Wet Lease Guidance Issued by the FAA

Aviation International News » November 2005
October 17, 2006, 9:49 AM

Part 135 operators and management entities will be affected by a proposed policy guidance involving wet leases, an arrangement in which an air carrier can lease an aircraft and crew from an individual or entity if it is also authorized to engage in common carriage.

The proposed guidance stems from several incidents–including the February crash of a Challenger at Teterboro Airport in New Jersey–in which the FAA said air carriers evidently allowed aircraft owners and lessees who did not hold commercial certificates to conduct operations under Part 135, and in a few cases falsely hold “themselves out to the public as air carriers themselves.” In the case of the Challenger accident, the FAA has already taken enforcement action.

The guidance proposed in the notice is intended to clarify when wet leases are considered unlawful, as well as those that would be permissible. Comments are due November 25. For more information, contact the FAA at (202) 267-8166.

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