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July 24th, 2014 by Michelle M. Wade

Corporate inversions implemented to reduce corporate taxes are a hot topic.  Congress recently held hearings on the corporate tax code.  Could this tax issue affect the corporate jet?

If your company is involved in a cross-border merger or acquisition, where over 25% of the company will be owned by individuals or entities which do not meet the FAA’s definition of US citizen, then you need to talk with your business aviation lawyer about whether your US-registered aircraft is still validly registered.

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July 2nd, 2014 by Kali M. Hague

Thinking of operating an aircraft in a sole purpose company to minimize liability? Think again. One of the most frequestly violated FAA regulations is also one of the most well-known, but misinterpreted, provisions.

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June 25th, 2014 by Lori N. Edwards-McGee

When purchasing a new aircraft, or making a change in the operating structure, often the last items to be considered are the FAA Letters of Authorization (LOA) for operations. For years the operator specific nature of the LOAs has gone unnoticed by the FAA, and the business aviation industry. Ongoing confusion led to the persistant belief that a single LOA, or use of a charter operator’s authorizations, was sufficient for the aircraft. This assumption is inaccurate and aircraft owners and operators need to reevaluate their LOAs.

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May 30th, 2014 by Michelle M. Wade

Aviation is a highly regulated industry requiring constant monitoring. The FAA, IRS, State Department of Revenue and other governmental agencies all have laws, rules and regulations governing your aircraft and how it is owned and operated. Staying informed is critical. Focusing exclusively on taxes, on Federal Aviaiton Regulations (FARs) or on perceived liability shields creates problems.

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April 24th, 2014 by Kali M. Hague

Insuring your aircraft is substantially more complex than insuring your home or vehicle. Failing to understand insurance agreements is a surefire way to violate existing aircraft agreements or invalidate insurance coverage. Before you sign an insurance contract, make sure your insurance protects you.

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April 9th, 2014 by Kali M. Hague

Thinking of operating an aircraft in a sole-purpose company to minimize liability? Think again. One of the most frequently-violated FAA regulations is found in one of the most well-known, but misinterpreted, provisions. As a general rule, Federal Aviation Regulation (FAR) Part 91 operators may not charge or accept reimbursement for flights. Owners and pilots forget that the regulation is not limited to unrelated third-parties.

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February 17th, 2014 by Lori N. Edwards-McGee

Aircraft transactions should never be initiated without support from a trusted advisor. When attempting to purchase and register aircraft, resist the temptation to guess how to complete the required FAA forms. The process is not intuitive and many of the requirements that will delay a closing are not contained in the regulations.

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February 11th, 2014 by Kent S. Jackson

SMS is essentially a quality management approach to controlling risk. Corporate lawyers tend to obsess about potential liabilities associated with aircraft, so they should love SMS.

Except that they don’t. Lawyers also fear records. They hate having information that can be subpoenaed, especially if there is no clear regulatory requirement to retain the records. Corporate counsel for Part 121 and Part 135 air carriers learn to live with these records because a carrier can utilize voluntary disclosure programs to avoid or minimize enforcement action following self-discovered mistakes.

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January 2nd, 2014 by Phil Crowther

Where an employee, or a guest of an employee, uses an aircraft for personal transportation, the fringe benefit rules generally require the employer to treat the value of such personal use as additional compensation to the employee. In the case of aircraft, the rules governing the calculation of these amounts are fairly complex and the rates change from year to year. Here is our annual refresher.

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January 1st, 2014 by Kent S. Jackson

Earlier this year on a red-eye flight from China, I had the pleasure of sitting next to a highly intoxicated and unusually talkative German. As the sun rose and breakfast was served, the flight attendant cheerfully passed him another Guinness. He was happy. She was happy. I was not. Was the FAA?

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