TECH 3440 Aviation Law

During night operating under VMC at a busy major airline hub having a control tower operated by the FAA, the local controller clears a regional airliner to line up and wait preparatory to take off on runway 26R. The regional airline crew properly acknowledges the clearance and moves onto the runway, halting in position for takeoff. Distracted, the local controller then forgets about the regional airliner and clears a jumbo jet to land on the same runway. The larger airliner lands on top of the waiting regional airliner. Both aircraft are substantially destroyed by the collision and ensuing fire, and there are numerous passenger and crewmember deaths and injuries. Who is potentially liable, and why?

(1) The United States is potentially vicariously liable under the FTCA for the air traffic controller's negligence in clearing the run way (as a federal employee, the controller does not face personal liability); (2) The surviving cockpit crewmembers, if any, from the landing aircraft may be liable for negligence under the highest degree of care standard for failing to see and avoid the aircraft on the runway; (3) The airline operating the landing aircraft would also be vicariously liable for its flight crew's negligence (4) Any surviving flight crewmembers of the aircraft that was in position on the runway holding for takeoff at the time the air traffic controller cleared the other aircraft to land on that same runway may be liable under the highest degree of care standard for negligence in failing to maintain situational awareness or alert the controller to the fact that they were still on the runway awaiting takeoff clearance when they heard the controller clear the other aircraft to land on that runway; and (5)The regional airline could also be vicariously liable for that negligence of its flight crew.

Distinguish U.S. Customs and Border Protection (CBP) responsibilities from those of Immigration and Customs Enforcement (ICE)

-A federal law enforcement agency among its duties is to detect, interdict, and prevent acts of terrorism and the unlawful movement of people, illegal drugs and other contraband toward or across borders of the United States. Immigration and Customs Enforcement (ICE)

Distinguish U.S. Customs and Border Protection (CBP) responsibilities from those of Immigration and Customs Enforcement (ICE)

-CBP vs ICE CBP- PREVENT ACTS OF TERRORISM AND other contraband from entering the U.S. U.S. Customs & Border Patrol

Under what circumstances is a business legally liable for the consequences of the negligence of its employees?

A business is vicariously liable for torts committed by its employees when they are acting within the scope of their employment.

From the stand point of legal liability for negligence, what difference does it makes whether a domestic commercial flight is a common-carrier or a contract-carrier operation?

A contract carrier, like most individuals and businesses, is required to exercise the degree of care of a reasonably careful person, while a common carrier is required to exercise the highest degree of care to protect its passengers from injury or death in transport.

What is a security interest ?

A security interest may be thought of as an exception to the tort law of conversion discussed in Chapter 4. The holder of a security interest in an aircraft generally has the legal right to take possession of that aircraft, even without resorting to judicial process, as long as this can be done without provoking a breach of the peace, if the debtor has not paid the debt secured by the security interest when it was due.

What is a Tort?

A tort is an act or omission that causes injury to another person by breach of a legal duty not arising out of a contract, which subjects the actor to liability for damages in a civil lawsuit.

What two areas of concern has been the focus of most litigation regarding airports and airspace?

Aircraft noise and keeping the airport's approaches clear of obstacles.

At a general aviation airport, you are your co-worker are in your hangar polishing your airplane. You suspicious are aroused when you notice a person neither of you has ever previously seen around the airport moving down the ramp and peering into parked aircraft. When you see him try to open the door to one, you decide you have to take action You have a pistol in you r car. What will you do, and why?

Alert aw enforcement authorities while keeping the individual under observation. Do not try to detain the individual yourself, as that could expose you to risk of being sued for intentional torts, such as false imprisonment, discussed in Chapter 4.

To whom do you owe a duty be reasonably careful?

Anyone who might foreseeably be injured by your neglect. This could include other flight crewmembers, passengers, people on the ground, and the owner of the aircraft. All of these people (or their survivors) are potential plaintiffs if your neglect causes injury to them or their property.

A group of local pilots are discussing airport security. One of them expresses the opinion that airline security at the local airport is a big joke as it was before 9/11. "It's those same morons who couldn't get a job flipping burgers, doing the same job they did before, only in different uniforms," he says. "Plus, the whole program assumes that a terrorist is just going to get in line and go through security screening like everybody else. It would be a piece of cake for a terrorist to put on a pair of blue coveralls like the ramp workers an airliner without anybody challenging him. Fred, why don't you get your video camera and let's go over there and do that and get it on videotape. We'll give the tape to the TV station, and when they show that on the news, somebody will have to get serious about security at the airport." e) Arnold, one of the group engaged in the original conversation fails to show up at the gate, but the others do their blue coveralls and start squeezing one-by-one through the bent gate. The police arrive and arrest them. What crime, if any, can Arnold be charged with? What additional crimes can the others now be charged with?

Arnold may be charged with conspiracy in those states that do not require an overt act. The other can now also be charge with attempt to commit the crime of entering an airport area in violation of security requirements (49 U.S.C. 46314). those who had already squeezed through the have have committed the actual crime of entering an airport area in violation of security requirements.

Running well ahead of schedule due to an extreme tailwind, a pilot employed by an air parcel service decides to make an unscheduled stop at an airport along his route to pay a surprise visit to an old college friend who works for an FBO there. Taxiing too fast for conditions on the icy ramp, the pilot loses control of the aircraft, colliding with a parked aircraft owned by the FBO. Is the pilot's employer liable to the FBO for the damage? Explain

Assuming the pilot has not obtained his employer's permission for the deviation, this deviation for personal purposes has all of the earmarks of the pilot having "gone off on a frolic of his own," leaving him personally liable, but not his employer.

You are an aircraft broker specializing in airline-size jets. A customer contacts you, indicating that he is the chief executive officer of an international cattle-breeding operation based in Texas. He advises you that neither he nor anyone on his staff knows much about large airplanes, but they need to purchase an aircraft capable of transporting 100 bulls weighing an average of 1,600 pounds each, each in a 150-pound shipping cage measuring 5 feet wide by 8 feet long by 6 feet high. He states that the aircraft will also need to be capable of carrying that load from Dallas to Buenos Aires, Argentina, nonstop. If you sell an aircraft to this customer for the purpose, what warranties will you be making to the buyer?

At least an implied warranty of fitness for a particular purpose and implied warranty of merchantability (airworthiness). Details of the implied warranty of fitness for a particular purpose would include a range with IFR reserves equal to the distance from Dallas to Buenos Aires while carrying a 175,000 pound payload ([100 bulls X 1,600 pounds each] + [100 shipping cages X 150 pounds each] = 175,000 pounds), plus sufficient cabin volume and hard points to contain and restrain the 100 shipping cages of the dimensions given within the pressure vessel.

Why did the United States not experience an explosion in civil litigation arising out of deaths of thousands of people from the terrorist attack using hijacked airlines on 9/11/01?

Because Congress set aside a $10 billion fund through the Air Transportation Safety and System Stabilization Act of 2001 for compensation of victims physically injured or killed as a result of these aircraft crashes. Victims and their families were required to waive their right to sue in order to receive compensation from the fund. (All but 97 of the thousands of victims and victims' families elected to receive compensation from the fund in lieu of litigation. Of the 97 who sued, all but 3 reached pretrial settlements; all of those cases have now been resolved.)

A domestic passenger and an international passenger are standing side by side in the airline terminal's baggage claim area waiting for their bags to arrive when a lone terrorist walks up and detonates his suicide vest, killing them both. Is the airline liable for either death? Explain.

Because both passengers have reached a safe place within the terminal, ordinary U.S. Negligence law applies. Thus, the airline will not be liable for either death unless the judge or jury finds at trial that the airline was negligent under the reasonably careful person standard of care. Therefore, unless it was proved that the airline had warning of the attack and failed to take appropriate protective measures, it is unlikely that the airline would be held liable.

Why is it important to keep the corporation's money and other assets clearly separated from your own?

Because if you commingle the corporation's money or assets with your own, it appears to the outside world that the business is a sole proprietorship or partnership, with the result that the alter ego doctrine would allow creditors and others having legal claims against the business to reach your personal assets to satisfy the liabilities and debts of the business.

You are flying a large jet transport and experience a failure of one of the four turbine engines. No one is injured, and you are able to make a successful emergency landing. a) The failure was apparently caused by ingesting a large bird, which caused numerous turbine blades to break off and be blown out the engine exhaust. Are you required to notify any government agency of this occurrence? Explain.

Because only one engine failed or was damaged and because the debris exited via the exhaust path, this is not "substantial damage" nor was it an "incident" requiring notification.

You are operating an aircraft equipped with a single electronic primary flight display. While in flight the screen goes dark, displaying no information. you have no other electronic cockpit displays. Are you required to notify any government agency of this failure? Does your answer depend upon whether you are operating in IMC or VMC at the time? Explain.

Because this involved a complete loss of information from more than 50 percent of your electronic cockpit displays, it is one of the enumerated incidents requiring you to immediately notify the NTSB. The rule makes no distinction whether you were operating in IMC or VMC, under IFR or VFR

How does a government normally exercise its power of eminent domain?

By filing a condemnation lawsuit, seeking a court order establishing the price to be paid for the land ( or an aviation easement over the land), and ordering transfer of title to the land (or to an aviation easement over the land) to the government upon payment of that price.

In a corporation, what decisions do shareholders, board of directors, and corporate officers typically make? c) What decisions do corporate officers typically make?

Corporate officers (management) typically make routine day-to-day business decisions that conform to policies set by the board of directors.

Regardless of its form, what duties does every business owe to its employees?

Every business, regardless of its form, owes its employees the duty to provide workers' compensation insurance and unemployment compensation insurance, the duty to pay agreed wages and withhold payroll taxes, and the duty to provide a safe place to work.

You receive a letter from the FAA requesting that you submit to a rather extensive and expensive batter of the psychological and psychiatric tests to determine whether you are an alcoholic. b) What are the possible legal consequences to you, if any, if you fail to promptly comply with the FAA's request?

Failure to promptly submit additional information upon FAA request is a ground for the FAA to suspend your aviation medical certificate indefinitely on an emergency basis until you do submit the requested medical information.

Which agency of the U.S. government has the primary responsibility for regulating aviation safety?

Federal Aviation Administration

You want to determine who owns a particular aircraft. Which agency of the U.S. government would have the information, and where would it be found?

Federal Aviation Administration's Mike Moroney Aeronautical

You hold an unexpired aviation medical certificate when you experience a health problem. Describe the complete analytical process by which you will determine whether or not it is legal for you to continue to act as pilot or other required flight crewmember.

First, ask yourself: "Is this one of the specific disqualifying conditions?" If the answer is yes, then it is not legal for you to continue to act as a pilot or other required flight crewmember. If the answer is no, then ask yourself whether the medical condition is something that can lead to an unpredictable and suddenly incapacitating event in flight or that can impair your judgment or ability to control the aircraft precisely, to see and avoid other aircraft, or to understand and comply with the instructions of air traffic controllers. If the answer to that question is yes, you should refrain from acting as a pilot or other required flight crewmember until you have recovered. If the answer is no, then ask yourself if you are taking medication that can affect your vision, alertness, judgment, or sense of balance. If the answer to that question is yes, you should refrain from acting as a pilot or other required flight crewmember until at least twice the longest recommended time between doses has passed since you took your last dose of the medicine (and you may then resume flying only if symptoms have not returned).

What effect has the General Aviation Revitalization Act (GARA) had on products liability for aircraft manufacturers, repair stations, and mechanics?

For manufactures, premiums leveled off, while repair stations and mechanics have faced premiums increasing by 300-400%

The FAA suspended your certificate for 180 days for an FAR violation. Because you either failed to timely appeal the Order of suspension or you have exhausted the appeal process and the FAA prevailed, the order is final. How long will the violation remains on your FAA record?

For the rest of your life

A construction worker has been away from home doing commercial blasting. When he finished a job, he realizes that he has a case of dynamite left over that isn't accounted for. He could really use that to blow some stumps on his farm when he gets home, but he obviously can't take it with him on the airline. He considers shipping it via air freight, declaring it has household goods. What are the possible adverse consequences of such an act? Explain.

He could be fine or imprisoned for as long as five years for transporting hazardous material in violation of 49 U.S.C. 46312 . Note: Wher no amount for the fine is give, the maximum is $10,000.

What difference does it make to a business whether the IRS considers a worker an employee or the business or an independent contractor?

If the IRS considers a person an employee, then the business is responsible for withholding payroll taxes from the person's pay and is liable to the IRS for such taxes, plus interest and penalties, if they were not timely withheld and deposited.

What difference does it make whether a government employee's activities alleged to have contributed to cause an aircraft accident were a discretionary function or not?

If the employee's activities were a discretionary function, the government cannot be sued under the Federal Tort Claims Act because sovereign immunity still applies. But if the employee's activities are not found to have been a discretionary function, the government may be found liable.

What is the alter ego doctrine?

If you incorporate the business but operate it as though it were a sole proprietorship or partnership, the alter ego doctrine permits a plaintiff to "pierce the corporate veil" to reach your personal assets to satisfy debts or liabilities of the business.

Compare and contrast the personal liability for the consequences of torts committed by the individual federal employees with that of individual employees in the private sector.

Individual employees in the private sector remain personally liable for the consequences of their own torts even though their employer is also vicariously liable. Individual federal employees, however, are not personally liable for the consequences of their negligence committed within the scope of their employment (but remain personally liable for their intentional torts). If a federal employee is sued personally for negligence committed within the scope of his or her federal employment, the United States will be substituted for the employee as the defendant, and will pay any resulting settlement or judgement.

While filling out your application for aircraft insurance, you round off your total fight time to the next higher 100 hours. you are issued an aircraft insurance policy based on that application but have an accident that causes extensive damage to the aircraft before you actually accumulate the total number of hours you reported on your application for that insurance policy. Is the insurance company obligated to pay for repair of the aircraft? Explain:

Maybe not. You are required to be absolutely truthful when filling out the application for insurance. If you are not, the insurer may be able to avoid having to pay a claim. IN some states, the insurance company does not have application. In other states, the insurance company must prove that the matter falsified was caused of the accident in order to avoid its obligation to pay.

Your aircraft has been involved in an accident. What agency or agencies will investigate the accident? What agency will determine the probable cause of the accident?

National Transportation Safety Board (NTSB) An agency of the U.S. government is presently experimenting with and assisting in the development of technical standards for the components of the next generation air traffic control system (NextGen). What agency is responsible for that work, and where is it being carried out? -Federal Aviation Administration

What is negligence?

Negligence means failing to do an act that a reasonably careful person would do or doing an act that a reasonably careful person would not do under the same or similar circumstances to protect others from harm.

Can the FAA both suspend your certificate and fine you as punishment for the same FAR Violation? Why?

No, because that would violate the constitutional prohibition against double jeopardy

A group of local pilots are discussing airport security. One of them expresses the opinion that airline security at the local airport is a big joke as it was before 9/11. "It's those same morons who couldn't get a job flipping burgers, doing the same job they did before, only in different uniforms," he says. "Plus, the whole program assumes that a terrorist is just going to get in line and go through security screening like everybody else. It would be a piece of cake for a terrorist to put on a pair of blue coveralls like the ramp workers an airliner without anybody challenging him. Fred, why don't you get your video camera and let's go over there and do that and get it on videotape. We'll give the tape to the TV station, and when they show that on the news, somebody will have to get serious about security at the airport." a) At this point, has crime been committed? Explain

No, because there is not yet an agreement.

Your airplane crashed, and the passenger was injured. You are absolutely certain the accident was not your fault. Does your insurance company have to get your permission to pay a settlement to the injured passenger?

No, the insurance company's duty to you is to either defend the claim at its expense or pay the claim up to policy limits, in its sole discretion. They do not need your permission, nor are they required to honor your wishes.

If a state, county, or city government adopts a law governing aviation that conflicts with federal law, will that state or local law be enforceable? Why?

No, the supremacy clause of the constitution of the United States provides that where the federal government has adopted statutes or regulations governing same activities that the federal government is authorized to regulate (such a aviation, through the commerce clause), then state or local governments may not enforce any laws that conflict with federal law.

A catering truck rolls into a parked airliner, damaging the fuselage and pressure vessel to the extent that it will require a major repair before flight. a) Only the aircraft cleaning crew is aboard at the time of the collision. Is the airline required to notify any government agency of this occurrence? Explain

No, under the definitions in NTSB part 830, this is not an "aircraft accident" because the occurrence was neither associated with the operation of the aircraft nor had any person yet boarded the aircraft with the intention of flight. It is not an "incident" under those definitions because it was not associated with the operation of aircraft, nor is it one of the specifically enumerated incidents in NTSB Part 830 requiring you to give notice.

Can your chosen form of business protect you from personal liability for the consequences of your own negligence or intentional torts?

No, you are always liable for the consequences of your own negligence and intentional torts.

You are suffering from what you think is a bad cold and are taking a cold remedy b) Even if it is technically legal for you to fly, is it prudent? Why?

No. Although a cold is not one of the specific disqualifying conditions, it may make it unsafe for you to serve as a pilot so that 14 CFR §61.53 would require you to refrain from exercising pilot privileges. Also bear in mind that the mandate of §61.53 requires the exercise of judgment in such a situation, and a head cold can prevent the normal process by which your body adjusts to changing atmospheric pressure encountered during climbs and descents. Such a "sinus block" may cause pain so excruciating as to incapacitate you as a pilot and leave you with permanent ear damage resulting in hearing loss and loss of balance. Behave responsibly, using your best judgment and being on guard against wishful thinking and rationalization. Don't fly if it would be unwise.

Is the assumption of risk defense available to an airline to defend against lawsuits brought by injured passengers or the survivors of passengers killed in an airline crash? Why?

No. Because commercial air travel is statistically proven to be the safest way to travel, it cannot be considered a "known risk."

What accidents and incidents are you required to report to the FAA?

None

What effect does the Montreal Convention have on th legal liability of anyone other than the airline (for example, the aircraft's manufacturer, air traffic controllers, or the airport owner/operator) for the death or injury of an international airline passenger?

None. The treaty applies only to the legal relationship between the airline and its international passengers.

Will a title search at he FAA Aircraft Registry in Oklahoma City revel all kinds of valid security interest in aircraft?

Not necessary, because the title search reveals only recorded liens. There may also be possessory lien at the FBO or repair station where the aircraft is located that would not be revealed by a title search. Furthermore, if the aircraft is covered by the Cape Town Treaty, the International Registry must also be searched, as it contain liens not recorded with the FAA if the aircraft was registered outside the U.S. at any time.

You are the manager of an FBO. A customer purchases a new airplane through your airplane through a written security agreement signed by the purchase, obtain a security interest in the aircraft though a written security agreement signed by the purchaser, and files that security agreement with the FAA Aircraft Registry and the International Registry. Later, the customer has your shop install upgraded avionics, including a full "glass cockpit" set of multifunction displays (MFD) integrating flight, navigation, engine, and sensor data. d) After the transaction described in c, above, your shop installs the equipment in the aircraft and releases it to the owner. Before the bill is paid , the aircraft owner files bankruptcy. Now who is in the superior position to be paid first out of the proceeds of the sale of the aircraft: the FBO or the bank? Explain.

Now the bank has first priority for payment out of the proceeds of the sale of the aircraft because both of the FBO and the bank now hold recorded security interests in the aircraft and the bank's was recorded first.

A group of local pilots are discussing airport security. One of them expresses the opinion that airline security at the local airport is a big joke as it was before 9/11. "It's those same morons who couldn't get a job flipping burgers, doing the same job they did before, only in different uniforms," he says. "Plus, the whole program assumes that a terrorist is just going to get in line and go through security screening like everybody else. It would be a piece of cake for a terrorist to put on a pair of blue coveralls like the ramp workers an airliner without anybody challenging him. Fred, why don't you get your video camera and let's go over there and do that and get it on videotape. We'll give the tape to the TV station, and when they show that on the news, somebody will have to get serious about security at the airport." f) Instead, the group is not intercepted and completes the mission as planned, without interference. What additional crimes can be charged?

Now we have a full-blown violation of the actual crime of entering airport area in violation of security requirements by all of the participants (49 U.S.C. 46314).

What are "open skies" agreements?

Open Skies agreements do this by eliminating government interference in the commercial decisions of air carriers about routes, capacity, and pricing, freeing carriers to provide more affordable, convenient, and efficient air service for consumers.

State the appropriate aircraft insurance purpose of use for each of the following operations: b) An air charter company

Pg 150 Commercial Except Instruction or rental

State the appropriate aircraft insurance purpose of use for each of the following operations: c) An air cargo company

Pg 150 Commercial except Instruction or Rental

State the appropriate aircraft insurance purpose of use for each of the following operations: f) A corporate jet

Pg 150 Industrial Aid

State the appropriate aircraft insurance purpose of use for each of the following operations: a). A flight school

Pg 151 Limited Commercial

State the appropriate aircraft insurance purpose of use for each of the following operations: e) A full-service FBO

Pg 152 Commercial (FULL)

State the appropriate aircraft insurance purpose of use for each of the following operations: d) Forest fire fighting

Pg 152 Special Uses

A mid air collision occurs with the Class D airspace of a local airport that has a control tower operated by the FAA. Visibility at the time of accident was three miles (marginal VMC), and both aircraft had radioed the tower a minute or two before the collision, reporting similar positions. Each obtained landing instructions and the tower warned the second aircraft that another aircraft had reported inbound from the same area. The aircraft were not yet visible to the tower controllers when the collision occurred. One of the distraught tower controllers later lamented to the news media: "I told Washington months ago that we needed radar at this tower and that if we didn't get it pretty soon, there was probably going to be a midair collision. If only we'd had radar, we could have kept those planes apart."

Probably not. The question of an air traffic control tower's eligibility for the installation of radar and other equipment looks more like a budget-driven economic decision based on policy considerations implemented by senior FAA management, and thus a discretionary function for which the U.S. could not be sued under the Federal Tort Claims Act. If, on the other hand, either an act of Congress, FAA regulation, or internal agency order mandated implementation of radar service at this tower (or funds were available to accomplish permitted, the discretionary function exception should not protect the government from liability.

You are suffering from what you think is a bad cold and are taking a cold remedy a) How can you tell if it is legal for you to fly while you are taking that medication?

Read the label or package insert that came with the medication to determine whether it may affect your vision, alertness, judgment, or sense of balance. If in doubt, call your physician for advice. Page 92

What are the primary forms of business organizations?

Sole proprietorship, General partnership, Limited partnership, Limited liability company (LLC), Limited liability partnership (LLP), corporation

To what extent, if any, may state governments regulate the routes served and rates charged by airlines?

State governments are free to regulate commerce, as long as state rules do not conflict with federal law or unduly burden interstate or foreign commerce

You are opening an aircraft repair station that will inspect, repair, and modify customer's aircraft, proving necessary parts in the process. The business has its own hangar, where the work will be performed, and offices including a reception area and pilot lounge for customer along one side of the hangar. The business will not own or operate any aircraft. What insurance coverages will the business need?

State law requires that the company provide workers' compensation and unemployment compensation insurance. Also definitely needed are airport liability insurance, including both premises liability and hangar keeper's liability (including in-flight hangarkeeper's); products liability insurance for completes work operations and parts supplied; and excess liability. Loss of license insurance or a prepaid legal service plan for the aircraft maintenance technicians and inspectors would be nice benefit, but not necessary.

You are an auto mechanic by profession and own an airplane that is certified under a standard category airworthiness certificate. You desire to install an auxiliary fuel tank in the aircraft to enable you to fly nonstop to visit your kids at college, but were stunned by your FBO's quoted price to obtain a certified tank and instal if for you under an FAA form 337. You have a fuel tank that's the right size, although it isn't FAA certified, and you know enough about fuel systems to install it and make it work. What are the possible legal consequences if you succeed?

Such modification would constitute an FAR violation subjecting you to FAA certificate action or civil penalties, and would invalidate the aircraft's airworthiness certificate. Operating the aircraft without a valid airworthiness certificate would also be an FAR violation and, because the aircraft's standard category airworthiness certificate during those operations. Furthermore, operating the aircraft with the unapproved fuel tank installed would be a federal felony under 49 U.S.C 46306(b)(9) punishable by imprisonment for not more than three years, a fine, or both and permitting Customs to seize and forfeit the aircraft.

You are the director of maintenance for a regional airline. You are informed by one of the company's mechanics that she has just discovered that one of the company's aircraft has overflown the time it was due for performance of an FAA Airworthiness Directive (AD) by almost 100 hours. What will you do? Why?

Take immediate action to perform the AD before the aircraft flies again and report the violation to the FAA immediately (before they learn about it from another source), so that the company may be able to persuade the FAA to resolve the matter by issuance of a Letter of Correction instead of enforcement action under the provisions of the Air Carrier Reporting and Correction Program.

You are the manager of an FBO. A customer purchases a new airplane through your airplane through a written security agreement signed by the purchase, obtain a security interest in the aircraft though a written security agreement signed by the purchaser, and files that security agreement with the FAA Aircraft Registry and the International Registry. Later, the customer has your shop install upgraded avionics, including a full "glass cockpit" set of multifunction displays (MFD) integrating flight, navigation, engine, and sensor data. b) If the aircraft owner went bankrupt at that point ( when the work has been done, the bill has not been paid, and the FBO still has the aircraft), who will be paid first from the sale of the aircraft, the FBO or the bank? Why?

The FBO, because a possessory lien had priority over all recorded security interests.

In a corporation, what decisions do shareholders, board of directors, and corporate officers typically make? b) What decisions do the board of directors typically make?

The board of directors elects its own officers, typically hires the CEO, sets corporate policy, and makes major business decisions.

What is the power of eminent domain ?

The power of eminent domain is a government's right to take private land and easements for a public use, even if the landowner does not wish to sell.

What right does the holder of a security interest have that other creditors do not?

The right to take possession of the property subject to the security interest, without first resorting to judicial process, if the underlying debt is not timely paid.

A group of local pilots are discussing airport security. One of them expresses the opinion that airline security at the local airport is a big joke as it was before 9/11. "It's those same morons who couldn't get a job flipping burgers, doing the same job they did before, only in different uniforms," he says. "Plus, the whole program assumes that a terrorist is just going to get in line and go through security screening like everybody else. It would be a piece of cake for a terrorist to put on a pair of blue coveralls like the ramp workers an airliner without anybody challenging him. Fred, why don't you get your video camera and let's go over there and do that and get it on videotape. We'll give the tape to the TV station, and when they show that on the news, somebody will have to get serious about security at the airport." b) The group agrees to execute the plan. At this point, has a crime been committed?

There is now an agreement. If they intend to carry it out (which it appears they now do), that completes the crime of conspiracy in some, but not all, states. Some states, along with the federal government , require that there also be some overt act in furtherance of the plan to make it a criminal conspiracy.

It is a snowy and bitterly col winter day in Cleveland when the commuter airline flight from Montreal, Canada, pulls up to the gate. As the international passengers are walking across the ramp form the airliner to the terminal building, one of them slips on an icy patch and suffers an injury. Is the airline liable for this passenger's injury? Why? Are there any artificial dollar limits on that liability?

These are international passengers, and both the U.S. and Canada have ratified the Montreal Convention, and the passenger has not yet reached a safe place within the terminal, so the airline is (1) strictly liable for the first 100,000 SDRs of proven compensatory damages if it cannot prove itself free from any fault that caused the injury, but (3) not for punitive damages under any circumstances.

A catering truck rolls into a parked airliner, damaging the fuselage and pressure vessel to the extent that it will require a major repair before flight. b) The passanger have not begun to board the aircraft at the time of the collision, but the flight crew is aboard preparing the aircraft for departure when the collision occurs. Is the airline required to notify any government agency of this occurrence? Explain.

This is a much closer question and the answer is not certain. Arguably no notice would be required because the occurrence was not "associated with the operation of an air craft." But some persons, " the flight crew," had boarded with aircraft with the intention of flight when the aircraft received substantial damage. Under these circumstances the better practice would probably be to call the nearest NTSB field office, advise them of the mishap, and see if they want to treat it as an accident requiring a written report.

What did Congress intend to accomplish by enacting the "Hoover Bill"? Do you think it worked?

To provide a check against possible abuse of the emergency authority of the FAA. Although the vast majority of the emergency cases reviewed by the NTSB under the Hoover Bill procedure found no abuse, attorneys' opinions differ on whether this indicates that such abuse is rare or that the NTSB is simply rubber-stamping abusive FAA actions.

Which agency of the U.S. government is responsible for the day-to-day screening of airline passengers, baggage, and cargo?

Transportation Security Administration (TSA)

What federal agency is responsible for assuring the coordination and sharing of intelligence relating to threats against transportation?

Transportation Security Oversight Board

In a corporation, what decisions do shareholders, board of directors, and corporate officers typically make? a)What decisions do shareholders have the right to make?

Typically, the only decision the shareholders have the right to make is to elect the board of directors.

Compare and contrast the vicarious liability of the federal government for the consequences of torts committed by its employees with the same liability of employers in the private sector

Under the Federal Tort Claims Act, the federal government faces the same vicarious liability as an employer in the private sector for the consequences of torts committed by its exceptions that the government is not liable if: a) The injury occurred in a foreign country b) The claim arose out of wartime combat activities c) The person who was killed or injured was at the time engaged in an activity incident to his or her military service d) The negligence occurred while employee was performing a discretionary function e) For intentional torts

What are the sources of the FAA's authority to regulate airspace use and flight safety?

We, the people, though the commerce clause of the constitution of the United States, gave Congress the exclusive right to regulate interstate and foreign commerce, and Congress delegated the portion of that authority relating to air travel to the FAA through the Federal Aviation Act of 1958.

What is inverse condemnation?

When a landowner files a lawsuit seeking court order determining the same activity of a government has already taken a property right in the landowner's property and seeking to obtain payment of just compensation for that taking, the case is called an inverse condemnation case.

Does the National Transportation Safety Board (NTSB) have any aviation responsibilities not relating directly to aircraft accidents? If so, describe.

YES, the NTSB also serves as the first level of appeal in cases where the FAA has taken enforcement action to suspend or revoke a certificate or impose a fine.

A group of local pilots are discussing airport security. One of them expresses the opinion that airline security at the local airport is a big joke as it was before 9/11. "It's those same morons who couldn't get a job flipping burgers, doing the same job they did before, only in different uniforms," he says. "Plus, the whole program assumes that a terrorist is just going to get in line and go through security screening like everybody else. It would be a piece of cake for a terrorist to put on a pair of blue coveralls like the ramp workers an airliner without anybody challenging him. Fred, why don't you get your video camera and let's go over there and do that and get it on videotape. We'll give the tape to the TV station, and when they show that on the news, somebody will have to get serious about security at the airport." c) Fred goes home, get his video camera and blue coveralls, and meets some of the others at the old gate. At this point, have any crimes been committed? Explain.

Yes (everywhere), conspiracy (to enter an airport area in violation of security requirements [49 U.S.C. 46314]), because we now have an agreement, with intent to carry it out, and overt acts in furtherance of the plan.

Can state and local governments regulate flight operations? Explain.

Yes, A state or local government may adopt and enforce only reasonable, non arbitrary, and non disrriminatinatory rules (which may include noise limits) governing the use of a public airport owned by that government, and only as long as these rules do not conflict with the federal regulation of air traffic or impermissibly burden interstate or foreign commerce. Otherwise, state, regional, and local entities are preempted from attempting to regulate the flight of aircraft.

If the government takes private property under its power of eminent domain, is it required to pay of it? If so, how much?

Yes, The government must pay the landowner just compensation for the property taken. Just compensation is determined by one of the following methods: (1) In a condemnation case, by the appraised fair market value of the property taken; or (2) In an inverse condemnation case, by the difference between the appraised fair market values of the property immediately before and after commencement of the property immediately before and after commencement of the government activity found to have resulted in the taking of some right in the property.

Can the FAA both require you to submit to reexamination and suspend your certificate for the same FAR violation? Why?

Yes, because reexamination is not for purposes of punishment, this does not violate the constitutional prohibition against double jeopardy.

You are the manager of an FBO. A customer purchases a new airplane through your airplane through a written security agreement signed by the purchase, obtain a security interest in the aircraft though a written security agreement signed by the purchaser, and files that security agreement with the FAA Aircraft Registry and the International Registry. Later, the customer has your shop install upgraded avionics, including a full "glass cockpit" set of multifunction displays (MFD) integrating flight, navigation, engine, and sensor data. a) Do you have the right to require the customer to pay the bill for the equipment and installation in full before you release the aircraft back to the customer? Explain.

Yes, because the FBO has a possessory lien for the equipment installed and the labor expended to install it, giving it the right to require that the bill be paid in full before the aircraft is released to its owner.

You are flying a large jet transport and experience a failure of one of the four turbine engines. No one is injured, and you are able to make a successful emergency landing. b) The failure was catastrophic and uncontained, causing a turbine wheel to emerge from the side of the engine cowling, penetrating and lodging in the fuselage. Now are you required to notify any government agency of this occurrence? Explain.

Yes, because the debris departed from the side of the engine, this is one of the enumerated incidents requiring you to notify the NTSB

A group of local pilots are discussing airport security. One of them expresses the opinion that airline security at the local airport is a big joke as it was before 9/11. "It's those same morons who couldn't get a job flipping burgers, doing the same job they did before, only in different uniforms," he says. "Plus, the whole program assumes that a terrorist is just going to get in line and go through security screening like everybody else. It would be a piece of cake for a terrorist to put on a pair of blue coveralls like the ramp workers an airliner without anybody challenging him. Fred, why don't you get your video camera and let's go over there and do that and get it on videotape. We'll give the tape to the TV station, and when they show that on the news, somebody will have to get serious about security at the airport." d) While Fred was gone to get his video camera, another member of the group telephoned the TV station and spoke to investigative reporter Rex, telling him about their plan. Rex expressed the opinion that it was a wonderful idea, enthusiastically ancouraged them to go ahead with it, and promised to broadcast their video in a news special on problem with airport security. Has Rex committed any crimes? Explain.

Yes, by prompting, encouraging or inciting the conspirators, Rex has committed the crime of aiding and abetting the group's crimes.

Approaching an airport to land, at about 1,000 feet above ground level (AGL), an airliner suddenly rolled inverted, entered a vertical dive , and dove straight into the ground. There were no survivors. The NTSB is unable to determine the probable cause of the crash. IS there any way for survivors of the passengers who were killed to prevail in litigation? If so, against whom? Explain

Yes, depends on the theory of liability. Consider tort theory under Res ipsa loquitur (literally, "the facts speak for themselves")

If you are involved in an aircraft accident causing injuries to other people or damage to their property and you are convicted or an FAR violation in connection with that accident, will that conviction have any effect on the outcome of a civil lawsuit against you for negligence? Explain

Yes, if the FAR that you violated was intended to prevent this type of accident and the violation was a cause of the accident, then you would be found negligent as a matter of law (negligence per se). If an FAA finding of the violation has already become final that finding may be used in a subsequent civil trail to prove negligence. This is known as the doctrine of res judicata (the matter is decided). Page 111 If not, the judge or jury may take the FAR into account and make a finding in the civil trial whether the regulation was violated. In either case, such a finding of negligence as a matter of law based upon an FAR violation is called negligence per se (negligence as such).

You are operating a regional airliner. On takeoff roll, you observe a small general aviation aircraft beginning to cross you runway ahead. You apply full braking and full reverse thrust, successfully aborting the take off and stopping short of the other aircraft. Are you required to notify any government agency of this occurrence? Explain.

Yes, runway incursion involving an air carrier that require immediate corrective action to avoid a collision are one of the enumerated incidents that require you to notify the NTSB.

Congratulations! You have neem hired as a new assistant manager for a Fixed Base Operator (FBO). You learn that the business treats its aircraft salespersons, flight instruction, and aircraft mechanics as independent contractors. You ask your boss why and are told: "It saves us having to do all the paperwork and bear the extra expense of withholding payroll taxes and having to pay for workers' compensation insurance and unemployment compensation insurance premiums, and it keeps them from getting any ideas about joining a union." Do you think there is something wrong with that? Reply thoughtfully and in detail, as a model manager would.

Yes, several aspects of this working arrangement should be cause for concern. First, the payroll taxes: Since the IRS has the benefit of hindsight review, if any of these workers fail to pay their income taxes, the IRS may later determine that the person was actually an employee and require the business to pay that person's income taxes, plus interest and penalties. Second, state law requires employers to pay workers' compensation and unemployment compensation insurance premiums, and workers' compensation insurance is really a great benefit to the FBO because if an insured employee is killed or injured on the job, then he (or his survivors) would be legally barred from suing the FBO. But if the employer doesn't have that insurance, he (or his survivors) could sue the business. It's really pretty cheap protection, as insurance goes, and is unwise for the FBO to not carry it.

You are the manager of an FBO. A customer purchases a new airplane through your airplane through a written security agreement signed by the purchase, obtain a security interest in the aircraft though a written security agreement signed by the purchaser, and files that security agreement with the FAA Aircraft Registry and the International Registry. Later, the customer has your shop install upgraded avionics, including a full "glass cockpit" set of multifunction displays (MFD) integrating flight, navigation, engine, and sensor data. c) In initial discussion over the price of the equipment and installation, the customer indicates that she wants to buy the unit and have your shop install it, but she wouyld like to pay the price for the equipment and installtion in three equal monthly payments, rather than all at once. This is acceptable to you. Is there anything you can require as a condition of releasing the aircraft back to its owner before the debt is paid in full to protect the FBO's security interest in the aircarft for this installation? If so, describe.

Yes, the FBO can have the aircraft owner sign a promissory note for the amount due and a security agreement granting the FBO a security interest in the aircraft as security on the promissory note. The FBO should record this security interest with the FAA Aircraft Registry in Oklahoma City immediately after execution.

You are an air traffic controller employed by the FAA. An Aircraft crashes in your operational sector, and an attorney for persons injured in the crash sues you personally for negligence, claiming that the instructions you gave the pilots caused the crash. Will the U.S. Attorney help you? How?

Yes, the U.S. Attorney will file a motion with the court substituting the United States for you as defendant in the case and will defend the case in the name of the United States. The federal government will pay any resulting settlement or judgment, so that you will have no personal exposure to liability, That does not mean, however, that you are immune from appropriate disciplinary action by your employer.

Can an airline use its tariffs to limit its potential liability to passengers or shippers? If so, describe:

Yes, the airline can use its tariffs two ways to limit its potential liability to passengers and shippers: It can (1) set a dollar limit on its liability for loss or destruction of domectiv baggage and cargo and (2) impose private statutes of limitation setting reasonable deadlines that may be significantly shorter than the public statutes of limitation provided by state law for such customers to submit their claims and file suit after the injury or death of domestic passenger or the loss, damage, or destruction of domestic cargo.

A young computer hacker has figured our how to hack into the airport's computer-controlled runway and approach lighting system. he decided to show what incompetent jerks the airport's IT workers are by taking control of the system and turning off the light from time to time when aircraft are approaching to land at night. Assuming no accident results, could this mischief lead to criminal charges? Explain.

Yes, under 49 U.S.C. 46308, this would be felony interference with air navigation, punishable by imprisonment for no more than five years, a fine, or both.

You receive a letter from the FAA requesting that you submit to a rather extensive and expensive batter of the psychological and psychiatric tests to determine whether you are an alcoholic. a)Are you required to comply? If you comply, who is responsible to pay for these tests?

Yes, you are required to submit additional medical information upon the FAA's reasonable request, at your own expense. Page 94

You have failed the color-vision test during your examination for an aviation medical certificate. Is there another procedure by which you may still be able to obtain an aviation medical certificate? If so, explain.

Yes, you may demonstrate your ability to an FAA inspector from the Flight Standards District Office (FSDO) in a test leading to a statement of demonstrated ability (SODA). The test will usually consist of distinguishing between the colors of light gun signals flashed from the airport control tower.

Acting on a tip, Law enforcement officers in a major U.S. city take into custody a person believed to be one of the perpetrators of the massacre at Lod International Airport in Israel. Does the U.S. have jurisdiction to try the suspect in U.S. courts for this crime? Explain

Yes. 18 U.S.C. 37 provides U.S. Jursisdiction over a person who unlawfully and intentionally uses a device, substance, or weapon to perform an act of violence against a person at an airport serving international civili aviation, causing serious bodily injury or death.

You receive a Notice of Proposed Certificate Action signed by an FAA attorney notifying you that the FAA believes you have violated one or more FARs and intends to suspend your certification for 180 days. A form is attached that offers you the opportunity for an informal conference with the FAA attorney. a) What is the Purpose of an Informal Conference?

a) The purpose of an informal conference is to try to reach a settlement agreement. You have the opportunity to explain the violations, although informal, it is all on professional matters.

You are a U.S. Airline Pilot, and you are arrested for an alcohol or drug-related traffic offense. a) Are you required to report the arrest to the FAA? If so, to whom and when?

a) Yes, on your next application for an aviation medical certificate to the FAA Civil Aviation Security Division in Oklahoma City. Page 93

You are an aircraft mechanic with airframe and powerplant (A&P) ratings. You work the night shift at a shop that does a high volume of inspection and maintenance on a wide variety of general aviation aircraft. You are awakened at home at 8:00am by a phone call from a person who identifies herself as an FAA inspector and ask "Did you perform a left wing repair on the Cessna N7173M?" a)What will you reply why?

a)"Why do you ask?" Unlike the pilots in the preceding questions, you may have no idea why this inspector is calling you. Take this opportunity to find out, without responding to whatever he may tell you. Then, say something like: "Inspector, I feel that it would be prudent for me to consult with my attorney before answering your questions. If you'll give me your phone number I'll get back in touch with you as soon as I've had the opportunity to talk with my attorney." Anything else you say could be used against you as evidence in an enforcement case to suspend or revoke your certificate for an alleged FAR violation.

You are a U.S. Airline Pilot, and you are arrested for an alcohol or drug-related traffic offense. b) If the arrest leads to your conviction of a drug- or alcohol-related traffic offense, are you required to report the conviction to the FAA? If so, to whom and when?

b) Yes, to the FAA Civil Aviation Security Division in Oklahoma City no later than 60 days after the conviction and to your AME on each subsequent application for an aviation medical certificate. Page 93.

You are an aircraft mechanic with airframe and powerplant (A&P) ratings. You work the night shift at a shop that does a high volume of inspection and maintenance on a wide variety of general aviation aircraft. You are awakened at home at 8:00am by a phone call from a person who identifies herself as an FAA inspector and ask "Did you perform a left wing repair on the Cessna N7173M?" b)What else will you do? Why?

b)Assuming that the inspector's answer to your opening question indicates a possible accident, FAR violation or other problem, consult your attorney for advice. The earlier you involve your attorney, the more cost-effective his advice can be in controlling the consequences of your mistake. Be sure to file an Aviation Safety Report form with NASA (maintenance personnel can file them, too), and mail or submit it online within 10 days of the incident. If the FAA initiates an enforcement case, presentation of the receipt showing that this report was timely filed may entitle you to immunity from sanction. Thus, even if the FAA does issue an Order of Suspension, you would not be required to stop exercising the privileges of your certificate unless the violation was shown to have been intentional

You receive a Notice of Proposed Certificate Action signed by an FAA attorney notifying you that the FAA believes you have violated one or more FARs and intends to suspend your certification for 180 days. A form is attached that offers you the opportunity for an informal conference with the FAA attorney. b) Can statements you make at the informal conference later be used by the FAA as evidence against you?

b)NO, The FAA cannot use statements you make at the informal conference to prove its case against you at a subsequent NTSB hearing on appeal. If, however, you tell a different story when you testify in your defense at the NTSB appeal hearing than you told at the informal conference, the FAA attorney can bring out your prior inconsistent statement for the purpose of impeaching your credibility. (For example, if at the informal conference you admitted that you were the pilot-in-command but denied committing the violation, then at the hearing testify that it couldn't have been you because you were somewhere else that day, the FAA attorney could bring out your prior inconsistent statement to cause the judge to doubt your truthfulness.)

You are a U.S. Airline Pilot, and you are arrested for an alcohol or drug-related traffic offense. c) You receive a letter from the FAA requesting that you submit to a rather extensive and expensive batter of the psychological and psychiatric tests to determine whether you are an alcoholic. Are you required to comply? If you comply, who is responsible to pay for these tests?

c) Yes, you are required to submit additional medical information upon the FAA's reasonable request, at your own expense. Page 94

You receive a Notice of Proposed Certificate Action signed by an FAA attorney notifying you that the FAA believes you have violated one or more FARs and intends to suspend your certification for 180 days. A form is attached that offers you the opportunity for an informal conference with the FAA attorney c) If the informal conference does not lead to the resolution of the case, what will be the FAA's next move?

c)The FAA will go ahead and issue an Order of Suspension or Revocation, as originally proposed.