CODE SHARE AGREEMENT IN AVIATION

Code share agreement is a provision where two or more airlines are allowed to share the same flight in which a seat can be bought by passenger on a flight which is functioned by another airline subject to different flight number. In general, the majority of airlines have one or further Code share agreements with other airlines. There is no doubt that Code share has a crucial role in international sphere as it certainly aims to meet the customers’ needs which advantages for both costumers and airliners are undeniable as it enables airline to enlarge its cooperation with other airlines and suggest the various flight timings for customers without bearing any further expenses.

Apparently, such agreement puts both or several airlines and passengers on the safe side as the airlines are assured that the flight will be operated with well arrangement. It is remarkable to cite that in today’s world; the airlines should be cautious about their place in worldwide market otherwise, the loss of their reputations might happen. Therefore, ‍Code share indeed eases the marketing services for the airlines which undoubtedly helps airlines to sell their flights. In addition, the passengers are able to choose their flights easier as the coordinated schedules are wisely placed between the airlines.

On another note, it shall be said that while Code share has become more regular in air transportation because of its benefits for both the aforesaid parties, some legal concerns exist regarding Code Sharing such as non-disclosure of the main carrier and unclearly of the applicable regime which could be the contracting or operating carrier. With regards to the first deficiency, airlines should furnish passengers with detailed information about the main carrier and liability issues should become a part of the carriage conditions.

In order to avoid difficultness in today’s world, the carriers should solve this issue by harmonizing their contracts’ conditions, compensations and undoubtedly should insure their liability for each passenger.

In practice in Iran, for instance Iran Air and Lufthansa signed Code share agreement on January 18, 2017 in which the first Lufthansa-operated flight with Iran Air was on February 01, 2017. Over the last decades, Iran Air and Austrian Airline, a member of Lufthansa Group have a Code share as well on flights to Europe in prosperity.

Such article demands further discussions, researches, explanations and from Air Law point of view needs more flexibilities in relation to the business transaction of aviation.

Coordinated by Dr. Mahnaz Mehrinfar & Ms. Roza Einifar