The pilot reported that, before the helicopter tour flight, passengers had been briefed, but still attempted to take cell phones onboard without "a case". He then supplied the cases and attached them to the passengers wrist. During the flight, while at approximately 100 knots, the right side passenger extended her cell phone, in the case, outside of the cabin into the airflow. The cell phone and case, minus the strap, departed the helicopter and impacted the tail rotor.

The helicopter sustained substantial damage to the tail rotor.

The pilot reported that there were no preaccident mechanical failures or malfunctions with the helicopter that would have precluded normal operation.