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Cooperative Agreements in the Aviation Sector and EU Competition Law

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Chapter Summary

This chapter focuses on the code share agreement (CSA), as an example of the regulatory treatment of airline cooperation agreements. In terms of EU competition law, code share agreements are horizontal cooperative agreements. It is widely accepted that CSAs generate efficiency gains and consumer benefits: by entering into CSAs, airlines can improve the utilisation levels or load factors of aircraft, share operational costs and generally improve the range and reach of their services by increasing the number of flights and destinations. For present purposes, EU competition law is enshrined in Articles 101 and 102 of the Treaty on the Functioning of the European Union (TFEU). In a manner similar to airlines, liner shipping companies have faced great challenges in achieving economies of scale and of scope in servicing the global needs of their customers.

Keywords: airline cooperation agreements; Article 101 of TFEU; Article 102 of TFEU; code share agreement (CSA); EU competition law; liner shipping companies



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