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Title 49 — TransportationRelease 119-73

§41309 Cooperative agreements and requests

Title 49 › Subtitle SUBTITLE VII— - AVIATION PROGRAMS › Part PART A— - AIR COMMERCE AND SAFETY › Subpart subpart ii— - economic regulation › Chapter CHAPTER 413— - FOREIGN AIR TRANSPORTATION › § 41309

Last updated Apr 6, 2026|Official source

Summary

Allows an air carrier or foreign carrier to file copies of their agreements or, if the deal was made by talking, a full written record of the deal or of requests to discuss working together. They can also file changes or cancellations. They cannot file agreements or requests that are about travel between states. The Transportation Secretary will approve a filing if it is not against the public interest and does not break the rules. The Secretary must reject or end approval of any deal that greatly cuts competition unless two things are true: the deal is needed for a serious transportation need or important public benefits (including international comity and foreign policy), and there is no reasonably available, much less anti-competitive alternative. The Secretary must also disapprove certain pay-setting deals between a carrier that does not fly international routes and a carrier covered by subtitle IV. When a filing is made, the Secretary must tell the Attorney General and the Secretary of State in writing and let them send comments. The Secretary can hold a hearing on their own or if asked. In that process, the side opposing a deal must prove it greatly reduces competition and that less harmful choices exist. The side defending the deal must prove the transportation need or public benefits. The Secretary must put those findings in any approval or disapproval order.

Full Legal Text

Title 49, §41309

Transportation — Source: USLM XML via OLRC

(a)An air carrier or foreign air carrier may file with the Secretary of Transportation a true copy of or, if oral, a true and complete memorandum of, an agreement (except an agreement related to interstate air transportation), or a request for authority to discuss cooperative arrangements (except arrangements related to interstate air transportation), and any modification or cancellation of an agreement, between the air carrier or foreign air carrier and another air carrier, a foreign carrier, or another carrier.
(b)The Secretary of Transportation shall approve an agreement, request, modification, or cancellation referred to in subsection (a) of this section when the Secretary finds it is not adverse to the public interest and is not in violation of this part. However, the Secretary shall disapprove—
(1)or, after periodic review, end approval of, an agreement, request, modification, or cancellation, that substantially reduces or eliminates competition unless the Secretary finds that—
(A)the agreement, request, modification, or cancellation is necessary to meet a serious transportation need or to achieve important public benefits (including international comity and foreign policy considerations); and
(B)the transportation need cannot be met or those benefits cannot be achieved by reasonably available alternatives that are materially less anticompetitive; or
(2)an agreement that—
(A)is between an air carrier not directly operating aircraft in foreign air transportation and a carrier subject to subtitle IV of this title; and
(B)governs the compensation the carrier may receive for the transportation.
(c)(1)When an agreement, request, modification, or cancellation is filed, the Secretary of Transportation shall give the Attorney General and the Secretary of State written notice of, and an opportunity to submit written comments about, the filing. On the initiative of the Secretary of Transportation or on request of the Attorney General or Secretary of State, the Secretary of Transportation may conduct a hearing to decide whether an agreement, request, modification, or cancellation is consistent with this part whether or not it was approved previously.
(2)In a proceeding before the Secretary of Transportation applying standards under subsection (b)(1) of this section, a party opposing an agreement, request, modification, or cancellation has the burden of proving that it substantially reduces or eliminates competition and that less anticompetitive alternatives are available. The party defending the agreement, request, modification, or cancellation has the burden of proving the transportation need or public benefits.
(3)The Secretary of Transportation shall include the findings required by subsection (b)(1) of this section in an order of the Secretary approving or disapproving an agreement, request, modification, or cancellation.

Legislative History

Notes & Related Subsidiaries

Historical and Revision Notes

Pub. L. 103–272 Revised SectionSource (U.S. Code)Source (Statutes at Large) 41309(a)49 App.:1382(a)(1).Aug. 23, 1958, Pub. L. 85–726, 72 Stat. 731, § 412(a), (b); added Oct. 24, 1978, Pub. L. 95–504, § 28(c), 92 Stat. 1729; Feb. 15, 1980, Pub. L. 96–192, § 11, 94 Stat. 39. 49 App.:1551(a)(6) (related to 49 App.:1382).Aug. 23, 1958, Pub. L. 85–726, 72 Stat. 731, § 1601(a)(6) (related to § 412); added Oct. 4, 1984, Pub. L. 98–443, § 3(c), 98 Stat. 1704. 49 App.:1551(b)(1)(C) (related to 49 App.:1382(a)).Aug. 23, 1958, Pub. L. 85–726, 72 Stat. 731, § 1601(b)(1)(C) (related to § 412(a), (b)); added Oct. 24, 1978, Pub. L. 95–504, § 40(a), 92 Stat. 1745; Oct. 14, 1982, Pub. L. 97–309, § 4(b), 96 Stat. 1454; Oct. 4, 1984, Pub. L. 98–443, § 3(a), 98 Stat. 1703. 41309(b)49 App.:1382(a)(2)(A). 49 App.:1551(a)(6), (b)(1)(C) (as 1551(a)(6), (b)(1)(C) relates to 49 App.:1382(a)). 41309(c)(1)49 App.:1382(b). 49 App.:1551(a)(6), (b)(1)(C) (as 1551(a)(6), (b)(1)(C) relates to 49 App.:1382(b)). 41309(c)(2)49 App.:1382(a)(2)(B). 41309(c)(3)49 App.:1382(a)(2)(C). 49 App.:1551(a)(6), (b)(1)(C) (as 1551(a)(6), (b)(1)(C) relates to 49 App.:1382(a)). In this section, the word “contract” is omitted as being included in “agreement”. In subsection (a), the words “(whether enforceable by provisions for liquidated damages, penalties, bonds, or otherwise)” are omitted as surplus. The words “(except an agreement related to interstate air transportation)” and “(except arrangements related to interstate air transportation)” are added because of 49 App.:1551(a)(6) (related to 49 App.:1382). The word “working” is omitted as surplus. The words “in force on October 24, 1978, or thereafter entered into” are omitted as executed. The words “and any modification or cancellation of an agreement” are substituted for “or any modification or cancellation thereof” for clarity and consistency. In subsection (b), before clause (1), the words “The Board shall by order disapprove any contract, agreement, or request . . . that it finds to be adverse to the public interest or in violation of this chapter” are omitted as surplus because of the language restated in this subsection that sets out the requirements for approval by the Secretary of Transportation before the antitrust exemption is effective. The words “whether or not previously approved by it” are omitted as surplus because of the language in clause (1) requiring periodic review and continuing approval. The words “by order” are omitted as unnecessary because of 5:ch. 5, subch. II. The text of 49 App.:1382(a)(2)(A)(iii) is omitted as obsolete because of 49 App.:1551(a)(6) (related to 49 App.:1382). In subsection (c)(1), the words “in accordance with

Regulations

which it prescribes” are omitted as surplus. The words “in accordance with

Regulations

prescribed by the Board” are omitted as surplus. Pub. L. 104–287This amends 49:41309(b)(2)(B) for consistency in the subsection.

Editorial Notes

Amendments

1996—Subsec. (b)(2)(B). Pub. L. 104–287 substituted “carrier” for “common carrier”. 1995—Subsec. (b)(2)(A). Pub. L. 104–88 substituted “a carrier” for “a common carrier”.

Statutory Notes and Related Subsidiaries

Effective Date

of 1995 AmendmentAmendment by Pub. L. 104–88 effective Jan. 1, 1996, see section 2 of Pub. L. 104–88, set out as an

Effective Date

note under section 1301 of this title. Air Transportation Arrangements in Certain States Pub. L. 107–71, title I, § 116, Nov. 19, 2001, 115 Stat. 624, which related to air transportation arrangements for flights that both originate and terminate at points within the same State, was repealed by Pub. L. 107–273, div. C, title IV, § 14102(g), Nov. 2, 2002, 116 Stat. 1922.

Reference

Citations & Metadata

Citation

49 U.S.C. § 41309

Title 49 — Transportation

Last Updated

Apr 6, 2026

Release point: 119-73