FAA FOCUSED ON CURTAILING ILLEGAL CHARTER OPERATIONS
April 13, 2020
The FAA recently released a new Advisory Circular, AC 61-142, addressing the limits of private pilots’ ability to be compensated by their passengers. The AC address certain issues around illegal charter operations; and it comes after Congress directed the FAA to publish easy-to-read guidance with demonstrative examples on the existing law of how a pilot may share expenses with passengers. In general, reimbursement is limited to qualified types of expenses, the pilot paying no less than their pro rata share of expenses, and the pilot not collecting reimbursement on a flight for which the private pilot does not have a common purpose with passengers. Noncompliance with any of those rules may constitute impermissible compensation for a private pilot. Additionally, a private pilot also must not “hold out” to the public their availability to provide transportation to anyone who wants it. The AC strongly suggests that this rule generally precludes private pilots from participating in websites or mobile apps by which pilots and passengers can be paired up to share costs of planned itineraries.
If you have any questions, please contact Evelyn Sahr (esahr@eckertseamans.com or 202-659-6622); Drew Derco (dderco@eckertseamans.com or 202-659-6665), or Andy Orr (aorr@eckertsemans.com or 202-659-6625).
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