Just weeks before NewLeaf Travel was set to take off in Canada, the company announced it is temporarily postponing sales of airline tickets pending a Canadian Transportation Agency (CTA) review of licensing regulations for Indirect Air Service Providers.
NewLeaf will refund all credit card transactions for reservations that were scheduled to begin on Feb. 12.
“During this uncertain time, we didn’t want to put anyone with existing bookings at risk, and we wanted to give customers time to make other travel arrangements,” said NewLeaf CEO Jim Young.
NewLeaf aims to resume taking reservations in the spring, with scheduled service to be operated by Flair Airlines Ltd.
“Canadians have clearly spoken that they want this type of low-cost service,” added Young. “The overwhelming demand for tickets shows the need for affordable travel in Canada. Hundreds of thousands of people visited the NewLeaf web site when ticket sales began. Thousands made bookings.”
The CTA is reviewing whether persons who do not operate any aircraft, but market and sell air services to the public, should be required to hold agency licences.