Having read your cover story (Soaring to New Heights…Issue #292, October 2013) I found myself concerned that only part of the drone story had been told. While using drones is a creative and effective means to promote client properties, there is a substantial catch. Drones, such as the one featured, are classified as “aircraft” by Transport Canada, and therefore are governed by the Canadian Aviation Regulations and the Aeronautics Act. I can imagine your readers pausing to think, “It’s a model aircraft!” and they’d be right but only to a degree.

The regulatory distinction remains with the “purpose” of flying the drone. The Canadian Aviation Regulations (subsection 101.01(1)) define a “model aircraft” as “for recreational purposes”. The Act goes on to clarify recreational purposes as being “not for monetary gain or other forms of hire and reward.”  The Aeronautics Act defines hire and reward as “any payment, consideration, gratuity or benefit, directly or indirectly charged, demanded, received or collected by any person for the use of an aircraft.”  Furthermore, the Act states that once the “model aircraft” is launched for any reason other than recreational, it is considered an unmanned air vehicle (UAV). Therefore, once an ambitious and creative Realtor flies an UAV for marketing purposes, they require a Special Flight Operations Certificate (section 602.41).

This certificate is obtained by application to Transport Canada in a form and manner required by Special Flight Operations Standards. The application specifics can be complex and lengthy, involving such items as a complete description including pertinent flight data, of the aircraft flown, a security plan for the area flown, an emergency contingency plan and a detailed plan describing the operation, among other items.

Transport Canada requires an application for each flight and a minimum review period of 20 working days from submission. The application will require proof of insurance for a minimum of $100,000 of liability coverage, and in some cases the applicant will require a Radiotelephone Operations Restricted Certificate. UAVs are operated through radio frequencies, which are governed under the Radio Communications Act and licensed by Industry Canada. A large amount of information can be found on Transport Canada’s webpage at www.tc.gc.ca.

As one would anticipate, operating aircraft in violation of regulations can have substantial penalties. The Canadian Aviation Regulations (section 602.41) states an individual penalty in the amount of $5,000 and a corporation penalty of $25,000. Although we have not heard of a similar case in Canada, south of the border, the Federal Aviation Administration (FAA), having viewed an aerial video on YouTube from a small UAV, imposed a $10,000 fine to the unsuspecting individual.

However, as the benefits for UAVs for real estate marketing are clearly apparent, some individuals have ventured into businesses that have successfully navigated the Transport Canada application process and currently hold approval to film client properties; our firm has had the pleasure to work closely with businesses to achieve compliance.

Currently, Transport Canada has completed Phase One of a four-phase process to define and craft new regulations to address the rapidly emerging civil UAV market. It is anticipated that a category of “very light” UAVs will be defined, due to their inherent non-lethal qualities, and aircraft such as the one you featured will be deregulated. Hopefully in the near future, Realtors will be able to provide this increased marketing service to their clients without such substantial regulatory hoops. In the meantime, Realtors should only consider working with approved providers.