The Goldwater Institute is suing the Federal Aviation Administration for shutting down a start-up business that uses the Internet to connect private pilots with passengers wanting to share travel plans and flight expenses.
The FAA has allowed cost-sharing arrangements between private pilots and passengers since the 1960s, but in the past people shared costs through word of mouth, by phone or by posting notes on bulletin board in airports, among other methods.
But the agency has shut down Flytenow, a company that wants to expand on the trend popularized by Uber and Airbnb, in which consumers connect directly with people who have goods or services to sell. In this case, passengers would pay only a share of the fuel and fee costs sustained by the pilot.
The FAA earlier this year decided posting a planned trip on a website was advertising and subjected the private pilots to the same regulations as those who fly for commercial airlines.
A Goldwater attorney calls it a classic case of government overreaction to new technologies and innovative ideas.
They’re asking for the FAA to update its regulations to get in line with the times.