May 21, 2014 – Newsletter

Posted by on May 21, 2014

BATI QUOTES

Great spirits have always encountered violent opposition from mediocre minds.
        -Albert Einstein

 

BATI Knowledge

Types of Registration

Individual
One person owns the aircraft and applies for registration.  This person may be a United States citizen or a resident alien.

  • Title:    “owner”, “individual”, or no title at all!

Co-Owner Registration
Co-owners may consist of individuals, corporations, or a combination of both.  All co-owners’ names are shown on all documents and all co-owners must sign all documents:  applications for registration, security instruments, subsequent bills of sale, etc. 

  • Titles:  
    • Individuals
      For individual persons, the title is “co-owner”.
    • Corporations
      For corporations: show the name of the corporation, show signature and acceptable corporate or managerial title of person signing on behalf of the corporation and show the title for the corporation itself as “co-owner”.

Partnership

Individual persons who own an aircraft together may register in a partnership status.  The FAA does not allow CORPORATIONS to register as partnerships.  There are pretty much three different types of partnerships: a group of individuals who own the plane together and are all equal partners; a limited partnership with one or more general partners; and a legal entity with all individuals as partners.

A group of individuals registering as partners

Names of all partners must be shown on bill of sale evidencing ownership or on application for registration or security agreement filed simultaneously with the aircraft bill of sale.

  • Title:  Partner
    Who must sign when a partnership is selling:  All partners’ names are shown but only one signature is required – must be a partner identified when coming in to title and must be signed by one of those persons.

A limited partnership registering in partnership status

The name of the partnership is shown along with names of all general partners on the bill of sale evidencing ownership on the application for registration and on any security instruments filed simultaneously with the bill of sale.  The documents must be signed by one general partner, at least, and must be a general partner identified when the entity came into title.

  • Title:  General Partner

A legal entity name with all individuals as equal partners

    • When coming into the chain of ownership, the legal name of the partnership is shown, along with all partners’ names (again, on the bill of sale, the registration application or a security agreement filed at the same time as the bill of sale and registration application).
    • On subsequent documents filed with FAA, the name of the legal entity is shown (either as a seller on a bill of sale, or as a debtor on a security agreement) and the document is signed by one of the identified partners.
  • Title: Partner

(If a partnership includes a corporation, the FAA is amenable to allowing an LLC to be formed with the partnership as a member/manager, provided the partnership is owned or controlled by U.S. Citizens – call our office for particulars!)

 

IR Update

In their April, 2014, newsletter, the IR announced:

It expects to reach half a million registrations by early June:   quite a milestone.

It has adopted a robust security posture.  The IR is not affected by the Heartbleed vulnerability which has been reported widely.

International update:
Brazil: on 21 March 2014 the IR was informed by the Civil Aviation authorities in Brazil that they had commenced issuing Authorized Entry Point codes.
Malawi has acceded to the Convention and Protocol which will come into effect on 1 May 2014.
Australia is now expecting to sign in the next two months.
The UK continues its analysis with an expectation of signature early in 2015; and
Spain continues to research its options regarding signing the Protocol (having already signed the Convention)

Members of the International Registry Advisory Board (who work with the IR pro bono on behalf of the aviation industry) are:
Chair:  Jeffrey Wool
Jack Gilchrist, DeBee Gilchrist
Susan Haught – Daugherty, Fowler, Peregrin, Haught & Jenson
Ravinder Nath – Rajinder Narain & Co. Legal LLP
Robert Peregrin – Daugherty, Fowler, Peregrin, Haught & Jenson
William Piels – Holland & Knight
Frank Polk – McAfee Taft
Carolos Sierra – Abogados Sierra y Vazquex
James Tussing – Fullbright & Jaworski LLP
Scott Wilson – Pratt & Whitney

BATI POT POURRI

Call us – You’ll love us!

Heart

 

 

 

Aircraft title searches; title clearing services; filing of documents with FAA; escrow services; registration number reservations and assignments; complete International Registry representation!Sharon

Schroeder: sschroeder@BATI.aero
Lisa Gaskin: lgaskin@BATI.aero
Business Aircraft Title International, Inc.  405. 942.1004