14 CFR Part 295: the US rules for air charter brokers

Single entity charter generally means the client charters the whole aircraft for a specific trip, as opposed to buying a seat on a published schedule. If your US client contract is for exclusive use of an aircraft on a defined itinerary, assume Part 295 is in play until counsel confirms otherwise.

Brokers outside the US still encounter Part 295 when the sale, payment, or marketing targets US charterers or US segments. Pair this page with operator vetting: Part 295 does not replace checking Part 135 authority and insurance.

Foreign indirect air carrier capacity matters when non-US entities sell into the US market. Label capacity correctly on bilingual templates if you serve international clients.

An indirect air carrier typically contracts with the passenger and holds itself out as providing transportation, often using a direct air carrier to perform the flight. A bona fide agent acts for the charterer or carrier in a more limited agency role. Your operator agreements and client terms should match the capacity you disclose.

Mismatch between disclosed capacity and how you invoice, collect tax, or sign contracts is a common audit and dispute trigger. Align broker–operator back-to-back terms with the client-facing disclosure block.

See also how private jet brokers make money for how capacity interacts with markup versus commission language.

Training materials for new hires should include one page on capacity with examples of client-facing language approved by counsel. Improvised email wording causes more disclosure drift than pricing errors.

• §295.24(a)(1): Corporate name of the direct air carrier in operational control, plus any other name it uses in business.
• §295.24(a)(2): The capacity in which you act (indirect air carrier, foreign indirect air carrier, or bona fide agent).
• §295.24(a)(6): Whether you carry liability insurance covering charterers and passengers, and applicable limits.

Electronic delivery is permitted when it meets the rule’s timing requirements. Build these fields into every US client quote pack before e-signature. Do not rely on post-booking emails that arrive after the contract is already signed.

Operator identity disclosure does not replace showing the client who will fly them. It formalises what diligent brokers already did: name the certificated operator that holds operational control before money moves.

If the operator uses a DBA, include both legal name and DBA in the §295.24(a)(1) disclosure. Clients search FBO boards using marketing names.

Insurance disclosures require a truthful yes or no about broker liability cover. If yes, state limits you actually carry; do not paste operator limits into broker fields.

• §295.24(a)(3): Relationships with the carrier that may bear on its selection, when you act as the charterer’s agent.
• §295.24(a)(4): Total cost, including broker fees, carrier charges, and government taxes and fees.
• §295.24(a)(5): Upon charterer request, disclose the existence of any fees and their amounts collected by third parties, if known (or a good-faith estimate if not known), including fuel, landing fees, and aircraft parking or hangar fees the charterer will pay directly. Source: 14 CFR §295.24.

Keep RFQ logs and operator replies so relationship disclosures are factual. If you routinely receive incentives from an operator, understand how that must be described when acting as the charterer’s agent.

Prepare a standard appendix that itemizes taxes and third-party fees so you can respond within hours, not days, when clients request §295.24(a)(4) detail.

Build a pre-contract checklist for US trips: carrier identity verified against the operator’s certificate, capacity matches contracts, insurance statement matches your policy or truthful negative statement, and total cost lines match the signed quote.

If the operator substitutes aircraft or carrier entity after contract, re-open disclosures when the operating carrier in control changes. A last-minute tail swap without updated disclosure is high risk.

DOT enforcement and private litigation both use email timestamps. Send disclosures as part of the contract packet and retain read receipts or e-sign audit trails where available.

Audit marketing monthly: remove “our fleet” language unless you truly operate as a certificated carrier. Use “we arrange charter on certificated operators” instead.

Franchise and network marketing sometimes blurs roles. If you are an independent broker using a brand, the ad still must not suggest you hold operational control.

See finding charter clients for honest broker identification in search and social copy.

Paid search ads must identify broker status in the ad copy or landing page above the fold—audit mobile rendering, not only desktop.

Your client contract should define what a “complete” refund request includes (written form, bank details, reference numbers) without contradicting Part 295 timing. Align operator refund obligations in the back-to-back contract.

§295.26 requires prompt refunds when transportation cannot be performed or refunds are otherwise due, as required by 14 CFR §374.3 and 12 CFR part 226 for credit-card purchases, and within 20 days after a complete refund request for cash and check purchases. Source: 14 CFR §295.26.

Train client service staff on refund documentation requirements so incomplete requests do not reset the 20-day clock unintentionally.

• Selling transportation you know cannot be performed under applicable law.
• Misleading charterers about who holds operational control or who is the carrier.
• Failing to honour disclosed pricing or fees without a permitted basis.
• Other practices DOT enumerates in §295.22—read the current section rather than relying on summaries.

Pair this section with illegal charter flights. Grey charter schemes often collide with §295.22 because the broker knew or should have known the flight lacked proper authority.

Participating in a charter you know lacks Part 135 or foreign equivalent authority intersects with §295.22 prohibitions and personal reputation risk.

NBAA’s Part 295 FAQ discusses operator-as-broker scenarios. When an operator offers a partner’s aircraft, confirm which entity holds operational control on the day of flight and which certificate covers the aircraft.

When your supplier is a Part 135 operator brokering another operator, ask who will appear as direct air carrier in operational control on the day of flight. Chain arrangements fail when assumptions differ.

Example — not legal advice. Operating carrier: [Legal name and DBA of Part 135 direct air carrier in operational control]. Broker capacity: [Indirect air carrier / bona fide agent]. Broker liability insurance: [Yes/No — limits if yes]. Total price: [All-in amount with taxes and fees named]. Request additional §295.24 disclosures in writing before signing.

Store the signed disclosure with the contract PDF. If you deliver quotes by email, include the block in the email body and attachment so timing is auditable.

Manual workflows use merge fields in a document template. CRM and quoting tools should expose the same fields explicitly—do not hide carrier identity in internal notes only.

Version-control your disclosure block in the same Git or document folder as client terms so marketing updates do not drift from legal templates.