No C 78/6 Official Journal of the European Communities 30. 3. 82 
II 
(Preparatory Acts) 
COMMISSION 
Proposal for a Council Directive on tariffs for scheduled air transport between Member 
States 
(Submitted by the Commission to the Council on 27 October 1981) 
THE COUNCIL OF THE EUROPEAN 
COMMUNITIES, 
Having regard to the Treaty establishing the 
European Economic Community, and in particular 
Article 84 (2) thereof, 
Having regard to the proposal from the Commission, 
Having regard to the opinion of the European Par­
liament, 
Having regard to the opinion of the Economic and 
Social Committee, 
Whereas more flexible procedures for controlling 
scheduled passenger air fares for air services between 
Member States will give air carriers greater scope to 
develop markets and meet consumer needs; 
Whereas common rules to define fair prices should be 
established and whereas such rules should lay down 
criteria for the establishment of air fares so that they 
bear a reasonable relationship to the costs of an 
efficient air carrier; 
Whereas disruptive effects on the air transport system 
in the Community should be avoided and in 
particular appropriate measures should be taken to 
prevent selling below cost including a reasonable 
margin for overheads and profit; 
Whereas due attention should be paid to the 
requirements of various user categories in establishing 
fares, while at the same time the tariff structure 
should remain as simple as possible; Whereas fares should be offered on clear and under­
standable conditions; 
Whereas air carriers should be free to establish air 
tariffs individually, but should be permitted to consult 
with other airlines for the purpose of fixing the terms 
of interlining arrangements, given the important 
benefits conferred by interlining facilities on air 
transport in the Community and in the world; 
Whereas within the air transport sector differences in 
social conditions between Member States exist; 
Whereas provision should be made for rapid consul­
tation between Member States in the case of any 
disagreement and for procedures for settling such 
disagreements as are not resolved by consultation; 
Whereas provision should be made for the regular 
consultation of consumer groups on matters relating 
to air fares, 
HAS ADOPTED THIS DIRECTIVE: 
Scope and definitions 
Article 1 
This Directive applies to government procedures and 
criteria to be applied with respect to the fixing of 
scheduled air tariffs for passengers and air freight, 
established by air carriers for carriage between a 
point in one Member State to a point in another 
Member State. 
30. 3. 82 Official Journal of the European Communities No C 78/7 
Article 2 
For the purposes of this Directive 
(a) Air tariffs mean the prices to be paid in the 
applicable local legal tender for the carriage by 
air of passengers, baggage and freight, in 
accordance with the conditions under which 
those prices apply, including prices and 
conditions offered to intermediaries; 
(b) Air carrier means an air transport enterprise which 
is authorized by two or more Member States to 
operate scheduled international air services 
between those States; 
(c) State of origin means the Member State from 
which the carriage commences in respect of 
which an air tariff is established, i.e. both for 
single and return air tariffs; 
(d) State of destination means the Member State in 
which the carriage terminates in respect of which 
an air tariff is established; 
(e) States concerned mean the State of origin and the 
State of destination; 
(f) Interlining means a facility conferred by a ticket 
or an airwaybill granting the right to use more 
than one airline for the carriage; 
(g) Scheduled air service means a series of flights each 
possessing all the following characteristics: 
(i) it is performed by aircraft for the transport of 
passengers or cargo for remuneration, in such 
a manner that each flight is open to use by 
members of the public; 
(ii) is operated so as to serve traffic between the 
same two or more points, either: 
(1) according to a published timetable; or 
(2) with flights so regular or frequent that 
they constitute a recognized systematic 
series. 
Criteria 
Article 3 
1. The States concerned shall take all appropriate 
measures to ensure that air tariffs 
(a) are reasonably related to the costs of an efficient 
air carrier on the assumption that its principal 
place of business is located in the State of origin, 
while allowing for a satisfactory return on 
investment and taking due account of the charac­
teristics of the route; (b) are sufficient to cover the costs of the carrier on 
the route in question plus a reasonable margin for 
overheads and profit; 
(c) have due regard to the requirements of various 
user categories and encourage the development of 
demand by new categories of users while the 
tariff structure shall remain as simple as possible; 
(d) are offered on conditions which are clear and 
understandable. 
2. An air carrier shall, however, be permitted to 
match an existing tariff, which has been approved for 
another airline in accordance with this Directive for 
the same route with the same originating point. 
Procedures 
Article 4 
Member States shall permit an air carrier to establish 
air tariffs: 
(a) individually; or 
(b) at the option of that air carrier, following consul­
tation with any other airline(s) for the purpose of 
fixing the terms of interlining or in order to 
simplify and standardize conditions associated 
with air tariffs. Member States concerned and the 
Commission may participate as observers at these 
consultations. 
Article 5 
1. Without prejudice to the provisions of Article 6 
hereof, air tariffs shall be approved by the states 
concerned. 
2. For this purpose air tariffs established by an air 
carrier shall be filed with the States concerned. 
3. Such filing may be required by those States not 
more than 60 days before the entry into force of the 
air tariffs. 
4. Approval may be given expressly, but unless one 
of those States decides otherwise within 30 days 
following the filing the filed air tariffs shall be 
considered as approved. 
No C 78/8 Official Journal of the European Communities 30. 3. 82 
Article 6 
1. When a State concerned (hereafter called the 
first State) decides not to approve an air tariff in 
conformity with Article 5 (4), it shall inform the 
airline and the other State concerned (hereafter called 
the second State) in writing stating its reasons. 
2. If the second State agrees with the decision of 
the first State, the State of origin shall request the 
airline concerned to file a new air tariff. 
3. If the second State disagrees with the decision 
of the first State, it shall so notify the first State 
within two weeks of being informed and request a 
consultation. The first State shall make its represen­
tatives available at short notice for consultation on 
the air tariff(s). For this consultation the States 
concerned shall on request supply all relevant infor­
mation to each other. At the consultation the States 
concerned shall endeavour to agree on the air tariff as 
filed or agree on modifications thereto. 
4. If at the expiry of one month after the date on 
which the second State was notified disagreement still 
persists, the State of origin can approve the air tariff 
unilaterally, after having ascertained that the criteria 
of Article 3 are met, or subject to such modifications 
as will make it comply with Article 3. In this case the 
air tariff shall come into force two weeks after the 
approval of the State of origin except where the other 
State concerned within this period refers the matter to 
the Commission for decision under paragraph 6. 
5. Where no agreement is reached under the 
procedure set out in paragraph 3, or where action is 
taken under paragraph 4, the dispute may, at the 
request of any Member State concerned, be referred 
to the Commission. General provisions 
Article 7 
1. At least once a year, each Member State shall 
call on an air transport users committee to express its 
opinion on air fares and related matters for which 
purpose the members of the committee shall be 
supplied with appropriate information. This 
committee shall in each Member State include the 
main consumers' interests concerned with matters of 
this kind. If no such committee exists, the State 
concerned shall set one up. 
2. The Commission shall convene periodically, at 
least once a year, representatives of the transport 
users committees referred to in paragraph 1, for an 
exchange of views at Community level. 
Article 8 
1. The Commission shall, every second year after 1 
January 1983, publish a report on the scheduled air 
tariffs to which this Directive applies. 
2. For the purposes of this report, the Member 
States shall inform the Commission of all such air 
tariffs filed with them and of any instance when 
Article 6 has been invoked during the relevant period, 
and, at the request of the Commission, provide details 
with respect to the conformity of the procedures 
actually adopted by Member States with the 
provisions of this Directive and the conformity of 
such air tariffs with the criteria in Article 3. 
3. Before issuing the report, the Commission shall 
as it thinks fit consult with the representatives of the 
air transport users committees, airlines, governments 
and other interested parties. 
4. Confidential information obtained by the 
application of this Directive is covered by pro­
fessional secrecy. 
6. The Commission shall within 30 working days 
of the date of referral after consulting the Member 
States concerned take a decision. Upon referral of a 
dispute to the Commission, the States concerned shall 
immediately make available all pertinent information 
at their disposal to the Commission. The Commission 
shall notify its decision to the States concerned. Article 9 
Air tariffs being applied at the entry into force of this 
Directive remain valid until replaced by other air 
tariffs. 
7. In the absence of a decision by the Commission 
within 30 working days from the date of referral the 
air tariff shall come into effect until such date as the 
decision of the Commission comes into force. Article 10 
Where a Member State has concluded an agreement 
with one or more third countries, which gives fifth 
30. 3. 82 Official Journal of the European Communities No C 78/9 
freedom rights for a route between Member States to 
an air carrier of a third country and in this respect 
contains provisions incompatible with this Directive, 
the Member State shall take at the first opportunity 
all appropriate steps to eliminate such 
incompatibilities. Until such time as the 
incompatibilities have been eliminated this Directive 
shall not affect the rights and obligations vis-d-vis 
third countries arising from such an agreement. 
Article 11 
1. The Member State shall, before 1 January 1983, 
and after consultation with the Commission, take the 
necessary steps to amend their laws and administrative provisions to comply with this 
Directive. 
2. Such measures shall cover, inter alia, the organ­
ization of, procedures for and means of control, and 
the penalties for any breach. 
3. The Member States shall communicate to the 
Commission all laws and administrative provisions 
made in furtherance of this Directive. 
Article 12 
This Directive is addressed to the Member States. 
Amended proposal for a Council Directive on the coordination of laws, regulations and 
administrative provisions relating to legal expenses insurance (') 
(Submitted by the Commission to the Council pursuant to the second paragraph of Article 
149 of the EEC Treaty on 22 February 1982) 
ORIGINAL PROPOSAL NEW PROPOSAL 
THE COUNCIL OF THE EUROPEAN 
COMMUNITIES THE COUNCIL OF THE EUROPEAN 
COMMUNITIES 
Citations 
First citation First, second, third and fourth citations 
Having regard to the Treaty establishing the (unchanged) 
European Economic Community, and in particular 
Article 57 (2) thereof, 
Second citation 
Having regard to the proposal from the Commission, 
Third citation 
Having regard to the opinion of the European Par­
liament, 
Fourth citation 
Having regard to the opinion of the Economic and 
Social Committee, 
(') OJNoC 198,7. 8. 1979, p. 2.