The Canadian Transportation Agency on Wednesday suspended an application filed by Air Canada seeking to bar pets from its baggage compartments.

The suspension, which does not apply to domestic flights, affects flights between Canada and the U.S. as well as other international flights to and from Canada.

"This suspension is intended to provide greater certainty for the air travelling public pending a final determination on the matter," the CTA said in a release.

The federal agency said it has asked Air Canada and a complainant, who filed a formal complaint about Air Canada's proposed ban, to make further submissions on the issue.

"The agency will determine if the change in the carrier's policy is just, reasonable and not unduly discriminatory," the CTA said.

The national carrier, which banned pets from the cabin last September, in June sent a letter to the CTA saying, "Please be advised that Air Canada will cease the carriage of pets as checked luggage on domestic as well as international routes [including transborder routes], as of July 15, 2007.

Air Canada said the decision was prompted by "record load factors" as well as new security requirements that have resulted in passengers checking more of their luggage.

Peter Fitzpatrick, an Air Canada spokesman, said the ban was not related to a case in January 2004 when a B.C. family's pet dog died of carbon monoxide poisoning while travelling in an Air Canada cargo hold.

Although Air Canada said it was not responsible for the accident, owner Darren Jakubec argued that the rules around liability were unclear.

He took his case to the CTA, which agreed, but concluded that airlines were not responsible for the health of pets.