Revocation or Suspension. (1) Each Contracting Party shall have the right to revoke or suspend the operating authorization granted to the designated airline of the other Contracting Party or to impose such conditions as it may deem necessary on the exercise by the said designated airline of the rights specified in Article 2 of this Agreement, in any of the following cases: (a) where it is not satisfied that the substantial ownership and effective control of that airline are vested in the other Contracting Party or its citizens, or (b) where that airline fails to comply with the laws and regulations of the first Contracting Party, or (c) where that airline otherwise fails to operate in accordance with the conditions prescribed under this Agreement. (2) Unless immediate revocation, suspension or imposition of the conditions mentioned in paragraph (1) of this Article is essential to prevent further infringements of laws and regulations, such right shall be exercised only after consultation with the other Contracting Party.
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Sources: Civil Air Transport Agreement, Civil Air Transport Agreement