Aviation, Drones & Advanced Air Mobility (AAM)

Acquiring and managing aircraft requires careful planning to protect client investment and ensure compliance with aviation laws. We advise every step of the way, from structuring purchases and negotiating agreements to conducting due diligence on ownership history, maintenance records and regulatory compliance.

We provide:

• Efficiently structured transactions that minimize risk while addressing tax, financing and insurance considerations
• Strategic legal guidance on ownership structures, leasing arrangements, regulatory compliance and ongoing operational considerations – including Transport Canada regulations
• Tools to navigate complex regulatory and commercial issues, whether it’s for purchasing a private aircraft, managing a corporate fleet or working with charter operators

Aircraft acquisition and operation relies on securing the right financing and leasing structure for a clients’ needs. We assist in navigating the complexities of aircraft financing, whether it’s through traditional loans, lease structures or alternative funding arrangements.

We advise on:

• Secured lending, mortgage registration and tax-efficient ownership structures to help clients minimize risk and maximize value
• Negotiating, drafting and reviewing lease agreements, ensuring compliance with aviation laws and addressing key considerations such as maintenance obligations, insurance requirements and return conditions
• Strategic legal solutions to keep client aviation investments secure and operationally efficient

We assist clients in managing damage claims after an aircraft sustains significant damage or is declared a total loss, ensuring that they understand their rights and obligations under insurance policies, lease agreements and applicable aviation laws. Our team provides strategic advice on filing claims, negotiating settlements and pursuing litigation when necessary to recover losses.

Total loss claims often involve intricate liability issues, including manufacturer defects, maintenance failures, airspace incidents and/or operational errors. We work closely with insurers, aviation authorities and technical experts to conduct thorough investigations and determine the best course of action.

Our litigation team represents clients in disputes, including contractual conflicts, insurance claims, regulatory enforcement actions and liability matters arising from aircraft operations. Whether resolving disputes through negotiation, arbitration or litigation, we provide skilled counsel to protect our clients’ interests and achieve favourable outcomes.

We advise on:

• Contract disputes, representing airlines, lessors and financial institutions
• Aviation-related insurance disputes involving complex coverage issues, subrogation claims and indemnity obligations, among others
• Navigating claims while working closely with insurers and aviation regulators to resolve matters efficiently

The aviation landscape is evolving rapidly – from commercial drones and autonomous aircraft to electric vertical takeoff and landing vehicles (eVTOLs) and beyond. MLT Aikins is at the forefront of this revolution with experienced lawyers offering legal counsel specifically tailored to the drone and advanced air mobility (AAM) sectors.

With deep experience in aviation and drone regulations, litigation and technology law, our group includes the first lawyer in Canada to successfully appeal a drone-related case, which helped shape the future drone regulations. Today, our team advises clients ranging from established aviation enterprises, aerospace startups, industry manufacturers and service providers and corporations across all industries seeking to integrate aviation, drones and AAM into businesses.

Services offered

Commercial & litigation advice and representation

• Industry specific risk mitigation strategy development
• Policy development for drone and AAM technology across industries such as infrastructure, energy, agriculture and public safety, among others
• Contract drafting specific to industry regulations and risks
• Assessment of impact on data privacy, cyber, AI and other emerging regulations
• Review and negotiations with regulators to for preemption of regulatory disputes

Drone regulatory strategy & compliance

• SFOC applications (Special Flight Operations Certificate)
• RPAS registration, licensing and pilot certification
• Transport Canada CARs Part IX compliance
• Beyond Visual Line of Sight (BVLOS) and urban and rural RPAS operations
• Coordination with Nav Canada, Transport Canada and municipal authorities

Advanced air mobility (AAM)

• Stakeholder engagement and intergovernmental approvals
• Land use, zoning and noise regulation compliance
• Investment, partnerships and due diligence for AAM ventures
• Legal support for eVTOL certification and deployment
• Airspace integration and vertiport planning

Aviation is one of the most regulated industries, with complex requirements at both domestic and international levels. We help clients navigate the evolving landscape of aviation regulations, ensuring compliance within Transport Canada, the FAA, ICAO and other governing bodies.

We advise on:

• Various regulatory considerations, including on air operator certifications, maintenance and safety requirements and regulatory filings
• Administrative matters like licensing, permits and regulatory audits
• Regulatory challenges, enforcement actions and compliance strategy implementation to minimize risk and disruption

Aviation taxation is a complex and highly specialized area that requires careful planning to optimize financial outcomes and ensure compliance within domestic and international tax laws.

We provide:

• Strategic tax advice on aircraft acquisitions, leasing structure and operation tax obligations, helping clients minimize liabilities while staying within regulatory frameworks
• Assistance with sales tax, import duties and GST/HST considerations, ensuring transactions are structured efficiently
• A comprehensive understanding of cross-border implications, including withholding tax, corporate tax planning and treaty benefits for international aircraft owners and operators
• Tools to navigate the intricate tax landscape to maximize cost savings and protect investments.

Aviation businesses often require access to capital markets for growth, acquisitions and possible expansion.

We provide:

• Guidance on securities matters, including private placements, public offerings and regulatory compliance
• Advice on structuring investments, disclosure obligations and how to navigate securities regulations both in Canada and internationally
• Tailored legal solutions to support our clients’ financial and operational goals

We work with our clients to identify growth opportunities, whether through fleet expansion, strategic partnerships, mergers and acquisitions or entering new markets. Our team provides tailored legal advice to help aviation businesses scale while managing regulatory, financial and operational risks.

We advise on:

• Structuring joint ventures, negotiating contracts, securing regulatory approvals and optimizing tax strategies while ensuring that our clients have the legal foundation to support sustainable growth
• Navigating industry challenges, positioning clients for long-term success