Regulation Text
(a) Upon the signing of an initial program management services contract, or a renewal or extension of a program management services contract, the program manager must brief the fractional owner on the owner's operational control responsibilities, and the owner must review and sign an acknowledgment of these operational control responsibilities. The acknowledgment must be included with the program management services contract. The acknowledgment must define when a fractional owner is in operational control and the owner's responsibilities and liabilities under the program. These include:
(1) Responsibility for compliance with the management specifications and all applicable regulations.
(2) Enforcement actions for any noncompliance.
(3) Liability risk in the event of a flight-related occurrence that causes personal injury or property damage.
(b) The fractional owner's signature on the acknowledgment will serve as the owner's affirmation that the owner has read, understands, and accepts the operational control responsibilities described in the acknowledgment.
(c) Each program manager must ensure that the fractional owner or owner's representatives have access to the acknowledgments for such owner's program aircraft. Each program manager must ensure that the FAA has access to the acknowledgments for all program aircraft.
Research Notes
Section 91.1013 — Operational control briefing and acknowledgment — requires the program manager to brief each owner on the operational control framework, and the owner to acknowledge understanding in writing.
The briefing requirement: Before the owner's first flight, the program manager must brief them on:
- What operational control means
- The owner's responsibilities (versus the program manager's)
- The legal and regulatory implications
- Insurance considerations
Written acknowledgment: The owner signs an acknowledgment that they understand operational control. The acknowledgment is kept in the program manager's records and provides FAA enforcement evidence that the operation was properly structured.
Reference: AC 91-37B Appendix; FAA Order 8900.1 Volume 4 Chapter 11.
Amendment History
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