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Article 166. An operator who is sued for recovery of the damage caused by a mid-air collision shall, within a period of six months counting from the date of notification, inform thereof the operator against whom he intends to exercise the right accorded to him by the preceding article, or he will be subject to forfeiture.

Article 167. If the mid-air collision was the result of an unavoidable accident or of force majeure, each aircraft shall be subject to liability within the limit and under the conditions stated, and the one who has paid a sum in excess of that for which he is liable shall have the right to recoup the excess.

Article 168. The persons in charge of each aircraft shall be under a duty to report the accident to the authorities at the place where the accident occurred.

TITLE XI-INSURANCE

Article 169. Any interest in an aircraft may be insured up to its total value against all risks of air flight with the exception of those arising from an intentional act of the owner of the aircraft or of the insured.

Article 170. Air carriers shall be under a duty to provide insurance against accidents likely to ensue from the performance of their duties for such of their employees who fly regularly or occasionally, and who are not otherwise covered by the pertinent laws.

Such insurance coverage shall be for an amount equal to forty times the monthly salary up to a fixed maximum of one hundred thousand pesos in national currency.

The competent authority shall determine the manner of enforcing the preceding provisions setting forth the nature of incapacities which may result from an accident, their character, the scale for appraising the lessening of incapacity [sic] for work and the manner of taking the proper action.

Article 171. Air carriers shall be under a duty to provide insurance for damage within the limits specified in Title X.

A deposit in cash or in national bonds, or a guaranty from a bank, may be substituted for the insurance.

Insurance for accidents of employees domiciled in the republic of Argentina, or for damage resulting from air transportation, whether to passengers or to goods or to third parties and their property, in the territory of Argentina, shall be purchased from companies which meet the requirements established by the respective laws.

However, with respect to foreign enterprises engaged in air transportation, insurance may be obtained from companies licensed for that purpose in the place where the aircraft is registered. The Executive shall establish guarantees to be required to assure that the purpose of this title is accomplished.

Article 172. The general rules as to insurance set forth in the Commercial Code shall be applicable to aviation insurance unless they are incompatible with the exercise of air navigation, or in conflict with the present Code.

Article 173. When an operator of several aircraft complies with the requirements for the insurance policies fixed by this Code by a deposit in cash or by a bank guaranty, such guaranty shall be deemed suf

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ficient to underwrite the responsibility with respect to all his aircraft if the deposit or the guaranty amounts to two-thirds for each aircraft, if there are two aircraft, or to one-half if there are three or more. any event, the coverage by guaranty shall be sufficient if it amounts to two million pesos in national currency ($2,000,000) when there are two aircraft and three million pesos in national currency ($3,000,000), if there are three or more.

Article 174. The risk arising from scheduled air transportation may not be excluded in life or accident insurance contracts executed in this country.

TITLE XII-INSPECTION

Article 175. The competent authority shall have the duty of inspecting the services of aerial navigation. For that purpose, it shall be incumbent upon it:

1. To enforce the performance of the orders and instructions provided for by the certification and the air operations' license, and the observance of the provisions of this Code and regulations which may be promulgated;

2. To enforce the proper performance of services;

3. To supervise the technical, economic, and financial inspection of the enterprise;

4. To suspend service if the necessary safety conditions are not present and to reestablish service when the defects have been corrected;

5. To forbit or to bar the use of flying materiel which does not provide the necessary safety;

6. To inspect materials used in the manufacture and for repairs and the manner in which they are performed;

7. To require that flight personnel meet the conditions imposed by the pertinent provisions;

8. To perform all other technical functions and supervision which the Executive may confer on it.

TITLE XIII-FORFEITURE

Article 176. The Executive, upon the report of the competent authority, may declare the revocation or withdrawal of the authorization given for the operation of aerial services:

1. When the factors of public necessity and convenience contemplated at the time it was conferred no longer exist;

2. When the enterprise which is authorized fails to meet major obligations imposed upon it or when it was repeatedly in default in the performance of lesser obligations;

3. When services are not initiated within the period stipulated in the authorization;

4. When services are disrupted partially or completely without good cause or without authorization by the competent authority; 5. When the enterprise which is authorized to operate is insolvent or is declared in a state of bankruptcy or the firm is dissolved by court decree;

6. When authorization was issued in violation of the terms of Article 104;

7. When the safety measures prescribed by title XI have not been adopted;

8. When the enterprise resists investigation of its technical, economic and financial condition.

Article 177. If any agency has information of any of the situations described in clause 5 of the preceding article, it shall make it known to the proper authority so as to enable it to intervene in defense of the rights and interests of the State.

Article 178. Prior to a declaration of revocation or withdrawal of certification a hearing shall be granted to the person concerned in order to enable him to produce evidence in his favor. The competent authority shall set up the procedure to be followed.

TITLE XIV-STATUTE OF LIMITATIONS

Article 179. At the end of six months the following actions shall be barred:

1. Any action to claim any preference granted by Article 53. Such period shall begin to run from the moment the debt accrues. 2. Any action against an operator for an amount which another operator had to pay in any of the cases mentioned in Articles 165 and 167. Such period shall begin to run from the date of pay

ment.

Article 180. At the end of one year, the following actions shall be barred:

1. Any action for recovery for damages caused to passengers or goods being shipped. Such period shall be reckoned from arrival at the destination point, or from the day on which the aircraft should have landed, or from the day on which the shipment was detained, or from the day the person was declared missing and presumed dead.

2. Any action for recovery for damages to third parties on the ground. Such period shall begin to run from the date on which the event occurred. If it does not appear that the injured person had knowledge of the damage, or of the identity of the person responsible therefor, such period shall begin to run from the time when he could have had such knowledge. In these cases, the action shall be barred at the end of three years beginning on the date when the damage occurred.

3. Any action for recovery for damages resulting from a midair collision. Such period shall begin to run from the day on which the event occurred.

Article 181. Actions for compensation and reimbursement in cases of search, aid and rescue shall be barred at the end of two years. Such period shall begin to run from the day on which such operations were completed.

TITLE XV—JURISDICTION, POWERS, AND APPLICABLE LAW

Article 182. All matters concerning aerial navigation in general and the establishment and operation of airports intended for international and interstate air travel or for air services connected with these in particular are hereby declared subject matter of national leg

islation; the same shall apply to the granting of licenses to flight personnel and the issuance of the respective certificates as well as of certificates of aircraft registration and of airworthiness.

Article 183. The Supreme Court of Justice and the lower federal courts shall hear and decide cases dealing with aerial navigation or commerce in general and with violations that may affect it.

Article 184. Any event taking place, any act done, and any violation committed in a foreign public aircraft over Argentine territory shall be subject to the law of the land and shall be judged by its courts.

Article 185. If a foreign public aircraft enters Argentine territory without prior permission or violates any regulation pertaining to air traffic control it shall be compelled to land and shall be detained pending investigation of the case.

Article 186. Any event taking place, any act done, or any violation committed in a private Argentine aircraft, over Argentine territory, or over territory not subject to the sovereignty of any state, shall be governed by the law of the land and shall be judged by its courts.

If it took place over foreign territory, the Argentine courts shall have jurisdiction and its laws shall apply only when a real interest of the State or of persons domiciled in it is affected, or when the first landing following the event, act, or violation has been made in the republic of Argentina.

Article 187. Any event taking place, any act done, and any violation committed in a foreign private aircraft in flight over Argentine territory shall only be subject to the jurisdiction of the Argentine courts and the application of its laws in the following cases:

1. Any violation of the laws pertaining to public safety, to the military, or to finances;

2. Any violation of laws or rules pertaining to air navigation; 3. Any act jeopardizing public safety or order, or affecting the public interest or that of persons, or when the first landing following the event, act or violation was made in the republic of Argentina, provided that in the latter case no request for extradition has been made.

If a request for extradition has been made, the law on that subject shall be controlling.

Article 188. Any birth, death, marriage, and will taking place in an aircraft over Argentine territory shall be recorded by the commander or by the person exercising his function, and a record of such event shall be made in the board papers of the aircraft.

At the first place at which the aircraft lands, the commander of the aircraft shall deliver a copy of the record regarding such event to the competent authority, if such place is an Argentine territory; otherwise to the Argentine consul; and, in the absence of the latter, the record shall be sent to the competent authority under a certified

cover.

Article 189. The laws pertaining to jurisdiction and legislation in regard to civil, commercial, or criminal matters shall be applicable to air navigation insofar as they are not in conflict with the provisions of this Code.

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TITLE XVI-VIOLATIONS AND PENALTIES

Chapter I-Violations

Article 190. Violations of the provisions of this Code not within the purview of this title, and violations of the regulations promulgated under it, shall be determined by the Executive and punished by temporary or permanent disqualification and/or a fine up to ten thousand pesos in national currency ($10,000).

Article 191. The penalties provided for in the preceding article shall be imposed by the competent administrative authority with the exception of permanent disqualification which may be declared only by the Executive.

Article 192. The procedure to be followed in imposing such penalties and the appointment of the administrative authority empowered to impose them in each case and to dispose of appeals, shall be set up by

the Executive.

Article 193. Imposition of the penalty of permanent disqualification and/or of a fine of ten thousand pesos in national currency ($10,000), shall be subject to final appeal before the competent court.

Chapter II-Criminal Offenses

Article 194. The following persons shall be punished by imprisonment of from one to four years:

1. Any person who pilots an aircraft that does not meet the minimum safety requirements;

2. Any person who pilots an aircraft without a license, and any official who fails to inquire into the qualifications of a pilot and issues a license to the applicant who, in fact, does not have the required qualifications; and any official in charge of flight control who allows a flight to take place under conditions that are in violation of the preceding provisions.

If the death of a person ensues, the pilot of the aircraft shall be punished by imprisonment of from two to ten years.

Article 195. Anyone who makes a secret crossing of the border at any point other than those designated by the competent authority or who departs from an air route designated for entering and leaving the country, shall be punished with imprisonment of from six months to two years.

Article 196. Anyone who makes a secret flight over prohibited zones shall be punished with imprisonment of from six months to three years.

Article 197. Anyone who fails to comply with the provisions of Article 126 shall be punished with imprisonment of from three months to one year.

Article 198. Any imprisonment of six months or more for any violation made punishable by this Code shall entail a prohibition of being a crew member of an aircraft for a period of from one to three years, beginning with completion of the sentence.

In the event of a repetition, the guilty person shall be permanently barred from engaging in any aircraft operations.

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