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(iii) the airline is not owned, directly or through majority ownership, or is not effectively

controlled by the Republic of Korea, nationals of the Republic of Korea, or both, and the

airline does not have a valid operating license issued by the Republic of Korea;

(c) the designated airline fails to meet the conditions prescribed under the laws and regulations

normally applied to the operation of international air services by the Party granting the rights; or

(d) the Party designating the airline fails to maintain and implement the standards relating to

safety and security set out in Articles 14 and 15 of this Agreement.

2. Unless immediate action is essential to prevent further infringements of the laws and

regulations of the Parties, the right mentioned in paragraph 1 of this Article shall be exercised

only after consultations between the Parties in conformity with Article 18 of this Agreement.

ARTICLE 5

APPLICATION OF LAWS AND REGULATIONS

1. The laws and regulations of one Party governing entry into and departure from its territory of

an aircraft engaged in international air services, or the operation and navigation of such aircraft

while within its territory, shall be applied to the aircraft of the designated airlines of the other Party

and shall be complied with by such aircraft upon entering into or departing from and while within

the territory of the first Party.

2. The laws and regulations of one Party relating to the entry into, stay in, transit through and

departure from its territory of passengers, crew, baggage, cargo and mail, such as those

concerning the formalities of entry and exit, clearance, emigration and immigration, passports,

customs, currency and sanitary control, shall be applied to the passengers, crew, baggage, cargo

and mail carried by the aircraft of the designated airlines of the other Party while within the

territory of the first Party.

3. Neither Party shall give preference to its own or any other airline over a designated airline of

the other Party engaged in similar international air services in the application of its laws and

regulations set forth in this Article.

II SÉRIE-A — NÚMERO 88_________________________________________________________________________________________________________________

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