Posted on: 1 March 2023Share
Airplane repossession is a complex process that involves legal, financial, and logistical considerations. When a lender or lessor needs to repossess an aircraft, they may seek the services of an airplane repo attorney to handle the legal aspects of the repossession. Here are the sorts of cases that an airplane repo attorney may take on.
One of the most common reasons for airplane repossession is a defaulted loan. When an individual or company takes out a loan to purchase an aircraft, they are required to make regular payments on the loan. If they fail to make these payments, the lender may repossess the aircraft to recoup their losses.
An airplane repo attorney can help the lender navigate the legal requirements for repossession and ensure that the process is conducted in accordance with state and federal laws.
Breach of Contract
Another reason for airplane repossession is a breach of contract. Aircraft leases and other contracts may include terms and conditions that specify the circumstances under which repossession may occur. If a lessee or other party breaches these terms, the lessor or other party may seek repossession of the aircraft.
An airplane repo attorney can confirm that the terms of the contract are legally enforceable, and that repossession is conducted in accordance with the terms of the agreement.
Fraud and Misrepresentation
In some cases, repossession may be necessary due to fraud or misrepresentation. For example, an individual or company may obtain financing for an aircraft by providing false information on their loan application.
When the lender discovers the fraud, they may seek repossession of the aircraft. An airplane repo attorney can help the lender investigate the fraud problem.
Bankruptcy and Insolvency
In some cases, repossession may be necessary due to bankruptcy or insolvency. If a company or individual declares bankruptcy or becomes insolvent, they may be unable to make payments on an aircraft loan or lease.
In these cases, the lender or lessor might seek repossession of the aircraft as part of the bankruptcy or insolvency proceedings. An airplane repo can represent the lender throughout any bankruptcy process.
Airplane repossession can be even more complex when it involves international law. For example, if an aircraft is located in a foreign country, repossession may require compliance with local laws and regulations.
An airplane repo attorney with experience in international law can help ensure that the repossession is conducted in accordance with the laws of the foreign country.