Regulations

To be eligible to operate over human beings under Category 3, the sUAS must meet a means of compliance (MOC) and be listed on a current Declaration of Compliance (DOC) with the FAA and display a label on the sUAS indicating Category 3 eligibility

14 CFR Part 107 does not apply to model aircraft that meet the criteria in 14 CFR 101.41, amateur rockets, moored balloons or unmanned free balloons, kites, operations conducted outside the United States, public aircraft operations, and air carrier operations.

A conviction for the violation of any federal or state statute relating to the growing, processing, manufacture, sale, disposition, possession, transportation, or importation of narcotic drugs, marijuana, or depressant or stimulant drugs or substances is grounds for suspension or revocation of a Remote Pilot Certificate with an sUAS Rating.

The remote pilot application must be submitted to a FSDO, a DPE, an airman certification representative for a pilot school, a CFI, or other person authorized by the Administrator to process the application.

This scenario is not compliant with Part 107. You may not operate over non-participants without safe cover and you may not drop objects in a manner that creates a hazard.

Owners must register the sUAS if it is greater than 0.55 pounds, less than 55 pounds, and operated under the provisions of Part 107 which regulate commercial sUAS operations.

The remote PIC is ultimately responsible for identifying hazards and taking appropriate action (or intervening when another person is manipulating the controls) to ensure the safety of the flight.

A refusal to submit to a test to indicate the percentage by weight of alcohol in the blood, when requested by a law enforcement officer, or a refusal to furnish or authorize the release of the test results requested by the Administrator, is grounds for denial of an application for a Remote Pilot Certificate with an sUAS Rating for a period of up to 1 year after the date of that refusal; or suspension or revocation of a Remote Pilot Certificate with an sUAS Rating.Answer (A) is incorrect because the remote pilot applicant could be denied application for up to 1 year after the date of refusal. Answer (B) is incorrect because the operator could risk having their remote pilot certificate suspended or revoked.

Report any sUAS accident to the FAA within 10 days if it results in serious injury, loss of consciousness, or repairs costing over $500.