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Office of the Secretary, DOT § 374a.

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374.3 Compliance with the Consumer Credit § 374.4 Enforcement procedure.
Protection Act and regulations.
374.4 Enforcement procedure. The statutes and regulations referred
AUTHORITY: 15 U.S.C. 1601–1693r; 49 U.S.C.
to in § 374.3 may be enforced by an en-
Subtitle VII; and 12 CFR parts 202 and 226. forcement procedure as set forth in
part 302 of this chapter or by the as-
SOURCE: SPR–175, 46 FR 43960, Sept. 2, 1981,
unless otherwise noted. sessment of civil penalties under 49
U.S.C. 46301.
§ 374.1 Purpose. [62 FR 25842, May 12, 1997]
The purpose of this part is to state
the Department of Transportation’s re- PART 374a—EXTENSION OF CREDIT
sponsibility to enforce air carrier and
foreign air carrier compliance with BY AIRLINES TO FEDERAL POLIT-
Subchapters I, III, IV, V and VI of the ICAL CANDIDATES
Consumer Credit Protection Act and
Regulations B and Z of the Board of Sec.
Governors of the Federal Reserve Sys- 374a.1 Purpose.
tem. 374a.2 Applicability.
374a.3 Definitions.
[62 FR 25841, May 12, 1997] 374a.4 Conditions governing extension of
unsecured credit.
§ 374.2 Applicability.
374a.5 Exemption authority.
This part is applicable to all air car- 374a.6 Reporting requirements.
riers and foreign air carriers engaging 374a.7 Record retention requirements.
in consumer credit transactions. 374a.8 Prospective application of part.

§ 374.3 Compliance with the Consumer AUTHORITY: 49 U.S.C. chapters 401, 411, 415,
Credit Protection Act and regula- 417.
tions. SOURCE: SPR–53, 37 FR 9388, May 10, 1972,
(a) Each air carrier and foreign air unless otherwise noted.
carrier shall comply with the require-
ments of the Consumer Credit Protec- § 374a.1 Purpose.
tion Act, 15 U.S.C. 1601–1693r. Any vio- Section 401 of the Federal Election
lation of the following requirements of Campaign Act of 1971 (Pub. L. 92–225, 86
that Act will be a violation of 49 U.S.C. Stat. 19, 2 U.S.C. 451, enacted February
Subtitle VII, enforceable by the De- 7, 1972, and hereafter referred to as the
partment of Transportation: ‘‘Election Campaign Act’’) directs the
(1) The Truth in Lending Act, as sup- Civil Aeronautics Board to promulgate,
plemented by the Fair Credit Billing
within 90 days after enactment, regula-
Act, 15 U.S.C. 1601–1667, requiring dis-
tions with respect to the extension of
closure of credit terms to the consumer
unsecured credit by any person regu-
and prohibiting inaccurate or unfair
credit billing and credit card practices. lated by the Board to any candidate for
(2) The Fair Credit Reporting Act, 15 Federal office, or to any person on be-
U.S.C. 1681–1681 setting forth require- half of such a candidate, for goods fur-
ments to be met by consumer credit re- nished or services rendered in connec-
porting agencies and persons who use tion with the campaign of such can-
consumer credit reports. didate for nomination for election, or
(b) Each air carrier and foreign air election, to such office. The purpose of
carrier shall comply with the require- this part is to issue rules pursuant to
ments of Regulation B, 12 CFR part 202, said section 401 of the Election Cam-
and Regulation Z, 12 CFR part 226, of paign Act in accordance with the Civil
the Board of Governors of the Federal Aeronautics Board’s responsibility
Reserve Board. Any violation of the re- thereunder.
quirements of those regulations will be
a violation of 49 U.S.C. Subtitle VII, § 374a.2 Applicability.
enforceable by the Department of This regulation shall be applicable to
Transportation. all air carriers as defined herein.
[62 FR 25841, May 12, 1997]

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§ 374a.3 14 CFR Ch. II (1–1–00 Edition)

§ 374a.3 Definitions. for the nomination of persons for elec-
Adequate security means (a) a bond, tion to Federal office.
Established credit limit means the dol-
issued by a surety meeting the stand-
lar limit of credit established by the
ards prescribed for sureties in part 380
carrier extending credit.
of this chapter, in an amount not less
Federal office means the office of
than one hundred and fifty percent
President or Vice President of the
(150%) of the credit limit established
United States, or of Senator or Rep-
by the air carrier for the candidate, or
resentative in, or Delegate or Resident
the person acting on behalf of the can-
Commissioner to, the Congress of the
didate, as the case may be, by the
United States.
terms of which bond the surety under-
Person acting on behalf of a candidate
takes to pay to the air carrier any and
means (a) a political committee acting
all amounts (not exceeding the face
on behalf of, or a person employed by
amount of the bond) for which the as-
such candidate or by such political
sured candidate or the assured person
committee to act on behalf of, such
acting on behalf of a candidate, as the
candidate in connection with such can-
case may be, is or may become legally
didate’s campaign for nomination for
liable to the air carrier for transpor-
tation, as defined in this part; or (b) election, or election, to Federal office;
collateral with a market value equal to (b) a person acting under a contract
one hundred and fifty percent (150%) of with, or as an agent of, such candidate
the established credit limit for such ac- or political committee to engage in ac-
count, which collateral must be depos- tivities in connection with such can-
ited in escrow and must consist of Fed- didate’s campaign for nomination for
eral, State, or municipal bonds or election, or election, to Federal office;
other negotiable securities which are or (c) a person for whom such can-
publicly traded on a securities ex- didate or political committee pays, di-
change. rectly or indirectly, for services pur-
Air carrier means any air carrier hold- chased by such person. The term in-
ing a certificate of public convenience cludes persons acting on behalf of more
and necessity issued under section 401 than one candidate.
of the Federal Aviation Act of 1958, as Payment in advance means payment
amended. by cash, check, money order, or by
Candidate means an individual who credit card (if the issuer of such card is
seeks nomination for election, or elec- not an air carrier or a subsidiary, par-
tion, to Federal office, whether or not ent, or affiliate thereof) prior to per-
such individual is elected. For purposes formance of such transportation by an
of this part, an individual shall be air carrier.
deemed to seek nomination for elec- Political committee means any com-
tion, or election, if he has (a) taken the mittee, association, corporation, or or-
action necessary under the law of a ganization which accepts contribu-
State to qualify himself for nomina- tions, or makes expenditures, for the
tion for election, or election, to Fed- purpose of supporting a candidate or
eral office; or (b) received contribu- candidates for nomination for election,
tions or made expenditures, or given or election, to Federal office.
his consent for any other person to re- Transportation means (a) the carriage
ceive contributions or make expendi- of persons or property (including serv-
tures, with a view to bringing about his ices connected therewith) for com-
nomination for election, or election, to pensation or hire to or from any place
such office. in the United States, or (b) the lease or
Election shall have reference to (a) a rental of aircraft, with or without
general, special, primary, or runoff crew.
election; (b) a convention or caucus of [SPR–53, 37 FR 9388, May 10, 1972, as amended
a political party held to nominate a by SPR–173, 45 FR 80099, Dec. 3, 1980]
candidate; (c) a primary election held
for the selection of delegates to a na- § 374a.4 Conditions governing exten-
tional nominating convention of a po- sion of unsecured credit.
litical party; or (d) a primary election (a) Unless adequate security is post-
held for the expression of a preference ed, or full payment in advance is made,

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Office of the Secretary, DOT § 374a.6

no air carrier shall provide transpor- candidate to assume liability to the
tation to any person it knows, or has carrier for credit so extended.
reasons to know, is a candidate or a (ii) Within 7 days after indebtedness
person acting on behalf of such can- becomes overdue for any unsecured
didate, in connection with the cam- credit extended by an air carrier to a
paign of such candidate, except in ac- person acting on behalf of a candidate
cordance with, and subject to, the fol- in accordance with paragraph (a)(5)(i)
lowing conditions: of this section, the carrier shall notify
(1) At least once a month the air car- the candidate in writing of the amount
rier shall submit to each such can- of the overdue indebtedness, and, un-
didate or person a statement covering less paid in full within 25 days after the
all unsecured credit extended to such date of such notice, the overdue indebt-
candidate or person, as the case may be edness shall be deemed to be the over-
(whether in connection with the cam- due indebtedness of the candidate, for
paign of such candidate or otherwise.) the purposes of paragraph (b)(4)(i) of
(2) Such statements shall be mailed this section.
no later than the second business day (b) It shall be presumed that a can-
following the last day of the billing pe- didate or person acting on behalf of a
riod, covered by the statement. candidate intends to use transpor-
(3) The amount of indebtedness tation in connection with the cam-
shown on each such statement shall be paign of such candidate for nomination
payable in full no later than 25 days for election, or election, to Federal of-
after the last day of the billing period, fice.
after which time the indebtedness shall (Secs. 204, 407 of the Federal Aviation Act of
be overdue. 1958, as amended, 72 Stat. 743, 766; 49 U.S.C.
(4)(i) Unsecured credit shall not be 1324, 1377. Sec. 401 of the Federal Election
extended by an air carrier to a can- Campaign Act of 1971, 86 Stat. 19, 2 U.S.C.
didate, or to any person acting on his 451)
behalf in connection with the campaign [SPR–53, 37 FR 9388, May 10, 1972, as amended
of such candidate, so long as any over- by SPR–169, 45 FR 25796, Apr. 16, 1980; SPR–
due indebtedness of such candidate to 172, 45 FR 53454, Aug. 12, 1980]
such air carrier shall remain unpaid, in
whole or in part, or so long as such air § 374a.5 Exemption authority.
carrier shall know that any overdue in- Air carriers are exempt from the fol-
debtedness of such candidate to any lowing provisions of Title IV of the
other air carrier remains unpaid, in Federal Aviation Act of 1958, as amend-
whole or in part. ed: (a) Section 403, (b) section 404(b),
(ii) Unsecured credit shall not be ex- and any and all other provisions of
tended by an air carrier to a person Title IV of the Federal Aviation Act of
acting on behalf of a candidate, for 1958, as amended, to the extent nec-
transportation in connection with the essary to enable air carriers to comply
campaign of such candidate, so long as with the provisions of this part.
any overdue indebtedness of such per-
son to such carrier shall remain un- § 374a.6 Reporting requirements.
paid, in whole or in part, or so long as (a) Air carriers shall make monthly
such air carrier shall know that any reports to the Bureau of Transpor-
overdue indebtedness of such person to tation Statistics with respect to the
any other air carrier remains unpaid, credit for transportation furnished to
in whole or in part. candidates, or persons acting on behalf
(5)(i) With respect to transportation of candidates, during the period from 6
in connection with the campaign of months before nomination, if any, or
any candidate to be performed after from 6 months before election, until
June 1, 1972, unsecured credit shall not the date of election. After that 6-
be extended by an air carrier to any month period, air carriers shall file
person acting on behalf of such can- such a report with the Bureau of Trans-
didate unless the carrier is authorized portation Statistics not later than the
in writing by such candidate to extend 20th day following the end of the cal-
such credit. The foregoing sentence endar month in which the election or
shall not be construed as requiring the nomination takes place, and thereafter

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§ 374a.7 14 CFR Ch. II (1–1–00 Edition)

when any change occurs in that report, Office of Airline Information not later
until a negative report is filed showing than the 20th day following the end of
that no debt for such extension of cred- the calendar month to which the report
it is owed to the carrier. pertains and shall include (1) the credit
(b)(1) A separate report shall be filed limitation established for such person;
for each candidate with an aggregate (2) the balance, if any, of the amount
indebtedness balance of over $5,000 on payable for transportation not paid for
the last day of the month to which the in advance; (3) any unpaid balance of
report pertains. The report shall cover the charges for such transportation as
all debts incurred by the candidate, of the last day of the month covered by
whether or not incurred in connection the report, and the length of time that
with his campaign, and all debts in- such balance has remained unpaid; and
curred by persons acting on his behalf (4) a description of the type and value
in connection with such campaign. The of any bond, collateral, or other secu-
indebtedness accounts reported shall be rity securing such unpaid balance.
those which the air carrier knows, or [SPR–53, 37 FR 9388, May 10, 1972, as amended
has reason to know, have been incurred by SPR–190, 47 FR 32414, July 27, 1982; 60 FR
by or on behalf of a candidate; and it 66726, Dec. 26, 1995]
shall be presumed that the transpor-
tation for which the indebtedness has § 374a.7 Record retention require-
been incurred is intended to be used in ments.
connection with the campaign of such (a) Every air carrier subject to the
candidate for nomination for election, part shall retain for 2 years after a
or election, to Federal office. Federal election true copies of the fol-
(2) The reports required by this para- lowing documents at its principal or
graph (b) shall be filed with the Office general office in the United States:
of Airline Information not later than (1) All documents which evidence or
the 20th day following the end of the reflect the furnishing of transportation
calendar month to which the report to a candidate for political office or a
pertains. They shall include the fol- person acting on his behalf;
lowing data: (i) Name of account; (ii) (2) All statements, invoices, bills, and
the credit limit established for such ac- receipts with respect to the furnishing
count; (iii) the balance, if any, of the of such transportation referred to in
amount payable for transportation not paragraph (a)(1) of this section.
paid for in advance; (iv) any unpaid (b) Every air carrier shall make the
balance of the charges for such trans- documents listed in this section avail-
portation as of the last day of the able in the United States upon request
month covered by the report, and the by an authorized representative of the
length of time that such balance has DOT and shall permit such representa-
remained unpaid; and (v) a description tive to make such notes and copies
of the type and value of any bond, col- thereof as he deems appropriate.
lateral, or other security securing such [SPR–53, 37 FR 9388, May 10, 1972, as amended
unpaid balance. at 60 FR 66726, Dec. 26, 1995]
(3) The report required by this para-
graph (b) shall be in the form attached § 374a.8 Prospective application of
hereto as Appendix A. 1 part.
(c) A separate report shall be filed for The provisions of this part shall
each person acting on behalf of any apply only to the extension of credit by
candidate, if the aggregate indebted- an air carrier to a candidate, or to a
ness balance of such person to the re- person acting on his behalf, which is
porting air carrier (including all debts made subsequent to the effective date
incurred by such person, whether or of this part, and shall not be applicable
not incurred in connection with the to debts incurred prior to such date but
campaign of a candidate, as defined in which are unpaid as of the effective
this part) is over $5,000 on the last day date of this part. The provisions of this
of the month to which the report per- part will be applicable, however, to all
tains. The report shall be filed with the credit transactions which occur subse-
quent to the effective date of the part
1 Filed as part of the original document. even though the credit account in

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Office of the Secretary, DOT § 375.1

which the transaction takes place was Subpart G—Penalties
opened prior to the effective date of
the part. 375.60 Penalties.

Subpart H—Special Authorization
PART 375—NAVIGATION OF FOR-
EIGN CIVIL AIRCRAFT WITHIN THE 375.70 Special authorization.
UNITED STATES APPENDIX A TO PART 375—FORM 4509
AUTHORITY: 49 U.S.C. 1324, 1372, 1502, 1508.
Subpart A—General
SOURCE: OST Docket No. 42547, 51 FR 7254,
Sec. Mar. 3, 1986, unless otherwise noted.
375.1 Definitions.
375.2 Applicability.
375.3 [Reserved] Subpart A—General
Subpart B—Authorization § 375.1 Definitions.
375.10 Certain foreign civil aircraft reg- As used in this part:
istered in ICAO member states. Act means the Federal Aviation Act
375.11 Other foreign civil aircraft. of 1958, as amended;
Subpart C—Rules Generally Applicable Air transportation means the carriage
by aircraft of persons or property as a
375.19 Nature of privilege conferred. common carrier for compensation or
375.20 Airworthiness and registration cer- hire or the carriage of mail by aircraft
tificates.
375.21 Airmen. in interstate, overseas, or foreign com-
375.22 Flight operations. merce (see section 101 (10) and (23) of
375.23 Maximum allowable weights. the Federal Aviation Act, 49 U.S.C.
375.24 Entry and clearance. 1301);
375.25 Unauthorized operations.
Category shall indicate a classifica-
375.26 Waiver of sovereign immunity.
tion of aircraft such as airplane, heli-
Subpart D—Authorized Operations copter, glider, etc.;
Commercial air operations shall mean
375.30 Operations other than commercial air
operations.
operations by foreign civil aircraft en-
375.31 Demonstration flights of foreign air- gaged in flights for the purpose of crop
craft. dusting, pest control, pipeline patrol,
375.32 Flights incidental to agricultural and mapping, surveying, banner towing,
industrial operations outside the United skywriting, or similar agricultural and
States.
industrial operations performed in the
375.33 Transit flights, irregular operations.
375.34 Indoctrination training. United States, and any operations for
375.35 Free transportation. remuneration or hire to, from or with-
375.36 Lease of foreign civil aircraft without in the United States including air car-
crew. riage involving the discharging or tak-
ing on of passengers or cargo at one or
Subpart E—Operations Requiring Specific
Preflight Authorization of Filing more points in the United States, in-
cluding carriage of cargo for the opera-
375.40 Permits for commercial air oper- tor’s own account if the cargo is to be
ations. resold or otherwise used in the further-
375.41 Agricultural and industrial oper-
ance of a business other than the busi-
ations within the United States.
375.42 Transport operations—occasional ness of providing carriage by aircraft,
planeload charters. but excluding operations pursuant to
375.43 Application for foreign aircraft per- foreign air carrier permits issued under
mit. section 402 of the Act, exemptions, and
375.44 Issuance of permit.
all other operations in air transpor-
375.45 Records and reports of occasional
planeload charters. tation.
Exemption means an exemption grant-
Subpart F—Transit Flights. ed, under section 416(b) of the Act, au-
375.50 Transit flights; scheduled inter-
thorizing air transportation by a for-
national air service operations. eign air carrier;

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