25 Legal Questions about Fractional Ownership

1. How small an interest can I buy in a plane? (Is there any economy of scale in buying more or less of an interest?)
2. Am I better off buying two1/16th interests in two different planes rather than one 1/8th interest in one plane? (Economy of scale.)
3. Why is it so important to me that the plane and pilots be subject to FAR 91 instead of FAR 135?
4. What happens if one of the other fractional owners doesn't pay their share? Can their bank repossess the plane including my share?
5. Under the contract, can I fly the aircraft if I am licensed?
6. Suppose someone else is using my plane when I want to use it?
7. Suppose there are no more airplanes like mine available in the pool of airplanes - what happens?
8. How are my hours of usage calculated? Do they include "deadhead" time to get me to a destination or the time after leaving me off?
9. If the plane is damaged what do I do while it is being repaired?
10. Suppose the plane is damaged while another fractional owner is using the aircraft. Do I have any responsibility?
11. If the aircraft is operated negligently by one of the other owners, do I have any liability by virtue of being a fractional owner?
12. Will I be able to use my plane anywhere in the United States? How about Canada or Mexico or Europe?
13. Suppose I die. If I own the interest personally, who will inherit the right to use my interest?
14. Why are there so many documents?
15. How can I get out of the deal if I don't like it?
16. How much will it cost per year?
17. Can I get better terms?
18. If I buy an interest, will I have any license obligation to the FAA or any other government agency?
19. Can I lease if I don't want the depreciation?
20. How do I know the plane will be safe?
21. What can I put in the agreement to be sure of safety?
22. Can I get access to the plane to see if I'm going to like it?
23. Can I get a test flight?
24. What is the safety record of the people involved?
25. Who supplies the maintenance?

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