Civil Aviation Bill (HL Bill 36)

(c) any other person with a qualifying interest in the decision that is the
subject of the appeal (see paragraph 34(4) of Schedule 2),

(d) such bodies representing airport operators or providers of air transport
services as the Competition Commission considers appropriate, and

(e) 5the CAA.

(9) The Secretary of State may by regulations modify the periods of time specified
in this section.

(10) In this section “the appeal period”, in relation to an appeal under section 24 or
25, means the period allowed for determining the appeal.

29 10Determination of appeal: publication etc

(1) A determination made by the Competition Commission on an appeal under
section 24 or 25—

(a) must be contained in an order made by the Commission, and

(b) takes effect at the time specified in the order or determined in
15accordance with the order.

(2) The order must set out the reasons for the determination.

(3) The Competition Commission must—

(a) publish the order as soon as practicable after the determination is
made, and

(b) 20send a copy of the order to the persons listed in subsection (4).

(4) Those persons are—

(a) the holder of the licence which is the subject of the appeal,

(b) if the appeal was brought by someone other than the holder of that
licence, the appellant,

(c) 25any other person with a qualifying interest in the decision that is the
subject of the appeal (see paragraph 34(4) of Schedule 2),

(d) such bodies representing airport operators or providers of air transport
services as the Competition Commission considers appropriate, and

(e) the CAA.

(5) 30The Competition Commission may exclude from publication under subsection
(3) any information which it is satisfied is—

(a) commercial information, the disclosure of which would, or might in the
Commission’s opinion, significantly harm the legitimate business
interests of an undertaking to which it relates, or

(b) 35information relating to the private affairs of an individual, the
disclosure of which would, or might in the Commission’s opinion,
significantly harm the individual’s interests.

(6) The CAA must take such steps as it considers requisite for it to comply with the
order.

(7) 40The steps must be taken—

(a) if a time is specified in the order or is to be determined in accordance
with the order, within that time, and

(b) otherwise, within a reasonable time.

30 Procedure on appeals

(1) Schedule 2 (appeals under sections 24 and 25) has effect.

(2) In carrying out the functions listed in subsection (3) the Competition
Commission must have regard to the matters in respect of which duties are
5imposed on the CAA by section 1.

(3) Those functions are—

(a) deciding an application for permission to appeal under section 24 or 25,

(b) deciding an application under Schedule 2 for permission to intervene
in an appeal, and

(c) 10determining an appeal under section 24 or 25, including taking
decisions and giving directions described in section 27.

(4) The functions of the Competition Commission under this Chapter are not to be
regarded as comprised in its general functions for the purposes of Part 2 of
Schedule 7 to the Competition Act 1998 (manner in which general functions are
15to be carried out).

Enforcement of licence conditions

31 Contravention notice

(1) The CAA may give a notice under this section (a “contravention notice”) to a
person if it has reasonable grounds for believing that the person is
20contravening, or has contravened, a licence condition.

(2) A contravention notice must—

(a) specify the condition and contravention in respect of which it is given,

(b) explain the action that the CAA may take under this Chapter in
connection with the contravention, and

(c) 25explain that representations may be made about the matters in the
notice before the end of the period specified in the notice.

(3) The CAA must specify a period of not less than 30 days beginning with the day
on which the contravention notice is given, subject to subsection (4).

(4) The CAA may specify a shorter period in a contravention notice given in
30respect of a repeated contravention.

(5) A contravention notice is given to a person in respect of a repeated
contravention if, in the period of 2 years ending with the day on which the
notice is given, the CAA did one or more of the following in respect of a
contravention by the person of the same condition—

(a) 35gave the person a contravention notice;

(b) gave the person an enforcement order;

(c) gave the person an urgent enforcement order;

(d) imposed a penalty on the person under section 39 or 40.

(6) The CAA may extend the period specified in a contravention notice given to a
40person on one or more occasions by giving a notice to that person.

(7) The CAA may withdraw a contravention notice given to a person at any time
by giving a notice to the person that includes its reasons for doing so.

(8) As soon as practicable after giving a notice under subsection (1), (6) or (7), the
CAA must—

(a) publish the notice, and

(b) send a copy of the notice to such bodies representing airport operators
5or providers of air transport services as the CAA considers appropriate.

(9) A contravention notice given in respect of a contravention that is or was a
continuing contravention must specify the period of contravention in respect
of which it is given.

(10) In this Part “representation period”, in connection with a contravention notice,
10means—

(a) the period specified in the contravention notice for making
representations, or

(b) where the period has been extended in accordance with subsection (6),
the extended period.

32 15Restrictions on giving contravention notices

(1) If the CAA gives a person a contravention notice or an urgent enforcement
order (see section 35) in respect of a contravention, it may not subsequently
give the person a contravention notice in respect of the same contravention.

(2) Subsection (1) does not apply if—

(a) 20the CAA withdraws the first contravention notice without imposing a
penalty on the person under section 39, or

(b) the CAA revokes the urgent enforcement order without imposing a
penalty on the person under section 40.

(3) Subsection (1) does not prevent the CAA giving a person more than one
25contravention notice, or a contravention notice and an urgent enforcement
order, in respect of—

(a) contraventions of the same condition in different ways, or

(b) contraventions of the same condition at different times or during
different periods.

33 30Enforcement order

(1) The CAA may give an order under this section (an “enforcement order”) to a
person if—

(a) it has given the person a contravention notice (and has not withdrawn
it),

(b) 35the representation period has ended,

(c) it has considered any representations made about the matters in the
contravention notice before the end of that period (and not withdrawn),
and

(d) subsection (2) or (3) is satisfied.

(2) 40This subsection is satisfied if the CAA has determined that the person is
contravening a condition specified in the contravention notice in one or more
of the ways specified in the notice.

(3) This subsection is satisfied if the CAA has determined that the person—

(a) has contravened a condition specified in the contravention notice in
45one or more of the ways specified in the notice, and

(b) did not, before the end of the representation period, take all of the
appropriate steps mentioned in subsection (6)(b).

(4) An enforcement order must—

(a) specify the condition and contravention in respect of which it is given,

(b) 5require the person to take such of the appropriate steps as are specified
in the order,

(c) specify a reasonable period within which the steps must be taken, and

(d) give the CAA’s reasons for giving the order.

(5) As soon as practicable after giving an enforcement order, the CAA must—

(a) 10publish the order, and

(b) send a copy of the order to such bodies representing airport operators
or providers of air transport services as the CAA considers appropriate.

(6) In this section “the appropriate steps”, in relation to a contravention of a
condition, means the steps that the CAA has determined are appropriate—

(a) 15for complying with the condition, and

(b) for remedying the consequences of the contravention.

34 Enforcement order: modification and revocation

(1) The CAA may—

(a) modify an enforcement order with the agreement of the person to
20whom it was given, or

(b) revoke an enforcement order.

(2) Before modifying or revoking the order, the CAA must—

(a) publish a notice in relation to the proposed modification or revocation,

(b) send a copy of the notice to the person to whom the order was given,
25and

(c) consider any representations made about the proposal in the period
specified in the notice (and not withdrawn).

(3) The notice under subsection (2) must—

(a) state that the CAA proposes to modify or revoke the order,

(b) 30specify the proposed modification (if relevant),

(c) give the CAA’s reasons for the modification or revocation, and

(d) specify a reasonable period for making representations.

(4) As soon as practicable after modifying or revoking an enforcement order, the
CAA must—

(a) 35publish a notice giving details of the modification or revocation, and

(b) send a copy of the notice to the persons listed in subsection (5).

(5) Those persons are—

(a) the person to whom the enforcement order was given, and

(b) such bodies representing airport operators or providers of air transport
40services as the CAA considers appropriate.

35 Urgent enforcement order

(1) The CAA may give an order under this section (an “urgent enforcement
order”) to a person if subsection (2) or (3) is satisfied.

(2) This subsection is satisfied if the CAA has reasonable grounds for believing
that—

(a) the person is contravening, or has contravened, a licence condition,

(b) the contravention has resulted in, or creates an immediate risk of, a
5serious economic or operational problem for users of air transport
services, for a class of user of such services or for a relevant service
provider, and

(c) it is appropriate to give the urgent enforcement order to prevent,
remove or reduce that problem or risk.

(3) 10This subsection is satisfied if the CAA has reasonable grounds for believing
that—

(a) the person is likely to contravene a licence condition,

(b) the contravention is likely to result in, or create an immediate risk of, a
problem described in subsection (2)(b), and

(c) 15it is appropriate to give the urgent enforcement order to prevent, or
reduce the likelihood of, that problem or risk arising.

(4) An urgent enforcement order must—

(a) specify the condition and contravention in respect of which it is given,

(b) require the person to take such of the appropriate steps as are specified
20in the order,

(c) specify a reasonable period within which the steps must be taken, and

(d) give the CAA’s reasons for giving the order.

(5) As soon as practicable after giving an urgent enforcement order, the CAA
must—

(a) 25publish the order, and

(b) send a copy of the order to such bodies representing airport operators
or providers of air transport services as the CAA considers appropriate.

(6) In this section “the appropriate steps” means—

(a) in relation to a contravention of a condition that has occurred or is
30occurring, the steps that the CAA has determined are appropriate—

(i) for complying with the condition, and

(ii) for remedying the consequences of the contravention, and

(b) in relation to a contravention of a condition that is likely to occur, the
steps that the CAA has determined are appropriate for securing that the
35contravention does not occur.

(7) In this section “relevant service provider” means a person, other than the
person to whom the urgent enforcement order is to be given, who provides
services at the airport at which, or in connection with which, the contravention
occurred, is occurring or is likely to occur.

36 40Urgent enforcement order: confirmation

(1) As soon as practicable after giving an urgent enforcement order, the CAA
must—

(a) confirm the order, or

(b) revoke the order (see section 37).

(2) 45The CAA may confirm an urgent enforcement order with or without
modifications.

(3) The CAA may confirm an urgent enforcement order given in reliance on
section 35(2) only if it has determined that—

(a) the person is contravening, or has contravened, a licence condition
specified in the order in one or more of the ways specified in the order,

(b) 5the contravention has resulted in, or creates an immediate risk of, a
problem described in section 35(2)(b), and

(c) it is appropriate to confirm the urgent enforcement order, with any
modifications, to prevent, remove or reduce that problem or risk.

(4) The CAA may confirm an urgent enforcement order given in reliance on
10section 35(3) only if it has determined—

(a) that paragraphs (a) to (c) of subsection (3) of this section are satisfied, or

(b) that—

(i) the person is likely to contravene a licence condition specified
in the order in one or more of the ways specified in the order,

(ii) 15the contravention is likely to result in, or create an immediate
risk of, a problem described in section 35(2)(b), and

(iii) it is appropriate to confirm the urgent enforcement order, with
any modifications, in order to prevent, or reduce the likelihood
of, that problem or risk arising.

(5) 20Before confirming an urgent enforcement order, the CAA must—

(a) publish a notice in relation to the proposal to confirm the order,

(b) send a copy of the notice to the person to whom the order was given,
and

(c) consider any representations made about the proposal in the period
25specified in the notice (and not withdrawn).

(6) The notice under subsection (5) must—

(a) state that the CAA proposes to confirm the order,

(b) specify any proposed modifications of the order,

(c) give the CAA’s reasons for confirming the order and for any
30modifications, and

(d) specify a reasonable period for making representations.

(7) As soon as practicable after confirming an urgent enforcement order, the CAA
must—

(a) publish a notice giving details of the confirmation, including any
35modifications of the order, and

(b) send a copy of the notice to the persons listed in subsection (8).

(8) Those persons are—

(a) the person to whom the urgent enforcement order was given, and

(b) such bodies representing airport operators or providers of air transport
40services as the CAA considers appropriate.

37 Urgent enforcement order: modification and revocation

(1) The CAA may—

(a) modify an urgent enforcement order with the agreement of the person
to whom it was given, or

(b) 45revoke an urgent enforcement order.

(2) Before modifying or revoking the order, the CAA must—

(a) publish a notice in relation to the proposed modification or revocation,

(b) send a copy of the notice to the person to whom the order was given,
and

(c) 5consider any representations made about the proposal in the period
specified in the notice (and not withdrawn).

(3) The notice under subsection (2) must—

(a) state that the CAA proposes to modify or revoke the order,

(b) specify the proposed modification (if relevant),

(c) 10give the CAA’s reasons for the modification or revocation, and

(d) specify a reasonable period for making representations.

(4) As soon as practicable after modifying or revoking an urgent enforcement
order, the CAA must—

(a) publish a notice giving details of the modification or revocation, and

(b) 15send a copy of the notice to the persons listed in subsection (5).

(5) Those persons are—

(a) the person to whom the urgent enforcement order was given, and

(b) such bodies representing airport operators or providers of air transport
services as the CAA considers appropriate.

(6) 20Nothing in this section restricts, or applies in relation to the exercise of, the
CAA’s power under section 36 to modify an urgent enforcement order when
confirming the order.

38 Civil proceedings

(1) A person who is given an enforcement order must comply with it (unless it is
25revoked).

(2) The obligation to comply with an enforcement order is a duty owed to every
person who may be affected by a contravention of a requirement of the order.

(3) A person who is given an urgent enforcement order must comply with it,
whether or not it has been confirmed (unless it is revoked).

(4) 30The obligation to comply with an urgent enforcement order that has been
confirmed is a duty owed to every person who may be affected by a
contravention of a requirement of the order.

(5) Where a duty is owed to a person under subsection (2) or (4), the following are
actionable by the person—

(a) 35a breach of the duty that causes the person to sustain loss or damage,
and

(b) an act that—

(i) by inducing a breach of the duty or interfering with its
performance, causes that person to sustain loss or damage, and

(ii) 40is done entirely or partly for achieving that result.

(6) In proceedings brought against a person (“P”) by virtue of subsection (5)(a), it
is a defence for P to show that P took all reasonable steps and exercised all due
diligence to avoid contravening the requirements of the order.

(7) The CAA may enforce the duties under subsections (1) and (3) in—

(a) civil proceedings for an injunction,

(b) civil proceedings in Scotland for an interdict or for specific performance
of a statutory duty under section 45 of the Court of Session Act 1988, or

(c) civil proceedings for any other appropriate remedy or relief.

(8) 5Enforcement of a duty under subsection (1) or (3) by the CAA does not
prejudice any rights that a person may have by virtue of subsection (5).

39 Penalty for contravention of licence condition

(1) The CAA may impose a penalty on a person if—

(a) it has given the person a contravention notice (and has not withdrawn
10it),

(b) the representation period has ended,

(c) it has considered any representations made about the matters in the
contravention notice before the end of that period (and not withdrawn),
and

(d) 15it has determined that the person is contravening, or has contravened,
a licence condition specified in the notice in one or more of the ways
specified in the notice.

(2) If the contravention notice specifies more than one contravention, the CAA
may impose a separate penalty under this section for each contravention.

(3) 20If the contravention notice specifies more than one period of contravention, the
CAA may impose a separate penalty under this section for each period.

40 Penalty for contravention of order

The CAA may impose a penalty on a person if it has determined that the
person is contravening, or has contravened, a requirement of—

(a) 25an enforcement order, or

(b) an urgent enforcement order that has been confirmed.

41 Procedure before imposing penalty

(1) Before imposing a penalty on a person under section 39 or 40 the CAA must—

(a) give the person a notice about the proposed penalty,

(b) 30publish the notice as soon as practicable,

(c) send a copy of the notice as soon as practicable to such bodies
representing airport operators or providers of air transport services as
the CAA considers appropriate, and

(d) consider any representations made about the proposed penalty in the
35period specified in the notice (and not withdrawn).

(2) A notice under subsection (1) must—

(a) state that the CAA proposes to impose a penalty,

(b) state the proposed amount of the penalty,

(c) specify the relevant licence condition or requirement, and

(d) 40specify the act or omission that the CAA has determined constitutes a
contravention of the condition or requirement.

(3) In the case of a penalty calculated entirely or partly by reference to a daily
amount (see section 43(2)), a notice under subsection (1) must specify—

(a) the day on which daily amounts would begin to accumulate, and

(b) the day on which, or the circumstances in which, they would cease to
accumulate.

(4) The period specified in a notice under subsection (1) for making
5representations must be a period of not less than 21 days beginning with the
day on which the notice is given to the person.

(5) Before varying the proposed amount of the penalty, the CAA must—

(a) give the person on whom the penalty is to be imposed a notice about
the proposed variation,

(b) 10publish the notice as soon as practicable,

(c) send a copy of the notice as soon as practicable to such bodies
representing airport operators or providers of air transport services as
the CAA considers appropriate, and

(d) consider any representations made about the proposed variation in the
15period specified in the notice (and not withdrawn).

(6) In the case of a penalty calculated entirely or partly by reference to a daily
amount (see section 43(2)), the reference in subsection (5) to varying the
proposed amount of the penalty includes varying—

(a) the day on which daily amounts would begin to accumulate, and

(b) 20the day on which, or circumstances in which, they would cease to
accumulate.

(7) The notice under subsection (5) must—

(a) specify the proposed variation, and

(b) give the CAA’s reasons for the proposed variation.

(8) 25The period specified in the notice under subsection (5) for making
representations must be a period of not less than 21 days beginning with the
day on which the notice is given to the person.

(9) The CAA may withdraw a notice under subsection (1) or (5) at any time by
giving notice to the person on whom it proposed to impose the penalty.

(10) 30As soon as practicable after giving a notice under subsection (9), the CAA
must—

(a) publish the notice, and

(b) send a copy of the notice to such bodies representing airport operators
or providers of air transport services as the CAA considers appropriate.

42 35Procedure after imposing penalty

(1) As soon as practicable after imposing a penalty under section 39 or 40 the CAA
must—

(a) give a notice to the person on whom the penalty is imposed,

(b) publish the notice, and

(c) 40send a copy of the notice to such bodies representing airport operators
or providers of air transport services as the CAA considers appropriate.

(2) The notice must—

(a) state that the CAA has imposed the penalty,

(b) state the amount of the penalty,

(c) 45specify the relevant licence condition or requirement,

(d) specify the act or omission that the CAA has determined constitutes a
contravention of the condition or requirement, and

(e) specify a reasonable period within which the penalty must be paid or
reasonable periods within which different portions of the penalty must
5be paid.

(3) In the case of a penalty calculated entirely or partly by reference to a daily
amount (see section 43(2)), the notice must specify—

(a) the day on which daily amounts begin to accumulate, and

(b) the day on which, or the circumstances in which, they cease to
10accumulate.

(4) As soon as practicable after daily amounts cease to accumulate, the CAA
must—

(a) give a notice to the person on whom the penalty was imposed
confirming the day on which they ceased to accumulate,

(b) 15publish the notice, and

(c) send a copy of the notice to such bodies representing airport operators
or providers of air transport services as the CAA considers appropriate.

43 Amount of penalty

(1) The amount of a penalty imposed on a person under section 39 or 40 must be
20such amount as the CAA determines to be—

(a) appropriate, and

(b) proportionate to the contravention for which it is imposed.

(2) The penalty may consist of either or both of the following—

(a) a fixed amount (see section 44);

(b) 25a daily amount (see section 45).

(3) In determining the amount of a penalty, the CAA must have regard, in
particular, to—

(a) any representations made to it in a period specified in a notice
proposing the penalty given under section 41(1) or (5) (and not
30withdrawn),

(b) any steps taken by the person on whom the penalty is to be imposed
towards complying with the licence condition or requirement specified
in the notice under section 41(1), and

(c) any steps taken by that person towards remedying the consequences of
35the contravention of the condition or requirement.

44 Amount of penalty: fixed amount

(1) A penalty imposed on a person (“P”) under section 39 or 40 for a contravention
may not consist of or include a fixed amount exceeding 10% of P’s qualifying
turnover for the qualifying period.

(2) 40P’s qualifying turnover is—

(a) P’s turnover from activities carried on at the airport at which, or in
connection with which, the contravention occurred or is occurring (“the
qualifying airport”), and

(b) the turnover of persons connected to P from such activities.