Aviation Industry Indemnity Act

Marginal note:Undertaking by Minister

• 3 (1) The Minister may, in writing, undertake to indemnify

  • (a) any aviation industry participant or class of aviation industry participant against their loss or damage, or liability for loss or damage, that is caused by an event; or

  • (b) any beneficiary or class of beneficiary under an insurance policy held by an aviation industry participant against that beneficiary’s, or class of beneficiary’s, loss or damage that is caused by an event.

• Marginal note:Limitation

  (2) The undertaking to indemnify is limited to

  • (a) loss, damage or liability, or any portion of it, that is not insured or otherwise indemnified; and

  • (b) loss, damage or liability that is not solely with respect to a loss of income.

• Marginal note:Terms

  (3) The Minister may attach terms to an undertaking, including terms that

  • (a) specify the event or class of event that is covered by the undertaking or that is excluded from coverage;

  • (b) specify the activity or class of activity in which an aviation industry participant engages that is covered by the undertaking or that is excluded from coverage;

  • (c) specify the class of loss, damage or liability that is covered by the undertaking or that is excluded from coverage;

  • (d) establish the maximum amount of indemnification, or the method to determine that amount, that may be paid out under the undertaking;

  • (e) require that an aviation industry participant obtain a specified minimum amount of insurance coverage for events; and

  • (f) require that an aviation industry participant or any beneficiary under an insurance policy held by an aviation industry participant enter, at the Minister’s request, into an agreement with the Minister respecting the conduct or settlement of any proceedings to which the participant or beneficiary is a party that are related to loss, damage or liability covered by the undertaking.

• Marginal note:Different terms

  (4) In attaching terms to an undertaking, the Minister may distinguish among aviation industry participants or beneficiaries, including among aviation industry participants or beneficiaries of the same class, and may distinguish among classes of aviation industry participants or beneficiaries.

• Marginal note:Incorporation by reference

  (5) An undertaking may incorporate any material by reference, regardless of its source, as it exists on a particular date.

• Marginal note:No delegation

  (6) The Minister must personally exercise the powers that are set out in this section.