Aircraft, like other assets, should be owned under a trust that is a third party. Trusts those work with aircraft are known as aviation trust and play an important role in the aviation industry in the U.S. The idea of an owner trust has originally come to support the aircraft manufacturer on their selling of aircraft to the non-citizen buyers. At the same time, they also help the US airlines financially. It has changed the global economy of airlines and added a new dimension where leasing, selling are not dependable on the large-scale airlines.
The FAA Aircraft Owner Trust and Trustee Applicant Requirements:
The FAA wants each applicant to submit a copy of each document legally under a trust. It means that all applicants come under the same obligation as other aircraft owners. The obligation is to meet the FAA requirement following the guidelines.
- Identification proof that is issued by the government.
- Aircraft insurance proof; it ensures that aircraft is maintained according to the FAA regulations.
- The foreign corporations or beneficiaries also should have corporate documents.
In 2013, the FAA has given a clarification of their policies. This resulting clarification has given the FAA transparency about the trust beneficiaries filed at the FAA. Now the FAA reviews and requires all agreements that would help a trustee to transfer their aircraft to the beneficiary. If there is no such agreement, the trustee has to provide adequate assurance.
The 2013 Policy Clarification also states that the FAA needs all these from the owner or trustee to provide:
- The identity of the person who is managing the aircraft
- Current residential address of operator
- Aircraft records including maintenance details
- The operational area of the aircraft
The FAA also expects that trustee also should provide these:
- Information regarding the operator, crew, or other aircraft operations
- Aircraft records
- Airworthiness status of the airplane. If the FAA Aircraft Owner Trust is unable to provide all these, they would not be able to register it.
Requirements of FAA
The FAA imposes safety measurements to the aircraft owner or trustee. It means that the owner should maintain all information regarding aircraft identity, operator’s identity and other whereabouts. The trustee also should provide critical safety information.
To make sure you are on the right way to register your aircraft, you should make sure to call Aviation Trust Company. The FAA Aircraft Owner Trust is always there for you.