Avionics News July 2013 - 78

legislative

B Y
J A S O N
D I C K S T E I N
AEA GENERAL COUNSEL

What Happens to your Lien if an
Aircraft Registration Expires?
Protecting Your Right to Get Paid

A

lien is a tool creditors
use in order to improve
the chances they will get
paid on a debt. Like any
tool, liens are valuable when they
are used correctly; but when used
incorrectly, they may fail to fulfill their expected function, and,
in some cases, they can actually
injure the person who wields them.
This year, Avionics News is providing a series of articles examining
liens and providing guidance on
what Aircraft Electronics Association
members ought to be thinking about
when considering the use of liens as
a tool for helping to ensure payment.
Two months ago in this column,
we examined basic forms of liens
that may be useful to repair stations
and fundamental validity questions.
Last month we examined the filing
of liens with the Federal Aviation
Administration registry in order to
perfect the lien and establish priority
so that the lien may be enforceable
78

avionics news

•

july

2013

against subsequent aircraft owners.
This month, we examine some of
the industry’s questions about what
happens if an aircraft registration

WHY REGISTRATION?
The courts have explained the
policy behind registration is to have
a central clearinghouse for record-

Because state laws vary, it is important to
base your filing decisions on sound legal
advice based on your particular state law
and the particular facts.
expires when there is a lien against
it, or immediately before a lien can
be filed.
THE IMPORTANCE OF
THE FAA REGISTRY
Generally speaking, an aircraft
must be registered in the nation of its
owner (there are exceptions but they
are not worth discussing in this article). In the U.S., this means registering the aircraft with the FAA registry.

ing titles to ensure the government
is able to properly identify the
owner of each aircraft.
What happens if an owner does
not register his or her aircraft?
Some states have laws that make
this an illegal act. For example,
Florida requires aircraft to be registered, and an unregistered aircraft
is considered to be contraband that
is forfeited to the state. In addition, failure to register an aircraft



Avionics News July 2013

Table of Contents for the Digital Edition of Avionics News July 2013

Point of Communication
AEA Now
The View from Washington
International News and Regulatory Updates
Panel Power for Budget Flying
Member Profile
ADS-B Countdown
Onboard Traffic Systems
A Conversation With...
The ELT Mess
Member Profile
iPads in Maintenance
Before & After
Aviation Aces
Growing Your Market
Avionics News Through the Years
FAA Fact Sheet on General Aviation Safety
AEAviators
'Smart and Cost-Friendly'
Business Basics
Legal Ease
What's New
Marketplace Classifieds
Avionics News July 2013 - Intro
Avionics News July 2013 - Cover1
Avionics News July 2013 - Cover2
Avionics News July 2013 - 1
Avionics News July 2013 - 2
Avionics News July 2013 - 3
Avionics News July 2013 - Point of Communication
Avionics News July 2013 - 5
Avionics News July 2013 - AEA Now
Avionics News July 2013 - 7
Avionics News July 2013 - 8
Avionics News July 2013 - 9
Avionics News July 2013 - 10
Avionics News July 2013 - 11
Avionics News July 2013 - 12
Avionics News July 2013 - 13
Avionics News July 2013 - The View from Washington
Avionics News July 2013 - 15
Avionics News July 2013 - International News and Regulatory Updates
Avionics News July 2013 - 17
Avionics News July 2013 - 18
Avionics News July 2013 - 19
Avionics News July 2013 - Panel Power for Budget Flying
Avionics News July 2013 - 21
Avionics News July 2013 - 22
Avionics News July 2013 - 23
Avionics News July 2013 - Member Profile
Avionics News July 2013 - 25
Avionics News July 2013 - 26
Avionics News July 2013 - 27
Avionics News July 2013 - ADS-B Countdown
Avionics News July 2013 - 29
Avionics News July 2013 - 30
Avionics News July 2013 - 31
Avionics News July 2013 - Onboard Traffic Systems
Avionics News July 2013 - 33
Avionics News July 2013 - 34
Avionics News July 2013 - 35
Avionics News July 2013 - A Conversation With...
Avionics News July 2013 - 37
Avionics News July 2013 - The ELT Mess
Avionics News July 2013 - 39
Avionics News July 2013 - 40
Avionics News July 2013 - 41
Avionics News July 2013 - 42
Avionics News July 2013 - 43
Avionics News July 2013 - Member Profile
Avionics News July 2013 - 45
Avionics News July 2013 - 46
Avionics News July 2013 - 47
Avionics News July 2013 - iPads in Maintenance
Avionics News July 2013 - 49
Avionics News July 2013 - 50
Avionics News July 2013 - 51
Avionics News July 2013 - 52
Avionics News July 2013 - Before & After
Avionics News July 2013 - Aviation Aces
Avionics News July 2013 - 55
Avionics News July 2013 - 56
Avionics News July 2013 - 57
Avionics News July 2013 - Growing Your Market
Avionics News July 2013 - 59
Avionics News July 2013 - 60
Avionics News July 2013 - 61
Avionics News July 2013 - Avionics News Through the Years
Avionics News July 2013 - 63
Avionics News July 2013 - FAA Fact Sheet on General Aviation Safety
Avionics News July 2013 - 65
Avionics News July 2013 - 66
Avionics News July 2013 - 67
Avionics News July 2013 - 68
Avionics News July 2013 - 69
Avionics News July 2013 - AEAviators
Avionics News July 2013 - 71
Avionics News July 2013 - 'Smart and Cost-Friendly'
Avionics News July 2013 - 73
Avionics News July 2013 - Business Basics
Avionics News July 2013 - 75
Avionics News July 2013 - 76
Avionics News July 2013 - 77
Avionics News July 2013 - Legal Ease
Avionics News July 2013 - 79
Avionics News July 2013 - 80
Avionics News July 2013 - 81
Avionics News July 2013 - What's New
Avionics News July 2013 - 83
Avionics News July 2013 - 84
Avionics News July 2013 - 85
Avionics News July 2013 - Marketplace Classifieds
Avionics News July 2013 - 87
Avionics News July 2013 - 88
Avionics News July 2013 - Cover3
Avionics News July 2013 - Cover4
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