An aircraft wet lease agreement template is a legally binding document that outlines the terms and conditions of a leasing arrangement between an aircraft owner and a lessee. In a wet lease agreement, the owner provides the aircraft, crew, maintenance, and insurance. In contrast, in a dry lease agreement, the lessee provides its own crew, maintenance, and insurance.
Aircraft wet lease agreements are commonly used in the aviation industry to meet short-term or seasonal demand for air transportation. Wet leases are popular among airlines and charter companies because they offer flexibility, cost savings, and access to a wider range of aircraft types.
The following is a guide to the key elements of an aircraft wet lease agreement template:
1. Parties – This section identifies the parties to the agreement, including the lessor (aircraft owner) and the lessee (airline or charter operator).
2. Aircraft – The aircraft section specifies the aircraft type, registration number, and any required specifications and certificates. It also outlines the lessor`s responsibility for maintenance and repairs.
3. Term – This section defines the lease period, including the start and end dates and any renewal options.
4. Payment – The payment section outlines the payment structure, including the lease rate, the payment frequency, and any penalties for late payments.
5. Insurance – The insurance section specifies the type and amount of insurance coverage required, who is responsible for obtaining it, and what happens in the event of a loss or damage to the aircraft.
6. Responsibilities – This section outlines the responsibilities of both parties, including crew, maintenance, fuel, and landing fees. It also covers any restrictions on the use of the aircraft.
7. Termination – The termination section describes the circumstances under which the agreement can be terminated, including breach of contract, bankruptcy, or force majeure events.
An aircraft wet lease agreement template is a critical document that protects the interests of both the lessor and the lessee. Before signing any agreement, it is important to carefully review the terms and conditions and consult with legal counsel to ensure that your rights and obligations are clearly defined. A well-drafted agreement can help prevent disputes and ensure a successful leasing arrangement for both parties.