- (1)
- Each Contracting Party shall have the right to revoke an operating authorisation or to suspend the exercise of the rights specified in Article 3(2) of this Agreement by an airline designated by the other Contracting Party, or to impose such conditions as it may deem necessary on the exercise of these rights:
-
- (a)
- (i) in the case of the Government of Hong Kong, in any case where it is not satisfied that substantial ownership and effective control of that airline are vested in the Government of the Kingdom of the Netherlands or its nationals or in both;
- (ii)in the case of the Government of the Netherlands, in any case where it is not satisfied that that airline is incorporated and has its principal place of business in Hong Kong; or
- (b)in the case of failure by that airline to comply with the laws or regulations of the Contracting Party granting these rights; or
- (c)if that airline otherwise fails to operate in accordance with the conditions prescribed under this Agreement.
- (2)
- Unless immediate revocation or suspension of the operating authorisation mentioned in paragraph (1) of this Article or imposition of conditions thereon is essential to prevent further infringements of laws or regulations, such right shall be exercised only after consultation with the other Contracting Party.
