Laws: Cases and Codes : U.S. Code : Title 49 : Section 41720


   
U.S. Code as of: 01/19/04
Section 41720. Joint venture agreements

      (a) Definitions. - In this section, the following definitions
    apply:
        (1) Joint venture agreement. - The term "joint venture
      agreement" means an agreement between two or more major air
      carriers on or after January 1, 1998, with regard to (A)
      code-sharing, blocked-space arrangements, long-term wet leases
      (as defined in section 207.1 of title 14, Code of Federal
      Regulations) of a substantial number (as defined by the Secretary
      by regulation) of aircraft, or frequent flyer programs, or (B)
      any other cooperative working arrangement (as defined by the
      Secretary by regulation) between 2 or more major air carriers
      that affects more than 15 percent of the total number of
      available seat miles offered by the major air carriers.
        (2) Major air carrier. - The term "major air carrier" means a
      passenger air carrier that is certificated under chapter 411 of
      this title and included in Carrier Group III under criteria
      contained in section 04 of part 241 of title 14, Code of Federal
      Regulations.

      (b) Submission of Joint Venture Agreement. - At least 30 days
    before a joint venture agreement may take effect, each of the major
    air carriers that entered into the agreement shall submit to the
    Secretary - 
        (1) a complete copy of the joint venture agreement and all
      related agreements; and
        (2) other information and documentary material that the
      Secretary may require by regulation.

      (c) Extension of Waiting Period. - 
        (1) In general. - The Secretary may extend the 30-day period
      referred to in subsection (b) until - 
          (A) in the case of a joint venture agreement with regard to
        code-sharing, the 150th day following the last day of such
        period; and
          (B) in the case of any other joint venture agreement, the
        60th day following the last day of such period.

        (2) Publication of reasons for extension. - If the Secretary
      extends the 30-day period referred to in subsection (b), the
      Secretary shall publish in the Federal Register the Secretary's
      reasons for making the extension.

      (d) Termination of Waiting Period. - At any time after the date
    of submission of a joint venture agreement under subsection (b),
    the Secretary may terminate the waiting periods referred to in
    subsections (b) and (c) with respect to the agreement.
      (e) Regulations. - The effectiveness of a joint venture agreement
    may not be delayed due to any failure of the Secretary to issue
    regulations to carry out this section.
      (f) Memorandum To Prevent Duplicative Reviews. - Promptly after
    the date of enactment of this section, the Secretary shall consult
    with the Assistant Attorney General of the Antitrust Division of
    the Department of Justice in order to establish, through a written
    memorandum of understanding, preclearance procedures to prevent
    unnecessary duplication of effort by the Secretary and the
    Assistant Attorney General under this section and the antitrust
    laws of the United States, respectively.
      (g) Prior Agreements. - With respect to a joint venture agreement
    entered into before the date of enactment of this section as to
    which the Secretary finds that - 
        (1) the parties submitted the agreement to the Secretary before
      such date of enactment; and
        (2) the parties submitted all information on the agreement
      requested by the Secretary,

    the waiting period described in paragraphs (2) and (3) shall begin
    on the date, as determined by the Secretary, on which all such
    information was submitted and end on the last day to which the
    period could be extended under this section.
      (h) Limitation on Statutory Construction. - The authority granted
    to the Secretary under this section shall not in any way limit the
    authority of the Attorney General to enforce the antitrust laws as
    defined in the first section of the Clayton Act (15 U.S.C. 12).



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