07/06/201 0 15:1 3 FA X 202493514 2 FA A + DM S @l001/00 5

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# mni m Tnlh e Matte r

o f ^-'b^^p-V Q DOCKE T DIAMOND AI

RCHARTER , INC . FA A Docke t No . 20 1 OEA

l 1000 8 (Civi l Penalt

y Proceeding ) Administrativ e La

w .ludg e (No t

ye t assigned ) ANSWE RAND AFFTRMATTVE DEFENSE S

1 COME S NOW , Diamon dAi r Charter , Inc. , b y an drhrougl i undersigne dcounsel , an dhereb y llie. s it s Answer , pursuan t to Rul e 20 9 o f

the Rule s o f

Practic e (1 4 C.F.R . §13.209) . I n suppor

t thereof . Diamon dAi

r Charter , Inc. , state s th e following : ANSWE R I I 1 . DIAMOND AI RCHARTER , INC . adnnil s th e allegation s containe di n paragrap h 1 o f th e Complaint . 2 . DIAMOND AI RCHARTER , INC . lack s knowledg e o r informatio n sufficient

t o for mabelie f a s t o th e trut

h o r falsit y o f th e allegation s containe di n paragrap h 2 o f th e Complain t

an dtherefore , denie s sam e an ddcmand. s stric t

proo f thereo f 3 . DIAMOND AI RCHARTER , INC . denie s th e allegation s containe din paragrap h 3 o f th e Complaint . 4 . DIAMOND AI

RCHARTER , INC . denie. s th e allegation s containe di n paragrap h 4 o f th e Complaint .07/0B/201 0 15:1 4 FA X 202493514 2 FA A ^ DM S 0002/00 5

5 . DIAMON D AI RCHARTER , IMC . denie s th e alleeation s containe di n paragrap h 5 o f th e Complaint . Il l 6 . DIAMOND AI

RCHAR'IER , INC . denie. s tha t it violate d1 4 C.F.R . § 119.5(k) . I V 7 . DIAMOND AI

RCHARTER , INC . denie s tha t pursuan t t o 4 9 U.S. C §4630 1 (a)(1 ) i

t i s liabl e fo

r acivi l penalty no t

t o excee d$25,00 0 fo

r eac h o f the violation s alleged , or , pursuant t o or 4 9 U.S.C . §46301(a)(5) , it i s liabl e fo

r acivi l penalt y no t t o excee d$11,00 0 fo

r eac h o f th e violation s alleged . 8 . DIAMON D AI RCHARTER , INC . denie s tha t under th e fact s an dcircumstance s o f thi s case , acivi l penalt

y o f $1,10 0 i s appropriate . 9 . An y matter

no t specificall y admitte db

y DIAMON D AIRCHARIER , INC . shal l b e deeme ddenied . AFFIRMATIV E DEFENSE S 1 . DIAMOND AI

RCHARTER , INC . relie s upo n th e alTirmativ e defens e o f reasonabl e reliance . 2 . I n determinin g th e civi l penalt y amount , th e Complainan t ha s faile dt o conside r (1 ) th e natur e andcircumstance s o f the violation ; (2 ) th e exten t an dgravit

y o f th e violation ; (3 ) th e respondent' s degre e o f culpability ; (4 ) th e respondent' s hisioir y o f prio r violations , i f

any : (5 ) th e respondent' s abilit y t o pa y th e civi l penalty ; (6 ) th e effect o n th e entity' s abilit

y to sta y i n business ; an d(7 ) othe r matter s a. s justic e ma y require . Se e 4 9 IJ-S.C . §46301(e)(2) ; See als o Folsom' s Ai r Service . Inc. . FA A Order No . 2008-1 1 (November

6 , 2008) , p . 11 .07/0G/201 0 15:1 4 FA X 202493514 2 FA A + DM S [g|003/00 5

3 . In dctemiinin g th e civi l penalt y amount , th e Complainan t ha s faile dt o determin e whether th e violatio n wa s inadverten t or deliberate . 4 . In determinin g th e civi l penalt y amount , th e Complainan t ha s faile dt o conside r th e Respondenf. s size , particularl y i n determinin g th e allege doffcnder'. s abilit y to absor b th e sanction . 5 . Th e propose dcivi l penaltj ' fail s t o reflec t th e totalit y o f th e circumstance s surroundin g th e violations . See Fohom' s Air Service , Inc. , FAA Orde r No . 2008

- 1 1 (>Jovcmbe

r 6 , 2008) , p . 12 ; Easter n Air Cente r Inc. , FA A Order No . 200S- 3 (Januar y 28 , 2008) . 6 . DIAMOND AI RCHARTER , INC . doe s no t hav e th e iinanciai abilit

y t o pa y th e propose dcivi l penalty . 7 . Th e propose dcivi l penalt y woul dhav e adetrimental effec t on the ability o f DIAMOND AI RCHARTER , INC . t o continu e doin g business . 8 . Th e Federal Aviatio n Administration' s (FAA'S ) interpretatio n o f it s Federal Aviatio n Regulation s i n thi s cas e i s arbitrary , capricious , a n abus e o f

discretion , o r otherwis e no t

i n accordanc e wit

h law . See 5 U.S.C . § 706(2 ) (A) ; Watkin n v . NTSB , 17 8 F.3 d959 , 96 1 (8t h Cir . 1999) . 9 . Th e FAA' S interpretatio n o f it s aviatio n regulation s i s unconstitutionall y vague . See Thoma.'

i v . Himon . 7 4 F.3 d888 , 88 9 (8t h Cir . 1996) ; se e als o Tram ' State s Airline.^ . Inc . v . FAA , 43 9 F.3 d863 , 864-86 5 (8t h Cir . 2006) ; Heath v . SF.C , 200 9 U.S . App . LEXI S 2412 8 a t 53-55 .07/0G/201 0 15:1 4 FA X 202493514 2 FAA + DM S 0004/00 5

10 . Th e FAA' s applicatio n o f it s Federa l Aviatio n Regulation s i n thi s ca.se i s contrar y t o th e regulation' s plai n language . SceAdvant aUSA , Inc . v . Chao , 35 0 F.3 d726 , 72 8 (8t h Cir . 2003) , quotin g Gardehrin g v . Jenkim , 48 5 U.S . 415 , 430 , 10 8 S . Ct . 1306 . 9 9 L . Ed . 2 d51 5 (1988) . See als o Tran x State. s Airlin<;.s . Inc . v

. FAA ^ 43 9 F.3 d863 , 864-86 5 (8t

h Cir . 2006) . 11 . DIAMON D AIRCHARTER , INC . assert s tha t th e Complainan t

ha s faile dt o state aclai mupo n whic h the relie f requeste dma

y b e granted . 12 . DIAMOND AI RCHARTER , INC . assert s that th e Complainan t

lack s .substantia

l ba.si s i n la w an dfac t t o continu e prosecutio n o f thi.sj^t ^ agains t

it . Date dthi s 22"'

^ da y o f Jun e 2010 . ubmitted . S . WINTORESQ . itio n Law Fir

m ; h Court , Suite 45 0 Rockville , M

D 2085 0 Tel : (301 ) 294-855 0 Fax ; (.301)294-252 5 Grcg @ A viationLawExperts , co m Counse l fo r

Respondent07/0G/201 0 15:1 4 FA X 202493514 2 FA A + DM S 0005/00 5

CERTIFICATE O F SERVIC E I hereb y certif

y that I hav e thi s date serve db y regula r U.S . mail , postag e prepaid , a n origina l an don e (T

) cop y o f th e foregoin g Answer

an dAffirmativ e Defense s addresse d to : Attention : Hearin g Docke t Clerk , AGC-43 0 Wilbur Wrigh t Building-Suit e 2W100 0 Federal Aviatio n Administratio n 800 Independenc e Avenue , S.W . Room924 A Washington , D.C . 2059 1 I hereb y certif

y tha t 1 hav e thi s date sen

t vi afacsimil e iin

dfirst clas s mai l acop y o f

th e foregoin g Aiiswer

an dAffirmativ e Defense s addresse d Zachar y M . Bermaa , Esq . FAA Easter

n Region , AEA- 7 1 Aviatio n Plaza , Room56 1 Jamaica , N Y 1143 4 Tel : 71 8 553-325 8 Fax:71 8 533-569 9 Datedthi s 22'" ^ da

y o f Jun e 2010 . mitted .

GREGORY S . WINTON , ESQ . Th e Aviatio n Law Fir

m On e Researc h Court , Suit e 45 0 Rockville , MD 2085 0 Tel ; (301 ) 294-855 0 Fax:(301)294.252 5 Greg(5jAviationLawExperts.co m Counse l for

Respondent

t.a .