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.

The unique regulatory, commercial and operational challenges of airport environments can be difficult to navigate. We provide tailored legal services to airports, airport tenants and aviation operators across a wide variety of airport-related matters.

We advise on:

• Airport contracts, representing airports, airport leasing tenants and financial institutions
• Negotiating and reviewing hangar leases and development agreements to ensure clarity and long-term viability
• Land use planning, construction projects and development rights on airport property
• Federal, provincial and municipal aviation regulations, including Transport Canada and airport authority requirements
• Representing airports and tenants in disputes related to leases, access rights, construction and regulatory enforcement
• Drafting and negotiating contracts for fueling, maintenance and other essential airport services
• Facilitating legal access to airport facilities and infrastructure, including taxiways, aprons and shared-use areas
• Commercial financing and federal and provincial funding agreements for airports
• Airport capital and infrastructure projects including capital markets platform creation and funding
• Development, review and implementation of regulatory compliant Drone programs for infrastructure inspection, wildlife control, security and asset tracking
• Adding or integrating eVTOLs and other advanced air mobility, AI and autonomous applications to airport management within the overlapping and ever-changing, existing regulatory frameworks

MLT Aikins has extensive experience advising aviation clients on mergers, acquisitions and joint ventures. Members of our team have represented airlines before the Canadian Competition Bureau, Transport Canada, and the Canadian Transportation Agency to secure approvals including:

• Negotiating transaction agreements
• Preparing filings for the agencies
• Collaborating with economic and industry experts to demonstrate the consumer benefits of the collaboration
• Supporting the parties with responses to requests for information
• Compliance with regulatory obligations following closing

Our litigators are at the forefront of disputes in the aviation industry – including those involving rapidly shifting legislation around drone operations or advanced air mobility (AAM) technologies.

We represent clients involved in contractual conflicts, insurance claims, regulatory enforcement actions, commercial litigation and liability matters arising from aircraft operations, remotely piloted aircraft systems (RPAS) and autonomous systems.

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
• Claims involving RPAS and autonomous systems
• Navigating claims while working closely with insurers and aviation regulators to resolve matters efficiently

Hydrogen-powered aircraft are at the forefront of innovation. We provide advice to assist manufacturers, operators, airports and investors navigate the evolving regulatory and commercial landscape of hydrogen aviation.

Our team helps support our clients in the development of hydrogen fueling stations, storage facilities and related infrastructure on airport property. We provide guidance to address liability, operational risk and insurance coverage for hydrogen-powered aircraft and ground operations. We assist with drafting and negotiating supply contracts, maintenance agreements, and operational leases tailored to hydrogen aviation. As this technology develops, our clients rely on our legal insight and experience to help them succeed.

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 in Canada, with complex requirements at both domestic and international levels. Rapid changes to, and increased usage of, RPAS and AAM only adds to that complexity. We help clients navigate evolving aviation regulations, ensuring compliance within Transport Canada, the FAA, ICAO and other governing bodies.

We advise on:

• Competition law matters related to the implementation of joint ventures and code share agreements, pricing and marketing decisions
• 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
• RPAS operation rules and regulations

We offer strategic tax advice tailored to the aviation sector, including emerging technologies such as drones and AAM. Our team helps clients structure aircraft and RPAS transactions to optimize tax efficiency while ensuring compliance with federal and provincial tax laws. Whether you’re acquiring a drone fleet or investing in AAM infrastructure, we guide you through the tax implications of ownership, leasing and cross-border operations.

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.

Our securities team supports aviation innovators – including drone operators and AAM developers – in navigating capital markets and regulatory filings. We advise on private placements, public offerings and disclosure obligations for companies advancing autonomous flight technologies. With deep experience in aviation finance, we help clients secure funding while maintaining compliance with securities regulations across jurisdictions.

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 offer forward-looking strategic counsel to aviation businesses looking to expand into drone services and AAM solutions. From scaling RPAS operations to launching urban air mobility platforms, our lawyers help clients identify key growth opportunities, structure partnerships and manage risk. We work closely with startups and established players to align legal strategy with business objectives in this rapidly evolving sector.

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