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An operation results in $600 of damage to a neighbor's fence. The remote pilot pays for the repair privately. Is a report still required?

Part 107 exam practice question · Regulations · Part 107

An operation results in $600 of damage to a neighbor's fence. The remote pilot pays for the repair privately. Is a report still required?

  • Yes; the threshold is the damage, not the settlement
  • BOnly if the neighbor asks for a report to be filed
  • CNo, a private settlement satisfies the requirement
  • DNo, provided the neighbor signs a written release

Explanation

Understanding the question

The reporting requirement in Part 107 is triggered by what the operation caused, not by how the parties afterward arranged matters between themselves. Damage exceeding $500 to property other than the unmanned aircraft, valued at repair cost or fair market value, obliges the remote pilot to report to the FAA within 10 days, and a $600 fence sits above that line. Paying for the repair is a civil settlement between neighbours; it resolves the liability question and has no effect on the regulatory obligation, which exists so the FAA has visibility of how and where these events occur. Nor can the affected party waive it — the requirement runs to the FAA, not to the neighbour, so a release or an expressed lack of interest changes nothing. Understanding this cleanly matters, because the instinct to settle quietly and move on is exactly what turns a reportable accident into an enforcement problem.

Why the correct answer is correct

The reporting trigger is more than $500 of damage to property other than the aircraft, so a $600 fence is reportable regardless of how the parties settled the cost privately.

Background

Part 107 requires reporting to the FAA within 10 days of an operation causing serious injury, loss of consciousness, or more than $500 damage to property other than the aircraft, valued at repair cost or fair market value.

You Owe the Report to the FAA

You Owe the Report to the FAA, not to the neighbour. Paying for the fence settles one debt, not the other.

Exam tip

Ten days is the deadline, and repair cost or fair market value is the valuation basis — the lower of the two where both apply.

Common mistakes

  • Treating a private settlement as satisfying the requirement
  • Accepting a written release as a waiver of the obligation
  • Counting the aircraft's own damage toward the threshold

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