CANADA: Airlines & Wheat

After weeks of bickering and days of dickering, the quarrel between Colonial Airlines and Trans-Canada Air Lines (TIME, Dec. 12 et seq.) reached a satisfactory—if temporary—solution last week.

The U.S. Supreme Court agreed to hear arguments on Feb. 17 on Colonial's appeal questioning the constitutionality of U.S. bilateral air agreements. This was much sooner than Ottawa had expected. If the agreements are upheld, Washington promised quick action in certifying T.C.A. for the profitable Montreal-New York route, from which it has been barred by Colonial's legal action. Pending the decision, Ottawa called off its move to cancel Colonial's landing rights at Montreal.


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