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  • c Passenger Agency Conference Resolutions Manual

    RESOLUTION 824PASSENGER SALES AGENCYAGREEMENT (VERSION II)PAC1(22)824 (except USA) Expiry: IndefinitePAC2(22)824PAC3(22)824 Type: B

    RESOLVED that, the following form of Passenger SalesAgency Agreement is adopted and shall be implementedupon notification by the Agency Administrator.

    PASSENGER SALES AGENCYAGREEMENTAn Agreement made this of ..19..


    having its principal office at (hereinafter called the Agent)


    each IATA Member (hereinafter called Carrier) whichappoints the Agent, represented by the Director General ofIATA acting for and on behalf of such IATA Member.


    1. EFFECTIVENESSthis Agreement shall become effective between the Agentand the Carrier upon appointment of the Agent by suchCarrier in accordance with the Sales Agency Rules in effectin the country(ies) of the Agents Location(s). Upon cominginto effect this Agreement, including any amendmentsthereto, shall have the same force and effect between theCarrier and the Agent as though they were both namedherein and had both subscribed their names as partieshereto.

    2. RULES, RESOLUTIONS ANDPROVISIONS INCORPORATED INAGREEMENT2.1(a) the terms and conditions governing the relationshipbetween the Carrier and the Agent are set forth in theResolutions (and other provisions derived therefrom)contained in the Travel Agents Handbook (the Handbook)as published from time to time under the authority of theAgency Administrator and attached to this Agreement. TheHandbook incorporates:

    2.1(a)(i) the Sales Agency Rules,

    2.1(a)(ii) the Billing and Settlement Plan rules, whereapplicable, as set forth in the BSP Manual for Agents,

    2.1(a)(iii) such local standards as may be provided forunder the Sales Agency Rules,

    2.1(a)(iv) other applicable IATA Resolutions;

    2.1(b) such Rules, Resolutions and other provisions asamended from time to time are deemed to be incorporatedin this Agreement and made part hereof and the Carrierand the Agent agree to comply with them;

    2.2 the Agent acknowledges that it has received a copyof the current edition of the Handbook and has acquainteditself with the contents thereof. The Agent specifically


    acknowledges that it has read and understands the contentsof the Handbook, including but not limited to those dealingwith: indemnities and waiver; custody, issuance and securityof Traffic Documents; the reporting and remitting proced-ures; and the arbitration procedures;

    2.3 the Agency Administrator shall provide the Agent withsubsequent editions of the Handbook and all amendmentsthereto. The Agent shall be notified by the Agency Adminis-trator of any amendments to the contents of the Handbookand such amendments shall be deemed to be incorporatedherein unless within 30 days of receipt of such notificationthe Agent terminates this Agreement by notice in writing tothe Agency Administrator;

    2.4 the terms and expressions used in this Agreementshall, unless the context otherwise requires, have the mean-ings respectively provided for in the Sales Agency Rules.In the event of any conflict, contradiction or inconsistencybetween any provisions with which the Agent is required tocomply under Subparagraph 2.1 of this Paragraph, and anyof the provisions of this Agreement, the provisions of thisAgreement shall prevail.

    3. SELLING CARRIERS SERVICES3.1 the Agent is authorised to sell air passenger trans-portation on the services of the Carrier and on the servicesof other air carriers as authorised by the Carrier. The saleof air passenger transportation means all activities neces-sary to provide a passenger with a valid contract of carriageincluding but not limited to the issuance of a valid TrafficDocument and the collection of monies therefor. The Agentis also authorised to sell such ancillary and other servicesas the Carrier may authorise;

    3.2 all services sold pursuant to this Agreement shall besold on behalf of the Carrier and in compliance with Carrierstariffs, conditions of carriage and the written instructions ofthe Carrier as provided to the Agent. The Agent shall notin any way vary or modify the terms and conditions set forthin any Traffic Document used for services provided by theCarrier, and the Agent shall complete these documents inthe manner prescribed by the Carrier;

    3.3 the Agent shall make only such representations as areauthorised in this Agreement and by the Carrier.

    3.4 with regard to any transportation the Agent, its officersor employees may procure on the services of another aircarrier which does not have the Agent under appointment,the Agent undertakes that it will not directly or indirectlyprocure the sale of such transportation otherwise thanstrictly in accordance with the fares, rules and conditionsapplicable to the sale of such transportation as publishedin that other carriers tariff;

    3.5 with respect to previously issued Traffic Documentsthe Agent, its officers or employees shall issue, accept,reissue, validate or revalidate (including by means of reser-vation alteration stickers) all such Traffic Documents inaccordance with the Carriers tariffs, conditions of carriageand written instructions;

    3.6 the Agent shall transmit to the Carrier such specificrequests or particulars in connection with each customer asmay be necessary to enable the Carrier to service eachcustomer efficiently.


    the Agent shall observe all government laws and regulationsapplicable to the sale of air transportation, or any other actsperformed by the Agent under this Agreement, in the territoryor territories where the Approved Locations of the Agentare situated and in all territories to or through which theAgent may sell air passenger transportation.


    the Agent shall not represent itself as a General Agent oruse any other designation, such as Air Lines Ticket Office,which would indicate or imply in any way that its office isan office of the Carrier or any Member.


    6.1 Traffic Documents deposited by the Carrier or by ISSManagement on behalf of the Carrier as the case may be,are and remain the sole property of the Carrier or ISSManagement until duly issued and delivered pursuant toa transaction under this Agreement; similarly IdentificationPlates deposited with the Agent are the sole property of theCarrier at all times. The Agent acknowledges and agreesthat it has no proprietary rights to such Traffic Documentsand Plates. The Carrier or ISS Management acting on itsbehalf may, at any time, require that the Agent return suchTraffic Documents and Identification Plates, and the Agentagrees to return them immediately;

    6.2 the Carrier or ISS Management acting on its behalfshall be entitled at any time to audit or procure an audit ofTraffic Documents and Identification Plates, or to ascertainthat security standards are met;

    6.3 where the Carrier participates in an automated ticket-ing system for the issuance of Standard Traffic Documentsor other neutral Traffic Documents and the Agent issuessuch Traffic Documents through the system on behalf ofthe Carrier, the Carrier may at any time withdraw from theAgent the authority to issue neutral Traffic Documents onits behalf. In the event that the Agent is declared in defaultor is suspended in accordance with the Sales Agency Rulesthe Agent shall immediately cease issuing neutral TrafficDocuments through the system on behalf of the Carrier asof the date such default or suspension is effective;

    6.4 in the event any part of an automated ticketing systemis provided to the Agent by a third party, other than an airlineparticipating in such system, the Agent undertakes to obtainwritten confirmation from the Carrier or the Coordinator thatthe relevant specifications, function and mode of operationof such system and any changes thereto, conform withstandards that are acceptable. The Agent shall not issueTraffic Documents on behalf of the Carrier through thesystem until such written confirmation has been obtained.


    7. EXCEPT AUSTRALIA ANDGERMANY MONIES DUE BYAGENT TO CARRIERS REMITTANCE7.1 a Traffic Document shall be issued immediately moneyis received by the Agent for specified passenger air trans-portation or ancillary services sold under this Agreementand the Agent shall be responsible for remittance to theCarrier of the amount payable in respect of such TrafficDocument;

    7.2 all monies collected by the Agent for transportationand ancillary services sold under this Agreement, includingapplicable remuneration which the Agent is entitled to claimthereunder, are the property of the Carrier and must be heldby the Agent in trust for the Carrier or on behalf of theCarrier until satisfactorily accounted for to the Carrier andsettlement made;

    7.3 the Agent shall not pledge, cede, promise or otherwisetransfer to a third party any claims to monies due to the Agentor to the Carrier, but not yet collected, for transportationand ancillary services sold under this Agreement, includingapplicable remuneration, which the Agent is entitled to claimhereunder;

    7.4 in the event that the Agent becomes the subject ofbankruptcy proceedings, is placed in receivership or judicialadministration, goes into liquidation or becomes subject toa similar legal process affecting the normal operation of theAgent, then notwithstanding the normal remittance proced-ures under this Agreement, all monies due to the Carrier orheld on behalf of the Carrier in connection with this Agree-ment shall become immediately due and payable;


    7. AUSTRALIA AND GERMANYONLY MONIES DUE BY AGENT TOCARRIERS REMITTANCE7.1 on the issue by the Agent of a Traffic Document onbehalf