DOT Regulations For Brokers

DOT Regulations For Brokers

As of February 14, 2019, the Department of Transportation implemented a new ruling for aircraft charter brokers. Exclusive Air, Inc. is pleased to comply with the rules that include many of our practices that were already in place.

Exclusive Air, Inc. is now required to disclose three items in all transactions.

  1. The name of the direct air carrier including DBAs.
  2. The capacity in which the broker is acting in the transaction.
  3. The coverage of liability insurance by the broker.

Exclusive Air, Inc. works as the agent of the client and will continue to provide the names of the air carriers and our insurance information.

If requested, the broker is required to provide the following items before the contract is signed.

  1. If the broker has any relationship with the direct air carrier that has a bearing on selection of the direct air carrier.
  2. Total cost of the charter including taxes but there is no requirement to itemize.
  3. Any fees that the customer must pay directly to third parties and a good faith estimate of the amounts.

The broker is also required to provide updates concerning charges or pricing in a reasonable time of the broker’s knowledge.