Aicraft Title & Registrations
23. Is the consent of the mortgagee / lessor (as the case may be) required in order to deregister an aircraft from this location?
Austria
If the operator files the application for deregistration, the written consent of the owner is required.
Colombia
It is possible to deregister an aircraft in any of the following situations:
- If the Colombian CAA authorized registration of the aircraft in another country.
- When the Colombian CAA authorizes the export of the aircraft.
- When the aircraft, according to the current law, should be put out of service.
- If an aircraft is destroyed or disappears, both situations must be proved.
- When the Colombian CAA determines that the registration was completed incorrectly.
- When the reasons that lead to the approval of the registration change in a way that the registration is not valid according to the current law.
The deregistration can start by a CAA’s own decision or by the owner or operator’s request. The CAA shall follow the general administrative procedures provided by the Act 1437 of 2011. During this process, the CAA is allowed to request additional evidence in order to motivate its decision, which could extend the process longer than initially expected.
Germany
The mortgagee does not have to consent to the deregistration by the owner.
India
Under Indian law, deregistration of an aircraft can only be done by the owner or the owner’s authorised representatives. The holder of an IDERA may apply to the DGCA for cancellation of the registration of the aircraft at the end of the lease term or prior to the expiry of the aircraft lease after:
- providing the original or notarised copy of the IDERA; and, ensuring that either:
- all registered interests in respect of the aircraft have been discharged; or,
- the holders of such registered interests have consented to the deregistration or export of the aircraft.
It is mandatory for the DGCA to deregister an aircraft within five working days of the submission of an application as per the above-mentioned procedure.
Israel
It is not possible to deregister an aircraft that has a mortgage or any other restriction registered with respect to it. The restriction must be removed before submitting the request for deregistration.
Kenya
In Kenya, the KCAA requires the registered owner or a mortgagee whose interest has been noted on the aircraft’s Certificate of Registration to consent to the deregistration of the aircraft.
Malta
Given that the aircraft is typically registered by a lessee (i.e., as operator), then it would be the lessee who would be permitted to deregister the aircraft, unless an IDERA would have been registered. In the event that an IDERA would have been registered, then the consent of the IDERA holder would be required in order to be able to deregister the aircraft – in the absence of which the aircraft would only be able to be deregistered by the said IDERA holder.
Before an aircraft can be deregistered the consent of the mortgagee is also required or else the mortgage would need to be discharged before the aircraft can be deregistered.
Mexico
Yes. If a security interest (i.e., mortgage) is registered in the Mexican Aeronautics Registry, deregistration cannot take place without the consent of the creditor.
Norway
Yes, section 3-8 of the Civil Aviation Act prescribes the following: If an encumbrance is registered on the aircraft, it shall not be deleted in the register, without the consent of the right holder. Instead, annotation is made about the circumstances that should have resulted in the deregistration. Such annotation does not affect the encumbrance, but otherwise has the same effect as a deregistration.
Pakistan
Yes, provided the lessor/mortgagee is named as the Authorized Party under the IDERA. However, please note that pursuant to Rule 16(2) of the Implementation Rules, a creditor (i.e. a chargee under a security agreement, a conditional seller under a title reservation agreement, or a lessor under a leasing agreement) shall not procure the deregistration of an aircraft without the prior consent in writing of the holder of any registered interest raking in priority to that of the creditor. In addition, pursuant to Rule 16(4) of the Implementation Rules, a chargee proposing to procure the deregistration of an aircraft otherwise than pursuant to a court order shall give reasonable prior notice in writing of the proposed deregistration and export to: (a) interested persons specified in sub-clauses (a) and (b) of clause (xxxi) of Rule 2 (i.e. a debtor or any guarantor); and (b) interested persons specified in sub-clauses (c) of clause (xxxi) of Rule 2 (i.e. any person having rights in or over the aircraft object) who have given notice of their rights to the chargee within a reasonable time prior to the deregistration and export.
Panama
The consent of the mortgagee /lessor is required in order to deregister and aircraft from the Republic of Panama.
Peru
It is possible to deregister an aircraft if the finalized Agreement or parties agree to finish it before the Term ends. In this second condition, it is required to register an Addendum. The formalities and costs for this are listed in the answers to questions four and five.
Philippines
Consent is not required, per se. However, if a registered aircraft has an annotation (i.e., lease agreement, mortgage, pending accounts with CAAP), the applicant shall be required to settle or clear all derogatory or liens/encumbrances, prior to deregistration of aircraft.
No aircraft registered pursuant to Philippine Civil Aviation Regulations shall be deregistered until and unless all liens and encumbrances annotated on the Certificate of Registration have been complied with or declared by competent authorities as null and void or ineffective.
Poland
Only the consent of the owner is required (who may, of course, happen to be the lessor, but this status is irrelevant).
Portugal
Yes, and said consent must be duly notarised and legalised.
Romania
Yes, the express consent of the mortgagee / lessor is required for deregistration to be granted.
Serbia
Yes, the consent of the mortgagee / lessor (as the case may be), in fact the consent of each person registered in the owner/operator sheet or the mortgage sheet is necessary in order to deregister the aircraft from the Registry. Such consent should be notarized and, depending on the country of its notarization (i.e., depending on the fact whether that country and Serbia are parties to a bilateral agreement), possibly also apostilled or fully legalized, and translated into Serbian language by a sworn court translator.
Slovenia
Consent of mortgagee is required. In case the operator of the aircraft files the request for deregistration of the aircraft, consent of the owner is required.
South Africa
Yes.
Sweden
Yes, the Authority will hold deregistration as pending until consent is present to protect the third party’s rights to the aircraft.
Switzerland
Yes, deletion of the aircraft in the Swiss Aircraft Record requires the written consent of any registered mortgagee or lessee.
The Bahamas
As The Bahamas registry is an owner registry; no consent is required of the mortgagee or lessor to deregister an aircraft from The Bahamas.
USA – Miami
Whether a secured party can take physical possession of the aircraft to enforce a security agreement without the operator’s consent will depend on state law and whether the lease or operating agreement is subject and subordinate to the security agreement. If the lease or operating agreement is subject and subordinate to the security agreement, then the secured party will generally be able to do so, subject to applicable state laws in relation to “self-help”. As a general matter, under Article 9 of the UCC, a secured party may repossess an aircraft without a court order if it may do so without breach of the peace. If an operator physically challenges the repossession, then the secured party, if it nonetheless proceeds with its efforts to repossess the aircraft, will typically be considered to have breached the peace. In a scenario where the operator does not consent to the repossession, the secured party often; therefore, must seek a court order from the state or federal courts located in the state in which the aircraft is physically located.
USA – Oklahoma City
Yes. See discussion in item #20 above.