Under the Federal Aviation Act of 1958, any conveyance that affects the title to, or any interest in, any civil aircraft of the United States must be acknowledged and recorded with the Administrator of the Federal Aviation Administration in the manner prescribed by statute. After such an instrument is recorded, it is valid as to all persons without recording and regardless of notice.
Documents relating to interests in aircraft are filed with the FAA Registry in Oklahoma City, Oklahoma. Documents must be signed in ink by the appropriate party (e.g. seller, grantor, lien claimant, etc.) or by someone on behalf of the appropriate party with a title acceptable to the FAA (President, Chief Manager etc.). The FAA Registry Examination Guidelines contain a list of titles that are acceptable to the FAA.
To be eligible for recording, an instrument granting a security interest in an aircraft must be signed in ink and describe the aircraft by manufacturer, model, serial number, and registration number. The debtor must be the registered owner of the aircraft; be the owner of record on the date the instrument is executed, as evidenced by documents on file with the FAA Aircraft Registry; or the lien document be accompanied by the debtors evidence of ownership/, application.
Arizona Aircraft Lease Agreement with Lessee to Supply New Engine in Exchange for Flight Hours and take a Security Interest in Engine refers to a contractual arrangement between an aircraft lessor and a lessee located in Arizona, where the lessee agrees to provide a new engine for the aircraft in exchange for a predetermined number of flight hours, while the lessor retains a security interest in the engine. This type of lease agreement serves as a beneficial option for aircraft operators in need of a new engine but prefer to avoid the upfront cost associated with its purchase. By entering into this arrangement, lessees can access the necessary engine, while the lessor receives predetermined flight hours to offset their investment. Additionally, the lessor maintains a security interest in the engine to protect their financial interest in the event of default or non-compliance by the lessee. The Arizona Aircraft Lease Agreement with Lessee to Supply New Engine in Exchange for Flight Hours and take a Security Interest in Engine typically includes the following key details: 1. Identification of Parties: The agreement begins by identifying the lessor (the entity who owns the aircraft) and the lessee (the entity who will operate the aircraft). 2. Description of Aircraft and Engine: The agreement outlines the specifics of the aircraft, including its make, model, registration number, and any other relevant details. It also details the engine to be supplied by the lessee, specifying its make, model, and any additional equipment. 3. Lease Term and Flight Hour Requirement: The agreement sets the lease term, which includes the start and end dates of the lease. It also establishes the minimum flight hour requirement that the lessee must fulfill during the lease term. 4. Engine Acquisition and Installation: The agreement outlines the process for acquiring the new engine, including procurement, payment, and installation. It may specify whether the lessee is responsible for installation costs or if they are included in the lease agreement. 5. Flight Hour Calculation and Record keeping: The agreement establishes the method for calculating flight hours and documentation required from the lessee to support these calculations. It may include provisions for flight logs, maintenance records, or other supporting evidence. 6. Security Interest: This section details the lessor's security interest in the engine. It outlines the rights of the lessor, including the ability to repossess the engine in case of default or breach of agreement by the lessee. Different variations of this Arizona Aircraft Lease Agreement with Lessee to Supply New Engine in Exchange for Flight Hours and take a Security Interest in Engine may include: 1. Fair Market Value (FMV) Agreement: Instead of flight hours, the lessee may agree to compensate the lessor based on the fair market value of the engine over the lease term. This option provides flexibility for lessees who may not have a high flight hour requirement but still wish to access a new engine. 2. Time-based Agreement: Rather than being contingent on flight hours, the lessee may agree to compensate the lessor based on a set monthly payment for the duration of the lease term. This type of agreement is suitable for lessees with predictable flight schedules or those operating in specialized industries with limited flight hours. 3. Hybrid Agreement: This agreement combines elements of both flight hour requirement and time-based compensation, providing lessees with the option to fulfill a certain number of flight hours while paying a fixed monthly amount to the lessor. The key goals of the Arizona Aircraft Lease Agreement with Lessee to Supply New Engine in Exchange for Flight Hours and take a Security Interest in Engine are to provide lessees with the necessary engine for their aircraft operations, mitigate upfront costs for the lessee, and safeguard the lessor's financial interest through a security interest in the engine.Arizona Aircraft Lease Agreement with Lessee to Supply New Engine in Exchange for Flight Hours and take a Security Interest in Engine refers to a contractual arrangement between an aircraft lessor and a lessee located in Arizona, where the lessee agrees to provide a new engine for the aircraft in exchange for a predetermined number of flight hours, while the lessor retains a security interest in the engine. This type of lease agreement serves as a beneficial option for aircraft operators in need of a new engine but prefer to avoid the upfront cost associated with its purchase. By entering into this arrangement, lessees can access the necessary engine, while the lessor receives predetermined flight hours to offset their investment. Additionally, the lessor maintains a security interest in the engine to protect their financial interest in the event of default or non-compliance by the lessee. The Arizona Aircraft Lease Agreement with Lessee to Supply New Engine in Exchange for Flight Hours and take a Security Interest in Engine typically includes the following key details: 1. Identification of Parties: The agreement begins by identifying the lessor (the entity who owns the aircraft) and the lessee (the entity who will operate the aircraft). 2. Description of Aircraft and Engine: The agreement outlines the specifics of the aircraft, including its make, model, registration number, and any other relevant details. It also details the engine to be supplied by the lessee, specifying its make, model, and any additional equipment. 3. Lease Term and Flight Hour Requirement: The agreement sets the lease term, which includes the start and end dates of the lease. It also establishes the minimum flight hour requirement that the lessee must fulfill during the lease term. 4. Engine Acquisition and Installation: The agreement outlines the process for acquiring the new engine, including procurement, payment, and installation. It may specify whether the lessee is responsible for installation costs or if they are included in the lease agreement. 5. Flight Hour Calculation and Record keeping: The agreement establishes the method for calculating flight hours and documentation required from the lessee to support these calculations. It may include provisions for flight logs, maintenance records, or other supporting evidence. 6. Security Interest: This section details the lessor's security interest in the engine. It outlines the rights of the lessor, including the ability to repossess the engine in case of default or breach of agreement by the lessee. Different variations of this Arizona Aircraft Lease Agreement with Lessee to Supply New Engine in Exchange for Flight Hours and take a Security Interest in Engine may include: 1. Fair Market Value (FMV) Agreement: Instead of flight hours, the lessee may agree to compensate the lessor based on the fair market value of the engine over the lease term. This option provides flexibility for lessees who may not have a high flight hour requirement but still wish to access a new engine. 2. Time-based Agreement: Rather than being contingent on flight hours, the lessee may agree to compensate the lessor based on a set monthly payment for the duration of the lease term. This type of agreement is suitable for lessees with predictable flight schedules or those operating in specialized industries with limited flight hours. 3. Hybrid Agreement: This agreement combines elements of both flight hour requirement and time-based compensation, providing lessees with the option to fulfill a certain number of flight hours while paying a fixed monthly amount to the lessor. The key goals of the Arizona Aircraft Lease Agreement with Lessee to Supply New Engine in Exchange for Flight Hours and take a Security Interest in Engine are to provide lessees with the necessary engine for their aircraft operations, mitigate upfront costs for the lessee, and safeguard the lessor's financial interest through a security interest in the engine.
