One of the most common and effective transaction agreements, if not all defendants want to settle, is a BC Ferry Agreement. A brief discussion ensues about its content, its legal effects and its possible pitfalls. Prior to the trial, Conarroe settled its accounts with the province and JPW through a BC Ferries transaction agreement and the seizure of termination orders. The Coastal Ferries Act authorizes the province to enter into contracts for the operation of ferries on certain routes. To date, BC Ferries is the only ferry operator to have such a contract with the province. The main feature of the contract is the requirement that BC Ferries provide a defined number of “sails” on each of the 24 “designated” lines. The province`s main obligation is to pay BC Ferries a “service tax” (currently on 22 of the 24 routes) for each trip. Ferry service under the coastal ferry service contract began on April 1, 2003. For a copy of the contract, described below, and its changes, click here. Personalizing service levels and fees. Basic service levels for a given ferry route should not be adjusted until April 1, 2005, but may be adjusted by mutual agreement after that date if these adjustments lead to improved schedules, after-sales service or operational efficiency. With respect to BC Ferries` fundamental performance adjustments, the province`s consent during the first delivery period should not be unduly maintained.
Basic power levels need to be reviewed and can be adjusted, with provincial approval, for each subsequent service period. Temporary benefit reductions may be made by mutual agreement at any time, with the Commissioner`s permission, following a case of force majeure, following a legitimate lockout of BC Ferries or (subject to certain restrictions). If BC Ferries provides a new asset in the form of one or more vessels on a given route and the size of the new or new vessels increases capacity on that designated line, the base power level of this designated link can be changed at any time by mutual agreement between the parties and, when such a change is made, the parties must amend all parts or provisions of the coastal shipping contract affected by this amendment, including, if necessary, service charges. Most parties to an ongoing action intend to settle cases before trial. The development of an applicable and reliable transaction agreement is of the utmost importance in order to reach a successful agreement. The right to federal grants. The contract provides that the province of BC Ferries will continue to make available the proceeds of a federal grant under the Canadian/British Columbia agreement on the subsidy ferry Agreement of April 18, 1977. The grant agreement is concluded only through the joint agreement between the province and the Government of Canada. In the event that the Canada/British Columbia Coastal Ferry Subsidy Agreement is amended or renewed, BC Ferries and the province will be required to discuss the application of revenues to BC Ferries under the amended or renewed agreement.