Dhl Corporation v. Civil Aeronautics Board

Before us for disposition is the petition of DHL Corporation for a review of the order of the respondent dismissing its application for the issuance of a certificate for all-cargo air service pursuant to the provisions of 49 U.S.C. § 1388 . We affirm.

BACKGROUND

On November 9, 1977, the Federal Aviation Act was amended by adding a new section 418 ( 49 U.S.C. § 1388 ), empowering the Board to issue operating certificates, to conduct “all-cargo air service” between the fifty states, Puerto Rico, and the Virgin Islands. This legislation provided, among other things, for the issuance, within sixty days after application, of “Grandfather” Certificates to citizens who had been operating scheduled all-cargo service.

Petitioner is an air freight forwarder, doing business pursuant to authority granted by the Civil Aeronautics Board under Part 296 of the Board’s Economic Regulations, 14 C.F.R. § 296 . An “air freight forwarder” is defined to mean an indirect air carrier as defined in § 296.1(e).

Petitioner applied for a Grandfather’s Certificate authorizing it to begin providing all-cargo air service under the provisions of § 1388(a)(2). The Board concluded that the Grandfather…