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ratings:
Length:
7 minutes
Released:
Jan 23, 2020
Format:
Podcast episode

Description

The FAA sent a letter on December 17 warning charter broker BlackBird Air that pilots using the company’s online platform and app to fly passengers under Part 91 “are holding out and thus are engaged in common carriage.” The agency said it is planning to investigate BlackBird’s activities and possibly also pilots flying for BlackBird. In response, BlackBird has “paused” this feature of its offerings.   San Francisco-based BlackBird Air is primarily a charter broker, but also offers customers the option to hire a commercial pilot and lease an airplane to travel to a destination, all under Part 91. According to Crunchbase, BlackBird has raised $15 million in venture capital funding. BlackBird’s website homepage advertises: “Defy Gravity. Rent a plane and go anywhere. How it works: BlackBird helps you fly over traffic by connecting you with planes and pilots, bringing you true freedom of flight.”   The FAA doesn’t agree with BlackBird that this kind of operation is not a charter, and it said that the company and/or pilots must obtain a Part 119 certificate to transport people or property for hire or compensation.   According to an FAA spokesman, “We haven’t taken actions in relation to BlackBird per se, but we alerted pilots that they could be violating the regulations if they’re not operating under a certificate issued under Part 119.”   In the letter sent to BlackBird attorney Roy Goldberg, the agency’s Office of the Chief Counsel, Enforcement Division made a case that BlackBird’s pilot-hire and airplane-lease operation under Part 91 fits all the criteria that make an operation subject to requiring a Part 119 certificate and operating under Part 135 charter regulations.   For its part, BlackBird had sent a letter on June 10 to the FAA outlining its business plan, explaining that it facilitates its customers with “leasing an aircraft and…separately hiring a commercial pilot to fly the aircraft the user has leased.” Because, BlackBird wrote, it doesn’t “own, manage, or maintain the aircraft and does not employ pilots…” and the customer selects the aircraft and pilot separately, “operational control of the aircraft remains with the user at all times.” In the FAA letter, the agency wrote that “BlackBird represents that it only facilitates the agreements, processes payments, and provides customer support to all three parties (user, i.e., person leasing the aircraft and hiring the pilot; pilot; and aircraft lessee).”   According to the FAA, BlackBird, itself, outlined the agency's criteria for determining whether an operator must hold Part 119 certification. From the December 17 FAA letter: “As BlackBird noted in its [June 10] letter, to determine whether common carriage is present, the FAA assesses whether there is: (1) a holding out of a willingness to (2) transport persons or property (3) from place to place (4) for compensation.”   The FAA explained that BlackBird easily met the last three criteria, but “holding out” was subject to more discussion. The FAA letter went on: “We have little trouble concluding that the pilots listed on BlackBird’s pilot database selected by the user are transporting persons or property, from place to place, for compensation. Despite BlackBird’s assertion that the pilots are not transporting persons or property, it is clear that they are being hired for that very purpose. In addition, as BlackBird concedes, the pilots are being compensated for the flight service (whether the money comes directly from the lessee or through the BlackBird platform). That leaves only the issue of holding out.”   That BlackBird and its pilots are holding out is supported, the FAA claimed, by two legal interpretations involving aviation ride-sharing providers AirPooler and FlyteNow.   Essentially, because BlackBird’s online and app platform is available to anyone and pilots on the platform [from the FAA letter] “are available and willing to transport passengers who solicit pilot services through the platform…A pilot's parti
Released:
Jan 23, 2020
Format:
Podcast episode

Titles in the series (100)

The Ready For Takeoff podcast will help you transform your aviation passion into an aviation career. Every week we bring you instruction and interviews with top aviators in their field who reveal their flight path to an exciting career in the skies.