Canada Transportation Act (S.C. 1996, c. 10)

Marginal note:Unreasonable charges or terms

• 120.1 (1) If, on complaint in writing to the Agency by a shipper who is subject to any charges and associated terms and conditions for the movement of traffic or for the provision of incidental services that are found in a tariff that applies to more than one shipper other than a tariff referred to in subsection 165(3), the Agency finds that the charges or associated terms and conditions are unreasonable, the Agency may, by order, establish new charges or associated terms and conditions.

• Marginal note:Period of validity

  (2) An order made under subsection (1) remains in effect for the period, not exceeding one year, specified in the order.

• Marginal note:Factors to be considered

  (3) In deciding whether any charges or associated terms and conditions are unreasonable, the Agency shall take into account the following factors:

  • (a) the objective of the charges or associated terms and conditions;

  • (b) the industry practice in setting the charges or associated terms and conditions;

  • (c) in the case of a complaint relating to the provision of any incidental service, the existence of an effective, adequate and competitive alternative to the provision of that service; and

  • (d) any other factor that the Agency considers relevant.

• Marginal note:Commercially fair and reasonable

  (4) Any charges or associated terms and conditions established by the Agency shall be commercially fair and reasonable to the shippers who are subject to them as well as to the railway company that issued the tariff containing them.

• Marginal note:Duty to vary tariff

  (5) The railway company shall, without delay after the Agency establishes any charges or associated terms and conditions, vary its tariff to reflect those charges or associated terms and conditions.

• Marginal note:No variation

  (6) The railway company shall not vary its tariff with respect to any charges or associated terms and conditions established by the Agency until the period referred to in subsection (2) has expired.

• Marginal note:Clarification

  (7) For greater certainty, this section does not apply to rates for the movement of traffic.