Re: Sample contract for a Dry Lease ?

[Dave Butler]

Peter wrote:

> I am looking for a specimen text of a Dry lease contract, under which
> an N-reg plane could be rented out on an hourly basis, under Part 91.

I thought AOPA had a sample lease agreement but I don't see it on their web
page. I see you're non-US, if you have a local AOPA equivalent organization, I'd
give them a call.

Come to think of it I'm -sure- when I was leasing my Archer to the flying club,
we used the AOPA lease as a model. If all else fails, maybe you can call AOPA in
the US.

Dave
Remove SHIRT to reply directly.

[Dude]

In the US, this is a definite for having an attourney to protect your
liability and tax benefits.

Unless these are non issues for UK types, then I would suggest you look into
getting a professional. Mine has saved me many more thousands than I paid
him.


"Peter" > wrote in message
...
>
> Hi,
>
> I am looking for a specimen text of a Dry lease contract, under which
> an N-reg plane could be rented out on an hourly basis, under Part 91.
>
> I've looked at various googled documents but most of what I find is
> pretty complex and applies to airliners.
>
> I would appreciate any help or pointers.
>
>
> Peter.
> --
> Return address is invalid to help stop junk mail.
> E-mail replies to but remove the X and the Y.
> Please do NOT copy usenet posts to email - it is NOT necessary.

[Jim Burns]

I don't have my hands on it yet, but I've read one and am in negociations on
one that is basically like this:

XX per Hobbs hour dry rate, 20 hours per month minimum payment, adjusted to
an average of 20 hours per month at lease end

Owner does all maintenance including annual, 100hrs, ADs and oil changes.
Owner allows replacement cost and home base shop labor rates for all off
base repairs and parts.
Owner will replace materials and parts as required due to normal wear and
tear.

Lessee pays for all fuel, additional oil, hydraulic fluids consumed during
normal flight.
Lessee guarantees aircraft will be hangered and pays for all hanger, ramp,
tie down fees etc.
Lessee pays for full coverage insurance, $1 million liability and lists
Lessor as additionally insured.
Lessee is responsible for repairs, maintenance, and subscriptions for
avionics.

Aircraft can only be flown by those listed or qualified by insurance policy.
Aircraft can only be flown for operations that are approved by insurance
policy.
Flights must comply with FARs but are not restricted in any other way.

Beyond that there is all the legal jargon holding Lessor harmless for
Lessee's actions and Lessee promising not to allow a lien against Lessor's
aircraft.

The insurance company will most likely want you to set up an LLC (ours did)
and they will want copies of the lease. Likewise the Lessor will want
copies of the Insurance policy and LLC Agreement.

Jim


"Peter" > wrote in message
...
>
> Hi,
>
> I am looking for a specimen text of a Dry lease contract, under which
> an N-reg plane could be rented out on an hourly basis, under Part 91.
>
> I've looked at various googled documents but most of what I find is
> pretty complex and applies to airliners.
>
> I would appreciate any help or pointers.
>
>
> Peter.
> --
> Return address is invalid to help stop junk mail.
> E-mail replies to but remove the X and the Y.
> Please do NOT copy usenet posts to email - it is NOT necessary.

[Jim Burns]

That would be a question for a lawyer, and I don't know if UK law differs
from US law in that area, but every lease I've ever made out or signed was
required to be dated, signed, and for a specified period and/or for specific
requirements. I'd say yes, a lease could be for one day as long as it was
specified as such and any other requirements of the lease were met.
Jim

"Peter" > wrote in message
...
>
> "Jim Burns" > wrote
>
> >XX per Hobbs hour dry rate, 20 hours per month minimum payment, adjusted
to
> >an average of 20 hours per month at lease end
> [snip]
>
> Is there a legal requirement for the lease period to be some monimum
> value? For example, could one have a dry lease period of one day?
>
>
> Peter.
> --
> Return address is invalid to help stop junk mail.
> E-mail replies to but remove the X and the Y.
> Please do NOT copy usenet posts to email - it is NOT necessary.

[Graham Wilson]

On Thu, 20 May 2004 17:01:37 +0100, Peter >
wrote:

>
>Hi,
>
>I am looking for a specimen text of a Dry lease contract, under which
>an N-reg plane could be rented out on an hourly basis, under Part 91.
>
>I've looked at various googled documents but most of what I find is
>pretty complex and applies to airliners.
>
>I would appreciate any help or pointers.

I'm a solicitor who deals with commercial contracts day in and day
out, but I wouldn't even contemplate trying to draw up a dry lease
contract for myself. I would get a specialist solicitor to do the
drafting.

It's not just what is in the agreement but what is missing from the
agreement.

Remember the old saying "a man who has himself as his lawyer has a
fool for a client."

(:-)

Graham