Aviation Financing & Leasing

1. AIRCRAFT AND ENGINE PURCHASE AND SALE

1.1 Sales Agreements

1.1.1 Taxes/Duties Payable Upon Execution of the Sales Agreement

There are no taxes or duties payable as a consequence of the execution of an aircraft or engine sale agreement (including for the sale of an ownership interest in an entity) where the asset is either located physically in the British Virgin Islands ("BVI") or owned by a domestic party.

1.1.2 Enforceability Against Domestic Parties

It is not necessary for a sale agreement to be translated, certified, notarised or legalised in order to be enforceable against a domestic party.

1.2 Transfer of Ownership

1.2.1 Transferring Title

There is no BVI legislation that constitutes transferring title to an aircraft or engine. Title is transferred by a bill of sale, which can extend to include all installed parts, like an APU.