• THE INTERNATIONAL COMMERCE & LAW REVIEW
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• v.26
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• pp.115-141
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• 2005

This study explores how strategic alliance activities are evolving and the factors that impact on the formation and development of airline alliances. Findings show the initiation of regional and more liberalized bilateral, or open skies, agreements have removed some of the impediments to structural changes in international aviation. Airlines in more liberal markets enter into greater numbers and more integrative forms of alliances. Also, airlines, on average, achieve better results of operation if the market is more liberal. Essentially, there is a positive relationship between the developments of alliances and the liberalization of air transport markets. It has been questioned that the US bilateral open skies agreements provide its carriers more access to the global market and countries that do not enter into such agreements with the US risk a loss of traffic. Consequently, open skies agreements may enable carriers who have the freedom to exercise market power to be dominant in the markets. This suggests that regulatory coordination and liberalization of international aviation reinforce each other and should therefore be pursued simultaneously.

• The Korean Journal of Air & Space Law and Policy
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• v.27 no.1
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• pp.75-101
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• 2012

As the Reublic of Korea revised the Commercial Code including 40 articles of air transport enacted newly on May 23, 2011, so Korea became first legislative examples in the Commercial Code of the developed and developing countries. I would like to explain briefly the main contents of my paper such as (1) history of enacting newly Part VI (air transport) in the Korea's revised commercial law, (2) legal background enacting newly Part VI (air transport) in the Korea's revised commercial law and the problems on the conditions of air transport, (3) every countries' legislative examples on the civil liability of aircraft's operator, (4) unlawful Interference Convention and general risk convention of 2009, (5) main contents and prospects of the revised Commercial Code for the liability of aircraft's operator etc as the followings. Meanwhile as the Aviation Act, Commercial Code and Civil Code in Korea and Japan did not regulated at all the legal basis of solution on the disputes between victims and offender for the amount of compensation for damage due to personal or property damage caused by aircraft accidents in Korea and Japan, so it has been raised many legal problems such as protection of victims, standard of decision in trial in the event of aircraft accident's lawsuit case. But the Korean Revised Commercial Code including Part VI, air transport regulations was passed by the majority resolution of the Korean National Assembly on April 29, 2011 and then the South Korean government proclaimed it on May 23 same year. The Revised Commercial Code enforced into tothe territory of the South Korea from November 24, 2011 after six month of the proclaimed date by the Korean Government. Thus, though Korean Commercial Code regulated concretely and respectively the legal relations on the liability of compensation for damage in the contract of transport by land in it's Part II (commercial activities) and in the contract of transport by sea in its Part V (marine commerce), but the Amended Commercial Act regulated newly 40 articles in it's Part VI (air transport) relating to the air carrier's contract liability on the compensation for damage caused by aircraft accidents in the air passengers and goods transport and aircraft operator's tort liability on compensation for damage caused by the sudden falling or collision of aircraft to third parties on the surface and so it was equipped with reasonable and unified system among the transport by land, marine and air. The ICAO adopted two new air law conventions setting out international compensation and liability rules for damage caused by aircraft to third parties at a diplomatic conference hosted by it from April 20 to May 2, 2009. The fight against the effects of terrorism and the improvement of the status of victims in the event of damage to third parties that may result either from acts of unlawful interference involving aircraft or caused by ordinary operation of aircraft, forms the cornerstone of the two conventions. One legal instrument adopted by the Conference is "the Convention on Compensation for Damage to Third Parties, Resulting from Acts of Unlawful Interference Involving Aircraft" (Unlawful Interference Convention). The other instrument, "the Convention on Compensation for Damage Caused by Aircraft to Third Parties" (General Risk Convention), modernizes the current legal framework provided for under the 1952 Rome Convention and related Protocol of 1978. It is desirable for us to ratify quickly the abovementioned two conventions such as Unlawful Interference Convention and General Risk Convention in order to settle reasonably and justly as well as the protection of the South Korean peoples.

• The Korean Journal of Air & Space Law and Policy
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• v.26 no.1
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• pp.93-125
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• 2011

The International Civil Aviation Convention (Chicago Convention) has been a backbone of international air transport system whereby air transport between States should be based on bilateral agreements, and in particular, international airfares, which are set up through IATA(International Air Transport Association) rate-fixing machinery could be approved by the governments concerned. International airfares are fares for transporting passenger and freight and their conditions between two or more countries. However, since U.S. pursued th deregulation policy in 1978 whereby routes, capacity and fares could be freely determined by airlines, many States have been following so called open-skies agreements. In many cases, aeronautical and competent authorities have been reviewing whether airlines' commercial activities including air fares could possibly conflict with free competition rules envisaged in relevant laws and regulations. As competition among airlines gets intense, airlines often resort to cooperation with other airlines in the forms such as equity exchange, M&A, code-sharing, fares consultation and resource pooling, mainly with a view to effectively use resources available and to avoid monopoly situation resulting from excessive and destructive competition among players. Whereas bearing in mind that application of competition laws is important to secure consumers' interests by preventing airlines's malpractices such as bargaining exorbitant fares, it is also important to comprehensively consider as many factors as possible, from that unilateral measure by governments may bring about retaliatory measures by the governments affected, to that airlines' cooperative practices may rather increase consumers' benefits by lowering air fares.

• The Korean Journal of Air & Space Law and Policy
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• v.27 no.2
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• pp.107-142
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• 2012

An aircraft has been one of the most important transportation means and disputes due to damage caused by delay of the aircraft happen many times out of ones related to the air transport. In 2011, the Air Transport Act in Commercial Law was established to regulate national air transport and the legislative system of air carrier's liability to handle delay of passengers or baggage was legislated here. Although there are some clauses related to the legislative system of air carrier's liability, they are very important because they deal with disputes due to damage caused by delay of the aircraft. The Air Transport Act in Commercial Law has a good point of adopting the global standard of 1999 Montreal Convention, but it has also a bad point of having the problems of 1999 Montreal Convention. There are some contents to be modified in the Air Transport Act in Commercial Law. First, the definition of 'Delay of Aircraft' needs to be enacted because it is important to materialize air carrier's liability due to damage caused by delay. Second, it is necessary to modify the clause in which air carrier's liability due to damage caused by delay of passengers is divided into two things, one is in case of national air transport and the other is in case of international air transport, and the limited amount of air carrier's liability in national air transport is eight times less than the latter because they are not so helpful to air carriers but too disadvantageous to aircraft passengers. Third, it is also necessary to amend the clause in which the limited amount of air carrier's liability due to damage caused by loss damage or delay of baggage has been legislated same without classifying the case into loss damage and delay, because they are generally different from each other in terms of extent of damage, therefore the limited amount of air carrier's liability by delay of baggage should be classified into in case of loss damage and in case of delay. It is desired that the Air Transport Act in Commercial Law including the clauses related to air carrier's liability by aircraft damage be developed continually by sufficient study and discussion about the necessity of amending it such as the one mentioned above.

• THE INTERNATIONAL COMMERCE & LAW REVIEW
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• v.45
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• pp.139-163
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• 2010

Companies make a great effort for saving costs because a rise in logistics costs weaken trade companies competitive position in the international market. Therefore it is important for companies and government to enhance logistics competitive. This article focus on the logistics laws and policies to improvement companies competitiveness and save logistics costs. It has researched from the point of view rather government basis than company basis. Korean Logistics policies have some fundamental problems that the law and policies are spreaded to several administrations such as, Ministry of Knowledge Economy, Ministry of Land, Transport and Maritime Affairs etc. We propose the solutions as follows; First of all, we review the laws and policies on logistics and point out the problems. Second, setting up the principle of Korean Logistics Policies according to the changes in international logistics paradigm and circumstances. Third, adjustment of systems and tasks of administrations related to logistics. Fourth, innovation plan for logistics policies. The plan can carry out two ways demonstration business and diffusion business in order.

• THE INTERNATIONAL COMMERCE & LAW REVIEW
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• v.54
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• pp.81-98
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• 2012

The Incoterms(R) 2010 rules take account of the continued spread of customs-free zones, the increased use of electronic communications in business transactions, heightened concern about security in the movement of goods and changes in transport practices. And the Guide to Incoterms(R) 2010 is the authoritative companion work to Incoterms(R) 2010, the ICC rules on the use of domestic and international trade terms. The guide responds to business needs for a better understanding of these ICC rules that are used in countless commercial transactions every day. But, contrary to the previous guidebook, there is many errors and mistake in the Guide to Incoterms(R) 2010 which should be amended. The purpose of this paper is to point out the problems and amend the errors and unify the expression in guidebook.

• THE INTERNATIONAL COMMERCE & LAW REVIEW
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• v.75
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• pp.49-69
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• 2017

Making a international contract of sale is not a simple work. International Trade parties(seller and buyer) may choose trade terms such as FOB or CIF to simplify their contracts and avoid misunderstanding of international commercial practice. Incoterms is the international rules for the interpretation of the trade terms, and firstly regulated by the ICC in 1936. The latest version is Incoterms 2010. Incoterms 2010 governs certain responsibilities between the seller and the buyer under the international contract of sale. Moreover, Incoterms 2010 provides the standard of division of costs relating to contract of carriage. But we should note that Incoterms 2010 is not the part of contract of carriage. The writer points out that there is no consistence principle in distributing the special costs under the contract of carriage like unloading cost from the transport vehicle. To avoid the dispute between the parties, it is more safe for international traders to fully and completely understand on the customs and practice of carriage of goods. Incoterms 2010 provides more detailed method of delivery of goods than CISG and RAFTD. Concerning the method of delivery of goods, CISG and RAFTD simply provide that the seller shall place the goods at the discharge of buyers. The writer suggests the basic principles to allocate the special costs of delivery of goods according to the trade terms under Incoterms 2010.

• The Korean Journal of Air & Space Law and Policy
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• v.28 no.2
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• pp.3-35
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• 2013

Air transport today is a means of transport that is optimized for exchanges between nations. Around the world, has experienced an increase in operating and the number of airline route expansion that has entered into the international aviation agreements in order to take advantage of the air transport efficient, but the possibility of the occurrence of air transport accidents increased. When compared to the accident of other means of transport, development of air transport accidents, not high, but it leads to catastrophe aviation accident occurs. Air Transport accident many international transportation accident than domestic transportation accident, in the event of an accident, the analysis of the legal responsibility of the shipper or the like is necessary or passenger air carrier. Judgment of the legal order of discipline of air transport accident is a classification of the type of air transport agreement. Depending on the object, air transport agreements are classified into the contract of carriage of aviation of the air passenger transportation contract. For casualties occurs, air passenger transportation accident is a need more discussion of legal discipline for this particular. Korean Commercial Code, it is possible to reflect in accordance with the actual situation of South Korea the contents of the treaty, which is utilized worldwide in international air transport, even on the system, to control land, sea, air transport and welcoming to international standards. However, Korean Commercial Code, the problem of the Montreal Convention has occurred as it is primarily reflecting the Montreal Convention. As a cause of liability for damages, under the Commercial Code of Korea and the contents of the treaty precedent is reflected, the concept of accident is necessary definition of the exact concept for damages of passengers in particular. Cause of personal injury or death of passengers, in the event of an accident to the "working for the elevation" or "aircraft" on, the Montreal Convention is the mother method of Korea Commercial Code, liability for damages of air carrier defines. The Montreal Convention such, continue to be a matter of debate so far in connection with the scope of "working for the lifting of" the concepts defined in the same way from Warsaw Convention "accident". In addition, it is discussed and put to see if you can be included mental damage passenger suffered in air transport in the "personal injury" in the damage of the passenger is in the range of damages. If the operation of aircraft, injury accident, in certain circumstances, compensation for mental damage is possible, in the same way as serious injury, mental damage caused by aviation accidents not be able to live a normal life for the victim it is damage to make. So it is necessary to interpret and what is included in the injury to the body in Korea Commercial Code and related conventions, non-economic damage of passengers, clearly demonstrated from the point of view of prevention of abuse of litigation and reasonable protection of air carrier it must compensate only psychological damage that can be. Since the compensation of delay damages, Warsaw Convention, the Montreal Convention, Korea Commercial Code, there are provisions of the liability of the air carrier due to the delayed arrival of passenger and baggage, but you do not have a reference to delayed arrival, the concept of delay arrangement is necessary. The strict interpretation of the concept of delayed arrival, because it may interfere with safe operation of the air carrier, within the time agreed to the airport of arrival that is described in the aviation contract of carriage of passenger baggage, or, these agreements I think the absence is to be defined as when it is possible to consider this situation, requests the carrier in good faith is not Indian or arrive within a reasonable time is correct. The loss of passenger, according to the international passenger Conditions of Carriage of Korean Air, in addition to the cases prescribed by law and other treaties, loss of airline contracts, resulting in passengers from a service that Korean Air and air transport in question do damage was is, that the fact that Korean Air does not bear the responsibility as a general rule, that was caused by the negligence or intentional negligence of Korean Air is proof, negligence of passengers of the damage has not been interposed bear responsibility only when it is found. It is a clause in the case of damage that is not mandated by law or treaty, and responsible only if the negligence of the airline side has been demonstrated, but of the term negligence "for" intentional or negligent "Korean Air's Terms" I considered judgment of compatibility is required, and that gross negligence is appropriate. The "Korean Air international passenger Conditions of Carriage", airlines about the damage such as electronic equipment that is included in the checked baggage of passengers does not bear the responsibility, but the loss of baggage, international to arrive or depart the U.S. it is not the case of transportation. Therefore, it is intended to discriminate unfairly passengers of international flights arriving or departure to another country passengers of international flights arriving or departure, the United States, airlines will bear the responsibility for the goods in the same way as the contents of the treaty it should be revised in the direction.

• The Korean Journal of Air & Space Law and Policy
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• v.33 no.2
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• pp.3-34
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• 2018

Korea's air transport industry has a 70-year history since Korea National Airline was establishment in October 1948. Korea has 9 airlines which have international air transport business licenses, and as of 2017, air transport performance(Domestic & International) is ranked 8th in the world. Through analysis of Korea's air transport industry, this paper examines the essential problems of the domestic air transport industry and what policies and laws should be supplemented, and presents an "Policy Directions for the Air Transport Industry" that can continue to grow into a global aviation leading country in the future. Analysis of aviation statistics shows that the nation's air transport industry has a very high growth rate, and national airlines continue to invest in sustainable growth. Furthermore, new companies are also trying to enter the market. As of November 2018, four companies applied for licenses for international air transport business, one for international air transport business (cargo) license, and the Ministry of Land, Infrastructure and Transport is expected to decide whether to issue the license by first quarter of 2019. While some expect price reductions and consumer benefits through competition promotion, others worry about worsening airline financial structures and reducing safety investment due to competition. To sum up the problems of the nation's air transport industry, first, low-cost airlines focus only on attracting domestic demand, and thus have a weak foundation for continued growth. Second, the rapid growth in recent years has led to the lack of aviation professionals such as pilots and technicians and the saturation of slots at major airports. Third, since the financial soundness of airlines is not systematically managed, the financial situation of airlines can quickly deteriorate and the damage can be attributed to consumers. In order for the national airlines to continue to develop, the first is to focus on the endless demand of the global aviation market and to secure international competitiveness. Second, the government should support the airline infrastructure according to the size of the air transport industry, third, we will systematically nurture aviation experts who will lead the future of the nation's air transport industry, and finally, the government will have to continuously manage the financial status of airlines to prevent consumer damage in advance. Nowadays the air transport industry has become very competitive. Not only do airlines have to work hard for the sustainable development of national airlines, but all government agencies must support our airline companies in policy to win international competition.

• The Korean Journal of Air & Space Law and Policy
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• v.4
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• pp.139-154
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• 1992

The Chicago-Bermuda system has been charaterizing international aviation order sine 1940's. Bilateralism was established as 'the' way of nogotiation in exchange of traffic rights among nations thanks to the system. The system was stable until new phenomena came into the scene. The orderly development of international aviation began to be threatened by a series of technological and commercial breakthroughs in the late 60's and 70's. Also, in the field of international aviation, aspiration of the newemerging third world countries was hightened and the emergence of an unified Europe was added to it. These caused worries on bilateralism as an efficient means of negotiation. New waves of multilateral(reginal or international) approaches have been conducted. Its formal discussion is accelerated by vigorous talk on multilateral liberalization of international trade in commodities and services, i.e., the Urguay Round. In this paper, we examine historical development of bilateralism and multilateralism in a perspective of political economy; changes in the international aviation industry, merits and demerits of the two regimes on competitiveness of negotiating partners. The ways Korea can respond to new changes are presented and compared and a tentative stance she can take is proposed.