DOT Solicits Feedback On Air Charter Recommendations

The National Air Transportation Association recently submitted its comments, solicited by the Department of Transportation, on what constitutes a suitable disclosure to air charter customers. NATA was reacting to an Advance Notice of Proposed Rulemaking published by the DOT that sought such comments on the issue.

The DOT, in turn, was reacting to the NTSB's list of recommendations on the nature and timing of disclosures to air charter customers, according to the NATA. The NTSB's recommendation list includes requiring charter operators to disclose information to customers including the names of any brokers involved in the transaction, the aircraft owner, and the ultimate air carrier if that differed from whom the customer initially contracted.

Overall, NATA says it supports the DOT's efforts to provide additional guidance on permissible and prohibited actions when conducting brokering activities.

The association endorsed a clear standard whereby the name of the air carrier with operational control over a flight is disclosed to the consumer, but opposed a requirement to disclose the name of an aircraft owner, calling it "unnecessary because it would only hamper clear understanding by the charter customer."

"Adoption of this recommendation would impede clarity for the consumer by falsely leading to a belief that the aircraft owner is 'in charge' or otherwise responsible for operations when, in fact, the opposite is true," the comments explained.

NATA also warned the DOT to allow flexibility in determining how and when the disclosure occurs due to the unique nature of the industry.

"For some time the industry has been seeking guidance from the DOT on acceptable business practices so as to ensure uniformity in transactions and avoid potential enforcement action," NATA President James K. Coyne (below) stated.

"NATA's members believe that now is the appropriate time for the DOT to communicate effectively how its existing regulations and policies apply to the brokering of on-demand air charter," Coyne concluded.

FMI: www.nata.aero