In case of any violation of the provisions of the Act, or this part, or any other rule, regulation, or order issued under the Act, the violator may be subject to a proceeding pursuant to sections 1002 and 1007 of the Act before the Board or a U.S. District Court, as the case may be, to compel compliance therewith, to civil penalties pursuant to the provisions of section 901(a) of the Act, or in the case of willful violation, to criminal penalties pursuant to the provisions of section 902(a) of the Act; or other lawful sanctions.

NOTE: The retention and reporting requirements contained herein have been approved by the Bureau of the Budget in accordance with the Federal Reports Act of 1942. APPENDIX STUDY GROUP CHARTERER'S SURETY BOND UNDER PART 373 OF THE SPECIAL REGULATIONS OF THE CIVIL AERONAUTICS BOARD (14 CFR PART 373)

cessors, and assigns, jointly and severally, firmly by these presents.

Whereas, the Principal intends to become a study group charterer pursuant to the provisions of Part 373 of the Board's Special Regulations and other rules and regulations of the Board relating to insurance or other security for the protection of student participants, and has elected to file with the Civil Aeronautics Board such a bond as will insure financial responsibility and the supplying of transportation and other services subject to Part 373 of the Board's Special Regulations in accordance with contracts, agreements, or arrangements therefor, and

Whereas, this bond is written to assure compliance by the Principal as an authorized study group charterer with Part 373 of the Board's Special Regulations, and other rules and regulations of the Board relating to insurance or other security for the protection of student participants, and shall inure to the benefit of any and all student participants to whom the Principal may be held legally liable for any of the damages herein described.

Now, therefore, the condition of this obligation is such that if the Principal shall pay or cause to be paid to student participants any sum or sums for which the Principal may be held legally liable by reasons of the Principal's failure faithfully to perform, fulfill, and carry out all contracts, agreements, and arrangements made by the Principal while this bond is in effect for the supplying of transportation and other services pursuant to and in accordance with the provisions of Part 373 of the Board's Special Regulations, then this obligation shall be void, otherwise to remain in full force and effect.

The liability of the Surety with respect to any student participant shall not exceed the study group charter price (as defined in Part 373 of the Board's Special Regulations) paid by or on behalf of such participant.

The liability of the Surety shall not be discharged by any payment or succession of payments hereunder, unless and until such payment or payments shall amount in the aggregate to the penalty of the bond, but in no event shall the Surety's obligation hereunder exceed the amount of said penalty. The Surety agrees to furnish written notice to the Civil Aeronautics Board forthwith of all suits filed, judgments rendered, and payments made by said Surety under this bond.

This bond is effective the day of____ 19, 12:01 a.m., standard time at the address of the Principal as stated herein and shall continue in force until terminated as hereinafter provided. The Principal or the Surety may at any time terminate this bond by written notice to the Civil Aeronautics Board at its office in Washington, D.C., such termination to become effective thirty (30) days after actual receipt of said notice by the Board. The Surety shall not be liable hereunder for the payment of

any of the damages hereinbefore described which arise as the result of any contracts, agreements, undertakings, or arrangements made by the Principal for the supplying of transportation and other services after the termination of this bond as herein provided, but such termination shall not affect the liability of the Surety hereunder for the payment of any such damages arising as the result of contracts, agreements, or arrangements made by the Principal for the supplying of transportation and other services prior to the date such termination becomes effective. Liability of the Surety under this bond shall in all events be limited only to a student participant or student participants who shall within sixty (60) days after the termination of the particular study group charter described herein give written notice of claim to the study group charterer and all liability on this bond shall automatically terminate sixty (60) days after the termination date of the particular study group charter covered by this bond except for claims filed within the time provided herein. In witness whereof, the said Principal and Surety have executed this instrument on the day of 19_-. PRINCIPAL

AUTHORITY: The provisions of this Part 374 are issued under section 204(a) of the Federal Aviation Act of 1958, as amended, 72 Stat. 743; 49 U.S.C. 1324; titles I and V of the Consumer Credit Protection Act (Truth in Lending Act) and title VI of the Consumer Credit Protection Act (Fair Credit Reporting Act), 82 Stat. 146 et seq., 84 Stat. 1126 et seq., 15 U.S.C. 1601-1665, 1681-1681t; Regulation Z of the Board of Governors of the Federal Reserve System, 12 CFR Part 226.

SOURCE: The provisions of this Part 374 contained in SPR-49, 36 F.R. 11189, June 10, 1971, unless otherwise noted.

§ 374.1 Purpose.

(a) Section 108(a) (5) of the Truth in Lending Act (title I of the Consumer Credit Protection Act, Public Law 90321; 82 Stat. 146 et seq., 15 U.S.C. 16011665) effective July 1, 1969, provides that the Civil Aeronautics Board shall have the duty of ensuring compliance with the requirements of title I "with respect to any air carrier or foreign air carrier subject to" the Federal Aviation Act of 1958. In addition, section 108(b) of the Truth in Lending Act provides that "(f) or the purpose of the exercise by any agency referred to in subsection (a) of its powers under any Act referred to in that subsection, a violation of any requirement imposed under this title shall be deemed to be a violation of a requirement imposed under that Act."

(b) The Consumer Credit Protection Act was amended in 1970 in the following two respects: (1) By the addition of provisions to the Truth in Lending Act with respect to the issuance of unsolicited credit cards (84 Stat. 1126, Public Law 91-508); and (2) by the enactment of a new title VI to the Consumer Credit Protection Act to be known as the Fair Credit Reporting Act (84 Stat. 1127, Public Law 91-508). The Fair Credit Reporting Act was designed to enable consumers to protect themselves against arbitrary, erroneous and malicious credit information. The Board is presently vested with responsibility for enforcement of the provisions of the Truth in Lending Act with respect to air carriers and foreign air carriers, including enforcement of the provisions requiring greater standards of care in the issuance of unsolicited credit cards. It is also vested with responsibility for enforcement of the Fair Credit Reporting Act's provisions with respect to air carriers and foreign air carriers by section 621(b) of such act. In addition, section 621(c) thereof provides that "(f) or the purpose of the exercise by any

agency referred to in subsection (b) of its powers under any Act referred to in that subsection, a violation of any requirement imposed under this title shall be deemed to be a violation of a requirement imposed under that Act."

(c) The Board of Governors of the Federal Reserve System has the statutory responsibility for prescribing regulations to carry out the purposes of the Truth in Lending Act. It has promulgated Regulation Z (12 CFR Part 226) to implement the provisions of this Act. Regulation Z has been amended to prescribe rules to implement the credit card provisions of the Truth in Lending Act (36 F.R. 1040, January 22, 1971).

(d) The purpose of this part is to implement the Truth in Lending Act, Regulation Z of the Board of Governors of the Federal Reserve System, and the Fair Credit Reporting Act insofar as applicable to the Civil Aeronautics Board's responsibility thereunder.

[SPR 49, 36 F.R. 11189, June 10, 1971, as amended by SPR-51, 36 F.R. 11808, June 19, 1971]

This regulation is applicable to all air carriers and foreign air carriers as defined in section 101 of the Federal Aviation Act of 1958, as amended, including, without limitation, direct carriers, air taxi operators authorized under Part 298, indirect air carriers authorized under Parts 296 and 297, tour operators authorized under Part 378, study group charterers authorized under Part 373 and foreign air carriers holding permits pursuant to section 402 of the Act to engage in indirect foreign air transportation. § 374.3 Compliance with Act and regu

lations.

Agricultural and industrial opera

tions within the United States. Commercial transport operations. Keeping of records on commercial transport cperations.

375.44 Reports on commercial transport operations.

375.45 Transit flights; scheduled international air service operations. Subpart F--Penalties

375.60 Penalties.

Subpart G--Special Authorization 375.70 Special authorization.

AUTHORITY: The provisions of this Part 375 issued under secs. 204, 402, 1108, 72 Stat. 743, 49 U.S.C. 1324, 1372, 1508, unless otherwise noted.

SOURCE: The provisions of this Part 375 contained in SPR-4, 25 F.R. 2790, Apr. 2, 1960, unless otherwise noted.

"Category" shall indicate a classification of aircraft such as airplane, helicopter, glider, etc.;

"Commercial air operations" shall mean operations by foreign civil aircraft engaged in flights for the purpose of crop dusting, pest control, pipeline patrol, mapping, surveying, banner towing, skywriting, or similar agricultural and industrial operations performed in the United States, and any operations for remuneration or hire to, from or within the United States including air carriage involving the discharging or taking on of passengers or cargo at one or more points in the United States, including carriage of cargo for the operator's own account if the cargo is to be resold or otherwise used in the furtherance of a business other than the business of providing carriage by aircraft, but excluding operations pursuant to foreign air carrier permits issued under section 402 of the Act and all other operations in air transportation.

"Foreign air carrier permit" means a permit authorizing foreign air transportation by a foreign air carrier pursuant to section 402 of the Act;

"Foreign aircraft permit" means a permit authorizing navigation of an aircraft of foreign registry, not a part of the armed forces of a foreign nation, in the United States pursuant to section 1108 (b) of the Act;

"Foreign civil aircraft" means an aircraft of foreign registry which is not part of the armed forces of a foreign nation;

"Type" means all aircraft of the same basic design including all modifications thereto except those modifications which result in a change in handling or flight characteristics; and

"Terms defined in section 101 of the Act" have the meaning expressed in such definitions.

§ 375.2 Applicability.

The provisions of this part regulate the admission to, and navigation in, the United States of foreign civil aircraft other than aircraft operated by holders of foreign air carrier permits issued by the Board pursuant to section 402 of the Act under the authority of such permits. This part also contains provisions which specify the extent to which certain classes of flight operations by foreign civil aircraft may be conducted, and the terms and conditions applicable to such operations. Nothing in this part shall authorize any foreign aircraft to engage in air transportation nor be deemed to provide for such authorization to be issued by the Board.

§ 375.3 Existing permits.

Permits issued by the Board under the provisions of former Part 190 of the Civil Air Regulations shall continue in effect in accordance with their terms until their expiration date unless sooner terminated or revoked by the Board.

Subpart B-Authorization

§ 375.10 Certain foreign civil aircraft registered in ICAO member states. Subject to the observance of the applicable rules, conditions, and limitations set forth in this part:

(a) Foreign civil aircraft manufactured in a State which at the time of manufacture was a member of the International Civil Aviation Organization (ICAO) and registered in a State which at the time of flight is a member of ICAO may be navigated in the United States;

(b) Foreign civil aircraft manufactured in a State which at the time of manufacture was not a member of ICAO and registered in a State which at the time of flight is a member of ICAO may be navigated in the United States (1) if the State of registry has notified ICAO that the requirements under which it issues or renders valid certificates of airworthiness, are equal to or above the minimum standards established pursuant to the Chicago Convention, or (2) if such notification has not been made to ICAO at the time of flight, there is on file with the Board a statement by the State of registry that with regard to

aircraft of the type which is proposed to be operated hereunder the requirements under which certificates of airworthiness are issued or rendered valid are equal to or above the minimum standards established pursuant to the Chicago Convention. Such statement shall be filed with the Board through diplomatic channels. [SPR-24, 33 F.R. 9337, June 26, 1968] § 375.11

Other foreign civil aircraft.

Foreign civil aircraft other than those referred to in § 375.10 may be navigated in the United States only when so authorized by the Board under the provisions of Subpart G of this part. [SPR-24, 33 F.R. 9337, June 26, 1968]

Subpart C-Rules Generally
Applicable

§ 375.20 Airworthiness and registration

certificates.

carry

Foreign civil aircraft shall aboard currently effective certificates of registration and airworthiness issued or rendered valid by the country of registry and shall display the nationality and registration markings of that country: Provided, That in the cases of operations specified in paragraphs (a) through (f) of this section, an unexpired air safety flight authorization issued by the Administrator, his designee or duly authorized representative, under Title VI of the Act, authorizing and circumscribing such operations, may be carried on board the aircraft in lieu of such certificate of airworthiness:

(a) It has been determined by the country of registry that the aircraft has been damaged to the extent that the airworthiness certificate is invalidated and the aircraft is to be flown to a place where repairs or alterations are to be made;

(b) The certificate of airworthiness issued for the aircraft has been invalidated by the country of registry due to a change in nationality and such aircraft is intended to be navigated in the United States in transit to the new country of registry; or

(c) Title to an aircraft of United States manufacture for which no certificate of airworthiness has theretofore been issued has passed to a foreign buyer or buyers and the aircraft is to be navigated in the United States for the purpose of:

(1) Flight testing such aircraft; or (2) Giving indoctrination training in the operaton of the aircraft to the buyer or his employees or designees; or

(3) A ferry flight for the purpose of making an export delivery out of the United States.

Aircraft of United States manufacture may be operated for the purposes stated in this paragraph even though no registration certificate has been issued by the country of the foreign buyer or buyers: Provided, That the markings displayed by such aircraft are identified in the flight authorization issued for operation thereof by the administrator.

(d) A foreign civil aircraft of United States or foreign manufacture is brought to the United States for alterations which invalidate its foreign airworthiness certificate where such aircraft is to be navigated in the United States for the purpose of:

(1) Flight testing such aircraft; or (2) Giving indoctrination training in the operation of the altered aircraft to the owner or his employees or designees;

or

(3) A ferry flight for the purpose of making an export delivery out of the United States.

(e) A foreign civil aircraft is brought to the United States for the purpose of demonstration or test of the whole or any part thereof.

(f) A Canadian registered amateurbuilt experimental aircraft is to be publicly demonstrated at an air show within the United States.

[SPR-4, 25 F.R. 2790, Apr. 2, 1960, as amended by SPR-6, 26 F.R. 833, Jan. 27, 1961; SPR10, 29 F.R. 3470, Mar. 18, 1964; SPR-27, 33 F.R. 12834, Sept. 11, 1968]