Informal Avionics Testing Found Not to Violate FAR 61.113(a)

A private pilot who installed her company’s avionics in her personal aircraft and provided feedback on the avionics’ performance was found not to have violated FAR 61.113(a), which prohibits private pilots from carrying passengers or property for compensation or hire.  In a recent response to a request for legal interpretation, the FAA determined that because the private pilot was not compensated for testing the avionics or for providing feedback on the avionics’ performance, and because she did not conduct her flights at the direction of her company, she was not carrying passengers or property for compensation or hire as proscribed by FAR 61.113(a).

Because every situation is unique, any determination regarding whether a private pilot could potentially violate FAR 61.113(a) should be made with the assistance of an experienced aviation attorney.

Borrowing an Airplane Could Confer a Benefit Amounting to Compensation

In a recent opinion, the FAA Office of the Chief Counsel reiterated the agency’s broad interpretation of 14 C.F.R. 61.113, which governs the compensation of private pilots for flight activities.  The requestor posed a hypothetical situation where an aircraft owner would loan his airplane to a private pilot friend and require the friend to only pay for the cost of fuel actually used by the friend.  The FAA noted that under this scenario, the owner failed to charge his friend the actual pro rata cost of operating the aircraft (including maintenance and incidentals), instead only requiring his friend to purchase fuel.  Therefore, the FAA concluded that the friend received some financial benefit by avoiding the full cost associated with his operation of the aircraft which could violate the regulatory prohibition on private pilot compensation.

It is important for private pilots to remember that monetary benefits which violate 14 C.F.R. 61.113 encompass more than just the receipt of cash.  To avoid possible enforcement actions, pilots should consult with an experienced aviation attorney before entering into financial or quid pro quo arrangements involving the operation of aircraft.