Skip to Main Content

Aircraft Dry Leases: What is a Dry Lease? Why are Dry Leases used? Why “fuel” has nothing to do with “dry”!!

Aircraft Dry Leases: What is a Dry Lease? Why are Dry Leases used? Why “fuel” has nothing to do with “dry”!!

NAFA member Amanda Applegate, Partner at Soar Aviation Law, shares her latest article on Aircraft Dry Leases.

Under Part 91 of the Federal Aviation Regulations (“FARs”), an aircraft owner generally cannot receive payment when someone uses their aircraft. The regulations state there can be no compensation for hire. That does not just mean cash, but it also includes non-monetary considerations such as tickets to a game, a nice bottle of wine, trades, or any other form of consideration.

When an aircraft is operated under Part 91 rather than a Part 135 charter certificate, the FARs intentionally limit how the aircraft can be used and what compensation can be obtained. As a reminder, the operating rules for Part 91 are much different than Part 135. Part 91 was created for when an owner was flying for their own purpose and not for use by someone else for payment. As a result, Part 91 has fewer safety restrictions. For example, under Part 91 there are no (i) flight time limits or specific rest rules; (ii) mandatory percentage safety buffers for runway calculations and (iii) onsite weather reporting requirements at the destination airport.

Read full article here

This article was originally published by Soar Aviation Law on October 8, 2026.