Wet Lease Agreement For

The Committee shares the Commission`s intention to resolve a conflict in legislation between Article 13, paragraph 3, paragraph b), Regulation (EC) No. 1008/2008 and the EU/US Water Lease Agreement. Eliminating inconsistencies and restrictions on non-reciprocal or unsymush water leases would limit the opportunities available to EU air carriers and could lead to excessive and divergent interpretations. The Commission should take seriously concerns that inappropriate language could effectively deviate from the eu`s aviation strategy`s intentions and pave the way for new unintended hybrid economic models. The owner makes available the aircraft and sometimes the service of the cabin crew. This crew may include cabin crew members, engineers, etc. The owner could even bear his months` salary, but the daily allowance is not covered. The owner is also required to pay for insurance and alimony. According to the agreement, the owner charges block hours, i.e. whether the plane flies or not, the tenant is responsible for paying the minimum guaranteed block hours. A dry lease is a lease agreement in which an aeronautical finance company (lease), such as GECAS, AerCap or Air Lease Corporation, provides an unmanned aircraft, ground personnel, etc. Dry leasing is generally used by leasing companies and banks, with the taker required to put the aircraft on their own Air Transport Operator (AOC) certificate and allow aircraft to be registered. A typical dry contract lasts up to two years and has certain conditions in terms of depreciation, maintenance, insurance, etc., depending on geographical location, political circumstances, etc.

Financing leasing: can also be called capital leasing and is based on one of the following conditions that are met. 1- At the end of the lease, the purchaser has the opportunity to acquire the equipment. 2- Total rents represent more than 90% of the total market value of the equipment. 3- The duration of the lease covers at least 75% of the equipment`s useful life. In 2002, there were fewer than 100 aircraft leasing companies worldwide, and the two largest controlled more than 40% of the market share. Only 17 years later, there are more than 150 suppliers, the first two holding only 20% of the market share. Today`s aircraft leasing partners have more opportunities than ever in choosing an aircraft rental partner – but they don`t all offer the same level of know-how and value. When selecting an aircraft leasing provider, ensure strong legal know-how, financial stability, a balance sheet for successful transactions and an integrated approach to ensure that your leasing aircraft operates at a high level. In addition, wet leasing arrives with a crew working on behalf of an airline when we think again about capacity and money. The Commission argues that the proposed amendment does not have a significant impact on labour needs. Water leases are generally a very sensitive topic for workers` organizations.

Cost restrictions imposed by third-country airlines in countries with low social standards and subsequent costs – and even differences in social legislation within the EU – have made wet leasing a key area for ongoing monitoring by social partners. If a Pandora`s box were opened by involuntary and unstantiated interpretations of this amendment, the issue of wet leasing could quickly degenerate into an important subject and not remain a “technical correction” of contradictory legislation. Labour requirements must therefore be assessed in light of future developments, both in the context of discussions between the EU and the US on a water leasing agreement under the aegis of the ATA and in subsequent market practices.