(1) An AOC has effect subject to the following conditions:
(a) the condition that sections 28BD, 28BE, 28BF, 28BG and 28BH are complied with;
(aa) the conditions subject to which the AOC has effect because of section 28BAA;
(ab) the condition that section 28BI is complied with in relation to each operation, covered by the AOC, to which that section applies;
(b) any conditions specified in the regulations or Civil Aviation Orders;
(c) any conditions imposed by CASA under section 28BB.
(2) If a condition of an AOC referred to in paragraph (1)(a) or (aa) is breached, the AOC continues, despite the breach, to authorise flights or operations to which the condition relates.
(2A) If a condition of an AOC referred to in paragraph (1)(ab), (b) or (c) is breached, the AOC does not authorise any flight or operation to which the condition relates while the breach continues.
(3) If a condition of an AOC is breached, CASA may, by written notice given to its holder, suspend or cancel:
(a) the AOC; or
(b) any specified authorisation contained in the AOC;
whether or not the breach is continuing.
(4) Before making a decision under subsection (3), CASA must:
(a) give the holder of the AOC a notice setting out the reasons why CASA is considering making the decision; and
(b) allow the holder of the AOC to show cause, within such reasonable time as CASA specifies in the notice, why CASA should not make the decision.
(5) If CASA makes a decision under subsection (3), the notice of its decision must include a summary of section 31A. However, a failure to include such a summary does not affect the validity of the notice.