All navigation databases and subscriptions should be up to date in order to legally fly the aircraft. Make sure all the documents necessary to be our current in the plane before flying it. This clause defines the aircraft manufacturer`s sale agreement and the customer`s consent to purchase the aircraft. Contracts to buy aircraft are often a big time. You bought your dream plane. Don`t let this intoxicating feeling neglect your care at the aircraft`s operation or ferry. Remember that this aircraft is new to you and that you or your crew must familiarize yourself with the aircraft before using or transporting it. The contract to purchase the aircraft includes the amount of the purchase, the amount of the deposit, the refund of the down payment and, if so, under what conditions, the timing of the pre-emption review and purchase, the location of the pre-purchase check, certain assurances from both parties, the guarantees provided by the aircraft, which occurs in the event of default and much more. The standard warranty for a used aircraft is that the title is justified, but the condition of the aircraft is not. The purpose of the pre-emption test is to determine the condition of the aircraft. If the condition is not as stated, then the buyer does not have to close and the down payment is refunded.
The purpose of this article is to remove some of the secrets of the aircraft purchase process and give a complete overview of how an aircraft is purchased. Most aircraft purchases involve a team of professionals, including an aircraft broker, an aviation mechanic, an aviation lawyer, a CPA, an aviation title company and a lender, among others. The process may take a week or a few months depending on the type of transaction. Your pilots are usually invited by your insurance company to undergo training at a professional pilot training facility with simulator. The cost of such training ranges from $4,000 per year for turboprops to more than $35,000 per year for some of the larger jets. Initial training is more expensive than annual training. Some training can be done on your own plane. Both methods have drawbacks and advantages. Some schools book early and this requires planning in advance. If the aircraft transaction is international and the IR form must be documented in the “International Register” for mobile assets. Your broker/adviser and trust company can help you in this process.
Your broker can help you in this process and has recommended that you consult a lawyer before signing agreements. Through the Memorandum of Understanding, both parties express their expectations and consider whether the primary conditions are acceptable. Once the sale agreement is concluded by both parties, a pre-emption check begins at a maintenance facility agreed by the buyer and seller.