Cap. 503 Art. 25Aircraft as security for debts.

(1) Aircraft constitute a particular class of movables whereby they form separate and distinct assets within the estate of their owners for the security of actions and claims to which the aircraft is subject. In case of bankruptcy and, or insolvency of the owner of an aircraft, all actions and claims, to which the aircraft may be subject, shall have preference, on the said aircraft, over all other debts of the estate.

(2) For the purposes of this Part, an aircraft shall comprise:

(a) all data, manuals and technical records; and

(b) the airframe, all equipment, machinery and other appurtenances as accessories belonging to the aircraft, which are on board or which have been temporarily removed therefrom; and

(c) any engines owned by the owner of the aircraft whether attached to the aircraft or not, as well as any replacement engines which are designated for use on the aircraft and owned by the owner of the aircraft but temporarily not attached to the aircraft.

(3) In this Part IV, the expression "claims to which the aircraft is subject" or "aircraft claims" shall be construed to refer to debts or other obligations secured by mortgages, international interests or security interests and claims which enjoy a special privilege under article 42.