Diploma in Aviation Leasing and Finance - Law Society

Start Date: Thursday 1st February 2024 at 6:00 PM

Funded cost: €2,625  (full cost before funding €3,500)

Contact maeve@icbe.ie for details of eligibility for funding.

Programme objectives

On completion of this training programme, participants will be able to:

• Analyse the key legal issues pertaining to the sale and lease of aircraft;
• Critically evaluate the finance structures involved, how to finance an aviation transaction, and funding available;
• Explain the key regulatory issues pertaining to aviation;
• Summarise the legal issues relating to key aviation matters, such as engines, maintenance reserves, security, taxation, insurance, records, and repossession;
• Draft and amend the key legal and financial documents and structures in aviation leasing and finance transactions;
• Advise on a range of aviation issues that arise in practice – be it from a lender, lessor, lessee, or airline.

Programme structure and approach to learning

Ireland is internationally recognised as the global hub for aviation leasing and finance, with 14 of the top 15 global aircraft lessors enjoying a presence here. More than 60% of the world’s fleet of leased aircraft is owned, leased, or managed in Ireland. The major industry players have been attracted by Ireland’s stable political regime, membership of the EU, favourable time zone, and talented workforce – not to mention our legal and regulatory advantages. In addition, Ireland’s network of over 70 double tax treaties, combined with the absence of withholding tax on aircraft lease rentals and a corporate tax rate of 12.5%, makes Ireland a commercially attractive place to set up and run an aircraft leasing company.

This advanced-level diploma provides comprehensive coverage of the key aspects of the aviation leasing and finance industry. It aims to deliver an in-depth analysis of the core legal and practical issues that parties typically encounter in aircraft leasing and finance transactions.

Modules

The programme is based on the following module scheme and covers key themes as listed below:

Module 1: Introduction to the aviation industry

• Origins of aviation industry in Ireland,
• Profile of aviation industry 2022,
• The bounce back after Covid-19
• Reasons for development of Ireland as aviation hub,
• Analysis of main industry players in the sector,
• Overview of regulatory framework,
• Aviation sustainability.

Module 2: Purchase and Leasing Aircraft

• Reasons for investing in aircraft,
• Aircraft operating lease agreements and key clauses,
• Purchasing aircraft – the practical considerations,
• Relevant purchase documentation,
• Delivery of aircraft – acceptance certificates, relevant clauses,
• Aircraft trading – GATS trading e-platform.

Module 3: Aviation Finance

• Commercial debt financing for aviation,
• Analysis of key capital markets structures,
• PDP financing from a leasing company and bank perspective,
• Analysis of typical Expert Credit Agencies structure (ECA),
• Function of the Export-Import Bank (US) and Irish Stock Exchange,
• Typical security taken over aircraft.

Module 4: Regulatory environment

• Role of Irish Aviation Authority,
• The Chicago Convention, ICAO, IATA
• The Cape Town Convention,
• The International Registry of Mobile Assets,
• European Aviation Safety Agency Regulations,
• EU Emissions Trading Scheme,
• Registration and de-registration of aircraft.

Module 5: Taxation and Aviation

• Importance of Irish tax residence,
• Tax opinions, legal opinions,
• Double taxation treaty network,
• Withholding tax,
• Section 110 Companies.

Module 6: Insurance and Aviation

• Airline aviation insurances and key clauses,
• Lease insurance provisions in aircraft operating leases,
• Lessor considerations,
• Claims management,
• Standard endorsement analysis.

Module 7: Applied leasing issues

• Jurisdictional issues,
• Redelivery of aircraft,
• Helicopters – leasing, registration,
• Engine leasing,
• Maintenance reserves,
• Aircraft records management,
• Corporate service providers.

Module 8: Repossession and recovery

• Repossession in practice,
• Key documentation, key clauses,
• Material adverse changes,
• Relevant default provisions,
• Termination notices,
• Applications to court,
• Enforcement – practical steps.

Module 9: Fleet planning

• Fleet planning by airlines,
• Strategies engaged,
• Case studies,
• Lessor positioning.

Module 10: Case law and future trends

• Irish and UK aviation case law update,
• Overview of the aviation industry in Asia,
• Future trends for aviation industry.

Module 11: Career Panel event

This will afford students the opportunity to get expert advice from professionals in the industry about how to enter the aviation industry or how to successfully move sectors within the aviation industry.

Workshops

Workshops are a key feature of this course. These are designed to be interactive and involve working in groups on selected case-study problems and analysis, with an emphasis on the application of the law to common scenarios encountered in practice.

Workshop dates:

• Saturday 2 March 2024
• Saturday 13 April 2024
• Saturday 11 May 2024
• Saturday 1 June 2024

Assessments

Assignment due for submission in July 2024.

Who should attend?

In order to apply you must have a minimum of two years’ full-time experience in the aviation industry, or alternatively, have successfully completed the Certificate in Aviation Leasing and Finance .

This course is suitable for:

• Solicitors, barristers, and trainees who advise aviation clients or who wish to join the aviation sector;
• Professionals working in the aviation industry who wish to expand their knowledge with a view to career advancement or moving laterally to another discipline within the industry;
• Professionals working in aircraft leasing companies or airlines;
• Contract administrators and engineers;
• Professionals in financial institutions that fund the purchase of aircraft;
• Accountants, finance professionals, and tax consultants advising aviation clients; and
• Insurance professionals specialising in aviation insurance.

Contact

Sara Van den Bergh, Solicitor, Course Leader: S.VandenBergh@lawsociety.ie .

To register: Go to https://www.lawsociety.ie/productdetails?pid=2860