Renting/ Cost sharing and 100hr inspection

AdamZ

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Adam Zucker
I found a guy at my field that may let me use his plane. His concern and I can't blame him is that he does not want to subject the plane to 100 hour inspections. Some $ would switch hands ie for Mx. Not sure if it would be an hourly rate monthly fee etc. Something in my head tells me there is a way to do this without the 100 hr requirment. I'm sure the question has been asked and answered here before but I can't find it.

How would we go about this, call it cost sharing? Putting me on his insurance policy as a named insured? Will this this accomplish it?
 
Well, just make sure you're not "renting" the plane, and it won't require 100 hour inspections!! :D

Actually, if you get named on his insurance (not really required for it to work) and you are simply using his plane, without paying him to use it, then you're ok.

Watch for the same thing worded much more eloquently by Ron Levy about 4 posts down....
 
Another way is that if his plane is owned by any sort of corporate entity, you can buy a share of that corporation (maybe for a dollar), and then be entitled to use the company plane and reimburse the company an agreed-upon amount for operating costs. Essentially you become a co-owner, although it's a teeny weeny tiny piece.
 
or you can buy candy bars from him. then he just lets you use the plane.
 
Adam,

When I was considering the lease arrangement I'm currently in, I was also concerned about the 100 hr rule. I checked with AOPA, and this is what they said:

Referencing "the FARs explained", leasing an
airplane is not "for hire". If pilot services were provided in the lease,
then yes. If instruction was given (excludes me hiring a CFI for checkouts
and proficiency) or persons or cargo carried for hire, the 409b applies.
Just leasing the airplane from the LLC does not.

An FAA friend spoke with their legal staff and agreed with the above interpretation.

Kaye
 
It seems to me that if you're only reimbursing him for expenses (fuel and the MX value of hours flown) he's not making a profit, so the 100 rule shouldn't apply.

BTW....what make/model?
 
I found a guy at my field that may let me use his plane. His concern and I can't blame him is that he does not want to subject the plane to 100 hour inspections. Some $ would switch hands ie for Mx. Not sure if it would be an hourly rate monthly fee etc. Something in my head tells me there is a way to do this without the 100 hr requirment. I'm sure the question has been asked and answered here before but I can't find it.

How would we go about this, call it cost sharing? Putting me on his insurance policy as a named insured? Will this this accomplish it?

Adam - As long as he's not your instructor, you don't need 100-hours. An FBO can rent planes without 100-hours as long as they do not provide instruction if I understand the rule correctly.
 
Adam - As long as he's not your instructor, you don't need 100-hours. An FBO can rent planes without 100-hours as long as they do not provide instruction if I understand the rule correctly.

OK, it appears that I am correct. (Thank you for the opportunity to learn, Adam... Nothing like FAR-digging. ;))

Here's what you want (emphasis mine):

14 CFR 91.409 said:
§ 91.409 Inspections.

(b) Except as provided in paragraph (c) of this section, no person may operate an aircraft carrying any person (other than a crewmember) for hire, and no person may give flight instruction for hire in an aircraft which that person provides, unless within the preceding 100 hours of time in service the aircraft has received an annual or 100-hour inspection and been approved for return to service in accordance with part 43 of this chapter or has received an inspection for the issuance of an airworthiness certificate in accordance with part 21 of this chapter. The 100-hour limitation may be exceeded by not more than 10 hours while en route to reach a place where the inspection can be done. The excess time used to reach a place where the inspection can be done must be included in computing the next 100 hours of time in service.
 
While it's true that just renting a plane does not trigger the 100-hour requirement, whether or not a profit is made is not an issue in any FAA regulation -- only whether money is changing hands. They don't care how much, or whether you make a profit or not, just that money is being paid.
 
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