Transcript:

Leasing is extremely common in the aviation industry. Some useful guidelines are that the lessor generally provides the plane solely as a piece of equipment. Meaning, they do not provide the customer with a pilot or collude with anyone else to do so. Stakeholders in the plane, beyond just the owner, should be consulted. If the plane is financed, you must get bank approval before entering a lease. The company insuring the aircraft should also be involved and may need to add the lessee as an additional insured. The lessee and the lessor should work together to make sure the operations fall within any insurance limitations. Also, large aircraft must meet FAA Truth in Leasing Rules that I discuss in another video.