Exam 2 Flashcards
What is a tort?
Act or admission that causes injuries to other persons
What is negligence?
Failing to do an act that a reasonably careful person would do to protect others from harm
Doing an act that a reasonably careful person wouldn’t do under the same circumstances
What does the sudden emergency doctrine state?
Law recognizes that the stress imposed by an in-flight emergency situation may interfere with human decision making
What does the assumption of risk doctrine state?
Relieve others of legal responsibility where it’s proven that the injured person
- knew and understood the risk involved
- voluntarily and freely chose to incur that risk
After how many years can a GA manufacturer no longer be sued?
18 years or if otherwise specified by a state
What’s the best way to avoid getting sued?
Do it right the first time
Far more aviation businesses have failed as a result of poor business practices than from poor aviating
True
What do you call the owner of a corporation?
Share holder
What’s a sole proprietorship?
Owned by a single individual
What are the duties to employees?
Workers compensation insurance Unemployment compensation insurance Pay agreed wages Withhold payroll taxes Provide a safe place to work
Who benefits from workers compensation insurance?
The employer
Why is workers compensation insurance more beneficial to the employer?
Employee can’t sue the employer
Who will show up if you don’t pay your taxes?
IRS
What are the basic principles underlying all insurance?
Spreading the risk
Minimizing the risk
What’s liability insurance?
Pays for injuries to others in the A/C, persons and property on the ground
What are the two distinct types of A/C coverage?
Liability
Hull
What can hull coverage cover?
All risks
All risks while not flying
All risks while not in motion
What are the typical purposes of use?
Pleasure and business Industrial aid Limited commercial Commercial except instruction or rental Commercial Special uses
What’s covered under pleasure and business?
Pleasure flying
Personal flying in regards to the insured’s business, excluding any operation for which a charge is made
What’s covered under industrial aid?
Includes pleasure and business as well as the transportation of your business buddies (excluding any operation for hire)
What’s covered under commercial except instruction or rent?
Includes pleasure and business, industrial aid as well as carrying cargo or pax for hire
What’s covered under limited commercial?
Includes pleasure and business, industrial aid, flight instruction and rental but not carrying cargo or pax for hire
What’s covered under commercial?
Covers every kind of operation
What’s covered under special uses?
Higher level of risk (firefighting, banner and glider towing, fish spotting, crop dusting, pipeline control, medivac)
Is it desirable to have an FAR violation exclusion clause on the insurance?
No
What’s an exculpatory contract?
An agreement between aircraft / airport operator and a participant
Participant agrees not to sue the operator if the participant is killed or injured during the operation
What operations need an exculpatory contract?
Operations that can’t be insured (e.g. skydiving)
When is an exculpatory contract appropriate?
- Operation is not a common carrier operation
- Law doesn’t require operator to have liability insurance
- Insurance is not available
What kind of care does the airline have to have?
Highest degree of care
What’s the airlines liability for the injury or death of a passenger under the Warsaw Convention?
$8,300
What’s the airlines liability for the loss or destruction of cargo under the Warsaw Convention?
$16,50 per Kg
When does an airline not have to pay for international air cargo claims?
Airline took all possible measure to prevent cargo loss Pilot or navigational error Shipper's contributory negligence An act of God, war, or state Nature of the goods caused the damage
How are the airlines required to deliver the notice to passengers under the Warsaw Convention?
Physical paper ticket 10-point type Good-quality paper Good-quality ink Excellent printing press Delivery in a timely and proper manner
When did the sovereign immunity get thrown out?
1946
Under what circumstances can you not sue the government?
Geographic limitation
Combatant activity
Activities incident to military service
Discretionary function
Does a NASA report protect you in case of an accident?
No
You are not required to report accidents or incidents to the FAA nor are you required to notify the NTSB of every mishap.
True
Who and when are you required to notify the NTSB?
The operator of a civil A/C
Notify the nearest NTSB field office immediately and by the most expeditious means
What’s an A/C accident?
An operation of an A/C which takes place between the time any person boards the A/C with the intention of flight
Person(s) suffer death or serious injury
A/C receives substantial damage
What’s a serious injury
Requires hospitalization for more than 48 hours within 7 days from when the injury was received
Results in the fracture of any bone (except simple fractures)
Causes severe hemorrhages, nerve, muscle or tendon damage
What’s substantial damage?
Damage or failure which adversely affects the structural strength, performance, or flight characteristics of the A/C
Requires major repair or replacement of the affected part
When are you required to notify the NTSB?
Flight control system malfunction / failure Crew member can't perform duties Turbine engine damage In-flight fire A/C collision in flight Damage to property exceeding $25,000 Overdue A/C Release of a prop blade Damage to helicopter blades A/C ops where the airplanes lands not on the rwy Rwy incursion Flickering of more than 50% of the cockpit displays
What factors does the IRS use to determine if you’re an employee or contractor?
Is required to comply with company instructions about the work
Has been trained by the company
Is integrated in the company’s general business operations
Must render services personally
Uses assistance provided by the company
Has a continuing relationship with the company
Is required to work a set number of hours
Must work full-time
Works on the company’s premises
Must perform work in preset sequence
Must submit regular work progress reports
Is paid by the hour week or month
Is reimbursed for business and travel expenses
Uses company tools and materials
Has no significant investment in the facilities that are used
Has no risk of loss
Works for only one company
Doesn’t offer services to the public
Can be discharged by the company
Can quit without incurring liability
Are operations under special flight permits insured?
No
What do you have to do to keep your A/C insurance current?
Prevent accidents!
Protect the policy
Renew your policy
