Category Archives: Blog

Transport Canada Launches TC AIR App: New Aviation Document Booklets Application Process

Transport Canada has launched TC AIR, its first-ever mobile app, designed to simplify the application process for Aviation Document Booklets (ADBs). This new digital service will enable student pilots, pilots, flight engineers, and air traffic controllers to apply for a new ADB or renew an existing one quickly and conveniently, all through their mobile devices. […]

How do tariffs Affect Business Aviation

Background On the afternoon of Saturday, February 1, 2025, the Trump Administration announced sweeping tariffs on virtually all Canadian goods imported into the US (pursuant to the “Executive Order”), triggering Canada’s announcement of corresponding tariffs on American goods being imported to Canada (“Order in Council”). On February 3, 2025, following Canada’s commitments on border measures, […]

Resolving the Ambiguities surrounding the Canadian Luxury Tax: Insights on Application and Exemptions

Canadian Luxury Tax

Canada’s federal legislation on luxury items, the Luxury Items Tax Act (the “Act”), was introduced in the 2021 Federal Budget and came into effect on September 1, 2022. The Act imposes a tax on aircraft, calculated as the lesser of:  The tax applies at the time of sale, importation, or lease of eligible aircraft, with […]

New Liability Limits MC99

Effective December 28, 2024, the International Civil Aviation Organization (ICAO) has implemented increased liability limits for international air carriage under the Montreal Convention, 1999. The Convention deals with the liability of carriers in cases of passenger death and injury, flight delays, and lost, damaged, or delayed baggage and cargo shipments. This article provides an overview […]

Special Aviation Exemptions Issued to Ensure Critical Holiday Operations

ATTENTION, ATTENTION! In a holiday season twist, Transport Canada Civil Aviation and Transport Canada Aviation Security have officially granted Santa Claus some special exemptions from the Canadian Aviation Regulations (CARs) and Canadian Aviation Security Regulations, ensuring his gift-delivery operations run as smoothly as a freshly polished sleigh. Here’s the festive breakdown: RVSM airspace is a […]

Simplifying Airspace Operations: Understanding AC 700-039 Issue 03 and RVSM Requirements

Transport Canada has recently released the third issue of Advisory Circular (AC) 700-039, dated February 29, 2024, focusing on the “Requirements to Obtain Reduced Vertical Separation Minimum (RVSM) Specific Approval.” This crucial document aims to guide air operators through the process of acquiring the necessary approval to conduct flights within RVSM-designated airspace, ensuring safer and […]

Negotiability of APU

The Role of APU and Engine Borescope Inspections in Aircraft Purchase Agreements The negotiability of APU (Auxiliary Power Unit) and engine borescope inspections represent a key issue when negotiating an aircraft purchase agreement. While some parties may assert a market standard, the truth is that practices vary widely in the realm of aircraft transactions when […]

Navigating Spare Parts in Aircraft Purchase Agreements

When it comes to acquiring an aircraft, understanding the intricacies of the aircraft purchase agreement is pivotal to ensuring a smooth transaction. Among these complexities, the inclusion of spare parts in aircraft purchase agreements often emerges as a critical point of negotiation. This guide aims to shed light on the importance of detailed inventory requirements […]

Technical Arrangement – Maintenance Between Canada and Brazil

The Technical Arrangement – Maintenance (TA-M) between Transport Canada Civil Aviation (TCCA) and Brazil’s National Civil Aviation Agency (ANAC), effective February 5, 2024, signifies a major development in aviation law, showcasing an international commitment to enhancing aviation maintenance cooperation. This agreement reflects the culmination of efforts to streamline and elevate maintenance and safety standards between […]

MSP Agreements in Aircraft Purchase Transactions

Here are some of the legal and practical reasons why disclosing the MSP agreement is neither market standard nor appropriate. Disclosure of MSP Agreements in Aircraft Purchase Transactions In aircraft purchase agreements, it is commonplace for such agreements to contain covenants whereby the aircraft seller “assigns” all of its rights under the MSP Agreements to […]