Court of Appeal Confirms Effectiveness of Certificate of Acceptance and "Conclusive Proof" Wording in Aircraft Operating Lease

3 June 2013
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  • English Court of Appeal upholds the effectiveness of standard operating lease provisions that purport to place the risk of the condition of the aircraft on the lessee.
  • On construction of the terms of the lease, execution of the Certificate of Acceptance constituted conclusive proof that the aircraft was in the condition required by the lease, and was satisfactory to the lessee, precluding the lessee from subsequently claiming that the aircraft was not airworthy at delivery.
  • The judgment emphasises the risk for lessees inherent in accepting an aircraft on operating lease, and the need for thorough pre-delivery inspections.