Until a conveyance, lease, or instrument executed for security purposes which may be recorded under ??? 44107(a)(1) or (2) has been filed with the FAA, it is valid only against the parties to the instrument and individuals and entities who have actual knowledge of the instrument. Therefore, the interests of the parties to a transaction, including purchasers, lessor, lessees and secured parties, are not perfected until the instruments creating those interests have been filed with the FAA.
A security agreement regarding aircraft and equipment in South Carolina is a legally binding contract that establishes a collateral interest in an aircraft or equipment to secure a loan, lease, or other obligations. It is designed to protect the interests of lenders or lessors in case of default by the borrower or lessee. The South Carolina security agreement regarding aircraft and equipment typically includes the identification of the parties involved, a description of the aircraft or equipment being secured, and the terms and conditions governing the agreement. This agreement ensures that the lender or lessor has a priority claim on the collateral in case of default or bankruptcy. There can be several types of security agreements regarding aircraft and equipment in South Carolina, including: 1. Aircraft Security Agreement: This type of agreement specifically focuses on securing loans or leases for aircraft. It outlines the responsibilities and obligations of both the borrower/lessee and the lender/lessor, including payment terms, maintenance requirements, insurance coverage, and default procedures. 2. Equipment Security Agreement: This agreement pertains to the securing of loans or leases for equipment other than aircraft, such as machinery, tools, vehicles, or technological devices. It includes similar provisions as an aircraft security agreement but with specific consideration for non-aircraft assets. 3. Blanket Security Agreement: Often used by lenders or lessors with multiple loans or leases outstanding, a blanket security agreement allows the creditor to secure several assets, including aircraft and equipment, under a single agreement. This type of agreement provides flexibility and convenience for both parties. 4. Conditional Sales Agreement: This type of security agreement is commonly used in aircraft or equipment sales transactions. It allows the seller to retain a security interest in the asset until the buyer fulfills their payment obligations. In case of default, the seller can repossess the aircraft or equipment. It is important to note that the specific terms and conditions of a South Carolina security agreement regarding aircraft and equipment may vary depending on the parties involved, the nature of the transaction, and other factors. It is crucial to consult legal professionals to ensure compliance with relevant laws and regulations in South Carolina.
