After more than a year of trialing the Agreement by various parties in the industry, some amendments to RP1670 have been identified, that are anticipated to bring benefits to both airlines and the freight forwarders. These changes have been endorsed by the e-AWB Advisory Group, CBPP, CPCMG and by FIATA through the IFCC.

The key changes are as follows:

1. RP1670 to serve as an agreement between “freight forwarder” and airline.

The current version of RP1670 is an agreement between shipper and airline, where the freight forwarder acts as shipper with respect to shipment. The proposal is to replace references to “shipper” with “freight forwarder” where appropriate, to avoid any confusion and provide further clarity on the

roles.

2. Single EDI process for freight forwarder irrespective of the route.

The current version of the EDI Agreement is stri ctly for non-Warsaw routes (except Warsaw as amended by Montreal Protocol 4) which mean that freight forwarders have to produce, print, handle and archive paper air waybills for the Warsaw routes.

The amendment to RP1670 will provide the possibility on Warsaw routes for an airline to print and sign the paper AWB on behalf the freight forwarder based on electronic data submitted by the freight forwarder for the Warsaw routes. It would bring the following benefits:

a. The complexity of deciding if a paper air waybill shall be produced or not based on the route will be decided by the airline that is ultimately responsible;

b. The freight forwarder will not have to produce, print, handle and archive the multiple copies of the paper AWB facilitating the adoption of e-AWB;CSC Mail Vote ( S072 ) Pa g e 2 o f 2

c. The airline will increase their customer service with the information efficiencies

associated with electronic commerce.

3. Enable freight forwarder to conclude cargo contracts on behalf of its shipper clients.

Based on the current agreement, if a freight forwarder sends an air waybill data message indicating its shipper client (e.g. IBM) as the "Shipper", the carrier has no way of knowing if IBM has:

a. Agreed to the Carrier's Conditions of Contract; or

b. Consented to the use of electronic messaging in lieu of a paper air waybill.

Instead of having the freight forwarder's shipper client signing an EDI agreement directly with the carrier, it was proposed to include the provision to enable the freight forwarder to send EDI messages

on behalf of its client.

Through the new EDI agreement, the freight forwarder will be able to:

a. represent to the carrier that it has the authority to enter into a contract for the shipment of cargo on behalf of its client

b. agree to the carrier's conditions of contract on behalf of its client; and

c. provide consent to use electronic means in lieu of a paper air waybill on

behalf of its client.

We believe that this revised RP1670 will help airlines as well as shippers/freight forwarders to implement the e-AWB and get the full benefit of a paper-less environment.

CSC Voting Procedures

The voting period will run for 21 days from the date of this memorandum. Members are requested to submit the vote by sending an email to cargo@iata.org with reference “CSC Mail Vote S072” latest by Monday, 4 June 2012

.

The voting procedures are as follows:

 Specimen positive vote advice: XYZ Airlines hereby votes in favor of the proposed

amendment to Recommended Practice 1670.

 Specimen negative vote advice: XYZ Airlines hereby votes against the pr oposed

amendment to Recommended Practice 1670.

 Abstentions: Please note that abstentions will count as positive votes.

Thank you for your participation.

Sincerely,

Frederic Leger Head of Cargo Business Process & Standards, IATA  AttachmentRP1670-CSCMailVote-May2012.doc Page 1 9-May-2012 RECOMMENDED PRACTICE 1670 CARRIAGE OF CARGO USING ELECTRONIC DATA INTERCHANGE (EDI)

CSC(MAIL S071 S072 )1670 Expiry: Indefinite Type: B

RECOMMENDED that:

Members engaged in the carriage of cargo using Electronic Data Interchange to transmit the information of the Shipment Record shall use the procedures and standards as

indicated in Attachment ‘A’ – MODE L AGREEMENT FOR ELECTRONIC DATA INTERCHANGE (EDI) as amended from time to time.

Members are encouraged to obtain the approval of their own Legal Department prior to entering into any agreement.RP1670-CSCMailVote-May2012.doc Page 2 9-May-2012 

### RECOMMENDED PRACTICE 1670

Attachment ‘A’ MODEL AGREEMENT FOR ELECTRONIC DATA INTERCHANGE (EDI)

It is agreed that the goods shipped pursuant to this Agreement are accepted in apparent good order and condition (except as noted) for carriage SUBJECT TO

THE CONDITIONS OF CONTRACT. ALL GOODS MAY BE CARRIED BY ANY

OTHER MEANS INCLUDING ROAD OR ANY OTHER CARRIER UNLESS SPECIFIC CONTRARY INSTRUCTIONS ARE GIVEN BY THE SHIPPER, AND SHIPPER

AGREES THAT THE SHIPMENT MAY BE CARRIED VIA INTERMEDIATE STOPPING

PLACES WHICH THE CARRIER DEEMS APPROPRIATE. THE SHIPPER’S

ATTENTION IS DRAWN TO THE NOTICE CONCERNING CARRIER’S LIMITATION OF LIABILITY in the Conditions of Contract. Shipper may increase such limitation of liability by declaring a higher value for carriage and paying a supplemental charge if required. INSURANCE – If carrier offers insurance, and such insurance is requested in accordance with the conditions thereof, indicate amount to be insured in figures

in field "Amount of Insurance".

MODEL AGREEMENT FOR ELECTRONIC DATA INTERCHANGE (EDI)

Between

(Party A) of (address) represented by (name) (hereinafter referred to as “ Shipper Freight Forwarder 1 ”)

And

(Party B) of (address) represented by (name) (hereinafter referred to as “Carrier”)

Recitals

WHEREAS the Parties hereto have, or expect to have, commercial dealings with each other;

WHEREAS the Parties desire to improve the efficiency of any future commercial transactions by replacing the flow of paper air waybills between them with electronic data interchange;

WHEREAS the Parties acknowledge understanding understand the technical and legal consequences of using electronic data interchange to conduct commercial transactions;

and

1 “Freight Forwarder” is simply a placeholder fo r the contracting party, such as “Shipper”; “Intermediary”, “Cargo Agent” or the entity name.RP1670-CSCMailVote-May2012.doc Page 3 9-May-2012 WHEREAS the Parties’ intention and desire is to ensure facilitate and conduct paperless electronic cargo transactions,

NOW, THEREFORE , the Parties agree as follows:

Article 1 — Preamble

1.1 The foregoing recitals and any footnotes, are incorporated into and shall form an integral part of the Agreement.

1.2 The Parties recognize that the use of electronic means in lieu of a paper air waybill may increase their liability exposure on traffic routes where electronic means are not recognized under international conventi on and local law. 1.2 This Agreement is suitable for use on any traffic routes where the preservation of the Shipment Record through electronic means in lieu of a paper air waybill is permitted under inte rnational convention and local law. For trade routes that are not governed by any international convention, the Parties should ensure that the use of electronic means in lieu of a paper air waybill is permissible under the local laws governing such traffic route. The Parties recognize that a paper air waybill may be required by Carrier to regulate liability ex posure on traffic routes where such waybill is necessary and electronic means are not recognized under the applicable international convention and local law.

Note: Text in italics refers to issues where the Parties will wish to choose between available options. Spaces have been left blank (....) to be filled accordingly.

Article 2 — Definitions

For the purpose of the Agreement, the terms listed below are defined as follows:

2.1 “Agreement” shall mean this Agreement, together with Annex ‘A’, Annex ‘B’, Annex ‘C’, and Annex ‘ C’. D’. In addition, the provisions of Resolution 670 and Recommended Practice 1672 of the IATA Cargo Services Conference Resolutions Manual are incorporated into the Agreement by reference, as if recited at length herein.

2.2 “EDI” or “Electronic Data Interchange” shall mean the electronic transfer, from computer to computer, of commercial, administrative and transport data using an agreed standard to structure an EDI Message, as set out in the Annex ‘A’.

2.3 “EDI Message” shall mean a message consisting of a set of segments, structured using an agreed standard, prepared in a computer readable format, transmitted via EDI, and capable of being automatically and unambiguously processed.

2.4 “IATA Message Standard” shall mean the message standard specified, published and updated by the International Air Transport Association (IATA) from time to time.

2.5 “Cargo Contract” shall mean a contract between the Parties, conducted entered into by EDI under this Agreement, for the transportation of, and settlement with respect to a specific cargo shipment.

2.6 “Parties” shall mean the parties identified on Page 1 . Party shall mean either of

them.RP1670-CSCMailVote-May2012.doc Page 4 9-May-2012 2.7 “IATA” shall mean the International Air Transport Association.

2.8 “Cargo Receipt” or “Receipt for the Cargo” shall mean a document (in paper or electronic form) which is provided to the Shipper, by the Carrier in paper form unless otherwise agreed between the Parties, creating a Shipment Record as a

substitution substitute for the issuance of an air waybill and which permits identification of the shipment that has been accepted and deemed “ready for carriage”. The technical aspects of the Cargo Receipt shall be as described in Annex ‘A’ and in the

form set forth in Annex ‘C’. 2

2.9 “Shipment Record” shall mean any record of the Cargo Contract preserved by Carrier

, evidenced by means other than an air waybill.

. The technical aspects of the Shipment Record shall be as specified in Annex ‘A’.

2.10 “Warehouse Receipt” shall mean a paper document (in paper or electronic form) provided to the Shipper Freight Forwarder by the Carrier acknowledging the receipt of the cargo shipment as “freight on hand” for carriage by air. At a minimum, it shall specify (a)

the Shipper; (b) the weight and number of pieces of the cargo shipment; ( b c ) the date, time and place received by the Carrier; ( c d ) reference the shipment identification number covering the specific cargo shipment. To the extent it is readily available, an indication of the places of departure, destination and, if applicable, agreed stopping places, should also be specified.

2.11 “Shipper’s Delivery Note” shall mean a paper document (in paper or electronic form) provided to the Carrier by the Shipper Freight Forwarder acknowledging the delivery of the cargo shipment as “freight on hand” for carriage by air. At a minimum, it shall specify (a)

the Shipper; (b) the weight and number of pieces of the cargo shipment; ( b c ) the date, time and place received by the Carrier; ( c d ) reference the shipment identification number covering the specific cargo shipment. To the extent it is readily available, an indication of the places of departure, destination and, if applicable, agreed stopping places, should also be specified.

2 In the event that the Carrier is unable to provide the Shipper Freight Forwarder with the Cargo Receipt in paper form upon Shipper’s Freight Forwarder’s delivery of the cargo to the Carrier due to technical, procedural or other re asons, the Carrier must provide the Shipper Freight Forwarder with a Warehouse Receipt (in lieu of a Warehouse Receipt, the Carrier may verify the information on and countersign the Shipper's Deliv ery Note. Once verified and countersigned by the Carrier such delivery note shall serve as a Warehouse Receipt). Transportation of such cargo shipment by the Carrier continues to be subjec t to Carrier's subsequent confirmation that the cargo shipment is “ready for carriage”. For purp oses of the International Conventions (MC99 or MP4, as defined in Annex ‘A’), such Warehouse Receipt shall be deemed an interim “ Cargo Receipt cargo receipt ” (also known as “ Receipt receipt for the Cargo cargo ” under MP4) until the Carrier has determined that the cargo is "ready for carriage" and can produce the actual Cargo Receipt as per Annex ‘A’ hereof. Accordingly, the Cargo Receipt shall serve as prima facie evidence of the conclusion of the contract, of t he acceptance of the cargo and of the conditions of carriage mentioned therein, except that the Wa rehouse Receipt shall nonetheless continue to serve as prima facie evidence as to the weight and number of pieces delivered to Carrier at the date, time, and place specified on the Warehouse Receipt. The Parties shall archive the Warehouse Receipt pursuant to the archiving requi rements set forth in Article 8 Recording and Storage of EDI Messages.RP1670-CSCMailVote-May2012.doc Page 5 9-May-2012 It is understood that there will be a transition period where some Parties may depend on paper for handover purposes 3 . Parties may use the paper form of their choosing for the Warehouse Receipt (or Shipper’s Delivery Note if used as a Warehouse Receipt)

. However it is envisioned that Parties shall endeavor to establish electronic means for the Cargo Receipt and for the Warehouse Receipt.

2.12 “Shipper” (which is equivalent to the term “Consignor”) shall mean the person whose name appears on the Air Waybill or Shipment Record, as the party contracting with Carrier for the Carriage of Cargo.

Article 3 — Object and Scope

3.1 It is the expectation of the Shipper Freight Forwarder and the Carrier that they shall be doing business together in the future. The objective of the Agreement is to permit the

Parties to conclude legally binding Cargo Contracts by electronic means and to ensure they are legally bound by such contracts . However, nothing in the Agreement

creates shall create any obligation for either Party to transact with the other, nor any obligation of exclusivity to deal only with the other

. , nor shall Carrier be obligated to contract pursuant to this Agreement for contracts to be concluded in respect of “Warsaw Carriage” as defined in Annex D to this Agreement.

3.2 In the absence of an express written agreement to the contrary, the provisions of the Agreement shall only apply to future Cargo Contracts, and not to any other commercial relations between the Parties. All shipments covered as a Cargo Contract under this Agreement shall be clearly identified as an EDI Message shipment by the Shipper Freight

Forwarder through the corresponding EDI message. Cargo Contracts concluded in respect of “Warsaw Carriage,” as defined in Annex D to this Agreement, shall be

concluded in accordance with the terms set out in that Annex.

3.3 Unless otherwise agreed in writing, the The Conditions of Contract detailed in Annex ‘B’ shall apply to all Cargo Contracts under this Agreement

. , except (i) as otherwise agreed in writing; or (ii) for Cargo Contracts concluded under Annex D.

Article 4 — Validity and Formation of Contract

4.1 The Parties acknowledge and agree that EDI is a proper means for concluding Cargo Contracts and agree not to contest the validity or terms of Cargo Contracts on the basis that they were concluded by EDI, that the original records are in electronic form, or that no signature(s) evidence such Cargo Contracts.

3 The Party providing the Warehouse Receipt shall determine its form so long as it complies with the requirements of Se ctions 2.10 or 2.11. In the event that a Party uses the form of an air waybill as a Warehouse Receipt, any mention or referenc e to conditions of contract therein shall be disregarded and considered null and void. When usi ng the form of an air waybill the form should include a clear indication on its face that it is a “Warehouse Receipt” only and not an air waybill to

avoid confusion.RP1670-CSCMailVote-May2012.doc Page 6 9-May-2012 4.1.1 Without prejudice to the provisions of clause 3.2, this clause 4.1 and the overriding objective of the Agreement to ensure paperless electronic cargo transactions, a Cargo Receipt will be made available.

4.2 Each Party shall ensure that the content of an EDI Message sent or received complies with the law of i ts own the country where the shipment is tendered to the

Carrier , and shall take reasonable measures to inform the other Party of any inconsistency without delay.

4.3 A Cargo Contract shall be concluded once the Carrier has accepted the cargo and can provide a Cargo Receipt (or a Warehouse Receipt in the event that a Cargo Receipt cannot be provided at the time of delivery of the cargo shipment as per Footnote 1). Transportation of the cargo shipment, however, shall continue to be subject to (i) the Carrier confirming to the Shipper Freight Forwarder that the shipment is “ready for carriage” and (ii) Shipper Freight Forwarder complying with all other applicable rules and regulations.

In the event that the EDI Message from the Carrier confirming that the shipment is “ready for carriage” deviates in weight, volume and/or total number of pieces from the EDI Message sent by the Shipper Freight Forwarder initiating the Shipment Record, the cargo shipment shall be treated according to the exception management procedures agreed between the Parties. The particulars shall be incorporated into section 3 of the

Annex ‘A’.RP1670-CSCMailVote-May2012.doc Page 7 9-May-2012 4.4 In the event that Freight Forwarder wishes to enter into a Cargo Contract on behalf of a third party (the “Third Party”), the Freight Forwarder warrants and represents that, prior to entering into such Cargo Contracts, it has obtained the authorization from the Third Party to act as its agent for purposes of concluding Cargo Contracts, including but not limited to identifying the Third Party as the “Shipper” on the EDI Message initiating the Cargo Contract. Freight Forwarder shall ensure that such EDI Messages are properly identified such that Carrier can recognize that the Freight Forwarder is sending and receiving EDI Messages on behalf of the Third Party for purposes of concluding a Cargo Contract between the Third Party and Carrier.

4.5 THE TRANSMITTAL OF EDI MESSAGES BY FREIGHT FORWARDER AS SET

FORTH IN SECTION 4.4 FOR PURPOSES OF CONCLUDING A CARGO CONTRACT BETWEEN A THIRD PARTY AND THE CARRIER FOR CARRIAGE BY AIR (“THIRD PARTY SHIPMENTS”) SHALL AUTHORIZE CARRIER, TO THE EXTENT REQUIRED
BY INTERNATIONAL CONVENTION, TO ISSUE A CARGO RECEIPT 

### IN THE NAME

OF THE THIRD PARTY 

### , A COPY OF WHICH SHALL BE DELIVERED TO THE

FREIGHT FORWARDER 

### AS THIRD PARTY 

### 'S AGENT . BY TRANSMITTING SUCH

EDI MESSAGES FREIGHT FORWARDER CERTIFIES THAT FREIGHT FORWARDER

HAS OBTAINED AUTHORIZATION FROM THE THIRD PARTY TO PERMIT SUCH

ISSUANCE.

4.6 The Freight Forwarder shall indemnify the Carrier against all damage suffered by it, or by any other person to whom Carrier is liable, by reason of the Freight Forwarder's breach of the warranties and representations set out in above Article 4.4 and for any irregularity, incorrectness or incompleteness of the particulars and statements set forth in the EDI Messages furnished by the Freight Forwarder or on the Third Party’s behalf. The representations and warranties set forth in Section 4.4 and this indemnity obligation shall survive termination of this Agreement.

Article 5 — Admissibility in Evidence of EDI Messages

The Parties agree that in the event of any dispute, the records of EDI Messages, maintained in accordance with the Agreement, shall be admissible as evidence before the Courts, any arbitrator(s), other tribunals, or any other means of dispute resolution. However such evidence may be challenged by any other means of evidence (e.g., any documents, witnesses, etc.).

Article 6 — Processing and Acknowledgement of Receipt of EDI Messages

6.1 EDI Messages shall be processed as soon as possible after receipt, but in any event, within the time limits specified in Annex ‘A’.

6.2 An acknowledgment of receipt of any ED I Message is not required unless stipulated in Annex ‘A’ or to be a condition of any particular Cargo Contract.

An acknowledgment of receipt may be requested, by specific provision in Annex ‘A’ or by express request of the sender of an EDI Message.RP1670-CSCMailVote-May2012.doc Page 8 9-May-2012 6.3 Where an acknowledgment is required, a time limit shall be specified for receipt of the acknowledgment. The receiver of an EDI Message, which specifies a requirement for an acknowledgment, shall not act upon it until such acknowledgment is sent.

6.4 If the sender does not receive the acknowledgment within the time limit specified in Annex ‘A’, he may, upon notification to the recipient of the EDI Message, treat the Shipment Record initiation as rejected from the expiration of that time limit and the shipment shall be handled as agreed between the Parties (in the absence of agreed procedures the Carrier policy will be applicable).

Article 7 - Confidentiality and Protection of Data

7.1 The Parties shall ensure that EDI Messages shall be maintained in confidence and not disclosed or transmitted to other persons except: (i) in fulfillment of the Cargo Contract or this Agreement; (ii) if otherwise previously agreed to in writing by the Parties; or (iii) unless compelled to do so by operation of law or by order of a competent court or tribunal, government authorities or agencies at the origin, destination or transit country to disclose the confidential information in connection with the relevant Cargo Contract.

7.2 In the case where in the relevant Cargo Contract the Freight Forwarder appears as

the “ Shipper is a consolidating forwarder, not an agent of the Carrier ” , the information

contained in the forwarder's Freight Forwarder's 'House Waybill’ (if any) , including but not limited to, the name and address of the shipper and/or consignee shall be maintained in confidence and not disclosed or transmitted to other persons except: (i) in fulfillment of the Cargo Contract or this Agreement; (ii) if otherwise previously agreed to in writing by the Parties; or (iii) unless compelled to do so by operation of law or by order of a competent court or tribunal, government authorities or agencies at the origin, destination or transit country to disclose the confidential information in connection with the relevant Cargo Contract.

7.3 The Parties shall comply with all applicable legislation concerning data protection.

Article 8— Recording and Storage of EDI Messages

8.1 The EDI Messages which comprise the Shipment Record, as set forth in Annex ‘A’, shall be issued by the Carrier and shall be stored by each Party or their agents, unaltered and secured, for a minimum of three years. Parties recognize that their national laws may require archiving of EDI messages for a period of time in excess of the time limit set forth herein for accounting, taxation, or other purposes outside the scope of this Agreement.

Note: Parties may want to consider the two years limitation period in the international conventions and applicable fiscal laws — as well as the distinction between operational and accounting requirements.

8.2 Unless otherwise provided by national laws, EDI Messages shall be stored by the sender (or their agent/s) in the transmitted format and by the receiver (or their agent/s) in the format in which they are received.RP1670-CSCMailVote-May2012.doc Page 9 9-May-2012 8.3 The Parties shall ensure that electronic or computer records of the EDI Messages shall be readily retrievable, are capable of being reproduced in a human readable form and of being printed, if required.

Article 9 — Operational Requirements for EDI

9.1 Operational Equipment

Each Party shall provide and maintain, at its own cost, all necessary equipment to fulfill its obligations under the Agreement incl uding hardware, software and services necessary to transmit, receive, translate, record, print and store EDI Messages.

9.2 Means of Communication

The Parties have detailed in Annex ‘A’ the means of communication to be used, including the telecommunication protocols, and if required, the choice of third party service provider(s).

9.3 EDI Message Standards

All EDI Messages shall be transmitted in accordance with the IATA Message Standards, recommendations and procedures as approved and updated by the Cargo

Services Conference from time to time.

Article 10 — Technical Specifications and Requirements

10.1 The Parties may agree to test the computer system of the other, to assure that it meets the integrity and security standards detailed at Article 11 below.

10.2 The Parties may agree to submit to a third party technical audit within 14 days of executing this Agreement and to have further periodic audits of their computer systems, at a mutually convenient time and subject to reasonable notice. For the avoidance of doubt, each party shall bear its own audit costs. ( Numerous scenarios are possible, e.g. third party technical audit, audits before signing, audits after signing, right to periodic audits, and it is not practical to draft text for each).

10.3 The Parties agree to accept as prima facie evidence of the integrity and security of the other Party’s systems any certification by a recognized independent certification

agency.

Note: Any EDI interchange agreement is predicated upon each Party being certain the system of the other meets generally acceptable standards of integrity (unintentional alteration, modification or destruction after transmission) and security (to prevent intentional alteration, modification or destruction of messages).

Given the fundamental importance of being certain that messages cannot be altered, it is expected that the Parties will want to draft unique and specific integrity and security clauses, or incorporate them in the Annex ‘A’.RP1670-CSCMailVote-May2012.doc Page 10 9-May-2012 Article 11 — Security of EDI Messages

11.1 Each Party shall implement and maintain security procedures in accordance with the generally accepted best practices, in order to ensure the authenticity of EDI Messages, and the protection of EDI Messages against the risk of unauthorized access, alteration, delay, destruction or loss.

(Security procedures to verify the origin, and the verification of integrity, in order to identify the sender of an EDI Message and to ascertain that any EDI Message received is complete and has not been corrupted, are essential. Such security procedures and measures may be expressly specified in the Annex ‘A’.)

11.2 Each Party shall immediately inform the other if it becomes aware of any breach in its own security procedures, and take all nec essary steps to remedy the problem.

11.3 A Party informed of or who otherwise bec omes aware of a breach in its security, shall immediately give written notice of that to the other Party, who in turn, can immediately suspend the application of this Agreement and cease to act on EDI from that Party until the breach has been resolved to its reasonable satisfaction.

Article 12 — Authentication

12.1 The Parties shall establish a mutually satisfactory procedure for confirming the authenticity of each other’s EDI Messages.

12.2 As between themselves, and without prejudice to any recourse against a third party, the Parties agree that the sender of an EDI Message shall be responsible for the integrity of it, and responsible for any unauthorized use of or access to its authentication codes/procedures prior to receipt of the message on the recipient’s computer, unless such error, unauthorized use or access results from the acts or omissions of the recipient. The recipient shall be responsible for the integrity of the EDI Message, any unauthorized use of or access to the recipient’s authentication codes/procedures, after reception of the message on its computer unless such unauthorized use or access

results from the acts or omissions of the sender.

Article 13 — Non-compliance

In the event that the EDI communication system of a Party does not comply with the integrity and security standards as required by the Agreement, and there is a disagreement with respect to an EDI Message, the version of the Party whose system does comply will be deemed to be correct.

Article 14 — Liability

14.1 The Parties shall not be liable for any loss or damage suffered by the other Party caused by any delay or failure to perform in accordance with the provision of the Agreement, where such delay or failure is caused by an impediment beyond that Party’sRP1670-CSCMailVote-May2012.doc Page 11 9-May-2012 control and which could not reasonably be expected to be taken into account at the time of conclusion of the Agreement or the consequences of which could not be avoided or

overcome.

14.2 If a Party engages any intermediary (service provider) to perform such services as the transmission, logging, storage or processing of an EDI Message, that Party shall be liable for the intermediary’s acts or omissions in the provision of said services.

14.3 If a Party requires another Party to use the services of an intermediary to perform the transmission, logging, storage or processing of an EDI Message, the Party who requires such use shall be liable to the other Party for damage from that intermediary’s acts or omissions in the provision of said services.

14.4 Except where this Agreement states differently, each Party’s liability shall be limited to proven compensatory damages, and in any event, no Party to the Agreement shall be liable for (i) any loss of profits, revenue, contracts, sales, anticipated savings, goodwill, and reputation; and (ii) special, indirect or consequential losses; or (iii) any form of non-compensatory damages caused by a failure to perform its obligations under the Agreement.

Article 15 — Dispute Resolution

15.1 Alternative 1 — Arbitration Clause

Any dispute arising out of or in connection with this Agreement, including any question regarding its existence, validity or termination, shall be settled by the following dispute resolution process:

15.1.1 Within 14 days of a dispute arising, the Parties’ representatives shall meet and seek to negotiate a resolution; If the Parties are unable to resolve the matter within 45 days from the dispute arising, the matter shall be referred to mediation to take place within 60 days thereafter.

15.1.2 If the mediation is not able to resolve the dispute, the matter shall be referred to and finally resolved by arbitration subject to the International Chamber of Commerce (ICC) Rules of Arbitration , before a single arbitrator to be agreed by the Parties, or failing agreement, by a panel of three arbitrators to be nominated in accordance with International Chamber of Commerce (ICC) Rules of Arbitration

.

15.1.3 Arbitration shall be conducted in English and the seat of the Arbitration shall be in (...[insert city and country]...). The decision of the Arbitrator(s) shall be final and binding.

15.2 Alternative 2 — Jurisdiction Clause

Any dispute arising out of or in connection with this contract shall be referred to the courts of (...[insert country]...) which shall have sole jurisdiction.RP1670-CSCMailVote-May2012.doc Page 12 9-May-2012 Article 16 — Applicable Law

Without prejudice to any mandatory national law, which may apply to the Parties regarding recording and storage of EDI Messages or confidentiality and protection of personal data, the Agreement is governed by the laws of (...[insert country]...).

Shipper certifies that insofar as any part of a consignment contains dangerous goods, all measures prescribed by the Dangerous Goods Regulations have been respected.

Article 17 — General

17.1 Effect

The Agreement shall be effective from the date on which it is signed by both Parties, or if signed on a different date, the date signed by the latter of the two.

17.2 Modifications

The Agreement constitutes the entire agreement between the Parties on the subject matter. Any modifications, subsequent agreements or collateral agreements dealing directly or indirectly with the subject matter contained in the Agreement shall only be valid if set out in writing and signed by both Parties. This Agreement shall not be assigned by a Party, unless prior written consent is obtained from the other Party, such consent shall not be unreasonably withheld.

17.3 Notices

Any Notice to the other Party shall be in writing and shall be sent by certified mail, return receipt requested or by express courier with proof of delivery to the individuals and

addresses indicated below:RP1670-CSCMailVote-May2012.doc Page 13 9-May-2012 For the Shipper Freight Forwarder For the Carrier

_________________ _________________

_________________ _________________

_________________ _________________

_________________ _________________

Either Party may change its address by notice to the other Party.

17.4 Termination

Either Party may terminate the Agreement by giving not less than (.........) days prior

written Notice.

Notwithstanding termination for any reason, the rights and obligations of the Parties referred to in Articles 4, 5, 7, 8 and 14 shall survive termination together with any other provision which by its nature survives termination.

Note: The Parties may want to specify a right of immediate termination in the event of bankruptcy, insolvency or similar events, and/or a right to terminate with or without prior notice if the other Party fails to fulfill its obligation under the present Agreement

.

17.5 Severability

If any provision or provisions of this Agreement shall be held to be invalid, illegal, unenforceable or in conflict with the law of any jurisdiction, that shall not affect: 1. The validity or enforceability in that jurisdiction of any other provision of this Agreement; or 2. The validity or enforceability in other jurisdictions of that or any other provision of this Agreement.

In such cases, this Agreement shall be construed as if such invalid, illegal or unenforceable provisions had never been contained herein, unless the deletion of such provision or provisions would result in such a material change so as to cause completion of the transactions contemplated herein to be unreasonable. Parties shall then negotiate in good faith an appropriate substitute for the provisions deemed invalid.

17.6 Interpretation

Words importing the singular shall include the plural and vice versa.

The headings of articles are for convenience only and shall not be used to interpret provisions of the Agreement or otherwise affect the substantial provisions.
In the event of any inconsistency between the provisions of this Agreement and any provisions incorporated by reference, as detai led in Article 2.1, the provisions of this Agreement shall prevail.RP1670-CSCMailVote-May2012.doc Page 14 9-May-2012 17.7 No Waiver of Rights

The failure by either Party at any time to require performance by the other of any of its obligations, shall not affect the right to require such performance at any time thereafter. A waiver by either Party of a breach or specific delay shall not be taken or held to be a waiver of any subsequent breach or delay.

WHEREFORE the Parties have signed:

................................................... .............................................

Shipper Freight Forwarder

CarrierRP1670-CSCMailVote-May2012.doc Page 15 9-May-2012 RECOMMENDED PRACTICE 1670

Attachment ‘A’

Annex ‘A’

TECHNICAL ANNEX TO MODEL EDI AGREEMENT

1) CONVENTIONS

In the event that the Carrier party to the EDI Agreement must make an unscheduled stopover at a country that is not signatory of the Convention for the Unification of Certain Rules Relating to International Carriage by Air, signed at Warsaw, 12 October 1929 as amended by Montreal Protocol No. 4 (MP4), or have ratified the Convention for the Unification of Certain Rules for International Carriage by Air, done at Montreal on 28 May 1999 (MC99), the Parties shall ensure that they can produce and deliver the Cargo Receipt requested by any third party, government authority requesting such

documentation.

2) EDI MESSAGES

All EDI Messages shall be structured and used in accordance with the IATA Cargo Interchange Message Procedures (Cargo-IMP) Manual or the Cargo-FACT Message

Manual or the Cargo-XML Message Manual . This Technical Annex addresses the CargoIMP environment.

In the event that the Parties wish to exchange particular version numbers of the CargoIMP messages then only FWB version number (....), FSU version number (....) and FNA version number (....) will be supported. In case Parties decide to use the Cargo-IMP FMA message then only FMA version number (....) will be supported.

3) SHIPMENT RECORD

To initiate the Shipment Record information the Shipper Freight Forwarder will send the completed air waybill data through an electronic message (FWB) as per Cargo Interchange Message Procedures (Cargo-IMP) Manual to the Carrier prior to the presentation of the consignment at the Carrier point of acceptance.

The Cargo Contract shall be subject to the FSU/RCS message being sent to the Shipper. Freight Forwarder. In the event that the weight, volume and/or total number of pieces of the FSU/RCS Message deviates from the weight, volume and/or total number of pieces of the FWB information the cargo shipment shall be treated according to the exception management procedures prev iously agreed between the Parties.

In case the Carrier cannot access the Shipment Record initiated in his system, at freight presentation, a fallback (or recovery) procedure should be agreed and in place between

the Carrier and Shipper Freight Forwarder

.

4) REJECTION MESSAGE

The notification to the Shipper that the EDI message containing the air waybill data (FWB) has been rejected by the Carrier’s sy stem and/or by his third party serviceRP1670-CSCMailVote-May2012.doc Page 16 9-May-2012 provider due to syntax errors shall be performed using the standard electronic Error (FNA) message as per Cargo Interchange Message Procedures (Cargo-IMP) Manual.

The FNA message should include the Message Improvement Program (MIP) error code and reasons as per the latest version of the MIP strategy document.

5) CONFIRMATION MESSAGE

The confirmation to the Shipper Freight Forwarder that the EDI message containing the air waybill data (FWB) has been received by the Carrier’s system and/or his third party service provider without syntax errors and application errors shall be performed using the standard electronic Acknowledgment (FMA) message as per the Cargo Interchange Message Procedures (Cargo-IMP) Manual. 4

A confirmation message is not required unless otherwise previously agreed by the Parties in writing.

In the event that the Shipper Freight Forwarder requires a confirmation (acknowledgment) message from the Carrier upon receipt of a FWB Message, the Carrier shall send the acknowledgment as soon as possible, however, in no case later than (....) minutes after receipt of the FWB. In the event that the Carrier fails to send an acknowledgment within the time period stated, the Shipment Record initiation shall be considered rejected and the shipment shall be handled as previously agreed between the Parties (or according to the Carrier policy if applicable).

In the event that the Carrier requires the FWB message from the Shipper Freight

Forwarder prior to presentation of the freight at the Carrier’s point of acceptance and the Shipper Freight Forwarder fails to send the FWB prior to presentation, there shall be no Shipment Record and the shipment shall be handled as previously agreed between the Parties (or according to the Carrier policy if applicable).

6) CARGO RECEIPT

The Cargo Receipt will evidence the conclusion of the contract (“including acceptance of all contract terms”) and evidence the acceptance of the cargo as “ready for carriage” (as indicated in the IATA Cargo Agency Conference Resolution 833 5 ).

The Carrier will send the standard electronic Status Update (FSU) message with the standard Status Code ready for carriage Shipment (RCS) as per Cargo Interchange Message Procedures (Cargo-IMP) Manual to the Shipper Freight Forwarder

.

The Carrier will send to the Freight Forwarder the electronic Status Update (FSU) message with the standard Status Code ready for carriage Shipment (RCS) including the actual event time, as per Cargo Interchange Message Procedures (Cargo-IMP) as soon as possible after the presentation of the freight by the Shi pper Freight Forwarder to

4 Note: Alternatively the Cargo 2000 route map milestone (MUP-FWB) message could be used. In such a case both Parties need to be Cargo 2000 members and need to have agreed this previously.

5 Cargo Agency Conference Resolution 833 Ready for Carriage ConsignmentsRP1670-CSCMailVote-May2012.doc Page 17 9-May-2012 the Carrier’s point of acceptance and no later than ___ (if left blank, no time limit shall apply) minutes after the determination by the Carrier that the freight is indeed “ready for carriage”.

The Cargo Receipt will confirm the FWB message information and FSU/RCS message

information. The date of the Cargo Receipt shall be the date that the Carrier transmits the FSU/RCS message.

The Cargo Receipt document shall be produced either as a paper or electronic version as agreed between the Parties in the layout of the Cargo Receipt as described in the Annex ‘C’ of this Agreement.

Carrier will only send a FSU/RCS message if a FWB message is received from the Shipper at least (....) minutes prior to presentation of the freight at the Carrier’s point of acceptance. The Parties shall agree on the process to be followed in case the FWB message is not received in the agreed period of time.

7) ACCESS TO THE SHIPMENT RECORD BY THE CONSIGNEE

The Consignee may need to have access to the Cargo Receipt containing weight, volume and number of pieces.

The Carrier, upon request by the Shipper Freight Forwarder , may provide a copy of the Cargo Receipt to the Consignee.

8) CHARGES CORRECTION ADVICE (CCA)

In the case of discrepancies that affect charges between the data contained in the FWB message as transmitted by the Shipper Freight Forwarder and the data contained in the FSU/RCS message as transmitted by the Carrier, the Carrier shall send a Cargo

Correction Advice to the Shipper Freight Forwarder unless otherwise agreed by the

Parties.

9) BAR CODE LABELS

For cargo acceptance, shipments must be labeled with machine-readable cargo labels that are in accordance with the specifications of IATA Cargo Services Conference

Resolution 606 6 , Bar Coded Label.

6 Cargo Services Conference Resolution 606 Bar Coded LabelRP1670-CSCMailVote-May2012.doc Page 18 9-May-2012 RECOMMENDED PRACTICE 1670

Attachment ‘A’

Annex ‘B’

Notice: the provisions of Resolution 600i, including the Conditions of Contract set forth therein, are incorporated into this Agreement by this reference. The current Conditions of Contract as set forth in Resolution 600i are re-printed in this Annex B for the convenience of the parties. The parties agree to be bound by the current

version of the Resolution 600i Conditions of Contract as amended from time to time by the Cargo Services Conference and re-printed in the Cargo Services

Conference Resolutions Manual website without further amendment to this Agreement.

[INSERT CONDITIONS OF CONTRACT FOR CONTRACTS CONCLUDED BY

ELECTRONIC MEANS

AS SET FORTH IN THE CURRENT VERSION OF CARGO SERVICES CONFERENCE RESOLUTION 600i]

NOTICE CONCERNING CARRIER’S LIMITATION OF LIABILITY

If the carriage involves an ultimate destination or stop in a country other than the country of departure, the Montreal Convention or the Warsaw Convention may be applicable to the liability of the Carrier in respect of lo ss of, damage or delay to cargo. Carrier's limitation of liability in accordance with those Conventions shall be as set forth in subparagraph 4 unless a higher value is declared.

This contract is subject to the following :

CONDITIONS OF CONTRACT

1. In this contract and the Notices appearing herewith:

CARRIER includes the air carrier issuing the Cargo Receipt and all carriers that carry or undertake to carry the cargo or perform any other services related to such carriage.

SPECIAL DRAWING RIGHT (SDR) i s a Special Drawing Right as defined by the International Monetary Fund.

WARSAW CONVENTION means whichever of the following instruments is applicable to the contract of carriage:

the Convention for the Unification of Certain Rules Relating to Internation al Carriage by Air, signed at Warsaw, 12 October 1929; that Convention as amended at The Hague onRP1670-CSCMailVote-May2012.doc Page 19 9-May-2012 28 September 1955; that Convention as amended at The Hague 1955 and by Montreal Protocol No. 1, 2, or 4 (1975) as the case may be.

MONTREAL CONVENTION means the Convention for the Unification of Certain Rules for International Carriage by Air, done at Montreal on 28 May 1999.

2./2.1 Carriage is subject to the rules relating to liability established by the Warsaw

Convention or the Montreal Convention unless s uch carriage is not “international carriage” as defined by the applicable Conventions.

2.2 To the extent not in conflict with the foregoing, carriage and other related services performed by each Carrier are subject to:

2.2.1 applicable laws and government reg ulations;

2.2.2 provisions contained in the Carrier’s conditions of carriage and related rules, regulations, and timetables (but not the times of departure and arrival stated therein) and applicable tariffs of such Carrier, which are made part hereof, and which may be inspected at any airports or other cargo sales offices from which it operates regular services. When carriage is to/from the USA, the shipper and the consignee are entitled, upon request, to receive a free copy of the Carrier’s conditions of carriage. The Carrier’s conditions of carriage include, but are not limited to:

2.2.2.1 limits on the Carrier’s liability for loss, damage or delay of goods, including fragile or perishable goods;

2.2.2.2 claims restrictions, including time periods within which shi ppers or consignees must file a claim or bring an action against the Carrier for its acts or omissions, or those of its agents;

2.2.2.3 rights, if any, of the Carrier to change the terms of the contract;

2.2.2.4 rules about Carrier’s right to refuse to carry;

2.2.2.5 rights of the Carrier and limitations concerning delay or failure to perform service, including schedule changes, substitution of alternate Carrier or aircraft and rerouting.

3. The agreed stopping places (which may be altered by Carrier in case of necessity) are those places, except the place of departure and place of destination, set forth in the Shipment Record or shown in Carrier’s timetables as scheduled stopping places for the route. Carriage to be performed hereunder by several successive Carriers is regard ed as a single operation.

4

. For carriage to which the Montreal Convention does not apply, Carrier’s liability

limitation for cargo lost, damaged or delayed shall be 19 SDRs per kilogram unless

a greater per kilogram monetary limit is provided in any appl icable Convention or in Carrier’s tariffs or general conditions of carriage.

5./5.1 Except when the Carrier has extended credit to the consignee without the written consent of the shipper, the shipper guarantees payment of all charges for theRP1670-CSCMailVote-May2012.doc Page 20 9-May-2012 carriage due in accordance with Carrier’s tariff, conditions of carriage and related regulations, applicable laws (including nat ional laws implementing the Warsaw Convention and the Montreal Convention) , government regulations, orders and requirements.

5.2 When no part of the consignment is delivered, a claim with respect to such consignment will be considered even though transportation charges thereon are unpaid.

6./6.1 For cargo accepted for carriage, the Warsaw Convention and the Montreal Convention permit sh ipper to increase the limitation of liability by declaring a higher value for carriage and paying a supplemental charge if required.

6.2 In carriage to which neither the Warsaw Convention nor the Montreal Convention applies Carrier shall, in accordance wi th the procedures set forth in its general conditions of carriage and applicable tariffs, permit shipper to increase the limitation of liability by declaring a higher value for carriage and paying a supplemental charge if so required.

7./7.1 In cases of l oss of, damage or delay to part of the cargo, the weight to be taken into account in determining Carrier’s limit of liability shall be only the weight of the package or packages concerned.

7.2 Notwithstanding any other provisions, for “foreign air transportat ion” as defined by the U.S. Transportation Code:

7.2.1 in the case of loss of, damage or delay to a shipment, the weight to be used in determining Carrier’s limit of liability shall be the weight which is used to determine the charge for carriage of such shipme nt; and

7.2.2 in the case of loss of, damage or delay to a part of a shipment, the shipment weight in 7.2.1 shall be prorated to the packages covered by the same Cargo Receipt whose value is affected by the loss, damage or delay. The weight applicable in the c ase of loss or damage to one or more articles in a package shall be the weight of the entire package.

8. Any exclusion or limitation of liability applicable to Carrier shall apply to Carrier’s agents, employees, and representatives and to any person whose aircraft or equipment is used by Carrier for carriage and such person’s agents, employees and representatives.

9. Carrier undertakes to complete the carriage with reasonable dispatch. Where permitted by applicable laws, tariffs and government regulations , Carrier may use alternative carriers, aircraft or modes of transport without notice but with due regard to the interests of the shipper. Carrier is authorized by the shipper to select the routing and all intermediate stopping places that it deems appropr iate or to change or deviate from the routing shown in the Shipment Record.

10. Receipt by the person entitled to delivery of the cargo without complaint shall be prima facie evidence that the cargo has been delivered in good condition and in

accordance w ith the contract of carriage.RP1670-CSCMailVote-May2012.doc Page 21 9-May-2012 10.1 In the case of loss of, damage or delay to cargo a written complaint must be made to Carrier by the person entitled to delivery. Such complaint must be made:

10.1.1 in the case of damage to the cargo, immediately after discovery of the damage and at the latest within 14 days from the date of receipt of the cargo;

10.1.2 in the case of delay, within 21 days from the date on which the cargo was placed at the disposal of the person entitled to delivery.

10.1.3 in the c ase of non

- delivery of the cargo, within 120 days from the date of receipt of the cargo for transportation by the Carrier.

10.2 Such complaint may be made to the Carrier who issued the Cargo Receipt, or to

the first Carrier or to the last Carrier or to t he Carrier, which performed the carriage during which the loss, damage or delay took place.

10.3 Unless a written complaint is made within the time limits specified in 10.1 no action may be brought against Carrier.

10.4 Any rights to damages against Carr ier shall be extinguished unless an action is brought within two years from the date of arrival at the destination, or from the date on which the aircraft ought to have arrived, or from the date on which the carriage stopped.

11. Shipper shall comply with all applicable laws and government regulations of any country to or from which the cargo may be carried, including those relating to the packing, carriage or delivery of the cargo, and shall furnish such information to the Carrier as may be necessary to c omply with such laws and regulations. Carrier is not liable to shipper and shipper shall indemnify Carrier for loss or expense due to shipper’s failure to comply with this provision.

12. No agent, employee or representative of Carrier has authority to al ter, modify or waive any provisions of this contract.RP1670-CSCMailVote-May2012.doc Page 22 9-May-2012 RECOMMENDED PRACTICE 1670

Attachment ‘A’

Annex ‘C’

THE RECEIPT FOR THE CARGO (ALSO KNOWN AS THE CARGO RECEIPT) -

TECHNICAL SPECIFICATIONS AND COMPLETION

Measurements of the Cargo Receipt

The outside measurements of the Cargo Receipt shall be maintained exactly as shown in Appendix ‘A’.

Description of the Cargo Receipt

The Cargo Receipt shall have the same layout, wording and shading as specified in Appendix ‘B’;

Completion of the Cargo Receipt

The circled numbers in the following text correspond with the numbers in the boxes of the specimen illustrated in Appendix ‘C’.

1. Shipment Identification

The shipment identification number shall be entered and will be composed of the following Cargo-IMP data:

FWB Ref. 2.1.1 (DE 112) / 2.1.3 (DE 113) / 17.2.2 (DE 202) / 17.2.3 (DE 201) / 17.2.4 (DE 200)

A hyphen shall be inserted between DE 112 and DE 113 and also between DE 113 and

DE 202.

2. Shipper Name

The shipper’s name shall be entered and will be composed of the following Cargo-IMP

data:

FWB Ref. 5.4.2 (DE 300)

3. Issued By

The name of the carrier issuing the cargo receipt should be entered and would be aligned with DE 112 of the shipment identification. A company logo may also be

entered. 1

2

3RP1670-CSCMailVote-May2012.doc Page 23 9-May-2012 4. Day/Month/Time (of Shipment Acceptance)

The Day/Month/Time (of Shipment Acceptance) shall be entered and will be composed of the following Cargo-IMP data:

FSU Ref. 3.3.1 (DE 202) / 3.3.2(DE 201) / 3.3.3(DE 203), if DE 203 is present.

A space shall be inserted between DE 202 and DE 201 and also between DE 201 and

DE 203. The year of shipment acceptance is not included in the Day/Month/Time (of Shipment Acceptance) box but can be deduced from the date of the Shipment Identification box.

5. Airport/City Code (of Shipment Acceptance)

The Airport/City Code (of Shipment Acceptance) shall be entered and will be composed of the following Cargo-IMP data:

FSU Ref. 3.3.5 (DE 313)

6. Total Number of Pieces

The Total Number of Pieces determined at acceptance shall be entered and will be composed of the following Cargo-IMP data:

FSU Ref. 2.3.3 or 2.4.2 (DE 701)

7. Weight / Code

7.1 Weight

The amount of the weight determined at acceptance shall be entered and will be composed of the following Cargo-IMP data:

FSU Ref. 2.3.5 (DE 600)

7.2 Code

The measurement unit code for the weight amount determined at acceptance shall be entered and will be composed of the following Cargo-IMP data:

FSU Ref. 2.3.4 (DE 601)

A space shall be inserted between DE 600 and DE 601.

8. Volume

The volume amount and its measurement unit code determined at acceptance may be entered if available and will be composed of the following Cargo-IMP data: 4

5

6

7

8

9RP1670-CSCMailVote-May2012.doc Page 24 9-May-2012 FSU Ref. 3.8.2 (DE 500) / 3.8.1 (DE 604)

A space shall be inserted between DE 500 and DE 604

9. Airport/City Code (of Origin)

The Airport/City Code (of Origin) shall be entered and will be composed of the following Cargo-IMP data:

FWB Ref. 2.2.1 (DE 313)

10. Airport/City Code (of Destination)

The Airport/City Code (of Destination) shall be entered and will be composed of the following Cargo-IMP data:

FWB Ref. 2.2.2 (DE 313)

11. Airport/City Code (of Routing)

The Airport/City Code (of Routing) can be entered and will be composed of the following Cargo-IMP data:

FWB Ref. 4.2.2 and 4.3.2 (DE 313)

A slant shall be inserted between DE 313 and any repeats of DE 313.

The Airport/City Code (of Routing) must be entered if:

The places of departure and destination are within the territory of a single State Party and one or more agreed stopping places being within the territory of another State then an indication of at least one such stopping place must be indicated. 10

11

12RP1670-CSCMailVote-May2012.doc Page 25 9-May-2012 Appendix ‘A’RP1670-CSCMailVote-May2012.doc Page 26 9-May-2012 Appendix ‘B’



### Notes :

1. The boxes with bold titles indicate information specified by the Convention for

the Unification of Certain Rules for International Carriage by Air, done at Montreal on 28 May 1999 (MC99) and The C onvention for the Unification of Certain Rules Relating to International Carriage by Air, signed at Warsaw, 12 October 1929 as amended by Montreal Prot ocol No. 4 (MP4). Routing would only be included if applicable as specified in the Articles;

2. Airport/City Code (of Routing): As per MC99 and MP4, if the places of departure and destination are within the terri tory of a single State Party and one or more agreed stopping places being within the territory of another State then an

indication of at least one such stopping place must be indicated;

3. The year of shipment acceptance is not included in the “Day/Month/Time (of Shipment Acceptance)” box but can be de duced from the date of the “Shipment

Identification” box.RP1670-CSCMailVote-May2012.doc Page 27 9-May-2012 Appendix ‘C’RP1670-CSCMailVote-May2012.doc Page 28 9-May-2012 RECOMMENDED PRACTICE 1670

Attachment ‘A’

Annex ‘D’

TERMS FOR INITIATING AND CONCLUDING CARGO CONTRACTS IN RESPECT

OF WARSAW CARRIAGE

Where the Parties are contracting in relation to an international carriage of cargo within the meaning of either the Convention for the Unification of Certain Rules Relating to International Carriage by Air, signed at Warsaw, 12 October 1929 (the “Warsaw Convention”) and/or the Warsaw Convention, as amended at the Hague, 1955 (“Warsaw-Hague”), but falling outside the meaning ascribed to such carriage within either or both of the Conventions (as defined in Section 1 of Annex A of the Agreement) (each such carriage referred herein as a “Warsaw Carriage”), the Parties hereby agree to take the following steps in order to ensure that each Warsaw Carriage complies fully with the procedures relating to air consignment notes and air waybills set out respectively in the Warsaw Convention and Warsaw-Hague and that in any event any Cargo Contract in respect of a Warsaw Carriage shall be entered into in accordance with and subject to the following provisions:

1. AIR WAYBILL COMPLETION

Upon receipt of an air waybill data message (e.g. FWB) from Freight Forwarder for a Cargo Contract to be flown on a Warsaw Carriage route, Freight Forwarder hereby authorizes Carrier to make out a conforming air waybill relating to the carriage of the cargo described in such message (“Warsaw Cargo”) on behalf of Freight Forwarder pursuant to Resolution 600a, Attachment A, Section 3. Freight Forwarder agrees that such making out of the air waybill by the Carrier on its behalf complies with article 6(5) of both the Warsaw Convention and/or Warsaw-Hague, as applicable.

2. EDI MESSAGE DISCREPANCIES

Upon receipt by the Carrier of Warsaw Cargo, Carrier will confirm that such cargo is ready for carriage through a status update message (e.g. FSU/RCS) sent to Freight Forwarder. In the event Carrier cannot confirm that such cargo is ready for carriage or that the data in the status update message (e.g. FSU/RCS) to the Freight Forwarder deviates in weight, volume and/or total number of pieces in the air waybill data message (e.g. FWB) from the Freight Forwarder, the Warsaw Cargo shall be treated according to the exception management procedures agreed between the Parties as set forth in

Section 3 of Annex A.

3. SIGNATURES ON AIR WAYBILL

The Carrier shall be entitled to rely on Freight Forwarder authorizations, representations and undertakings set out in Section 5 of this Annex D and on that basis may upon acceptance of, but prior to loading of the Warsaw Cargo, stamp or print Freight Forwarder’s signature, or a Third Party’s signature if applicable pursuant to Section 6 of this Annex D, as “Shipper” on the first and second Originals 1 and 2 of the air waybillRP1670-CSCMailVote-May2012.doc Page 29 9-May-2012 (marked “for issuing Carrier” and “for Consignee” respectively) for and on behalf of the Freight Forwarder (or Third Party if applicable) and countersign the Original 2 and sign the Original 3 of the air waybill (marked “for consignee” and “for Shipper” respectively) in its capacity as carrier and then shall return the Original 3 to the Freight Forwarder. Freight Forwarder further agrees that the stamping or printing of the signature on the air waybill by the Carrier on behalf of Freight Forwarder or a Third Party as set forth in this Section 3 of this Annex D complies fully with the requirements of article 6(4) of the Warsaw Convention and/or Warsaw-Hague and with the giving of notice to the Freight Forwarder of possible limits on the liability of Carrier in respect of loss of or damage to the Warsaw Cargo required under such Conventions.

4. CONCLUSION OF CARGO CONTRACTS FOR WARSAW CARRIAGE

Cargo Contracts for purposes of Warsaw Carriage under this Annex D shall be concluded upon the stamping or printing of the Shipper’s signature on the air waybill as set forth in Section 3 hereof, and such Cargo Contracts shall be governed by the Conditions of Contract printed on the reverse side of such air waybill(s) as set forth in the then current Cargo Services Conference Resolution 600b.

5. FREIGHT FORWARDER REPRESENTATIONS

Freight Forwarder represents to Carrier that:

a) Freight Forwarder has the full and unequivocal authority to enter into this Agreement and in particular to assume and be bound by the representations, undertakings and obligations set out in this Annex D; and

b) Throughout the term of the Agreement Freight Forwarder shall have the full and unequivocal authority to appoint Carrier as Freight Forwarder’s agent for the purpose of actions required to be undertaken by Carrier pursuant to this Annex D.

c) Carrier may at all times be entitled to rely on Freight Forwarder’s representations and undertakings herein contained and shall be under no obligation whatsoever to make any enquiries as to whether or not any or

all of these authorizations have been revoked.

d) in the event of a conflict between the provisions of this Annex D and the rest of the Agreement the provisions of this Annex D shall prevail.

6. THIRD-PARTY SHIPMENTS FOR WARSAW CARRIAGE

For Warsaw Carriage involving a Third Party as Shipper, as further described in Section 4.4 of the Agreement; Freight Forwarder shall comply with the conditions set forth in Section 4.4, 4.5 and Section 4.6.

Freight Forwarder shall accordingly identify the Third Party as the “Shipper” in the air waybill data message (e.g. FWB).RP1670-CSCMailVote-May2012.doc Page 30 9-May-2012 THE TRANSMITTAL OF EDI MESSAGES AS SET FORTH IN SECTION 6 OF THIS

ANNEX D FOR PURPOSES OF CONCLUDING A CARGO CONTRACT BETWEEN A

THIRD PARTY AND THE CARRIER FOR CARRIAGE BY AIR SHALL AUTHORIZE CARRIER, TO THE EXTENT REQUIRED BY INTERNATIONAL CONVENTION, TO

MAKE OUT CONFORMING AIR WAYBILLS AND STAMP OR PRINT SIGNATURES

ON SUCH AIR WAYBILLS ON BEHALF OF THE THIRD PARTY BY TRANSMITTING

SUCH EDI MESSAGES FREIGHT FORWARDER C ERTIFIES THAT FREIGHT

FORWARDER HAS OBTAINED AUTHORIZATION FROM THE THIRD PARTY TO

PERMIT SUCH ISSUANCE.