Return of Aircraft. 16.1 On the Expiry Date or upon earlier termination of the Term (unless a Casualty Occurrence shall have occurred with respect to the Aircraft), Lessee shall, at its own expense, redeliver the Aircraft to Lessor at the Redelivery Location or such other airport as is mutually acceptable to the parties, in a condition complying with the provisions of Appendix E, free and clear of all liens and encumbrances (including Permitted Liens other than Lessor Liens) and upon request of Lessor cooperate in causing the Aircraft to be removed from the register of civil aviation in the State of Registration and Lessee shall return the Aircraft to Lessor together with the Aircraft Documents supplied pursuant to this Lease when the Aircraft was delivered to Lessee on the Original Delivery Date as the same may be modified, supplemented or amended during the Term. 16.2 Immediately prior to such redelivery of the Aircraft, Lessee, at its own expense, shall make the Aircraft, Aircraft Documents and other records available to Lessor for inspection ("Final Inspection") in order to verify that the condition of the Aircraft complies with the provisions of this Lease. Such inspection shall not unreasonably interfere with the operation of the Aircraft. The period will be long enough for the Final Inspection to permit the conduct by Lessor of the following: (a) Inspection of the Aircraft Documents; (b) Inspection of the Aircraft structure and Parts; (c) Inspection of the Engines and A.P.U., including without limitation, a borescope inspection or any other equivalent inspection method supported by Rolls Royce, inspection of the compressor and turbine area, and, if reasonably requested based on evidence that it is required, the Engine and A.P.U. condition runs confirming release of each Engine and A.P.U for its remaining operational life; (d) A one-hour to two-hour test flight with Lessor's representatives on board as observers and, if any non compliance is found, a subsequent test flight to check compliance after rectification. 16.3 To the extent that, upon such Final Inspection, the condition of the Aircraft and Aircraft Documents does not comply with the provisions of this Lease, Lessee, at its own expense, shall cause such non-compliance to be promptly rectified and to the extent such rectification extends beyond the Expiry Date, the Term shall, at Lessor's sole option, be deemed to be automatically extended and the provisions of this Lease shall remain in full force and effect until such rectification has been accomplished. During such extension of the Term Lessee shall be liable to pay Rent at a daily pro rata rate equal to the Rent payable during the last Rental Period of the Term. 16.4 Upon redelivery Lessee shall provide to Lessor all necessary assistance to enable Lessor to obtain any required documents in relation to the export of the Aircraft from the State of Registration, and if different, from the State of Incorporation (including a valid and subsisting export license for the Aircraft), and shall reassign to Lessor, at the expense of Lessee, the benefit of any indemnity or warranty which has been assigned to Lessee pursuant to Article 13.3 above to the extent such indemnity or warranty is assignable. 16.5 Prior to the Expiry Date or upon any earlier termination of the Term and upon Lessor's request, Lessee will provide Lessor or its agent reasonable access to and Lessor may make and retain copies of the Approved Maintenance Program and the Aircraft Documents in order to facilitate the Aircraft's integration into any subsequent operator's fleet. Lessor agrees that it will not disclose the contents of the Approved Maintenance Program to any person or entity except to the extent necessary to monitor Lessee's compliance with this Lease and/or to bridge the maintenance program for the Aircraft from the Approved Maintenance Program to another program. 16.6 Upon redelivery of the Aircraft to Lessor, an adjustment shall be made in respect of fuel on board on the Original Delivery Date and on redelivery at the price then prevailing at the Redelivery Location. 16.7 If Lessor shall request that Lessee paint the Aircraft any other basic color as contemplated by Section 1(h) of Appendix E, Lessor agrees that it shall bear the cost and expense of the difference between white paint and such other basic color. 16.8 Upon written request of Lessor given to Lessee not later than thirty (30) days prior to the Expiry Date or termination of the Lease, Lessee, at the Expiry Date or upon termination of the Lease, will provide, or will cause to be provided, up to thirty (30) days' storage of the Aircraft at Lessee's premises, at Lessor's cost and expense. Lessee shall cause the Aircraft to be delivered to such designated location at Lessor's cost and expense. During such period of storage, Lessee will arrange for insurance and maintenance at Lessor's cost and expense. Lessee shall allow Lessor or any person designated by Lessor, including the authorized representatives of any prospective purchaser or user of the Aircraft, to inspect the same at all reasonable times.
Appears in 2 contracts
Sources: Lease Agreement (Midway Airlines Corp), Lease Agreement (Midway Airlines Corp)
Return of Aircraft. 16.1 On the Expiry Date (a) At expiration or upon earlier termination of this Lease (the Term (unless a Casualty Occurrence shall have occurred with respect to the Aircraft“Return Date”), Lessee shall, at its own expense, redeliver the Aircraft to Lessor at the Redelivery Location or such other airport as is mutually acceptable to the parties, in a condition complying with the provisions of Appendix E, free and clear of all liens and encumbrances (including Permitted Liens other than Lessor Liens) and upon request of Lessor cooperate in causing the Aircraft to be removed from the register of civil aviation in the State of Registration and Lessee shall return the Aircraft to Lessor, at a location within the Gulf Coast region of the United States as Lessor together shall direct. Lessee shall also return all logs, loose equipment, manuals and data associated with the Aircraft Documents supplied pursuant to this Lease when the Aircraft was delivered to Lessee on the Original Delivery Date as the same may be modified, supplemented or amended during the Term.
16.2 Immediately prior to such redelivery of the Aircraft, Lesseeincluding without limitation, at inspection, modification and overhaul records required to be maintained with respect to the Aircraft under this Lease or under the applicable rules and regulations of the FAA or the manufacturer’s recommended maintenance program, along with a currently effective FAA airworthiness certificate. Lessee shall, upon request, assign to Lessor its own expense, shall make rights under any manufacturer’s maintenance service contract or extended warranty for the Aircraft, any engine or part thereof. The Aircraft Documents and shall be returned in the condition in which the Aircraft is required to be maintained pursuant to Section 7, but with all logos or other records available to Lessor for inspection ("Final Inspection") in order to verify identifying marks of Lessee removed. Additionally, Lessee shall ensure that the condition Aircraft complies with all requirements and conditions set forth on Annex G hereto. Lessee shall pay for all costs to comply with this Section 11(a).
(b) Lessor shall arrange for the inspection of the Aircraft complies on the Return Date to determine if the Aircraft has been maintained and returned in accordance with the provisions of this Lease. Such Lessee shall be responsible for the cost of such inspection and shall not unreasonably interfere with pay Lessor such amount as additional Rent within ten (10) days of demand. If the operation results of such inspection indicate that the Aircraft. The period will be long enough for the Final Inspection to permit the conduct by Lessor of the following:
(a) Inspection of the Aircraft Documents;
(b) Inspection of the Aircraft structure and Parts;
(c) Inspection of the Engines and A.P.U., including without limitationany engine thereto or part thereof, a borescope inspection has not been maintained or any other equivalent inspection method supported by Rolls Royce, inspection of the compressor and turbine area, and, if reasonably requested based on evidence that it is required, the Engine and A.P.U. condition runs confirming release of each Engine and A.P.U for its remaining operational life;
(d) A one-hour to two-hour test flight with Lessor's representatives on board as observers and, if any non compliance is found, a subsequent test flight to check compliance after rectification.
16.3 To the extent that, upon such Final Inspection, the condition of the Aircraft and Aircraft Documents does not comply returned in accordance with the provisions of this Lease, LesseeLessee shall pay to Lessor within ten (10) days of demand, at its own expenseas liquidated damages, the estimated cost (“Estimated Cost”) of servicing or repairing the Aircraft, engine or part. The Estimated Cost shall cause be determined by Lessor by obtaining two quotes for such non-compliance service or repair work, with one quote selected by Lessee reasonably acceptable to be promptly rectified Lessor and one quote selected by Lessor reasonably acceptable to Lessee and taking their average. Lessee shall bear the extent cost, if any, incurred by Lessor in obtaining such rectification extends beyond quotes.
(c) If Lessee fails to return the Expiry Aircraft on the Return Date, the Term shall, at Lessor's sole option, be deemed to be automatically extended and the provisions of this Lease shall remain in full force and effect until such rectification has been accomplished. During such extension of the Term Lessee Lessor shall be liable entitled to pay Rent at a daily pro rata rate damages equal to the higher of (i) the Rent payable during for the last Rental Period Aircraft, pro-rated on a per diem basis, for each day the Aircraft is retained beyond the Return Date; or (ii) the daily fair market rental for the Aircraft at the Return Date. Such damages for retention of the Aircraft after the Return Date shall not be interpreted as an extension or reinstatement of the Term.
16.4 Upon redelivery Lessee (d) All of Lessor’s rights contained in this Section shall provide to Lessor all necessary assistance to enable Lessor to obtain any required documents in relation to survive the export of the Aircraft from the State of Registration, and if different, from the State of Incorporation (including a valid and subsisting export license for the Aircraft), and shall reassign to Lessor, at the expense of Lessee, the benefit of any indemnity expiration or warranty which has been assigned to Lessee pursuant to Article 13.3 above to the extent such indemnity or warranty is assignable.
16.5 Prior to the Expiry Date or upon any earlier other termination of the Term and upon Lessor's request, Lessee will provide Lessor or its agent reasonable access to and Lessor may make and retain copies of the Approved Maintenance Program and the Aircraft Documents in order to facilitate the Aircraft's integration into any subsequent operator's fleet. Lessor agrees that it will not disclose the contents of the Approved Maintenance Program to any person or entity except to the extent necessary to monitor Lessee's compliance with this Lease and/or to bridge the maintenance program for the Aircraft from the Approved Maintenance Program to another programLease.
16.6 Upon redelivery of the Aircraft to Lessor, an adjustment shall be made in respect of fuel on board on the Original Delivery Date and on redelivery at the price then prevailing at the Redelivery Location.
16.7 If Lessor shall request that Lessee paint the Aircraft any other basic color as contemplated by Section 1(h) of Appendix E, Lessor agrees that it shall bear the cost and expense of the difference between white paint and such other basic color.
16.8 Upon written request of Lessor given to Lessee not later than thirty (30) days prior to the Expiry Date or termination of the Lease, Lessee, at the Expiry Date or upon termination of the Lease, will provide, or will cause to be provided, up to thirty (30) days' storage of the Aircraft at Lessee's premises, at Lessor's cost and expense. Lessee shall cause the Aircraft to be delivered to such designated location at Lessor's cost and expense. During such period of storage, Lessee will arrange for insurance and maintenance at Lessor's cost and expense. Lessee shall allow Lessor or any person designated by Lessor, including the authorized representatives of any prospective purchaser or user of the Aircraft, to inspect the same at all reasonable times.
Appears in 2 contracts
Sources: Aircraft Lease Agreement, Aircraft Lease Agreement (Bristow Group Inc)
Return of Aircraft. 16.1 On the Expiry Date or upon earlier termination of the Term (unless a Casualty Occurrence shall have occurred with respect to the Aircraft), Lessee shall, at its own expense, redeliver the Aircraft to Lessor at the Redelivery Location or such other airport as is mutually acceptable to the parties, in a condition complying with the provisions of Appendix E, free and clear of all liens and encumbrances (including Permitted Liens other than Lessor Liens) and upon request of Lessor cooperate in causing the Aircraft to be removed from the register of civil aviation in the State of Registration and Lessee shall return the Aircraft to Lessor together with the Aircraft Documents supplied pursuant to this Lease when the Aircraft was delivered to Lessee on the Original Delivery Date as the same may be modified, supplemented or amended during the Term.
16.2 Immediately prior to such redelivery of the Aircraft, Lessee, at its own expense, shall make the Aircraft, Aircraft Documents and other records available to Lessor for inspection ("Final Inspection") in order to verify that the condition of the Aircraft complies with the provisions of this Lease. Such inspection shall not unreasonably interfere with the operation of the Aircraft. The period will be long enough for the Final Inspection to permit the conduct by Lessor of the following:
(a) Inspection of the Aircraft Documents;
(b) Inspection of the Aircraft structure and Parts;
(c) Inspection of the Engines and A.P.U., including without limitation, a borescope inspection or any other equivalent inspection method supported by Rolls Royce, inspection of the compressor and turbine area, and, if reasonably requested based on evidence that it is required, the Engine and A.P.U. condition runs confirming release of each Engine and A.P.U for its remaining operational life;
(d) A one-hour to two-hour test flight with Lessor▇▇▇▇▇▇'s representatives on board as observers and, if any non compliance is found, a subsequent test flight to check compliance after rectification.
16.3 To the extent that, upon such Final Inspection, the condition of the Aircraft and Aircraft Documents does not comply with the provisions of this Lease, Lessee, at its own expense, shall cause such non-compliance to be promptly rectified and to the extent such rectification extends beyond the Expiry Date, the Term shall, at Lessor's sole option, be deemed to be automatically extended and the provisions of this Lease shall remain in full force and effect until such rectification has been accomplished. During such extension of the Term Lessee shall be liable to pay Rent at a daily pro rata rate equal to the Rent payable during the last Rental Period of the Term.
16.4 Upon redelivery Lessee shall provide to Lessor all necessary assistance to enable Lessor to obtain any required documents in relation to the export of the Aircraft from the State of Registration, and if different, from the State of Incorporation (including a valid and subsisting export license for the Aircraft), and shall reassign to Lessor, at the expense of Lessee, the benefit of any indemnity or warranty which has been assigned to Lessee pursuant to Article 13.3 above to the extent such indemnity or warranty is assignable.
16.5 Prior to the Expiry Date or upon any earlier termination of the Term and upon Lessor's request, Lessee will provide Lessor or its agent reasonable access to and Lessor may make and retain copies of the Approved Maintenance Program and the Aircraft Documents in order to facilitate the Aircraft's integration into any subsequent operator's fleet. Lessor agrees that it will not disclose the contents of the Approved Maintenance Program to any person or entity except to the extent necessary to monitor Lessee's compliance with this Lease and/or to bridge the maintenance program for the Aircraft from the Approved Maintenance Program to another program.
16.6 Upon redelivery of the Aircraft to Lessor, an adjustment shall be made in respect of fuel on board on the Original Delivery Date and on redelivery at the price then prevailing at the Redelivery Location.
16.7 If Lessor shall request that Lessee paint the Aircraft any other basic color as contemplated by Section 1(h) of Appendix E, Lessor agrees that it shall bear the cost and expense of the difference between white paint and such other basic color.
16.8 Upon written request of Lessor given to Lessee not later than thirty (30) days prior to the Expiry Date or termination of the Lease, Lessee, at the Expiry Date or upon termination of the Lease, will provide, or will cause to be provided, up to thirty (30) days' storage of the Aircraft at Lessee's premises, at Lessor's cost and expense. Lessee shall cause the Aircraft to be delivered to such designated location at Lessor's cost and expense. During such period of storage, Lessee will arrange for insurance and maintenance at Lessor's cost and expense. Lessee shall allow Lessor or any person designated by Lessor, including the authorized representatives of any prospective purchaser or user of the Aircraft, to inspect the same at all reasonable times.,
Appears in 1 contract
Return of Aircraft. 16.1 On the Expiry Date or upon earlier termination of the Term (unless a Casualty Occurrence shall have occurred with respect to the Aircraft), Lessee shall, at its own expense, redeliver the Aircraft to Lessor at the Redelivery Re-Delivery Location or such other airport as is mutually acceptable to the parties, in a condition complying with the provisions of Appendix E, free and clear of all liens and encumbrances (including Permitted Liens other than Lessor Liens) and upon request of Lessor cooperate in causing thereupon cause the Aircraft to be removed from the register Register of civil aviation Civil Aircraft in the State of Registration and Lessee shall return the Aircraft to Lessor together with the Aircraft Documents and all equipment and records supplied pursuant to this Lease Agreement when the Aircraft was delivered to Lessee on the Original Delivery Date as the same may be modified, supplemented or amended during the Termhereunder.
16.2 Immediately prior to such redelivery of the Aircraft, Lessee, at its own expense, shall make the Aircraft, Aircraft Documents and other records available to Lessor for inspection ("Final Inspection") in order to verify that the condition of the Aircraft complies with the provisions of this LeaseAgreement. Such inspection shall not unreasonably interfere with the operation of the Aircraft. The period will be long enough for the Final Inspection to permit the conduct by Lessor of the following:
(a) Inspection of the Aircraft Documents;
(b) Inspection of the Aircraft structure and Parts;
(c) Inspection of the Engines and Auxiliary Power Unit ("A.P.U."), including without limitation, a borescope boroscope inspection or any other equivalent inspection method supported by Rolls Royce, inspection of the compressor and turbine area, and, if reasonably requested based on evidence that it is required, the Engine and A.P.U. condition runs confirming release of each Engine and A.P.U for its remaining operational life;
(d) A one-hour to two-hour test flight with Lessor's representatives on board as observers and, if any non compliance is found, a subsequent test flight to check compliance after rectification.
16.3 To the extent that, upon such Final Inspection, the condition of the Aircraft and Aircraft Documents does not comply with the provisions of this LeaseAgreement, Lessee, at its own expense, shall cause such non-compliance noncompliance to be promptly rectified and to the extent such rectification extends beyond the Expiry Date, the Term shall, at Lessor's sole option, be deemed to be automatically extended and the provisions of this Lease Agreement shall remain in full force and effect until such rectification has been accomplished. During such extension of the Term the Lessee shall be liable to pay Rent at a daily pro rata rate equal to the Rent payable during the last Rental Period of the Term.
16.4 Upon redelivery Lessee shall provide to Lessor all necessary assistance to enable Lessor to obtain any required documents in relation to the export of the Aircraft from the State of Registration, and if different, from the State of Incorporation (including a valid and subsisting export license for the Aircraft), and shall reassign to Lessor, at the expense of Lessee, the benefit of any indemnity or warranty which has been assigned to Lessee pursuant to Article 13.3 above to the extent such indemnity or warranty is assignable.
16.5 Prior to the Expiry Date or upon any earlier termination of the Term and upon Lessor's request, Lessee will provide Lessor or its agent reasonable access to and Lessor may make and retain copies of the Approved Maintenance Program and the Aircraft Documents in order to facilitate the Aircraft's integration into any subsequent operator's fleet. Lessee will, if requested by Lessor to do so, upon return of the Aircraft deliver to Lessor a certified true current and complete copy of the Approved Maintenance Program. Lessor agrees that it will not disclose the contents of the Approved Maintenance Program to any person or entity except to the extent necessary to monitor Lessee's compliance with this Lease Agreement and/or to bridge the maintenance program for the Aircraft from the Approved Maintenance Program to another program.
16.6 Upon redelivery of the Aircraft to Lessor, an adjustment shall be made in respect of fuel on board on the Original Delivery Date and on redelivery at the price then prevailing at the Redelivery Location.
16.7 If Lessor shall request that Lessee paint the Aircraft any other basic color as contemplated by Section 1(h) of Appendix E, Lessor agrees that it shall bear the cost and expense of the difference between white paint and such other basic color.
16.8 Upon written request of Lessor given to Lessee not later than thirty (30) days prior to the Expiry Date or of termination of the Lease, Lessee, at the Expiry Date or upon termination of the Lease, will provide, or will cause to be provided, up to thirty (30) days' storage of the Aircraft at Lessee's premises, at Lessor's cost and expense. Lessee shall cause the Aircraft to be delivered to such designated location at Lessor's cost and expense. During such period of storage, Lessee will arrange for insurance and maintenance at Lessor's cost and expense. Lessee shall allow Lessor or any person designated by Lessor, including the authorized representatives of any prospective purchaser or user of the Aircraft, Aircraft to inspect the same at all reasonable times.
Appears in 1 contract
Return of Aircraft. 16.1 On (a) Subject to the Expiry Date other Sections of this Lease, at expiration or upon earlier termination of this Lease (the Term (unless a Casualty Occurrence shall have occurred with respect to the Aircraft"Return Date"), Lessee shall, at its own expense, redeliver the Aircraft to Lessor at the Redelivery Location or such other airport as is mutually acceptable to the parties, in a condition complying with the provisions of Appendix E, free and clear of all liens and encumbrances (including Permitted Liens other than Lessor Liens) and upon request of Lessor cooperate in causing the Aircraft to be removed from the register of civil aviation in the State of Registration and Lessee shall return the Aircraft to Lessor, at a location within the continental United States as Lessor together shall direct. Lessee shall also return all logs, loose equipment, manuals and data associated with the Aircraft Documents supplied pursuant to this Lease when the Aircraft was delivered to Lessee on the Original Delivery Date as the same may be modified, supplemented or amended during the Term.
16.2 Immediately prior to such redelivery of the Aircraft, Lesseeincluding without limitation, at inspection, modification and overhaul records required to be maintained with respect to the Aircraft under this Lease or under the applicable rules and regulations of the FAA or the manufacturer's recommended maintenance program, along with a currently effective FAA airworthiness certificate. In addition, Lessee shall also return the Aircraft with the Stage III Hush Kit attached thereto. Lessee shall, upon request, assign to Lessor its own expense, shall make rights under any manufacturer's maintenance service contract or extended warranty for the Aircraft, any engine or part thereof. The Aircraft Documents and shall be returned in the condition in which the Aircraft is required to be maintained pursuant to Section 6, but with all logos or other records available to Lessor for inspection ("Final Inspection") in order to verify identifying marks of Lessee removed. Additionally, Lessee shall ensure that the condition Aircraft complies with all requirements and conditions set forth on Annex G hereto. Lessee shall pay for all costs to comply with this Section 10(a).
(b) Lessor shall arrange for the inspection of the Aircraft complies on the Return Date to determine if the Aircraft has been maintained and returned in accordance with the provisions of this Lease. Such Lessee shall be responsible for the cost of such inspection and shall not unreasonably interfere with pay Lessor such amount as additional Rent within ten (10) days of demand. If the operation results of such inspection indicate that the Aircraft. The period will be long enough for the Final Inspection to permit the conduct by Lessor of the following:
(a) Inspection of the Aircraft Documents;
(b) Inspection of the Aircraft structure and Parts;
(c) Inspection of the Engines and A.P.U., including without limitationany engine thereto or part thereof, a borescope inspection has not been maintained or any other equivalent inspection method supported by Rolls Royce, inspection of the compressor and turbine area, and, if reasonably requested based on evidence that it is required, the Engine and A.P.U. condition runs confirming release of each Engine and A.P.U for its remaining operational life;
(d) A one-hour to two-hour test flight with Lessor's representatives on board as observers and, if any non compliance is found, a subsequent test flight to check compliance after rectification.
16.3 To the extent that, upon such Final Inspection, the condition of the Aircraft and Aircraft Documents does not comply returned in accordance with the provisions of this Lease, LesseeLessee shall pay to Lessor within ten (10) days of demand, at its own expenseas liquidated damages, the estimated cost ("Estimated Cost") of servicing or repairing the Aircraft, engine or part. The Estimated Cost shall cause be determined by Lessor by obtaining two quotes for such non-compliance service or repair work and taking their average. Lessee shall bear the cost, if any, incurred by Lessor in obtaining such quotes.
(c) If Lessee fails to be promptly rectified and to return the extent such rectification extends beyond Aircraft on the Expiry Return Date, the Term shall, at Lessor's sole option, be deemed to be automatically extended and the provisions of this Lease shall remain in full force and effect until such rectification has been accomplished. During such extension of the Term Lessee Lessor shall be liable entitled to pay Rent at a daily pro rata rate damages equal to the higher of (i) the Rent payable during for the last Rental Period Aircraft, pro-rated on a per diem basis, for each day the Aircraft is retained beyond the Return Date; or (ii) the daily fair market rental for the Aircraft at the Return Date. Such damages for retention of the Aircraft after the Return Date shall not be interpreted as an extension or reinstatement of the Term.
16.4 Upon redelivery Lessee (d) All of Lessor's rights contained in this Section shall provide to Lessor all necessary assistance to enable Lessor to obtain any required documents in relation to survive the export of the Aircraft from the State of Registration, and if different, from the State of Incorporation (including a valid and subsisting export license for the Aircraft), and shall reassign to Lessor, at the expense of Lessee, the benefit of any indemnity expiration or warranty which has been assigned to Lessee pursuant to Article 13.3 above to the extent such indemnity or warranty is assignable.
16.5 Prior to the Expiry Date or upon any earlier other termination of the Term and upon Lessor's request, Lessee will provide Lessor or its agent reasonable access to and Lessor may make and retain copies of the Approved Maintenance Program and the Aircraft Documents in order to facilitate the Aircraft's integration into any subsequent operator's fleet. Lessor agrees that it will not disclose the contents of the Approved Maintenance Program to any person or entity except to the extent necessary to monitor Lessee's compliance with this Lease and/or to bridge the maintenance program for the Aircraft from the Approved Maintenance Program to another programLease.
16.6 Upon redelivery of the Aircraft to Lessor, an adjustment shall be made in respect of fuel on board on the Original Delivery Date and on redelivery at the price then prevailing at the Redelivery Location.
16.7 If Lessor shall request that Lessee paint the Aircraft any other basic color as contemplated by Section 1(h) of Appendix E, Lessor agrees that it shall bear the cost and expense of the difference between white paint and such other basic color.
16.8 Upon written request of Lessor given to Lessee not later than thirty (30) days prior to the Expiry Date or termination of the Lease, Lessee, at the Expiry Date or upon termination of the Lease, will provide, or will cause to be provided, up to thirty (30) days' storage of the Aircraft at Lessee's premises, at Lessor's cost and expense. Lessee shall cause the Aircraft to be delivered to such designated location at Lessor's cost and expense. During such period of storage, Lessee will arrange for insurance and maintenance at Lessor's cost and expense. Lessee shall allow Lessor or any person designated by Lessor, including the authorized representatives of any prospective purchaser or user of the Aircraft, to inspect the same at all reasonable times.
Appears in 1 contract
Return of Aircraft. 16.1 (a) On the Expiry Date date of expiration or upon earlier termination of the Term (unless this Lease other than by reason or a Casualty Occurrence shall have occurred with respect to (the Aircraft"RETURN DATE"), Lessee shall, at its own expense, redeliver the Aircraft to Lessor at the Redelivery Location or such other airport as is mutually acceptable to the parties, in a condition complying with the provisions of Appendix E, free and clear of all liens and encumbrances (including Permitted Liens other than Lessor Liens) and upon request of Lessor cooperate in causing the Aircraft to be removed from the register of civil aviation in the State of Registration and Lessee shall return the Aircraft to Lessor, at a location Lessor together with shall direct that shall be within the continental United States no greater than 1,500 miles from the primary hangar location of the Aircraft Documents supplied pursuant to at the expiration or termination of this Lease when the Aircraft was delivered to Lease. Lessee on the Original Delivery Date as the same may be modifiedshall also return all logs, supplemented or amended during the Term.
16.2 Immediately prior to such redelivery of loose equipment, manuals and data associated with the Aircraft, Lesseeincluding without limitation, at inspection, modification and overhaul records required to be maintained with respect to the Aircraft under this Lease or under the applicable rules and regulations of the FAA or under the manufacturer's recommended maintenance program, along with a currently effective FAA airworthiness certificate. Lessee shall, upon request, assign to Lessor its own expense, shall make rights under any manufacturer's maintenance service contract or extended warranty for the Aircraft, Aircraft Documents any engine or part thereof. All costs and other records available to Lessor expenses for inspection ("Final Inspection") in order to verify that the condition return of the Aircraft and delivery of the aforementioned logs, manuals and data shall be borne by Lessee. The Aircraft shall be returned in the condition in which the Aircraft is required to be maintained pursuant to Section 7, but with all logos or other identifying marks of Lessee removed. Additionally, Lessee shall ensure that the Aircraft complies with all requirements and conditions set forth on Annex G hereto.
(b) Lessor may arrange for the inspection of the Aircraft on the Return Date to determine if the Aircraft has been maintained and returned in accordance with the provisions of this Lease. Such Lessor shall be responsible for the cost of such inspection. If the results of such inspection shall not unreasonably interfere with the operation of indicate that the Aircraft. The period will be long enough for the Final Inspection to permit the conduct by Lessor of the following:
(a) Inspection of the Aircraft Documents;
(b) Inspection of the Aircraft structure and Parts;
(c) Inspection of the Engines and A.P.U., including without limitationany engine thereto or part thereof, a borescope inspection has not been maintained or any other equivalent inspection method supported by Rolls Royce, inspection of the compressor and turbine area, and, if reasonably requested based on evidence that it is required, the Engine and A.P.U. condition runs confirming release of each Engine and A.P.U for its remaining operational life;
(d) A one-hour to two-hour test flight with Lessor's representatives on board as observers and, if any non compliance is found, a subsequent test flight to check compliance after rectification.
16.3 To the extent that, upon such Final Inspection, the condition of the Aircraft and Aircraft Documents does not comply returned in accordance with the provisions of this Lease, LesseeLessee shall pay to Lessor within fifteen (15) days of demand, at its own expenseas liquidated damages, the estimated cost ("ESTIMATED COST") of servicing or repairing the Aircraft, engine or part. The Estimated Cost shall cause be determined by Lessor and Lessee each obtaining one quote for such non-compliance service or repair work and taking the average of the two quotes.
(c) If Lessee fails to be promptly rectified and to return the extent such rectification extends beyond Aircraft on the Expiry Return Date, the Term shall, at Lessor's sole option, be deemed to be automatically extended and the provisions of this Lease shall remain in full force and effect until such rectification has been accomplished. During such extension of the Term Lessee Lessor shall be liable entitled to pay Rent at a daily pro rata rate damages equal to the higher of (i) Rent payable during for the last Rental Period Aircraft, pro-rated on a per diem basis, for each day the Aircraft is retained beyond the Return Date; or (ii) the daily fair market rental for the Aircraft at the Return Date. Such damages for retention of the Aircraft shall not be interpreted as an extension or reinstatement of the Term.
16.4 Upon redelivery Lessee (d) All of Lessor's rights contained in this Section shall provide to Lessor all necessary assistance to enable Lessor to obtain any required documents in relation to survive the export of the Aircraft from the State of Registration, and if different, from the State of Incorporation (including a valid and subsisting export license for the Aircraft), and shall reassign to Lessor, at the expense of Lessee, the benefit of any indemnity expiration or warranty which has been assigned to Lessee pursuant to Article 13.3 above to the extent such indemnity or warranty is assignable.
16.5 Prior to the Expiry Date or upon any earlier other termination of the Term and upon Lessor's request, Lessee will provide Lessor or its agent reasonable access to and Lessor may make and retain copies of the Approved Maintenance Program and the Aircraft Documents in order to facilitate the Aircraft's integration into any subsequent operator's fleet. Lessor agrees that it will not disclose the contents of the Approved Maintenance Program to any person or entity except to the extent necessary to monitor Lessee's compliance with this Lease and/or to bridge the maintenance program for the Aircraft from the Approved Maintenance Program to another programLease.
16.6 Upon redelivery of the Aircraft to Lessor, an adjustment shall be made in respect of fuel on board on the Original Delivery Date and on redelivery at the price then prevailing at the Redelivery Location.
16.7 If Lessor shall request that Lessee paint the Aircraft any other basic color as contemplated by Section 1(h) of Appendix E, Lessor agrees that it shall bear the cost and expense of the difference between white paint and such other basic color.
16.8 Upon written request of Lessor given to Lessee not later than thirty (30) days prior to the Expiry Date or termination of the Lease, Lessee, at the Expiry Date or upon termination of the Lease, will provide, or will cause to be provided, up to thirty (30) days' storage of the Aircraft at Lessee's premises, at Lessor's cost and expense. Lessee shall cause the Aircraft to be delivered to such designated location at Lessor's cost and expense. During such period of storage, Lessee will arrange for insurance and maintenance at Lessor's cost and expense. Lessee shall allow Lessor or any person designated by Lessor, including the authorized representatives of any prospective purchaser or user of the Aircraft, to inspect the same at all reasonable times.
Appears in 1 contract
Return of Aircraft. 16.1 (a) On the Expiry Date date of expiration or upon earlier termination of the Term (unless a Casualty Occurrence shall have occurred with respect to the Aircraft), Lessee shall, at its own expense, redeliver the Aircraft to Lessor at the Redelivery Location or such other airport as is mutually acceptable to the parties, in a condition complying with the provisions of Appendix E, free and clear of all liens and encumbrances (including Permitted Liens other than Lessor Liens) and upon request of Lessor cooperate in causing the Aircraft to be removed from the register of civil aviation in the State of Registration and Lessee shall return the Aircraft to Lessor together with the Aircraft Documents supplied pursuant to this Lease when (the Aircraft was delivered to Lessee on the Original Delivery Date as the same may be modified, supplemented or amended during the Term.
16.2 Immediately prior to such redelivery of the AircraftReturn Date), Lessee, at its own expense, will return the Aircraft and shall make deliver all logs, loose equipment manuals and data associated with the Aircraft, Aircraft Documents and other records available to Lessor for inspection ("Final Inspection") in order to verify that the condition of the Aircraft complies with the provisions of this Lease. Such inspection shall not unreasonably interfere with the operation of the Aircraft. The period will be long enough for the Final Inspection to permit the conduct by Lessor of the following:
(a) Inspection of the Aircraft Documents;
(b) Inspection of the Aircraft structure and Parts;
(c) Inspection of the Engines and A.P.U., including without limitation, a borescope inspection inspection, modification and overhaul records required to be maintained with respect thereto under this Lease or any other equivalent inspection method supported by Rolls Royce, inspection under the applicable rules and regulations of the compressor FAA and turbine areaunder the manufacturers recommended maintenance program, and, if reasonably requested based on evidence that it is required, along with a currently effective FAA airworthiness certificate to Lessor to any location within the Engine and A.P.U. condition runs confirming release of each Engine and A.P.U for its remaining operational life;
(d) A one-hour to two-hour test flight with Lessor's representatives on board continental United States as observers and, if any non compliance is found, a subsequent test flight to check compliance after rectification.
16.3 To the extent thatLessor shall direct. Lessee shall, upon such Final Inspectionrequest, assign to Lessor its rights under any manufacturer's maintenance service contract or extended warranty for the condition Aircraft any engine or part thereof All expenses for return of the Aircraft and delivery of the aforementioned logs, manuals and data shall be borne by Lessee. The Aircraft Documents does not comply shall be returned in the condition in which the Aircraft is required to be maintained pursuant to Section VII hereof, but with all logos or other identifying marks of Lessee removed. Additionally, Lessee shall ensure that the Aircraft complies with all requirements and conditions set forth on Annex G hereto.
(b) Lessor shall arrange for the inspection of the Aircraft on the Return Date to determine if the Aircraft has been maintained and returned in accordance with the provisions hereof. Lessee shall be responsible for the cost of this Leasesuch inspection and shall pay Lessor such amount as additional Rent within ten (10) days of demand for same. In the event that the results of such inspection indicate that the Aircraft any engine thereto or part thereof, Lesseehas not been maintained or returned in accordance with the provisions hereof, at its own expenseLessee shall pay to Lessor within ten (10) days of demand, as liquidated damages, the estimated cost ( "Estimated Cost") of servicing or repairing the Aircraft, engine or part. The Estimated Cost shall cause be determined by Lessor by obtaining two quotes for such non-compliance service or repair work and taking the average of same. Lessee shall bear the cost, if any, incurred by Lessor in obtaining such quotes.
(c) If Lessee fails to return the Aircraft on termination or expiration of the Term, Lessor shall be promptly rectified and entitled to damages equal to the extent such rectification extends beyond higher of (i) the Expiry DateRent for the Aircraft, pro-rated on a per them basis, for each day the Term shall, at Lessor's sole option, be deemed to be automatically extended and Aircraft is retained in violation of the provisions hereof, or (ii) the daily fair market rental for the Aircraft at termination or expiration, as applicable. Such damages for retention of this Lease shall remain in full force and effect until such rectification has been accomplished. During such extension the Aircraft after termination or expiration of the Term Lessee shall not be liable to pay Rent at a daily pro rata rate equal to the Rent payable during the last Rental Period interpreted as an extension or reinstatement of the Term.
16.4 Upon redelivery Lessee (d) All of Lessor's rights contained in this Section shall provide to Lessor all necessary assistance to enable Lessor to obtain any required documents in relation to survive the export of the Aircraft from the State of Registration, and if different, from the State of Incorporation (including a valid and subsisting export license for the Aircraft), and shall reassign to Lessor, at the expense of Lessee, the benefit of any indemnity expiration or warranty which has been assigned to Lessee pursuant to Article 13.3 above to the extent such indemnity or warranty is assignable.
16.5 Prior to the Expiry Date or upon any earlier other termination of the Term and upon Lessor's request, Lessee will provide Lessor or its agent reasonable access to and Lessor may make and retain copies of the Approved Maintenance Program and the Aircraft Documents in order to facilitate the Aircraft's integration into any subsequent operator's fleet. Lessor agrees that it will not disclose the contents of the Approved Maintenance Program to any person or entity except to the extent necessary to monitor Lessee's compliance with this Lease and/or to bridge the maintenance program for the Aircraft from the Approved Maintenance Program to another programLease.
16.6 Upon redelivery of the Aircraft to Lessor, an adjustment shall be made in respect of fuel on board on the Original Delivery Date and on redelivery at the price then prevailing at the Redelivery Location.
16.7 If Lessor shall request that Lessee paint the Aircraft any other basic color as contemplated by Section 1(h) of Appendix E, Lessor agrees that it shall bear the cost and expense of the difference between white paint and such other basic color.
16.8 Upon written request of Lessor given to Lessee not later than thirty (30) days prior to the Expiry Date or termination of the Lease, Lessee, at the Expiry Date or upon termination of the Lease, will provide, or will cause to be provided, up to thirty (30) days' storage of the Aircraft at Lessee's premises, at Lessor's cost and expense. Lessee shall cause the Aircraft to be delivered to such designated location at Lessor's cost and expense. During such period of storage, Lessee will arrange for insurance and maintenance at Lessor's cost and expense. Lessee shall allow Lessor or any person designated by Lessor, including the authorized representatives of any prospective purchaser or user of the Aircraft, to inspect the same at all reasonable times.
Appears in 1 contract
Return of Aircraft. 16.1 12.1 Redelivery ---------- On the Expiry Date or upon earlier termination of the Term (unless a Casualty Occurrence shall have occurred with respect to leasing of the Aircraft)Aircraft under this Agreement, Lessee shall, unless a Total Loss has occurred, at its own expense, redeliver the Aircraft and Aircraft Documents to Lessor at the Redelivery Location or such other airport as is mutually acceptable to the parties, in a condition complying with the provisions of Appendix Ethis Section 12 and Schedule 3, free and clear of all liens Security Interests and encumbrances (including Permitted Liens (other than Lessor Liens) and upon ). Upon the request of Lessor cooperate in causing Lessor, Lessee shall ferry the Aircraft to be removed from a location other than the register Redelivery Location. Lessor shall pay the costs of, and bear the risk of civil aviation in the State of Registration and Lessee shall return loss to the Aircraft to Lessor together with the Aircraft Documents supplied pursuant to this Lease when the Aircraft was delivered to Lessee on the Original Delivery Date as the same may be modifiedduring, supplemented or amended during the Termsuch ferry flight.
16.2 12.2 Final Checks ------------ Immediately prior to such redelivery return of the Aircraft, Lessee, at its own expense, Lessee shall make the Aircraft, Aircraft Documents and other records available to Lessor for inspection ("Final Inspection") in order to verify that the condition of the Aircraft complies with the provisions of this Lease. Such inspection shall not unreasonably interfere with the operation of the Aircraft. The period will be long enough for the Final Inspection to permit the conduct by Lessor of perform the following:
(a) Inspection of Lessee shall perform (or have performed by an Agreed Maintenance Performer) a C-Check. At return, the Airframe will have zero Flight Hours since such C-Check, except for the acceptance flights and the ferry flight to the Redelivery Location. Lessee will also weigh the Aircraft. Any discrepancies revealed during such inspection will be corrected in accordance with the Manufacturer's maintenance and repair manuals. Lessee shall also perform or cause to be performed during such check, to the extent it is able, any other work reasonably required by Lessor (and not otherwise required under this Agreement) so long as such work does not prevent Lessee from returning the Aircraft Documents;on the Expiry Date, and Lessor shall reimburse Lessee for the Actual Cost of such work.
(b) Inspection Lessee shall perform (or have performed by an Agreed Maintenance Performer) an internal and external corrosion inspection in accordance with the CPCP, and correct any discrepancies in accordance with the recommendations of the Aircraft structure Manufacturer and Parts;the SRM. In addition, all inspected areas will be properly treated with corrosion inhibitor as recommended by Manufacturer.
(c) Inspection of If Lessee performed any structural inspections or tasks on a sampling basis but did not perform such inspections on the Engines and A.P.U.Aircraft, including without limitation, a borescope inspection or any other equivalent inspection method supported by Rolls Royce, inspection of such work shall also be performed on the compressor and turbine area, and, if reasonably requested based on evidence that it is required, the Engine and A.P.U. condition runs confirming release of each Engine and A.P.U for its remaining operational life;Aircraft.
(d) A one-hour to two-hour test flight with Lessor's representatives on board as observers andLessee shall perform a videotape borescope inspection of all accessible gas path sections of each Engine (accessible whether by borescope port or other means), if any non compliance is found, a subsequent test flight to check compliance after rectification.
16.3 To including the extent that, upon low pressure and high pressure compressors and the turbine area of such Final Inspection, the condition of the Aircraft and Aircraft Documents does not comply with the provisions of this Lease, Lessee, at its own expense, shall cause such non-compliance to be promptly rectified and to the extent such rectification extends Engine. All items beyond the Expiry Date, the Term shall, at LessorEngine Manufacturer's sole option, maintenance manual serviceable limits will be deemed to be automatically extended and the provisions of this Lease shall remain in full force and effect until such rectification has been accomplished. During such extension of the Term Lessee shall be liable to pay Rent at a daily pro rata rate equal to the Rent payable during the last Rental Period of the Term.
16.4 Upon redelivery Lessee shall provide to Lessor all necessary assistance to enable Lessor to obtain any required documents in relation to the export of the Aircraft from the State of Registration, and if different, from the State of Incorporation (including a valid and subsisting export license for the Aircraft), and shall reassign to Lessor, at the expense of Lessee, the benefit of any indemnity or warranty which has been assigned to Lessee pursuant to Article 13.3 above to the extent such indemnity or warranty is assignable.
16.5 Prior to the Expiry Date or upon any earlier termination of the Term and upon Lessor's request, Lessee will provide Lessor or its agent reasonable access to and Lessor may make and retain copies of the Approved Maintenance Program and the Aircraft Documents in order to facilitate the Aircraft's integration into any subsequent operator's fleet. Lessor agrees that it will not disclose the contents of the Approved Maintenance Program to any person or entity except to the extent necessary to monitor Lessee's compliance with this Lease and/or to bridge the maintenance program for the Aircraft from the Approved Maintenance Program to another program.
16.6 Upon redelivery of the Aircraft to Lessor, an adjustment shall be made in respect of fuel on board on the Original Delivery Date and on redelivery at the price then prevailing at the Redelivery Location.
16.7 If Lessor shall request that Lessee paint the Aircraft any other basic color as contemplated by Section 1(h) of Appendix E, Lessor agrees that it shall bear the cost and expense of the difference between white paint and such other basic color.
16.8 Upon written request of Lessor given to Lessee not later than thirty (30) days prior to the Expiry Date or termination of the Lease, Lessee, at the Expiry Date or upon termination of the Lease, will provide, or will cause to be provided, up to thirty (30) days' storage of the Aircraft rectified at Lessee's premises, at Lessor's sole cost and expense. No Engine will be "on watch" for any reason requiring special or out of sequence inspection.
(e) In accordance with the Engine Manufacturer's maintenance manual, Lessee shall cause the Aircraft perform a maximum power assurance run and condition, acceleration and bleed valve scheduling checks on each Engine. Lessee will record and evaluate each Engine's performance, with Lessor and/or its representatives entitled to be delivered to present. Each Engine shall pass such designated location tests without operational limitations throughout the operating envelope in accordance with the Engine Manufacturer's maintenance manual.
(f) Lessee shall perform a power assurance run and a videotape borescope inspection of the APU, and all items beyond the manufacturer's recommended limits will be rectified at LessorLessee's sole cost and expense. During such period .
(g) If any historical and technical records, condition trend monitoring data, power assurance runs or borescope inspection indicate an abnormal acceleration in the rate of storageperformance deterioration or oil consumption in any Engine or the APU, Lessee will arrange for insurance and maintenance at Lessor's cost and expense. shall correct such conditions causing the accelerated rate of deterioration or oil consumption.
(h) Lessee shall allow notify Lessor at least 30 days prior to commencing the final checks and tests required pursuant to this Section 12.2 and Lessor and the Financing Parties or any person designated by Lessor, including the authorized their respective representatives of any prospective purchaser or user of the Aircraft, to may inspect the same at all reasonable timesAircraft during any such examination or test.
Appears in 1 contract
Sources: Lease Agreement (Airfund International Limited Partnership)
Return of Aircraft. 16.1 On the Expiry Date (a) At expiration or upon earlier termination of this Lease (the Term (unless a Casualty Occurrence shall have occurred with respect to the Aircraft"Return Date"), Lessee shall, at its own expense, redeliver the Aircraft to Lessor at the Redelivery Location or such other airport as is mutually acceptable to the parties, in a condition complying with the provisions of Appendix E, free and clear of all liens and encumbrances (including Permitted Liens other than Lessor Liens) and upon request of Lessor cooperate in causing the Aircraft to be removed from the register of civil aviation in the State of Registration and Lessee shall return the Aircraft to Lessor, at a location within the continental United States as Lessor together shall direct. Lessee shall also return all logs, loose equipment, manuals and data associated with the Aircraft Documents supplied pursuant to this Lease when the Aircraft was delivered to Lessee on the Original Delivery Date as the same may be modified, supplemented or amended during the Term.
16.2 Immediately prior to such redelivery of the Aircraft, Lessee, at its own expense, shall make the Aircraft, Aircraft Documents and other records available to Lessor for inspection ("Final Inspection") in order to verify that the condition of the Aircraft complies with the provisions of this Lease. Such inspection shall not unreasonably interfere with the operation of the Aircraft. The period will be long enough for the Final Inspection to permit the conduct by Lessor of the following:
(a) Inspection of the Aircraft Documents;
(b) Inspection of the Aircraft structure and Parts;
(c) Inspection of the Engines and A.P.U., including without limitation, inspection, modification and overhaul records required to be maintained with respect to the Aircraft under this Lease or under the applicable rules and regulations of the FAA or the manufacturer's recommended maintenance program, along with a borescope inspection currently effective FAA airworthiness certificate. Lessee shall, upon request, assign to Lessor its rights under any manufacturer's maintenance service contract or extended warranty for the Aircraft any engine or part thereof. The Aircraft shall be returned in the condition in which the Aircraft is required to be maintained pursuant to Section 7, but with all logos or other equivalent inspection method supported by Rolls Royceidentifying marks of Lessee removed. Additionally, Lessee shall ensure that the Aircraft complies with all requirements and conditions set forth on Annex G hereto. Lessee shall pay for all costs to comply with this Section 11(a).
(b) Lessor shall arrange for the inspection of the compressor and turbine area, and, Aircraft on the Return Date to determine if reasonably requested based on evidence that it is required, the Engine and A.P.U. condition runs confirming release of each Engine and A.P.U for its remaining operational life;
(d) A one-hour to two-hour test flight with Lessor's representatives on board as observers and, if any non compliance is found, a subsequent test flight to check compliance after rectification.
16.3 To the extent that, upon such Final Inspection, the condition of the Aircraft has been maintained and Aircraft Documents does returned in accordance with the Provisions of this Lease. Lessee shall be responsible for the cost of such inspection and shall pay Lessor such amount as additional Rent within ten (10) days of demand. If the results of such inspection indicate that the Aircraft, any engine thereto or part thereof, has not comply been maintained or returned in accordance with the provisions of this Lease, LesseeLessee shall pay to Lessor within ten (10) days of demand, at its own expenseas liquidated damages, the estimated cost ("Estimated Cost") of servicing or repairing the Aircraft, engine or part. The Estimated Cost shall cause be determined by Lessor by obtaining two quotes for such non-compliance service or repair work and taking their average. Lessee shall bear the cost, if any, incurred by Lessor in obtaining such quotes.
(c) If Lessee fails to be promptly rectified and to return the extent such rectification extends beyond Aircraft on the Expiry Return Date, the Term shall, at Lessor's sole option, be deemed to be automatically extended and the provisions of this Lease shall remain in full force and effect until such rectification has been accomplished. During such extension of the Term Lessee Lessor shall be liable entitled to pay Rent at a daily pro rata rate damages equal to the higher of (i) the Rent payable during for the last Rental Period Aircraft, pro-rated on a per diem basis, for each day the Aircraft is retained beyond the Return Date; or (ii) the daily fair market rental for the Aircraft at the Return Date. Such damages for retention of the Aircraft after the Return Date shall not be interpreted as an extension or reinstatement of the Term.
16.4 Upon redelivery Lessee (d) All of Lessor's rights contained in this Section shall provide to Lessor all necessary assistance to enable Lessor to obtain any required documents in relation to survive the export of the Aircraft from the State of Registration, and if different, from the State of Incorporation (including a valid and subsisting export license for the Aircraft), and shall reassign to Lessor, at the expense of Lessee, the benefit of any indemnity expiration or warranty which has been assigned to Lessee pursuant to Article 13.3 above to the extent such indemnity or warranty is assignable.
16.5 Prior to the Expiry Date or upon any earlier other termination of the Term and upon Lessor's request, Lessee will provide Lessor or its agent reasonable access to and Lessor may make and retain copies of the Approved Maintenance Program and the Aircraft Documents in order to facilitate the Aircraft's integration into any subsequent operator's fleet. Lessor agrees that it will not disclose the contents of the Approved Maintenance Program to any person or entity except to the extent necessary to monitor Lessee's compliance with this Lease and/or to bridge the maintenance program for the Aircraft from the Approved Maintenance Program to another programLease.
16.6 Upon redelivery of the Aircraft to Lessor, an adjustment shall be made in respect of fuel on board on the Original Delivery Date and on redelivery at the price then prevailing at the Redelivery Location.
16.7 If Lessor shall request that Lessee paint the Aircraft any other basic color as contemplated by Section 1(h) of Appendix E, Lessor agrees that it shall bear the cost and expense of the difference between white paint and such other basic color.
16.8 Upon written request of Lessor given to Lessee not later than thirty (30) days prior to the Expiry Date or termination of the Lease, Lessee, at the Expiry Date or upon termination of the Lease, will provide, or will cause to be provided, up to thirty (30) days' storage of the Aircraft at Lessee's premises, at Lessor's cost and expense. Lessee shall cause the Aircraft to be delivered to such designated location at Lessor's cost and expense. During such period of storage, Lessee will arrange for insurance and maintenance at Lessor's cost and expense. Lessee shall allow Lessor or any person designated by Lessor, including the authorized representatives of any prospective purchaser or user of the Aircraft, to inspect the same at all reasonable times.
Appears in 1 contract
Sources: Aircraft Lease Agreement (Smart Choice Automotive Group Inc)
Return of Aircraft. 16.1 On the Expiry Expiration Date or, earlier cancellation, expiration or upon earlier termination of this Lease (other than pursuant to Section 11), the Term Lessee, at its sole cost and expense, shall, return the Aircraft and all Loose Equipment to Lessor at such location within the continental United States as designated by Lessor, in its sole and absolute discretion, in compliance with each of the following provisions:
(unless a Casualty Occurrence i) the Aircraft shall have occurred be in as good operating condition, repair and appearance (ordinary wear and tear excepted) as when delivered to the Lessee on the Delivery Date, with all equipment, components and systems functioning in accordance with the applicable manufacturer's specified recommended limits;
(ii) the Aircraft shall be fully equipped and configured as of the Delivery Date including, without limitation, with respect to the Aircraft)Aircraft interior, seat covers and cushions, carpet, windows, sidewalls, bulkheads and baggage compartments, and with the same (as identified by the manufacturer's serial number ) Engines and Propellers installed as were originally delivered on the Aircraft on the Delivery Date; provided however, in the event of a replacement of any original Engine or original Propeller pursuant to Section 11, Lessee shall, at its own expense, redeliver shall return the Aircraft to Lessor at with such replacement Engine or Replacement Propeller, as applicable;
(iii) the Redelivery Location or such other airport as is mutually acceptable to Aircraft shall have a current valid Certificate of Airworthiness;
(iv) the parties, Aircraft shall be airworthy and in a condition complying to immediately comply without any qualification or exception for operation in scheduled passenger revenue service in accordance with the Applicable FAR and otherwise be in a condition which demonstrates full compliance with all of the maintenance and repair obligations of the Lessee under Section 10 of this Lease;
(v) the Aircraft shall be in compliance (through terminating action) with and shall have accomplished all FAA Airworthiness Directives and Manufacturer's Service Bulletins which are designated "mandatory" and which in either case, require the compliance on or before the Expiration Date (without regard to any deviation, exemption, extension, or waiver which Lessee may have obtained);
(vi) the Aircraft shall have had installed all applicable vendor's or manufacturer's service kits delivered free of charge to the Lessee;
(vii) the Aircraft shall be in compliance with the Approved Maintenance Program with no open, continued, deferred or placarded items or discrepancies (including, without limitation, minimum equipment list (MEL) and configuration deviation list (CDL) items); provided however, ▇▇ the event Lessee has been granted any deviation, exemption, extension or waiver for scheduled maintenance with respect to any Engine, Propeller or other Part on the Aircraft beyond the applicable manufacturer's recommended interval for such event, Lessee shall perform a hardtime overhaul at return;
(viii) any and all damage (or repairs of damage) to the Aircraft shall be demonstrated by Lessee to the satisfaction of the Lessor, in Lessor's sole and absolute discretion, to be within the Manufacturer's Structural Repair Manual limits;
(ix) the Aircraft shall be free of fuel and hydraulic leaks as defined within the Manufacturer's limit over a five (5) consecutive hour period;
(x) the Aircraft shall be current on the Manufacturer's recommended Corrosion Preventive Control Program (CPCP);
(xi) each Engine Line Replacement Unit (LRU) and each low cycle fatigue unit (LCF) on an Engine shall have time remaining equal to or in excess of the time remaining to the next scheduled overhaul for such Engine;
(xii) the Airframe shall have had freshly undergone the same major airframe inspection and all such lesser included airframe inspections as were performed prior to the Delivery Date;
(xiii) within the lesser of (x) the ninety (90) day period or (x) 600 Flight Hours or cycles following return of the Aircraft in accordance with the provisions of Appendix Ethis Section 14, no time or calendar controlled component on the Aircraft or any Engine, Propeller or Part shall require a schedule overhaul or replacement, and no Engine shall require a hot section inspection;
(xiv) the Aircraft shall be free from all of Lessee's distinctive identification (i.e. name, markings, coloring, stripes, and logos) and the Aircraft will be re-delivered in all-over white exterior paint; provided, however, this requirement shall not be construed to require the Lessee to freshly paint the Aircraft unless its exterior is returned in other than all-over white paint; and
(xv) the Airframe and each Engine, Propeller and Part shall be free and clear of all liens and encumbrances Liens (including Permitted Liens other than Lessor Liens) and upon request of Lessor cooperate in causing the Aircraft to be removed from the register of civil aviation in the State of Registration and Lessee shall return the Aircraft to Lessor together with the Aircraft Documents supplied pursuant to this Lease when the Aircraft was delivered to Lessee on the Original Delivery Date as the same may be modified, supplemented or amended during the Term.
16.2 Immediately prior to such redelivery of the Aircraft, Lessee, at its own expense, shall make the Aircraft, Aircraft Documents and other records available to Lessor for inspection ("Final Inspection") in order to verify that the condition of the Aircraft complies with the provisions of this Lease. Such inspection shall not unreasonably interfere with the operation of the Aircraft. The period will be long enough for the Final Inspection to permit the conduct by Lessor of the following:
(a) Inspection of the Aircraft Documents;
(b) Inspection of the Aircraft structure and Parts;
(c) Inspection of the Engines and A.P.U., including without limitation, a borescope inspection or any other equivalent inspection method supported by Rolls Royce, inspection of the compressor and turbine area, and, if reasonably requested based on evidence that it is required, the Engine and A.P.U. condition runs confirming release of each Engine and A.P.U for its remaining operational life;
(d) A one-hour to two-hour test flight with Lessor's representatives on board as observers and, if any non compliance is found, a subsequent test flight to check compliance after rectification.
16.3 To the extent that, upon such Final Inspection, the condition of the Aircraft and Aircraft Documents does not comply with the provisions of this Lease, Lessee, at its own expense, shall cause such non-compliance to be promptly rectified and to the extent such rectification extends beyond the Expiry Date, the Term shall, at Lessor's sole option, be deemed to be automatically extended and the provisions of this Lease shall remain in full force and effect until such rectification has been accomplishedLiens). During such extension of the Term Lessee shall be liable to pay Rent at a daily pro rata rate equal to the Rent payable during the last Rental Period of the Term.
16.4 Upon redelivery Lessee shall provide to Lessor all necessary assistance to enable Lessor to obtain any required documents in relation to the export of the Aircraft from the State of Registration, and if different, from the State of Incorporation (including a valid and subsisting export license for the Aircraft), and shall reassign to LessorIn addition, at the expense time of Lessee, the benefit of any indemnity or warranty which has been assigned to Lessee pursuant to Article 13.3 above to the extent such indemnity or warranty is assignable.
16.5 Prior to the Expiry Date or upon any earlier termination of the Term and upon Lessor's requestreturn, Lessee will provide Lessor or its agent reasonable access to and Lessor may make and retain copies of the Approved Maintenance Program and the Aircraft Documents in order to facilitate the Aircraft's integration into shall comply with any subsequent operator's fleet. Lessor agrees that it will not disclose the contents of the Approved Maintenance Program to any person or entity except to the extent necessary to monitor Lessee's compliance with this Lease and/or to bridge the maintenance program additional return conditions for the Aircraft from set forth in the Approved Maintenance Program to another programCommercial Supplement.
16.6 Upon redelivery of the Aircraft to Lessor, an adjustment shall be made in respect of fuel on board on the Original Delivery Date and on redelivery at the price then prevailing at the Redelivery Location.
16.7 If Lessor shall request that Lessee paint the Aircraft any other basic color as contemplated by Section 1(h) of Appendix E, Lessor agrees that it shall bear the cost and expense of the difference between white paint and such other basic color.
16.8 Upon written request of Lessor given to Lessee not later than thirty (30) days prior to the Expiry Date or termination of the Lease, Lessee, at the Expiry Date or upon termination of the Lease, will provide, or will cause to be provided, up to thirty (30) days' storage of the Aircraft at Lessee's premises, at Lessor's cost and expense. Lessee shall cause the Aircraft to be delivered to such designated location at Lessor's cost and expense. During such period of storage, Lessee will arrange for insurance and maintenance at Lessor's cost and expense. Lessee shall allow Lessor or any person designated by Lessor, including the authorized representatives of any prospective purchaser or user of the Aircraft, to inspect the same at all reasonable times.
Appears in 1 contract
Sources: Operating Lease (Ccair Inc)
Return of Aircraft. 16.1 On the Expiry Date or upon earlier termination of the Term (unless a Casualty Occurrence shall have occurred with respect to the Aircraft), Lessee shall, at its own expense, redeliver the Aircraft to Lessor at the Redelivery Location or such other airport as is mutually acceptable to the parties, in a condition complying with the provisions of Appendix E, free and clear of all liens and encumbrances (including Permitted Liens other than Lessor Liens) and upon request of Lessor cooperate in causing the Aircraft to be removed from the register of civil aviation in the State of Registration and Lessee shall return the Aircraft to Lessor together with the Aircraft Documents supplied pursuant to this Lease when the Aircraft was delivered to Lessee on the Original Delivery Date as the same may be modified, supplemented or amended during the Term.
16.2 Immediately prior to such redelivery of the Aircraft, Lessee, at its own expense, shall make the Aircraft, Aircraft Documents and other records available to Lessor for inspection ("Final Inspection") in order to verify that the condition of the Aircraft complies with the provisions of this Lease. Such inspection shall not unreasonably interfere with the operation of the Aircraft. The period will be long enough for the Final Inspection to permit the conduct by Lessor of the following:
(a) Inspection of the Aircraft Documents;
(b) Inspection of the Aircraft structure and Parts;
(c) Inspection of the Engines and A.P.U., including without limitation, a borescope inspection or any other equivalent inspection method supported by Rolls Royce, inspection of the the- compressor and turbine area, and, if reasonably requested based on evidence that it is required, the Engine and A.P.U. condition runs confirming release of each Engine and A.P.U for its remaining operational life;
(d) A one-hour to two-hour test flight with Lessor's representatives on board as observers and, if any non compliance is found, a subsequent test flight to check compliance after rectification.
16.3 To the extent that, upon such Final Inspection, the condition of the Aircraft and Aircraft Documents does not comply with the provisions of this Lease, Lessee, at its own expense, shall cause such non-compliance to be promptly rectified and to the extent such rectification extends beyond the Expiry Date, the Term shall, at Lessor's sole option, be deemed to be automatically extended and the provisions of this Lease shall remain in full force and effect until such rectification has been accomplished. During such extension of the Term Lessee shall be liable to pay Rent at a daily pro rata rate equal to the Rent payable during the last Rental Period of the Term.
16.4 Upon redelivery Lessee shall provide to Lessor all necessary assistance to enable Lessor to obtain any required documents in relation to the export of the Aircraft from the State of Registration, and if different, from the State of Incorporation (including a valid and subsisting export license for the Aircraft), and shall reassign to Lessor, at the expense of Lessee, the benefit of any indemnity or warranty which has been assigned to Lessee pursuant to Article 13.3 above to the extent such indemnity or warranty is assignable.
16.5 Prior to the Expiry Date or upon any earlier termination of the Term and upon Lessor's request, Lessee will provide Lessor or its agent reasonable access to and Lessor may make and retain copies of the Approved Maintenance Program and the Aircraft Documents in order to facilitate the Aircraft's integration into any subsequent operator's fleet. Lessor agrees that it will not disclose the contents of the Approved Maintenance Program to any person or entity except to the extent necessary to monitor Lessee's compliance with this Lease and/or to bridge the maintenance program for the Aircraft from the Approved Maintenance Program to another program.
16.6 Upon redelivery of the Aircraft to Lessor, an adjustment shall be made in respect of fuel on board on the Original Delivery Date and on redelivery at the price then prevailing at the Redelivery Location.
16.7 If Lessor shall request that Lessee paint the Aircraft any other basic color as contemplated by Section 1(h) of Appendix E, Lessor agrees that it shall bear the cost and expense of the difference between white paint and such other basic color.
16.8 Upon written request of Lessor given to Lessee not later than thirty (30) days prior to the Expiry Date or termination of the Lease, Lessee, at the Expiry Date or upon termination of the Lease, will provide, or will cause to be provided, up to thirty (30) days' storage of the Aircraft at Lessee's premises, at Lessor's cost and expense. Lessee shall cause the Aircraft to be delivered to such designated location at Lessor's cost and expense. During such period of storage, Lessee will arrange for insurance and maintenance at Lessor's cost and expense. Lessee shall allow Lessor or any person designated by Lessor, including the authorized representatives of any prospective purchaser or user of the Aircraft, to inspect the same at all reasonable times.
Appears in 1 contract
Return of Aircraft. 16.1 On (a) Condition Upon Return. Upon the Expiry Date expiration or upon earlier termination of the Term (unless a Casualty Occurrence shall have occurred with respect this Lease as to the Aircraft)any Leased Property, Lessee shallwill return, at its Lessee's own risk and expense, redeliver such Leased Property by delivering the Aircraft same to Lessor at the Redelivery Location Evergreen Air Center Inc.'s facilities at Pinal Air Park, Marana, Arizona, or at such other airport location as is mutually acceptable to shall have been agreed upon by Lessor and Lessee, (i) in the partiescase of the 747 Airframe fully equipped with four 747 Engines, or other ▇▇▇▇▇ & ▇▇▇▇▇▇▇ JT9D-7F engines (or engines of the same or another manufacturer of the same or an improved model and suitable for use on the 747 Airframe) owned by Lessee, duly installed thereon and (ii) in the case of any DC-9 Airframe fully equipped with two DC-9 Engines, or other ▇▇▇▇▇ & Whitney JT8D-9A engines (or engine of the same or another manufacturer of the same or an improved model and suitable for use on the DC-9 Airframe) owned by Lessee, duly installed thereon. At the time of such return each Airframe and Engines or engines (i), in a condition complying with the provisions case of Appendix Esuch Aircraft, shall be duly certified as an airworthy aircraft by the Federal Aviation Administration; (ii) shall be free and clear of all liens and encumbrances Liens (including Permitted Liens other than Lessor Liens and Unmatured Lessor Liens); (iii) and upon request of Lessor cooperate shall be in causing the Aircraft to be removed from the register of civil aviation in the State of Registration and Lessee shall return the Aircraft to Lessor together with the Aircraft Documents supplied pursuant to this Lease as good operating condition as when the Aircraft was delivered to Lessee on hereunder, ordinary wear and tear excepted, or, in the Original case of any such engines owned by Lessee, shall have a value and utility at least equal to, and shall be in as good operating condition as required by the terms hereof with respect to the Engines; (iv) in the event that Lessee does not, use a progressive overhaul program in which no out-of-service phase with respect to the Airframe exceeds 120 hours and Lessee adopts a time-related overhaul program with respect to such Airframe, such Airframe shall have at least the number of the allowable hours of operation remaining to the next D Check as the number of hours of operation remaining to the next D Check immediately after the Delivery Date with respect to such Aircraft; and (v) in the event that Lessee has adopted an on condition maintenance program with respect to all engines in its fleet similar to the Engines or engines being returned, Lessee shall have maintained the Engines or engines being returned in accordance with such program, and in the event that Lessee shall, in lieu of an on condition maintenance program have adopted a scheduled shop visit or modular change maintenance program with respect to the Engines or engines, the Engines or engines shall have at least an average number of allowable hours between scheduled shop visits or module change remaining (based on a 12-month running average) to next scheduled removal as the same may be modified, supplemented or amended during average number of such hours to the Term.
16.2 Immediately prior to such redelivery of the Aircraft, Lessee, at its own expense, shall make the Aircraft, Aircraft Documents and other records available to Lessor for inspection ("Final Inspection") in order to verify that the condition of the Aircraft complies with the provisions of this Lease. Such inspection shall not unreasonably interfere with the operation of the Aircraft. The period will be long enough for the Final Inspection to permit the conduct by Lessor of the following:
(a) Inspection of the Aircraft Documents;
(b) Inspection of the Aircraft structure and Parts;
(c) Inspection next scheduled removal of the Engines and A.P.U.on the related Delivery Date, including without limitationbut in no case less than, a borescope inspection or any other equivalent inspection method supported by Rolls Royce, inspection in the case of the compressor and turbine area747 Engine, and2,000 hours or 500 cycles remaining on any one 747 Engine to next scheduled removal or, if reasonably requested based in the case of the DC-9 Engines, 1,000 hours or 1,000 cycles remaining on evidence that any one DC-9 Engine to next scheduled removal. If for reasons beyond the control of Lessee it is required, the Engine and A.P.U. condition runs confirming release of each Engine and A.P.U for its remaining operational life;
unable to comply with clause (di) A one-hour to two-hour test flight with Lessor's representatives on board as observers and, if any non compliance is found, a subsequent test flight to check compliance after rectification.
16.3 To the extent that, upon such Final Inspection, the condition of the Aircraft second sentence of this Section 5(a) upon the return of such Leased Property, it will immediately give Lessor notice thereof describing the circumstances in detail and Aircraft Documents does not shall either, as directed by Lessor at its option, (i) return such Leased Property as nearly as possible in compliance with this Section 5(a) or (ii) retain possession of such Leased Property until it is able to comply with the provisions this Section 5(a) at which time Lessee shall comply with this Section 5(a) as promptly as possible. If Lessee retains possession of this Leasesuch Leased Property, Lessee, at its own expense, shall cause such non-compliance to be promptly rectified and to the extent such rectification extends beyond the Expiry Date, the Term shall, at Lessor's sole option, be deemed to be automatically extended and the provisions of this Lease shall remain in full force and effect until such rectification has been accomplished. During such extension the Participation Agreement (including, without limitation, Section 11 hereof and Section 7 of the Term Participation Agreement) shall continue to apply except Lessee will not be obligated to pay Basic Rent with respect to such Leased Property, provided that during such period Lessee shall be liable have no right to pay Rent at a daily pro rata rate equal to the Rent payable during the last Rental Period of the Termuse such Leased property.
16.4 Upon redelivery Lessee shall provide to Lessor all necessary assistance to enable Lessor to obtain any required documents in relation to the export of the Aircraft from the State of Registration, and if different, from the State of Incorporation (including a valid and subsisting export license for the Aircraft), and shall reassign to Lessor, at the expense of Lessee, the benefit of any indemnity or warranty which has been assigned to Lessee pursuant to Article 13.3 above to the extent such indemnity or warranty is assignable.
16.5 Prior to the Expiry Date or upon any earlier termination of the Term and upon Lessor's request, Lessee will provide Lessor or its agent reasonable access to and Lessor may make and retain copies of the Approved Maintenance Program and the Aircraft Documents in order to facilitate the Aircraft's integration into any subsequent operator's fleet. Lessor agrees that it will not disclose the contents of the Approved Maintenance Program to any person or entity except to the extent necessary to monitor Lessee's compliance with this Lease and/or to bridge the maintenance program for the Aircraft from the Approved Maintenance Program to another program.
16.6 Upon redelivery of the Aircraft to Lessor, an adjustment shall be made in respect of fuel on board on the Original Delivery Date and on redelivery at the price then prevailing at the Redelivery Location.
16.7 If Lessor shall request that Lessee paint the Aircraft any other basic color as contemplated by Section 1(h) of Appendix E, Lessor agrees that it shall bear the cost and expense of the difference between white paint and such other basic color.
16.8 Upon written request of Lessor given to Lessee not later than thirty (30) days prior to the Expiry Date or termination of the Lease, Lessee, at the Expiry Date or upon termination of the Lease, will provide, or will cause to be provided, up to thirty (30) days' storage of the Aircraft at Lessee's premises, at Lessor's cost and expense. Lessee shall cause the Aircraft to be delivered to such designated location at Lessor's cost and expense. During such period of storage, Lessee will arrange for insurance and maintenance at Lessor's cost and expense. Lessee shall allow Lessor or any person designated by Lessor, including the authorized representatives of any prospective purchaser or user of the Aircraft, to inspect the same at all reasonable times.
Appears in 1 contract
Sources: Lease Agreement (Evergreen International Aviation Inc)
Return of Aircraft. 16.1 On (a) Subject to the Expiry Date other Sections of this Lease, at expiration or upon earlier termination of this Lease (the Term (unless a Casualty Occurrence shall have occurred with respect to the Aircraft"Return Date"), Lessee shall, at its own expense, redeliver the Aircraft to Lessor at the Redelivery Location or such other airport as is mutually acceptable to the parties, in a condition complying with the provisions of Appendix E, free and clear of all liens and encumbrances (including Permitted Liens other than Lessor Liens) and upon request of Lessor cooperate in causing the Aircraft to be removed from the register of civil aviation in the State of Registration and Lessee shall return the Aircraft to Lessor, at a location within the continental United States as Lessor together shall direct. Lessee shall also return all logs, loose equipment, manuals and data associated with the Aircraft Documents supplied pursuant to this Lease when the Aircraft was delivered to Lessee on the Original Delivery Date as the same may be modified, supplemented or amended during the Term.
16.2 Immediately prior to such redelivery of the Aircraft, Lesseeincluding without limitation, at inspection, modification and overhaul records required to be maintained with respect to the Aircraft under this Lease or under the applicable rules and regulations of the FAA or the manufacturer's recommended maintenance program, along with a currently effective FAA airworthiness certificate. Lessee shall, upon request, assign to Lessor its own expense, shall make rights under any manufacturer's maintenance service contract or extended warranty for the Aircraft, any engine or part thereof. The Aircraft Documents and shall be returned in the condition in which the Aircraft is required to be maintained pursuant to Section 6, but with all logos or other records available to Lessor for inspection ("Final Inspection") in order to verify identifying marks of Lessee removed. Additionally, Lessee shall ensure that the condition Aircraft complies with all requirements and conditions set forth on Annex G hereto. Lessee shall pay for all costs to comply with this Section 10(a).
(b) Lessor shall arrange for the inspection of the Aircraft complies on the Return Date to determine if the Aircraft has been maintained and returned in accordance with the provisions of this Lease. Such Lessee shall be responsible for the cost of such inspection and shall not unreasonably interfere with pay Lessor such amount as additional Rent within ten (10) days of demand. If the operation results of such inspection indicate that the Aircraft. The period will be long enough for the Final Inspection to permit the conduct by Lessor of the following:
(a) Inspection of the Aircraft Documents;
(b) Inspection of the Aircraft structure and Parts;
(c) Inspection of the Engines and A.P.U., including without limitationany engine thereto or part thereof, a borescope inspection has not been maintained or any other equivalent inspection method supported by Rolls Royce, inspection of the compressor and turbine area, and, if reasonably requested based on evidence that it is required, the Engine and A.P.U. condition runs confirming release of each Engine and A.P.U for its remaining operational life;
(d) A one-hour to two-hour test flight with Lessor's representatives on board as observers and, if any non compliance is found, a subsequent test flight to check compliance after rectification.
16.3 To the extent that, upon such Final Inspection, the condition of the Aircraft and Aircraft Documents does not comply returned in accordance with the provisions of this Lease, LesseeLessee shall pay to Lessor within ten (10) days of demand, at its own expenseas liquidated damages, the estimated cost ("Estimated Cost") of servicing or repairing the Aircraft, engine or part. The Estimated Cost shall cause be determined by Lessor by obtaining two quotes for such non-compliance service or repair work and taking their average. Lessee shall bear the cost, if any, incurred by Lessor in obtaining such quotes.
(c) If Lessee fails to be promptly rectified and to return the extent such rectification extends beyond Aircraft on the Expiry Return Date, the Term shall, at Lessor's sole option, be deemed to be automatically extended and the provisions of this Lease shall remain in full force and effect until such rectification has been accomplished. During such extension of the Term Lessee Lessor shall be liable entitled to pay Rent at a daily pro rata rate damages equal to the higher of (i) the Rent payable during for the last Rental Period Aircraft, pro-rated on a per diem basis, for each day the Aircraft is retained beyond the Return Date; or (ii) the daily fair market rental for the Aircraft at the Return Date. Such damages for retention of the Aircraft after the Return Date shall not be interpreted as an extension or reinstatement of the Term.
16.4 Upon redelivery Lessee (d) All of Lessor's rights contained in this Section shall provide to Lessor all necessary assistance to enable Lessor to obtain any required documents in relation to survive the export of the Aircraft from the State of Registration, and if different, from the State of Incorporation (including a valid and subsisting export license for the Aircraft), and shall reassign to Lessor, at the expense of Lessee, the benefit of any indemnity expiration or warranty which has been assigned to Lessee pursuant to Article 13.3 above to the extent such indemnity or warranty is assignable.
16.5 Prior to the Expiry Date or upon any earlier other termination of the Term and upon Lessor's request, Lessee will provide Lessor or its agent reasonable access to and Lessor may make and retain copies of the Approved Maintenance Program and the Aircraft Documents in order to facilitate the Aircraft's integration into any subsequent operator's fleet. Lessor agrees that it will not disclose the contents of the Approved Maintenance Program to any person or entity except to the extent necessary to monitor Lessee's compliance with this Lease and/or to bridge the maintenance program for the Aircraft from the Approved Maintenance Program to another programLease.
16.6 Upon redelivery of the Aircraft to Lessor, an adjustment shall be made in respect of fuel on board on the Original Delivery Date and on redelivery at the price then prevailing at the Redelivery Location.
16.7 If Lessor shall request that Lessee paint the Aircraft any other basic color as contemplated by Section 1(h) of Appendix E, Lessor agrees that it shall bear the cost and expense of the difference between white paint and such other basic color.
16.8 Upon written request of Lessor given to Lessee not later than thirty (30) days prior to the Expiry Date or termination of the Lease, Lessee, at the Expiry Date or upon termination of the Lease, will provide, or will cause to be provided, up to thirty (30) days' storage of the Aircraft at Lessee's premises, at Lessor's cost and expense. Lessee shall cause the Aircraft to be delivered to such designated location at Lessor's cost and expense. During such period of storage, Lessee will arrange for insurance and maintenance at Lessor's cost and expense. Lessee shall allow Lessor or any person designated by Lessor, including the authorized representatives of any prospective purchaser or user of the Aircraft, to inspect the same at all reasonable times.
Appears in 1 contract
Return of Aircraft. 16.1 On the Expiry Date or upon earlier termination action prior to return of the Term (unless a Casualty Occurrence shall Aircraft or 6 months after Return to LESSOR, will have occurred with respect been performed to the Aircraft)highest level of accomplishment possible other than terminating action. If, Lessee shallafter using commercially reasonable efforts, at its own expenseLESSEE is unable to acquire the material, redeliver parts or components necessary to accomplish such Airworthiness Directive, LESSEE will pay to LESSOR upon return of the Aircraft to Lessor at the Redelivery Location estimated cost of terminating such Airworthiness Directive. If the estimated cost cannot be mutually agreed upon by LESSEE and LESSOR, LESSEE and LESSOR will each obtain an estimate from a reputable FAA-approved maintenance facility (unaffiliated with LESSEE or such other airport as is mutually acceptable LESSOR) and the estimated cost will be the average of the two estimates.
23.9.15 All Modifications which must be performed prior to the parties, in a condition complying with the provisions date of Appendix E, free and clear return of all liens and encumbrances (including Permitted Liens other than Lessor Liens) and upon request of Lessor cooperate in causing the Aircraft to be removed from or within 6 months after the register of civil aviation in the State of Registration and Lessee shall return the Aircraft to Lessor together with the Aircraft Documents supplied pursuant to this Lease when the Aircraft was delivered to Lessee on the Original Delivery Termination Date as the same may be modified, supplemented or amended during the Term.
16.2 Immediately prior to such redelivery of the Aircraft, Lessee, at its own expense, shall make the Aircraft, Aircraft Documents and other records available to Lessor for inspection ("Final Inspection") in order to verify that meet the condition of the Aircraft complies with the provisions of this Lease. Such inspection shall not unreasonably interfere with the operation of the Aircraft. The period will be long enough FAA requirements for the Final Inspection to permit the conduct by Lessor of the following:
FAR Part 121 (a) Inspection of the Aircraft Documents;
(b) Inspection of the Aircraft structure and Parts;
(c) Inspection of the Engines and A.P.U., including without limitation, a borescope inspection or any other equivalent inspection method supported by Rolls Royce, inspection of the compressor and turbine area, and, if reasonably requested based on evidence that it is required, the Engine and A.P.U. condition runs confirming release of each Engine and A.P.U for its remaining operational life;
(d) A one-hour to two-hour test flight with Lessor's representatives on board as observers and, if any non compliance is found, a subsequent test flight to check compliance after rectification.
16.3 To the extent that, upon such Final Inspection, the condition of the Aircraft and Aircraft Documents does not comply with the provisions of this Lease, Lessee, at its own expense, shall cause such non-compliance to be promptly rectified and to the extent such rectification extends beyond requirement was met at Delivery) and FAR Part 129 operations will have been incorporated on the Expiry DateAircraft at LESSEE’s cost.
23.9.16 The Aircraft will be in compliance with Manufacturer’s Corrosion Prevention and Control Program (CPCP) specified for the model type by Manufacturer and LESSEE will provide LESSOR with documentation substantiating such compliance.
23.9.17 If any waivers, deviations, dispensations, alternate means of compliance, extensions or carry-overs with respect to maintenance or operating requirements, repairs or Airworthiness Directives are granted by the Term shallAviation Authority or permitted by the Maintenance Program, LESSEE at Lessor's its sole optioncost and expense will nonetheless perform such maintenance or operating requirements, repairs or Airworthiness Directives as if such waivers, deviations, dispensations, alternate means of compliance, or extensions or carry-overs did not exist.
23.9.18 The Aircraft will be deemed free from any Security Interest except LESSOR’s Liens and no circumstance will have so arisen whereby the Aircraft is or could become subject to be automatically extended and the provisions any Security Interest or right of this Lease shall remain detention or sale in full force and effect until such rectification has been accomplished. During such extension favor of the Term Lessee shall be liable to pay Rent at a daily pro rata rate equal to the Rent payable during the last Rental Period of the TermAviation Authority, any airport authority, Eurocontrol or any other authority or Government Entity.
16.4 Upon redelivery Lessee shall provide to Lessor all necessary assistance to enable Lessor to obtain any required documents in relation to the export of the Aircraft from the State of Registration, 23.9.19 All no-charge vendor and if different, from the State of Incorporation (including a valid and subsisting export license for the Aircraft), and shall reassign to Lessor, at the expense of Lessee, the benefit of any indemnity or warranty which has been assigned to Lessee pursuant to Article 13.3 above to the extent such indemnity or warranty is assignable.
16.5 Prior to the Expiry Date or upon any earlier termination of the Term and upon Lessor's request, Lessee will provide Lessor or its agent reasonable access to and Lessor may make and retain copies of the Approved Maintenance Program and the Aircraft Documents in order to facilitate the Aircraft's integration into any subsequent operator's fleet. Lessor agrees that it will not disclose the contents of the Approved Maintenance Program to any person or entity except to the extent necessary to monitor Lessee's compliance with this Lease and/or to bridge the maintenance program Manufacturer’s service bulletin kits received by LESSEE for the Aircraft from the Approved Maintenance Program to another program.
16.6 Upon redelivery of but not installed thereon will be on board the Aircraft to Lessoras cargo. All no-charge vendor and Manufacturer’s service bulletin kits ordered by LESSEE but not yet received will, an adjustment shall upon receipt by LESSEE and at LESSEE’s cost, be made in respect of fuel on board on the Original Delivery Date and on redelivery at the price then prevailing at the Redelivery Location.
16.7 If Lessor shall request that Lessee paint forwarded as instructed by LESSOR. At LESSOR’s request, any other service bulletin kit which LESSEE ordered specifically for the Aircraft any other basic color as contemplated by Section 1(h) of Appendix E, Lessor agrees that it shall bear the cost and expense of the difference between white paint and such other basic color.
16.8 Upon written request of Lessor given to Lessee not later than thirty (30) days prior to the Expiry Date or termination of the Lease, Lessee, at the Expiry Date or upon termination of the Lease, paid for will provide, or will cause to be provided, up to thirty (30) days' storage of the Aircraft at Lessee's premises, at Lessor's cost and expense. Lessee shall cause the Aircraft to also be delivered to such designated location at Lessor's cost and expense. During such period of storage, Lessee will arrange for insurance and maintenance at Lessor's cost and expense. Lessee shall allow Lessor or any person designated by Lessor, including the authorized representatives of any prospective purchaser or user of LESSOR on board the Aircraft, to inspect the same at all reasonable times.but LESSOR will reimburse LESSEE for its actual out-of-pocket costs for such kit, unless LESSEE purchased such kit as part of its
Appears in 1 contract
Sources: Aircraft Lease Agreement (Controladora Vuela Compania De Aviacion, S.A.B. De C.V.)
Return of Aircraft. 16.1 On the Expiry Date or upon earlier termination of the Term (unless a Casualty Occurrence shall have occurred with respect to the Aircraft), Lessee shall, at its own expense, redeliver the Aircraft to Lessor at the Redelivery Location or such other airport as is mutually acceptable to the parties, in a condition complying with the provisions of Appendix E, free and clear of all liens and encumbrances (including Permitted Liens other than Lessor Liens) and upon request of Lessor cooperate in causing the Aircraft to be removed from the register of civil aviation in the State of Registration and Lessee shall return the Aircraft to Lessor together with the Aircraft Documents supplied pursuant to this Lease when the Aircraft was delivered to Lessee on the Original Delivery Date as the same may be modified, supplemented or amended during the Term.
16.2 Immediately prior to such redelivery of the Aircraft, Lessee, at its own expense, shall make the Aircraft, Aircraft Documents and other records available to Lessor for inspection ("Final Inspection") in order to verify that the condition of the Aircraft complies with the provisions of this Lease. Such inspection shall not unreasonably interfere with the operation of the Aircraft. The period will be long enough for the Final Inspection to permit the conduct by Lessor of the following:
(a) Inspection of Upon the Aircraft Documents;
(b) Inspection of the Aircraft structure and Parts;
(c) Inspection of the Engines and A.P.U., including without limitation, a borescope inspection expiration or any other equivalent inspection method supported by Rolls Royce, inspection of the compressor and turbine area, and, if reasonably requested based on evidence that it is required, the Engine and A.P.U. condition runs confirming release of each Engine and A.P.U for its remaining operational life;
(d) A one-hour to two-hour test flight with Lessor's representatives on board as observers and, if any non compliance is found, a subsequent test flight to check compliance after rectification.
16.3 To the extent that, upon such Final Inspection, the condition of the Aircraft and Aircraft Documents does not comply with the provisions termination of this Lease, Lessee, at its own expense, will return the Aircraft and shall cause such non-compliance deliver all logs, manuals and data, including without limitation inspection, modification and overhaul records required to be promptly rectified maintained with respect thereto under this Lease or under the applicable rules and regulations of the FAA and under the manufacturer's recommended maintenance program, along with a currently effective FAA airworthiness certificate to Lessor to any location within the extent such rectification extends beyond the Expiry Date, the Term continental United States as Lessor shall direct. Lessee shall, at Lessor's sole optionupon request, be deemed to be automatically extended and the provisions of this Lease shall remain in full force and effect until such rectification has been accomplished. During such extension of the Term Lessee shall be liable to pay Rent at a daily pro rata rate equal to the Rent payable during the last Rental Period of the Term.
16.4 Upon redelivery Lessee shall provide assign to Lessor all necessary assistance to enable Lessor to obtain its rights under any required documents in relation to manufacturer's maintenance service contract or extended warranty for the export Aircraft, any engine or part thereof. All expenses for return of the Aircraft from and delivery of the State aforementioned logs, manuals and data shall be borne by Lessee. The Aircraft shall be returned in the condition in which the Aircraft is required to be maintained pursuant to Section VII hereof, but with all logos or other identifying marks of Registration, and if different, from the State of Incorporation (including a valid and subsisting export license for the Aircraft), and shall reassign to Lessor, at the expense of LesseeLessee removed. Additionally, the benefit of any indemnity or warranty which has been assigned to Lessee pursuant to Article 13.3 above to the extent such indemnity or warranty is assignable.
16.5 Prior to the Expiry Date or upon any earlier termination of the Term and upon Lessor's request, Lessee will provide Lessor or its agent reasonable access to and Lessor may make and retain copies of the Approved Maintenance Program and the Aircraft Documents in order to facilitate the Aircraft's integration into any subsequent operator's fleet. Lessor agrees that it will not disclose the contents of the Approved Maintenance Program to any person or entity except to the extent necessary to monitor Lessee's compliance with this Lease and/or to bridge the maintenance program for the Aircraft from the Approved Maintenance Program to another program.
16.6 Upon redelivery of the Aircraft to Lessor, an adjustment (i) shall be made in respect of fuel on board on the Original Delivery Date and on redelivery at the price then prevailing at the Redelivery Location.
16.7 If Lessor shall request that Lessee paint the Aircraft any other basic color as contemplated by Section 1(h) of Appendix E, Lessor agrees that it shall bear the cost and expense of the difference between white paint and such other basic color.
16.8 Upon written request of Lessor given to Lessee not later than have had completed within thirty (30) days prior to return, the Expiry Date or termination next required annual inspection on the Aircraft, and the next periodic inspection on each engine; (ii) shall assure that each engine shall have available operating hours until both the next scheduled "hot section" inspection and next scheduled major overhaul of not less than 50% of the Lease, total operating hours respectively available between such hot section inspections or major overhauls; and (iii) shall assure that the airframe shall have at least: (aa) one-half the available operating hours; and (bb) one-half the available operating months until the next schedule major airframe inspection allowable between major airframe inspections.
(b) Upon the return of the Aircraft: (i) each fuel tank shall contain the same quantity of fuel as was contained in such tanks when such Aircraft was delivered to Lessee, (which shall be presumed to be 50 percent (50%) of full capacity unless otherwise specified in the purchase order or other purchase documents or, in the case of differences in such quantity, an appropriate adjustment will be made by payment at the Expiry Date or upon termination then current market price of fuel.
(c) Upon return of the LeaseAircraft, will provideLessor shall arrange for the inspection of same within one hundred and twenty (120) days of return to determine if the Aircraft has been maintained and returned in accordance with the provisions hereof. Lessee shall be responsible for the cost of such inspection and shall pay Lessor such amount as additional Rent within ten (10) days of demand for same. Lessor shall promptly provide Lessee with a copy of the invoice and the inspection report. In the event that the results of such inspection indicate that the Aircraft, any engine thereto or will cause part thereof, has not been maintained or returned in accordance with the provisions hereof, Lessee shall pay to be provided, up to Lessor within thirty (30) days' storage days of demand, as liquidated damages, the estimated cost ("Estimated Cost") of servicing or repairing the Aircraft, engine or part. The Estimated Cost shall be determined as follows: Each of Lessee and Lessor shall obtain one quote, from a qualified, unaffiliated entity as to the cost of performing such service or repairs. Lessee shall bear the cost, if any, incurred by Lessor in obtaining such quotes. If such quotes are not the same, and the parties cannot agree on an Estimated Cost the parties shall select an independent appraiser to determine the Estimated Cost, which appraisal shall be final and binding on both parties.
(d) If Lessee fails to return the Aircraft on termination or expiration of the Term, Lessor shall be entitled to damages equal to the higher of (i) the Rent for the Aircraft, pro-rated on a per diem basis, for each day the Aircraft is retained in violation of the provisions hereof; or (ii) the daily fair market rental for the Aircraft at termination or expiration, as applicable. Such damages for retention of the Aircraft at Lessee's premises, at after termination or expiration of the Term shall not be interpreted as an extension or reinstatement of the Term.
(e) All of Lessor's cost and expense. Lessee rights contained in this Section shall cause survive the Aircraft to be delivered to such designated location at Lessor's cost and expense. During such period expiration or other termination of storage, Lessee will arrange for insurance and maintenance at Lessor's cost and expense. Lessee shall allow Lessor or any person designated by Lessor, including the authorized representatives of any prospective purchaser or user of the Aircraft, to inspect the same at all reasonable timesthis Lease.
Appears in 1 contract
Return of Aircraft. 16.1 On the Expiry Date (a) At expiration or upon earlier termination of this Lease (the Term (unless a Casualty Occurrence shall have occurred with respect to the Aircraft"RETURN DATE"), Lessee shall, at its own expense, redeliver the Aircraft to Lessor at the Redelivery Location or such other airport as is mutually acceptable to the parties, in a condition complying with the provisions of Appendix E, free and clear of all liens and encumbrances (including Permitted Liens other than Lessor Liens) and upon request of Lessor cooperate in causing the Aircraft to be removed from the register of civil aviation in the State of Registration and Lessee shall return the Aircraft to Lessor, at a location within the continental United States as Lessor together shall direct. Lessee shall also return all logs, loose equipment, manuals and data associated with the Aircraft Documents supplied pursuant to this Lease when the Aircraft was delivered to Lessee on the Original Delivery Date as the same may be modified, supplemented or amended during the Term.
16.2 Immediately prior to such redelivery of the Aircraft, Lesseeincluding without limitation, at inspection, modification and overhaul records required to be maintained with respect to the Aircraft under this Lease or under the applicable rules and regulations of the FAA or the manufacturer's recommended maintenance program, along with a currently effective FAA airworthiness certificate. Lessee shall, upon request, assign to Lessor its own expense, shall make rights under any manufacturer's maintenance service contract or extended warranty for the Aircraft, any engine or part thereof. The Aircraft Documents and shall be returned in the condition in which the Aircraft is required to be maintained pursuant to Section 7, but with all logos or other records available to Lessor for inspection ("Final Inspection") in order to verify identifying marks of Lessee removed. Additionally, Lessee shall ensure that the condition Aircraft complies with all requirements and conditions set forth on Annex G hereto. Lessee shall pay for all costs to comply with this Section 11(a).
(b) Lessor shall arrange for the inspection of the Aircraft complies on the Return Date to determine if the Aircraft has been maintained and returned in accordance with the provisions of this Lease. Such Lessee shall be responsible for the cost of such inspection and shall not unreasonably interfere with pay Lessor such amount as additional Rent within ten (10) days of demand. If the operation results of such inspection indicate that the Aircraft. The period will be long enough for the Final Inspection to permit the conduct by Lessor of the following:
(a) Inspection of the Aircraft Documents;
(b) Inspection of the Aircraft structure and Parts;
(c) Inspection of the Engines and A.P.U., including without limitationany engine thereto or part thereof, a borescope inspection has not been maintained or any other equivalent inspection method supported by Rolls Royce, inspection of the compressor and turbine area, and, if reasonably requested based on evidence that it is required, the Engine and A.P.U. condition runs confirming release of each Engine and A.P.U for its remaining operational life;
(d) A one-hour to two-hour test flight with Lessor's representatives on board as observers and, if any non compliance is found, a subsequent test flight to check compliance after rectification.
16.3 To the extent that, upon such Final Inspection, the condition of the Aircraft and Aircraft Documents does not comply returned in accordance with the provisions of this Lease, LesseeLessee shall pay to Lessor within ten (10) days of demand, at its own expenseas liquidated damages, the estimated cost ("ESTIMATED COST") of servicing or repairing the Aircraft, engine or part. The Estimated Cost shall cause be determined by Lessor by obtaining two quotes for such non-compliance service or repair work and taking their average. Lessee shall bear the cost, if any, incurred by Lessor in obtaining such quotes.
(c) If Lessee fails to be promptly rectified and to return the extent such rectification extends beyond Aircraft on the Expiry Return Date, the Term shall, at Lessor's sole option, be deemed to be automatically extended and the provisions of this Lease shall remain in full force and effect until such rectification has been accomplished. During such extension of the Term Lessee Lessor shall be liable entitled to pay Rent at a daily pro rata rate damages equal to the higher of (i) the Rent payable during for the last Rental Period Aircraft, pro-rated on a per diem basis, for each day the Aircraft is retained beyond the Return Date; or (ii) the daily fair market rental for the Aircraft at the Return Date. Such damages for retention of the Aircraft after the Return Date shall not be interpreted as an extension or reinstatement of the Term.
16.4 Upon redelivery Lessee (d) All of Lessor's rights contained in this Section shall provide to Lessor all necessary assistance to enable Lessor to obtain any required documents in relation to survive the export of the Aircraft from the State of Registration, and if different, from the State of Incorporation (including a valid and subsisting export license for the Aircraft), and shall reassign to Lessor, at the expense of Lessee, the benefit of any indemnity expiration or warranty which has been assigned to Lessee pursuant to Article 13.3 above to the extent such indemnity or warranty is assignable.
16.5 Prior to the Expiry Date or upon any earlier other termination of the Term and upon Lessor's request, Lessee will provide Lessor or its agent reasonable access to and Lessor may make and retain copies of the Approved Maintenance Program and the Aircraft Documents in order to facilitate the Aircraft's integration into any subsequent operator's fleet. Lessor agrees that it will not disclose the contents of the Approved Maintenance Program to any person or entity except to the extent necessary to monitor Lessee's compliance with this Lease and/or to bridge the maintenance program for the Aircraft from the Approved Maintenance Program to another programLease.
16.6 Upon redelivery of the Aircraft to Lessor, an adjustment shall be made in respect of fuel on board on the Original Delivery Date and on redelivery at the price then prevailing at the Redelivery Location.
16.7 If Lessor shall request that Lessee paint the Aircraft any other basic color as contemplated by Section 1(h) of Appendix E, Lessor agrees that it shall bear the cost and expense of the difference between white paint and such other basic color.
16.8 Upon written request of Lessor given to Lessee not later than thirty (30) days prior to the Expiry Date or termination of the Lease, Lessee, at the Expiry Date or upon termination of the Lease, will provide, or will cause to be provided, up to thirty (30) days' storage of the Aircraft at Lessee's premises, at Lessor's cost and expense. Lessee shall cause the Aircraft to be delivered to such designated location at Lessor's cost and expense. During such period of storage, Lessee will arrange for insurance and maintenance at Lessor's cost and expense. Lessee shall allow Lessor or any person designated by Lessor, including the authorized representatives of any prospective purchaser or user of the Aircraft, to inspect the same at all reasonable times.
Appears in 1 contract
Return of Aircraft. 16.1 On the Expiry Date or upon earlier termination of the Term (unless a Casualty Occurrence shall have occurred with respect to the Aircraft), Lessee shall, at its own expense, redeliver the Aircraft to Lessor at the Redelivery Re-Delivery Location or such other airport as is mutually acceptable to the parties, in a condition complying with the provisions of Appendix E, free and clear of all liens and encumbrances (including Permitted Liens other than Lessor Liens) and upon request of Lessor cooperate in causing thereupon cause the Aircraft to be removed from the register Register of civil aviation Civil Aircraft in the State of Registration and Lessee shall return the Aircraft to Lessor together with the Aircraft Documents and all equipment and records supplied pursuant to this Lease Agreement when the Aircraft was delivered to Lessee on the Original Delivery Date as the same may be modified, supplemented or amended during the Termhereunder.
16.2 Immediately prior to such redelivery of the Aircraft, Lessee, at its own expense, shall make the Aircraft, Aircraft Documents and other records available to Lessor for inspection ("Final Inspection") in order to verify that the condition of the Aircraft complies with the provisions of this LeaseAgreement. Such inspection shall not unreasonably interfere with the operation of the Aircraft. The period will be long enough for the Final Inspection to permit the conduct by Lessor of the following:
(a) Inspection of the Aircraft Documents;
(b) Inspection of the Aircraft structure and Parts;
(c) Inspection of the Engines and Auxiliary Power Unit ("A.P.U."), including without limitation, a borescope boroscope inspection or any other equivalent inspection method supported by Rolls Royce, inspection of the compressor and turbine area, and, if reasonably requested based on evidence that it is required, the Engine and A.P.U. condition runs confirming release of each Engine and A.P.U for its remaining operational life;
(d) A one-hour to two-hour test flight with Lessor's representatives on board as observers and, if any non non- compliance is found, a subsequent test flight to check compliance after rectification.
16.3 To the extent that, upon such Final Inspection, the condition of the Aircraft and Aircraft Documents does not comply with the provisions of this LeaseAgreement, Lessee, at its own expense, shall cause such non-compliance to be promptly rectified and to the extent such rectification extends beyond the Expiry Date, the Term shall, at Lessor's sole option, be deemed to be automatically extended and the provisions of this Lease Agreement shall remain in full force and effect until such rectification has been accomplished. During such extension of the Term the Lessee shall be liable to pay Rent at a daily pro rata rate equal to the Rent payable during the last Rental Period of the Term.
16.4 Upon redelivery Lessee shall provide to Lessor all necessary assistance to enable Lessor to obtain any required documents in relation to the export of the Aircraft from the State of Registration, and if different, from the State of Incorporation (including a valid and subsisting export license for the Aircraft), and shall reassign to Lessor, at the expense of Lessee, the benefit of any indemnity or warranty which has been assigned to Lessee pursuant to Article 13.3 above to the extent such indemnity or warranty is assignable.
16.5 Prior to the Expiry Date or upon any earlier termination of the Term and upon Lessor's request, Lessee will provide Lessor or its agent reasonable access to and Lessor may make and retain copies of the Approved Maintenance Program and the Aircraft Documents in order to facilitate the Aircraft's integration into any subsequent operator's fleet. Lessee will, if requested by Lessor to do so, upon return of the Aircraft deliver to Lessor a certified true current and complete copy of the Approved Maintenance Program. Lessor agrees that it will not disclose the contents of the Approved Maintenance Program to any person or entity except to the extent necessary to monitor Lessee's compliance with this Lease Agreement and/or to bridge the maintenance program for the Aircraft from the Approved Maintenance Program to another program.
16.6 Upon redelivery of the Aircraft to Lessor, an adjustment shall be made in respect of fuel on board on the Original Delivery Date and on redelivery at the price then prevailing at the Redelivery Location.
16.7 If Lessor shall request that Lessee paint the Aircraft any other basic color as contemplated by Section 1(h) of Appendix E, Lessor agrees that it shall bear the cost and expense of the difference between white paint and such other basic color.
16.8 Upon written request of Lessor given to Lessee not later than thirty (30) days prior to the Expiry Date or termination of the Lease, Lessee, at the Expiry Date or upon termination of the Lease, will provide, or will cause to be provided, up to thirty (30) days' storage of the Aircraft at Lessee's premises, at Lessor's cost and expense. Lessee shall cause the Aircraft to be delivered to such designated location at Lessor's cost and expense. During such period of storage, Lessee will arrange for insurance and maintenance at Lessor's cost and expense. Lessee shall allow Lessor or any person designated by Lessor, including the authorized representatives of any prospective purchaser or user of the Aircraft, Aircraft to inspect the same at all reasonable times.
Appears in 1 contract
Return of Aircraft. 16.1 On the Expiry Date or upon earlier termination of the Term (unless a Casualty Occurrence shall have occurred with respect to the Aircraft), Lessee shall, at its own expense, redeliver the Aircraft to Lessor at the Redelivery Re-Delivery Location or such other airport as is mutually acceptable to the parties, in a condition complying with the provisions of Appendix E, free and clear of all liens and encumbrances (including Permitted Liens other than Lessor Liens) and upon request of Lessor cooperate in causing thereupon cause the Aircraft to be removed from the register Register of civil aviation Civil Aircraft in the State of Registration and Lessee shall return the Aircraft to Lessor together with the Aircraft Documents and all equipment and records supplied pursuant to this Lease Agreement when the Aircraft was delivered to Lessee on the Original Delivery Date as the same may be modified, supplemented or amended during the Termhereunder.
16.2 Immediately prior to such redelivery of the Aircraft, Lessee, at its own expense, shall make the Aircraft, Aircraft Documents and other records available to Lessor for inspection ("Final Inspection") in order to verify that the condition of the Aircraft complies with the provisions of this LeaseAgreement. Such inspection shall not unreasonably interfere with the operation of the Aircraft. The period will be long enough for the Final Inspection to permit the conduct by Lessor of the following:
(a) Inspection of the Aircraft Documents;
(b) Inspection of the Aircraft structure and Parts;
(c) Inspection of the Engines and Auxiliary Power Unit ("A.P.U."), including without limitation, a borescope boroscope inspection or any other equivalent inspection method supported by Rolls Royce, inspection of the compressor and turbine area, and, if reasonably requested based on evidence that it is required, the Engine and A.P.U. condition runs confirming release of each Engine and A.P.U A.P.U. for its remaining operational life;
(d) A one-hour to two-hour test flight with Lessor's representatives on board as observers and, if any non compliance is found, a subsequent test flight to check compliance after rectification.
16.3 To the extent that, upon such Final Inspection, the condition of the Aircraft and Aircraft Documents does not comply with the provisions of this LeaseAgreement, Lessee, at its own expense, shall cause such non-compliance to be promptly rectified and to the extent such rectification extends beyond the Expiry Date, the Term shall, at Lessor's sole option, be deemed to be automatically extended and the provisions of this Lease Agreement shall remain in full force and effect until such rectification has been accomplished. During such extension of the Term the Lessee shall be liable to pay Rent at a daily pro rata rate equal to the Rent payable during the last Rental Period of the Term.
16.4 Upon redelivery Lessee shall provide to Lessor all necessary assistance to enable Lessor to obtain any required documents in relation to the export of the Aircraft from the State of Registration, and if different, from the State of Incorporation (including a valid and subsisting export license for the Aircraft), and shall reassign to Lessor, at the expense of Lessee, the benefit of any indemnity or warranty which has been assigned to Lessee pursuant to Article 13.3 above to the extent such indemnity or warranty is assignable.
16.5 Prior to the Expiry Date or upon any earlier termination of the Term and upon Lessor's request, Lessee will provide Lessor or its agent reasonable access to and Lessor may make and retain copies of the Approved Maintenance Program and the Aircraft Documents in order to facilitate the Aircraft's integration into any subsequent operator's fleet. Lessee will, if requested by Lessor to do so, upon return of the Aircraft deliver to Lessor a certified true current and complete copy of the Approved Maintenance Program. Lessor agrees that it will not disclose the contents of the Approved Maintenance Program to any person or entity except to the extent necessary to monitor Lessee's compliance with this Lease Agreement and/or to bridge the maintenance program for the Aircraft from the Approved Maintenance Program to another program.
16.6 Upon redelivery of the Aircraft to Lessor, an adjustment shall be made in respect of fuel on board on the Original Delivery Date and on redelivery at the price then prevailing at the Redelivery Location.
16.7 If Lessor shall request that Lessee paint the Aircraft any other basic color as contemplated by Section 1(h) of Appendix E, Lessor agrees that it shall bear the cost and expense of the difference between white paint and such other basic color.
16.8 Upon written request of Lessor given to Lessee not later than thirty (30) days prior to the Expiry Date or termination of the Lease, Lessee, at the Expiry Date or upon termination of the Lease, will provide, or will cause to be provided, up to thirty (30) days' storage of the Aircraft at Lessee's premises, at Lessor's cost and expense. Lessee shall cause the Aircraft to be delivered to such designated location at Lessor's cost and expense. During such period of storage, Lessee will arrange for insurance and maintenance at Lessor's cost and expense. Lessee shall allow Lessor or any person designated by Lessor, including the authorized representatives of any prospective purchaser or user of the Aircraft, to inspect the same at all reasonable times.
Appears in 1 contract
Return of Aircraft. 16.1 On (a) Condition Upon Return. Upon the Expiry Date expiration or upon earlier termination of this --------------------- Lease, the Term (unless a Casualty Occurrence shall have occurred with respect to the Aircraft), Lessee shall, at its own expense, redeliver the Aircraft to Lessor at the Redelivery Location or such other airport as is mutually acceptable to the parties, in a condition complying with the provisions of Appendix E, free and clear of all liens and encumbrances (including Permitted Liens other than Lessor Liens) and upon request of Lessor cooperate in causing the Aircraft to be removed from the register of civil aviation in the State of Registration and Lessee shall return the Aircraft to Lessor together with the Aircraft Documents supplied pursuant to this Lease when the Aircraft was delivered to Lessee on the Original Delivery Date as the same may be modified, supplemented or amended during the Term.
16.2 Immediately prior to such redelivery of the Aircraft, Lessee, at its own expense, will return the Aircraft to the Lessor at any reasonable location chosen by the Lessor in the continental United States, which is within 1,500 miles of Portland, OR, and in the condition in which the Aircraft is required to be maintained pursuant to Section 11 hereof, but with all logos or other identifying marks of the Lessee removed in a workmanlike manner. If the Lessee desires to obtain for its own use the U.S. "N" registration number that is on the Airframe, prior to return, the Lessee, at its expense, shall make application to the FAA for a new "N" number designated by Lessor, and shall have such new number painted on the aircraft in such a location and to such specifications as the Lessor shall direct. The Aircraft, Aircraft Documents upon redelivery pursuant hereto, (i) shall be duly certified by the FAA as an airworthy aircraft, (ii) shall be free and clear of all Liens, other records than Lessor's Liens, and (iii) all Engines shall have on average (i.e., the total number of hours divided by the total number of engines) available to Lessor for inspection operating hours until (y) the next scheduled "Final hot section" inspection, and (z) next scheduled CAMP Inspection") in order to verify that the condition , both of not less than 50% of the Aircraft complies with the provisions of this Lease. Such total operating hours respectively available between such hot section inspection shall not unreasonably interfere with the operation of the Aircraft. The period will be long enough for the Final Inspection to permit the conduct by Lessor of the following:
(a) Inspection of the Aircraft Documents;or CAMP Inspection.
(b) Inspection Lessee shall have the right to return to Lessor engines or parts thereof different from the Engines leased to Lessee hereunder subject to the following conditions. Any substituted engine or part thereof shall be of the Aircraft structure same manufacture and Parts;the same or improved utility, performance and efficiency, shall be suitable for use on the Airframe and shall have a value and utility at least equal to the Engine or part thereof leased hereunder and shall otherwise comply with the return conditions set forth in (a) above. Upon return Lessee shall transfer good and marketable title to such substitute engine or part thereof, free and clear of all encumbrances, evidenced by a warranty ▇▇▇▇ of sale and supported by an opinion of counsel as to the absence of recorded liens in form and substance satisfactory to Lessor. Upon receipt of such ▇▇▇▇ of sale and opinion of counsel, and compliance with all other conditions set forth herein, Lessor shall transfer to Lessee title to the Engine or part thereof for which substitution is being made as is, where is and with all faults, without warranty and without recourse as to condition, but shall provide Lessee with a ▇▇▇▇ of sale which provides a warranty of ownership and freedom from Lessor's Liens.
(c) Inspection In the event that such Engines do not meet the conditions set forth in paragraph (a) (iii) hereinabove, Lessee shall pay Lessor an amount equal to the sum of (i) the product of: the current estimated cost of the next scheduled hot section inspection (including in such estimated cost, all required replacement of life limited parts) multiplied by the fraction wherein the numerator shall be the remainder (0 if negative) of (x) the actual number of hours of operations since the previous hot section inspection for both Engines, added together, minus (y) the total operating hours allowable between hot section inspections, and the denominator shall be the total operating hours allowable between hot section inspections, plus (ii) the product of: the current estimated cost of the next scheduled CAMP inspection (including in such estimated cost, all required replacement of life limited parts) multiplied by the fraction wherein the numerator shall be the remainder (0 if negative) of (x) the actual number of hours of operations since the previous CAMP inspection for both Engines, added together minus (y) the total operating hours allowable between CAMP inspections, and the denominator shall be the total operating hours allowable between CAMP inspections. All prorated inspection charges, if any, shall be payable as Supplemental Rent and shall be due upon presentation to Lessee of an invoice setting forth in reasonable detail, the calculation of such amounts due including the names of all sources used for the required cost estimates. Unless both Lessor and Lessee agree to alternative source(s), the manufacturer of the Engines and A.P.U., including without limitation, a borescope inspection or any other equivalent inspection method supported by Rolls Royce, inspection of the compressor and turbine area, and, if reasonably requested based on evidence that it is required, the Engine and A.P.U. condition runs confirming release of each Engine and A.P.U for its remaining operational life;
(d) A one-hour to two-hour test flight with Lessor's representatives on board as observers and, if any non compliance is found, a subsequent test flight to check compliance after rectification.
16.3 To the extent that, upon such Final Inspection, the condition of the Aircraft and Aircraft Documents does not comply with the provisions of this Lease, Lessee, at its own expense, shall cause such non-compliance to be promptly rectified and to the extent such rectification extends beyond the Expiry Date, the Term shall, at Lessor's sole option, be deemed to be automatically extended and the provisions of this Lease shall remain in full force and effect until such rectification has been accomplished. During such extension of the Term Lessee shall be liable to pay Rent at a daily pro rata rate equal to used as the Rent payable during the last Rental Period of the Termsource for all cost estimates.
16.4 Upon redelivery Lessee shall provide to Lessor all necessary assistance to enable Lessor to obtain any required documents in relation to the export of the Aircraft from the State of Registration, and if different, from the State of Incorporation (including a valid and subsisting export license for the Aircraft), and shall reassign to Lessor, at the expense of Lessee, the benefit of any indemnity or warranty which has been assigned to Lessee pursuant to Article 13.3 above to the extent such indemnity or warranty is assignable.
16.5 Prior to the Expiry Date or upon any earlier termination of the Term and upon Lessor's request, Lessee will provide Lessor or its agent reasonable access to and Lessor may make and retain copies of the Approved Maintenance Program and the Aircraft Documents in order to facilitate the Aircraft's integration into any subsequent operator's fleet. Lessor agrees that it will not disclose the contents of the Approved Maintenance Program to any person or entity except to the extent necessary to monitor Lessee's compliance with this Lease and/or to bridge the maintenance program for the Aircraft from the Approved Maintenance Program to another program.
16.6 Upon redelivery of the Aircraft to Lessor, an adjustment shall be made in respect of fuel on board on the Original Delivery Date and on redelivery at the price then prevailing at the Redelivery Location.
16.7 If Lessor shall request that Lessee paint the Aircraft any other basic color as contemplated by Section 1(h) of Appendix E, Lessor agrees that it shall bear the cost and expense of the difference between white paint and such other basic color.
16.8 Upon written request of Lessor given to Lessee not later than thirty (30) days prior to the Expiry Date or termination of the Lease, Lessee, at the Expiry Date or upon termination of the Lease, will provide, or will cause to be provided, up to thirty (30) days' storage of the Aircraft at Lessee's premises, at Lessor's cost and expense. Lessee shall cause the Aircraft to be delivered to such designated location at Lessor's cost and expense. During such period of storage, Lessee will arrange for insurance and maintenance at Lessor's cost and expense. Lessee shall allow Lessor or any person designated by Lessor, including the authorized representatives of any prospective purchaser or user of the Aircraft, to inspect the same at all reasonable times.
Appears in 1 contract
Sources: Aircraft Lease (American Income Partners v B LTD Partnership)
Return of Aircraft. 16.1 On the Expiry Date (a) At expiration or upon earlier termination of this Lease (the Term (unless a Casualty Occurrence shall have occurred with respect to the Aircraft"RETURN DATE"), Lessee shall, at its own expense, redeliver the Aircraft to Lessor at the Redelivery Location or such other airport as is mutually acceptable to the parties, in a condition complying with the provisions of Appendix E, free and clear of all liens and encumbrances (including Permitted Liens other than Lessor Liens) and upon request of Lessor cooperate in causing the Aircraft to be removed from the register of civil aviation in the State of Registration and Lessee shall return the Aircraft to Lessor, at a location within the continental United States as Lessor together shall direct. Lessee shall also return all logs, loose equipment, manuals and data associated with the Aircraft Documents supplied pursuant to this Lease when the Aircraft was delivered to Lessee on the Original Delivery Date as the same may be modified, supplemented or amended during the Term.
16.2 Immediately prior to such redelivery of the Aircraft, Lesseeincluding without limitation, at inspection, modification and overhaul records required to be maintained with respect to the Aircraft under this Lease or under the applicable rules and regulations of the FAA or the manufacturer's recommended maintenance program, along with a currently effective FAA airworthiness certificate. Lessee shall, upon request, assign to Lessor its own expense, shall make rights under any manufacturer's maintenance service contract or extended warranty for the Aircraft, any engine or part thereof. The Aircraft Documents and shall be returned in the condition in which the Aircraft is required to be maintained pursuant to Section 7, but with all logos or other records available to Lessor for inspection ("Final Inspection") in order to verify identifying marks of Lessee removed. Additionally, Lessee shall ensure that the condition Aircraft complies with all requirements and conditions set forth on Annex G hereto. Lessee shall pay for all costs to comply with this Section 11(a).
(b) Lessor shall arrange for the inspection of the Aircraft complies on the Return Date to determine if the Aircraft has been maintained and returned in accordance with the provisions of this Lease. Such Lessee shall be responsible for the cost of such inspection and shall not unreasonably interfere with pay Lessor such amount and additional Rent within ten (10) days of demand. If the operation results of such inspection indicate that the Aircraft. The period will be long enough for the Final Inspection to permit the conduct by Lessor of the following:
(a) Inspection of the Aircraft Documents;
(b) Inspection of the Aircraft structure and Parts;
(c) Inspection of the Engines and A.P.U., including without limitationany engine thereto or part thereof, a borescope inspection has not been maintained or any other equivalent inspection method supported by Rolls Royce, inspection of the compressor and turbine area, and, if reasonably requested based on evidence that it is required, the Engine and A.P.U. condition runs confirming release of each Engine and A.P.U for its remaining operational life;
(d) A one-hour to two-hour test flight with Lessor's representatives on board as observers and, if any non compliance is found, a subsequent test flight to check compliance after rectification.
16.3 To the extent that, upon such Final Inspection, the condition of the Aircraft and Aircraft Documents does not comply returned in accordance with the provisions of this Lease, LesseeLessee shall pay to Lessor within ten (10) days of demand, at its own expenseas liquidated damages, the estimated cost ("ESTIMATED COST") of servicing or repairing the Aircraft, engine or part. The Estimated Cost shall cause be determined by Lessor by obtaining two quotes for such non-compliance service or repair work and taking their average. Lessee shall bear the cost, if any, incurred by Lessor in obtaining such quotes.
(c) If Lessee fails to be promptly rectified and to return the extent such rectification extends beyond Aircraft on the Expiry Return Date, the Term shall, at Lessor's sole option, be deemed to be automatically extended and the provisions of this Lease shall remain in full force and effect until such rectification has been accomplished. During such extension of the Term Lessee Lessor shall be liable entitled to pay Rent at a daily pro rata rate damages equal to the higher of (i) the Rent payable during for the last Rental Period Aircraft, prorated on a per diem basis, for each day the Aircraft is retained beyond the Return Date; or (ii) the daily fair market rental for the Aircraft at the Return Date. Such damages for retention of the Aircraft after the Return Date shall not be interpreted as an extension or reinstatement of the Term.
16.4 Upon redelivery Lessee (d) All of Lessor's rights contained in this Section shall provide to Lessor all necessary assistance to enable Lessor to obtain any required documents in relation to survive the export of the Aircraft from the State of Registration, and if different, from the State of Incorporation (including a valid and subsisting export license for the Aircraft), and shall reassign to Lessor, at the expense of Lessee, the benefit of any indemnity expiration or warranty which has been assigned to Lessee pursuant to Article 13.3 above to the extent such indemnity or warranty is assignable.
16.5 Prior to the Expiry Date or upon any earlier other termination of the Term and upon Lessor's request, Lessee will provide Lessor or its agent reasonable access to and Lessor may make and retain copies of the Approved Maintenance Program and the Aircraft Documents in order to facilitate the Aircraft's integration into any subsequent operator's fleet. Lessor agrees that it will not disclose the contents of the Approved Maintenance Program to any person or entity except to the extent necessary to monitor Lessee's compliance with this Lease and/or to bridge the maintenance program for the Aircraft from the Approved Maintenance Program to another programLease.
16.6 Upon redelivery of the Aircraft to Lessor, an adjustment shall be made in respect of fuel on board on the Original Delivery Date and on redelivery at the price then prevailing at the Redelivery Location.
16.7 If Lessor shall request that Lessee paint the Aircraft any other basic color as contemplated by Section 1(h) of Appendix E, Lessor agrees that it shall bear the cost and expense of the difference between white paint and such other basic color.
16.8 Upon written request of Lessor given to Lessee not later than thirty (30) days prior to the Expiry Date or termination of the Lease, Lessee, at the Expiry Date or upon termination of the Lease, will provide, or will cause to be provided, up to thirty (30) days' storage of the Aircraft at Lessee's premises, at Lessor's cost and expense. Lessee shall cause the Aircraft to be delivered to such designated location at Lessor's cost and expense. During such period of storage, Lessee will arrange for insurance and maintenance at Lessor's cost and expense. Lessee shall allow Lessor or any person designated by Lessor, including the authorized representatives of any prospective purchaser or user of the Aircraft, to inspect the same at all reasonable times.
Appears in 1 contract
Sources: Aircraft Lease Agreement (Terayon Communication Systems)