Commentary and analysis on Canadian aviation and travel law from the YYZ Law team.
September 15, 2026
On September 15, 2026, the Government of Canada, through the Department of Finance Canada, announced the proposed Productivity Mega Deduction, a major expansion of Canada’s capital cost allowance (“CCA”) regime intended to encourage business investment and strengthen Canada’s tax competitiveness. The proposal would allow most
By Ehsan Monfared, Shaul Gordon, Shakshi Shreya
Read more →May 12, 2026
By issuing Determination A-2026-31, the Canadian Transportation Agency (“Agency”) has introduced some crucial changes to how domestic and international air carriers shall comply with tariff-related obligations under the Canada Transportation Act (“CTA”) and the Air Transportation Regulations (“ATR”). Key Exemptions Granted The Determination provides two
By Shakshi Shreya, Ehsan Monfared
Read more →February 27, 2026
On February 20, 2026, the Supreme Court of the United States (SCOTUS) delivered a landmark decision in Learning Resources, Inc. v. Donald J. Trump, holding that the International Emergency Economic Powers Act (IEEPA) does not authorize the President to impose tariffs on imported
By Shakshi Shreya, Ehsan Monfared
Read more →February 20, 2026
Transport Canada Civil Aviation (TCCA) and the U.S. Federal Aviation Administration (FAA) signed Revision 2 of the Maintenance Implementation Procedures (MIP) on September 9, 2025. The revision becomes effective on January 7, 2026. The MIP provides the framework for reciprocal acceptance and recognition of
By Shaul Gordon, Ehsan Monfared
Read more →February 18, 2026
Foreign-registered aircraft are a common sight at Canadian airports, especially business jets and general aviation aircraft flying under U.S. registry. But are all of them operating within Canadian rules? Under Section 202.42 of the Canadian Aviation Regulations, a foreign-registered aircraft cannot be present in Canada for
By Shaul Gordon, Ehsan Monfared
Read more →January 31, 2026
Aircraft Certification Generally Aircraft certification in the United States is managed by the Federal Aviation Administration (FAA) and grounded in technical compliance with established safety standards. The approach to aircraft certification between the FAA and Transport Canada is largely the same, save for a few parts of the certification process where Transport Canada adopts the
By YYZ Law
Read more →November 6, 2025
2025 Federal Budget has proposed to eliminate the luxury tax on aircraft – a measure that has been widely criticized by the Canadian aviation industry since its introduction in 2022 under the Select Luxury Items Tax Act (the “SLITA”). Proposed Legislative Changes The Notice of Ways and Means Motion, tabled alongside Budget 2025, formally sets
By Ehsan Monfared, Shakshi Shreya
Read more →November 4, 2025
When an aircraft is sold in Canada, one often overlooked tax exposure is the recapture of previously claimed capital cost allowance (CCA) deductions. This hindsight can result in a significant and unexpected tax bill from the Canada Revenue Agency (CRA). Fortunately, there are strategic ways to minimize or even avoid this outcome – with proper
By Ehsan Monfared, Shakshi Shreya
Read more →August 18, 2025
Air Canada is set to cancel flights pre-emptively ahead of a potential strike this Saturday, which will affect travel plans, connecting flights, and summer getaways for hundreds of thousands of Canadians in the coming days. What does this mean for passengers? Below, we address some of the most frequently asked questions to help you understand
By Ehsan Monfared, Shaul Gordon, Shakshi Shreya
Read more →July 16, 2025
Each summer, wildfires sweep across Canada, putting countless communities at risk. Fighting these fires requires a swift and coordinated aerial response. Thankfully, many U.S. operators answer the call, dispatching aircraft and crew for aerial firefighting, medevac, and other critical services on short notice. If you’re a U.S.-based airplane or helicopter operator planning to fly into
By Ehsan Monfared, Shaul Gordon
Read more →July 16, 2025
In any aircraft transaction, whether you’re buying or selling a business jet, turboprop, or commercial airliner, a pre-purchase inspection (PPI) is a crucial step in the aircraft transaction management process. These inspections help uncover hidden issues that could impact the aircraft’s airworthiness, operability, or market value. More importantly, a structured inspection process—clearly defined in your
By Ehsan Monfared, Shaul Gordon
Read more →April 3, 2025
WHAT HAPPENED? February 1, 2025: US announced 25% tariff on all Canadian goods imported to US, excluding energy products which are subject to only 10% – effective February 4, 2025. Canada responded with a list of retaliatory tariffs equal to only $30bn and consultations for additional tariff measures on the remaining $125bn in US Imports
By Ehsan Monfared, Shakshi Shreya
Read more →March 5, 2025
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.
By Ehsan Monfared, Shakshi Shreya
Read more →February 18, 2025
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,
By Ehsan Monfared, Shakshi Shreya
Read more →February 4, 2025
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
By Ehsan Monfared, Shakshi Shreya
Read more →January 1, 2025
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
By Ehsan Monfared, Shakshi Shreya
Read more →December 23, 2024
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
By Ehsan Monfared
Read more →July 12, 2024
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
By Ehsan Monfared
Read more →May 22, 2024
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
By Ehsan Monfared
Read more →May 3, 2024
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
By Shaul Gordon, Ehsan Monfared
Read more →April 15, 2024
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
By Ehsan Monfared
Read more →March 26, 2024
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
By Shaul Gordon, Ehsan Monfared
Read more →March 1, 2024
What is an IDERA? IDERA, or Irrevocable Deregistration and Export Request Authorization, is a pivotal tool under Canadian Aviation Regulations and aviation law, particularly in the context of aircraft leasing and aircraft financing in Canada. This instrument was introduced as a remedy under Article XIII of the Aircraft Protocol to the Cape Town Convention, 2001
By Ehsan Monfared, Shakshi Shreya
Read more →February 9, 2024
Designed by Freepik ATTENTION ALL AIRCRAFT OWNERS, excluding those owning a remotely piloted aircraft with a maximum take-off weight of 25 kg (55 pounds) or less, or an ultra-light aeroplane. This notification marks the official reopening of the integral Annual Airworthiness Information Report (AAIR) portal and the commencement of the reporting cycle, which will extend
By Ehsan Monfared
Read more →November 24, 2023
We’re aware that as of two weeks ago, deregistration notifications from Transport Canada’s Canadian Civil Aircraft Register to the Federal Aviation Administration (FAA) have not been seamlessly received and accepted by the FAA. This was encountered by one of our non-Canadian clients during the course of an aircraft purchase early this week. It has become
By Ehsan Monfared
Read more →September 8, 2023
On August 30th, 2023, Air Canada confirmed that it would no longer offer non-stop flights from Calgary to Ottawa, Halifax, Los Angeles, Honolulu, Cancun, or Frankfurt as of the end of October 2023, due to ongoing fleet and crew constraints. The aviation industry’s long-standing concerns about the lack of a pipeline of qualified workers for
By Shaul Gordon
Read more →June 26, 2023
Congratulations on your decision to buy an airplane! Purchasing an aircraft is a significant investment. Here are a few reasons why involving a lawyer can be beneficial to ensure a smooth transaction: Legal Documentation: A lawyer can assist in the review and preparation of the necessary legal documents related to your purchase. This includes drafting or
By Shaul Gordon
Read more →March 3, 2023
The current inflationary environment diminishes lenders’ credit appetite for specialty items such as aircraft financing. This is especially the case for financing of bizjets which traded at records highs due to the demand created with travel restrictions combined with a buoyant economy. Lenders offered financing at up to 90% of the purchase price, extended amortization periods and
By Peter Greenway
Read more →March 3, 2023
With current inflationary pressures and a looming recession, as well as the recent runup in bizjet prices, the aircraft market is settling and there are better opportunities ahead. In addition to interest rate considerations if financing a purchase, the US exchange rate is a factor as aircraft, parts and other services are all denominated in
By Peter Greenway
Read more →January 19, 2023
To say that commercial aviation has experienced a rough couple of years since 2020 would be an understatement. Mass cancellations, endemic delays, widespread staff shortages and lingering wariness of potential COVID-19 exposure have put the aviation industry in the headlines for all the wrong reasons. This summer, Toronto’s Pearson International Airport was ranked the worst airport
By Ehsan Monfared
Read more →August 1, 2022
COVID-19 did little to deter private jet charter in and around Vancouver. The business has in fact grown substantially as post-COVID travelers weigh their options. Even with the prospect of an economic downturn, charter flights using small aircraft occur regularly at Vancouver’s international airport (CYVR) and Boundary Bay airport (YTD/CZBB). Vancouver is, moreover, unique in
By Adam Strombergsson
Read more →July 18, 2022
The federal government outlined a proposed new regulatory regime for air passenger rights. We speak to airline and travel lawyer Ehsan Monfared for his analysis on the compensations passengers could be entitled to. www.yyzlaw.com Source: CTV News Channel
By Ehsan Monfared
Read more →July 18, 2022
Russian Plane Pearson, As a Russian-owned Antonov An-124 “Ruslan” sits idle and unused at Toronto’s Pearson International Airport, a Canadian cargo broker is trying to make sure it stays grounded — even after Canada takes the jet off its no-fly list. “There’s concern that if it gets back into Russian hands, it could be very
By Ehsan Monfared
Read more →May 18, 2022
COVID-19 Pandemic and Business Jets Not all sectors of the aviation industry have suffered at the hands of the COVID-19 pandemic. Business jet ownership has become increasingly necessary as ever-changing government regulations, including restrictions on travel generally, have reduced the availability and ease of use of scheduled flights. Gulfstream G700 Article, If anything, the pandemic
By Ehsan Monfared
Read more →May 18, 2022
For the last few months, we have been trying to determine, for our numerous foreign business aircraft operators, which air carriers fall withing the scope of Transport Canada’s Passenger Protect Program (PPP). As we indicated in our April 1st blog, the confusion lay with the wording of the Secure
By Ehsan Monfared
Read more →April 1, 2022
Aircraft Registry Canada, The Canadian Aircraft Registry is operated by Transport Canada. Aircraft owned by Canadians – or based and primarily operated in Canada – must be registered under the Canadian Aircraft Registry. This requirement stems from obligations set out in the 1944 Convention on International Civil Aviation, also known as the Chicago Convention. Alternatively, aircraft
By Ehsan Monfared
Read more →April 1, 2022
Transport Canada (“TC”) is canvassing air carriers licensed by TC, both domestic and foreign, in regard to compliance with the Secure Air Travel Regulations, enacted under the Aeronautics Act. This circularization is labelled as the Passenger Protect Program, and is geared to the TC responsibility of passenger security in regard to passengers on aircraft operating into
By Ehsan Monfared
Read more →March 25, 2022
Prospective aircraft buyers are sometimes unsure of whether an aircraft purchasing agreement is necessary when acquiring an aircraft. Like many transactions, purchasing and owning an aircraft requires careful consideration of a variety of factors, such as: future resale value, regulatory compliance, applicable sales taxes, aircraft inspection and condition, title searches and lien status, insurance requirements,
By Shaul Gordon
Read more →March 17, 2022
In Budget 2021, the federal government proposed a tax on the sale of new luxury goods purchased for personal use, such as boats, cars, and aircraft (the Proposed Luxury Tax). Today they’ve updated their plans and have indicated that, subject to Parliamentary approval (which is all but certain), the proposed Canada Luxury Tax would come
By Shaul Gordon
Read more →August 22, 2020
Dear Sirs: Air Passenger Protection Regulations, YYZlaw is a successor law firm to a practise that in the early 1950’s commenced a focus on the aviation community in Canada. I am the third principal of that practise and I have been providing aviation regulatory oversight for over 40 years. YYZlaw continues that aviation and travel
By Ruth
Read more →August 22, 2020
Clark & Company Submissions Overview In May of 1984, the then Minister of Transport announced ” … the first comprehensive reform of Canadian air policy … “. focused on the domestic market. In that statement, he indicated that” … it has becoming evident that airline deregulation in the U.S. has delivered many important benefits, including
By Ruth
Read more →August 22, 2020
Regulatory Modernization Initiative Submissions September 6, 2017 INTRODUCTION Clark & Company is a successor law firm to a practise that in the early 1950’s, commenced a focus on the aviation community in Canada. William F. Clark is the third successor to that practise and he has been providing aviation industry regulatory oversight for over 40
By Ruth
Read more →August 22, 2020
February 13, 2017 Dear Sirs: Travel Industry Act Review: As outlined below, I have been a business law practitioner in Ontario for a considerable number of years, with our firm having an emphasis on the aviation and travel industries. The comments below are my personal comments from that experience. Background As a legal practitioner in
By Ruth
Read more →August 22, 2020
August 2, 2017 Dear Sirs: We apologize for not having met your July 24, 2017, requested deadline for commentary on the Phase II repo1t of your review of the Travel Industry Act. In our original submission of February 13, 2017, we indicated our concern that the review should focus on the virtual disappearance of the
By Ruth
Read more →August 15, 2018
Canada is rather unique in western aviation civilizations, as due to constitutional restrictions, it has not been able to enact a central aircraft title registry. However, Transport Canada (TC) is mandated by the Canadian Aviation Regulations (CAR’s) to establish a custody and control registry, which is called the Canadian Civil Aircraft Register (CCAR). Pursuant to CAR Standard 222,
By Joanne Rodriguez
Read more →June 22, 2018
Aircraft transactions are complicated processes that require detailed knowledge of aviation regulations, business practices, taxation of aircraft assets, and international law – knowledge that YYZlaw has been steadily building over many decades. These processes can be boiled down to three main categories of agreements: i) contracts of purchase and sale, ii) lease or finance agreements,
By Ehsan Monfared
Read more →May 2, 2018
With the rapid pace of development in the unmanned aerial vehicles (UAVs) sector and the consequent commercial opportunities that follow, entrepreneurs in this emerging industry stand to be among the next generation of great commercial innovators. Already UAVs, more commonly referred to as drones, are being put to work in an assortment of sectors including
By Ehsan Monfared
Read more →April 25, 2018
Aircraft Registration Canada Operating under the Cape Town Convention and Aircraft Protocol (CTC), the International Registry of Mobile Assets (IR) provides for the electronic registration and protection of ‘international interests’ in aircraft objects, namely airframes capable of transporting 8 or more passengers or goods in excess of 2750 kilograms, helicopters capable of transporting 5 or
By Ehsan Monfared
Read more →July 27, 2017
It has recently come to our attention that one American financial institutions acting as owner trustees for the purposes of aircraft registration under the United States FAA Aircraft Registry system, had begun denouncing their appointments as trustees and commencing the process for either transferring or collapsing the existing trust structures.BackgroundUnder the rules for registering aircraft
By Ehsan Monfared
Read more →June 29, 2015
For example, when the top of the Toronto’s CN Tower was lifted into place using a helicopter, it was carried out in accordance with and under the authority of an SFOC. To date, Transport Canada has reacted relatively swiftly in dealing with the rapidly expanding demand for commercial UAV operations. In addition to the two
By Ehsan Monfared
Read more →April 30, 2015
As the civilian drone industry begins down the long road of regulatory legitimization, Canada’s remote communities stand to be unique beneficiaries of the possibilities that this new technology represents. Back in 2010, I had the privilege of partaking in the Katimavik program – a community-service program that sent me to places in this country that
By Ehsan Monfared
Read more →October 29, 2014
We were recently consulted by a client concerning an aviation enforcement action that was being undertaken by Transport Canada. The Enforcement Officer alleged certain violations of the Canadian Aviation Regulations (CARs) on the basis of a report filed under the company’s Safety Management Systems (SMS). The pilot, who had filed the report, was the only
By Ehsan Monfared
Read more →October 30, 2013
We have received various inquiries from our international carrier community regarding several decisions of the CTA on consumer oriented issues. These have been decisions on overbooking, business names, refunds, tariff filings, overweight passengers, etc. At least Canada has not yet reviewed tarmac delays. All of these decisions, from our review, are in regard to domestic
By Joanne Rodriguez
Read more →August 30, 2012
Many of the international carriers for whom we have acted on their entry to the Canadian market, have been surprised that Canada has no regulatory standard regarding air carriers overbooking a flight, or on compensating passengers for delayed flights. The Canadian Transportation Agency (“CTA”) recently remedied that situation, but only in regard to Air Canada
By Joanne Rodriguez
Read more →August 1, 2012
TARIFFS Over the past few years, the Canadian Transportation Agency has developed a great concern that Canadians booking travel on air carriers, be made totally aware of the legal terms and conditions of the ticket. In the old paper days of tickets, abbreviated and common language terms and conditions were printed as one of the
By Joanne Rodriguez
Read more →June 25, 2012
Airplane Registration Canada Walk the ramps of any Canadian air field and you will find a significant percentage of aircraft, especially general aviation aircraft, under U.S. Registry. All of these aircraft are in Canada illegally – some more so than others! Most countries, Canada and the U.S. being included, restrict the registration of aircraft through
By Joanne Rodriguez
Read more →