C-36
Second Session, Thirty-ninth Parliament,
56 Elizabeth II, 2007
HOUSE OF COMMONS OF CANADA
BILL C-36
An Act to amend the Air Canada Public Participation Act
first reading, December 10, 2007
THE MINISTER OF TRANSPORT, INFRASTRUCTURE AND COMMUNITIES
90312
SUMMARY
This enactment extends the application of the Official Languages Act to certain affiliates of Air Canada and deems the articles of ACE Aviation Holdings Inc. to include provisions respecting the location of its head office and the right of persons to communicate with that corporation in both official languages.
Also available on the Parliament of Canada Web Site at the following address:http://www.parl.gc.ca
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2nd Session, 39th Parliament,
56 Elizabeth II, 2007
house of commons of canada
BILL C-36
An Act to amend the Air Canada Public Participation Act
R.S., c. 35 (4th Supp.)
Her Majesty, by and with the advice and consent of the Senate and House of Commons of Canada, enacts as follows:
1994, c. 24, par. 34(1)(a)(F)
1. The long title of the Air Canada Public Participation Act is replaced by the following:
Explanatory NotesAir Canada Public Participation Act
Clause 1: Existing text of the long title:
An Act to provide for the continuance of Air Canada under the Canada Business Corporations Act and for the issuance and sale of shares thereof to the public
Notes explicativesLoi sur la participation publique au capital d’Air Canada
Article 1 : Texte du titre intégral :
Loi prévoyant la prorogation d’Air Canada sous le régime de la Loi canadienne sur les sociétés par actions ainsi que l’émission et la vente de ses actions au public
An Act respecting Air Canada and its affiliates
2. Section 1 of the Act is replaced by the following:
Clause 2: Existing text of section 1:
1. This Act may be cited as the Air Canada Public Participation Act.
Article 2 : Texte de l’article 1 :
1. Loi sur la participation publique au capital d’Air Canada.
Short title
1. This Act may be cited as the Air Canada and Its Affiliates Act.
3. The heading before section 2 of the Act is replaced by the following:
Clause 3: Existing text of the heading:
INTERPRETATION AND APPLICATION
Article 3 : Texte de l’intertitre :
DÉFINITIONS ET APPLICATION
PART 1
INTERPRETATION AND APPLICATION
4. The heading before section 4 of the Act is replaced by the following:
Clause 4: Existing text of the heading:
TRANSFER OF SHARES TO MINISTER
Article 4 : Texte de l’intertitre :
TRANSFERT D’ACTIONS AU MINISTRE
PART 2
AIR CANADA
Transfer of Shares to Minister
5. The headings before section 11 of the Act are replaced by the following:
Clause 5: Existing text of the headings:
TRANSITIONAL, CONSEQUENTIAL, REPEAL AND COMING INTO FORCE PROVISIONS
Transitional
Article 5 : Texte des intertitres :
DISPOSITIONS TRANSITOIRES, MODIFICATIONS CORRÉLATIVES, ABROGATION ET ENTRÉE EN VIGUEUR
Dispositions transitoires
PART 3
AFFILIATES
Official Languages Act
10.2 (1) Subject to subsections (4) to (6), the Official Languages Act applies to any affiliate of the Corporation in respect of any undertaking that the affiliate owns or operates and that comes within the legislative authority of Parliament in respect of aeronautics, including any undertaking designated under subsection (2).
Regulation
(2) For the purposes of subsection (1), the Governor in Council may, by regulation, designate any undertaking that is owned or operated by any affiliate of the Corporation and that comes within the legislative authority of Parliament in respect of aeronautics.
Designation ceases 
(3) A designation of any undertaking made under subsection (2) ceases to have effect upon the undertaking no longer being owned or operated by any affiliate of the Corporation or upon its no longer coming within the legislative authority of Parliament in respect of aeronautics.
Limitation
(4) Only Parts IV, VIII, IX and X of the Official Languages Act apply in respect of
(a) the air service undertaking owned and operated by Jazz Air Limited Partnership, a limited partnership registered on September 13, 2004 under the laws of the Province of Quebec; and
(b) any new undertaking that provides air services.
Acquired new undertakings
(5) With respect to a new undertaking that is acquired after the day on which this section comes into force, the Parts of the Official Languages Act referred to in subsection (4) commence to apply after the expiry of one year, or any longer period that the Minister may fix, after the day on which the new undertaking is acquired.
Exceptions
(6) This section does not apply in respect of
(a) an undertaking that is owned or operated by an affiliate of the Corporation other than
(i) ACE Aviation Holdings Inc., a body corporate incorporated on June 29, 2004 under the Canada Business Corporations Act,
(ii) a body corporate or a partnership controlled by ACE Aviation Holdings Inc., or
(iii) a partnership controlled by a person controlled by ACE Aviation Holdings Inc.;
(b) an undertaking, other than the undertaking referred to in paragraph (4)(a), that was owned or operated on April 1, 2003 by an affiliate of the Corporation and that continued to be owned or operated by an affiliate of the Corporation on the day on which this section came into force;
(c) a new undertaking that does not provide air services; or
(d) a new undertaking that provides air services exclusively outside Canada.
Affiliation
(7) For the purpose of this section,
(a) a body corporate is affiliated with another body corporate if one of them is controlled by the other or both are controlled by the same person;
(b) if two bodies corporate are affiliated with the same body corporate at the same time, they are deemed to be affiliated with each other;
(c) a partnership is affiliated with another partnership or with a body corporate if one of them controls the other or both are controlled by the same person;
(d) if two partnerships are affiliated with the same partnership at the same time, they are deemed to be affiliated with each other;
(e) if a body corporate and a partnership are affiliated with the same body corporate or partnership at the same time, they are deemed to be affiliated with each other; and
(f) if a body corporate is affiliated with another body corporate and with a partnership at the same time, the other body corporate and the partnership are deemed to be affiliated with each other.
Control
(8) For the purpose of this section,
(a) a body corporate is controlled by a person if
(i) securities of the body corporate to which are attached more than 50% of the votes that may be cast to elect directors of the body corporate are held, directly or indirectly, whether by one or more affiliates or otherwise, and other than by way of security only, by or for the benefit of the person, and
(ii) the votes attached to those securities are sufficient, if exercised, to elect a majority of the directors of the body corporate;
(b) a partnership, other than a limited partnership, is controlled by a person if more than 50% of the ownership interests, however designated, into which the partnership is divided are beneficially owned by the person and the person is able to direct the business and affairs of the partnership; and
(c) a limited partnership is controlled by its general partner.
Definitions
(9) The following definitions apply in this section.
“air service”« service aérien »
“air service” has the same meaning as in subsection 55(1) of the Canada Transportation Act and includes incidental services.
“customer”« client »
“customer” means, in respect of an affiliate of the Corporation, a passenger, shipper or consignee using or intending to use an air service provided or made available by the affiliate.
“incidental services”« services connexes »
“incidental services” includes, in respect of an affiliate of the Corporation,
(a) ticketing and reservation services;
(b) information, including notices and announcements, that it publishes or causes to be published to inform its customers in respect of its routes or tariffs;
(c) services provided or made available to customers at an airport, including the control of passengers embarking and disembarking aircraft, announcements directed at customers and counter services; and
(d) services related to baggage or freight claims and client relations.
“new undertaking”« nouvelle entreprise »
“new undertaking” means an undertaking that is created or acquired by an affiliate of the Corporation after the day on which this section comes into force and that does not replace the Corporation or any of its affiliates in the provision of services that were on that day being provided by the Corporation or affiliate.
“route”« trajet »
“route” means, in respect of an affiliate of the Corporation, a route on which the affiliate provides a two-way air service between the starting and finishing points of that service by a single conveyance, with or without intermediate stops.
“shipper”« expéditeur »
“shipper” has the same meaning as in section 6 of the Canada Transportation Act.
PART 4
ACE AVIATION HOLDINGS INC.
Articles deemed to contain provisions
10.3 The articles of ACE Aviation Holdings Inc., a body corporate incorporated on June 29, 2004 under the Canada Business Corporations Act, are deemed to contain
(a) provisions requiring ACE Aviation Holdings Inc. to ensure that any member of the public can communicate in either official language with and obtain available services from
(i) its head office, and
(ii) any of its other offices or facilities where there is a significant demand for communications with and services from that office or facility in both official languages, having regard to the public served; and
(b) provisions specifying that the head office of ACE Aviation Holdings Inc. is to be situated in the Greater Montreal area.
Restriction on amendment
10.4 ACE Aviation Holdings Inc. and its shareholders and directors shall not
(a) apply for continuance of ACE Aviation Holdings Inc. in another jurisdiction; or
(b) make any articles or by-laws inconsistent with this Act or the provisions deemed to be contained in its articles by section 10.3.
PART 5
TRANSITIONAL, CONSEQUENTIAL, REPEAL AND COMING INTO FORCE PROVISIONS
Transitional
Complaints
6. (1) A complaint that was made against Air Canada under the Official Languages Act in respect of an act or omission that occurred on or before September 30, 2004 in relation to the operations of a division of Air Canada that became an undertaking owned and operated by an affiliate of Air Canada on that date and that remained unresolved on that date is to be dealt with as though the affiliate had committed the act or omission.
Affiliation
(2) For the purpose of subsection (1), the provisions of section 10.2 of the Air Canada and Its Affiliates Act apply in the determination of whether an entity is an affiliate of Air Canada.
Coming into force
7. The provisions of this Act come into force on a day or days to be fixed by order of the Governor in Council.
Published under authority of the Speaker of the House of CommonsAvailable from:Publishing and Depository ServicesPublic Works and Government Services Canada