3 Buying & Selling template.qxp_YearBook Template 09/08/2016 15:16 Page 13
Buying & Selling
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“In most instances, the PPI will be completed before any discrepancies are rectified.”
The aircraft and its records are then delivered to the facility and the inspection can begin. Ideally, both buyer and seller will have representatives on site throughout the inspection process. In most instances, the PPI will be completed before any discrepancies are rectified. In any case all discrepancies found are communicated to both buyer and seller for them to agree and approve before any action is taken. Furthermore, at LBAS, no action to rectify a discrepancy will ensue without individual snag approval. A final report will be generated, providing a summary of the aircraft condition and status of airworthiness related items – this is provided initially to the buyer and (if the buyer agrees) also to the seller upon request.
PPI Over, What Next?
Typically a PPI will identify two categories of discrepancy: airworthiness limiting and nonairworthiness-limiting. •
As a matter of course, the seller will always pay for the airworthiness-limiting items as they’re obliged to deliver a fully airworthy aircraft to the buyer.
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Other, non-airworthiness items are presented to both buyer and seller for them to agree between themselves regarding cost of corrective actions.
Once one of the two parties approves the individual items, the facility will proceed with rectification. If neither party agrees to take responsibility for an item, that item remains ‘open’. Once all approved items are corrected, the work order is closed, the respective invoices are billed, and the transaction can move towards completion. Thus you can see that close lines of communication are required for an aircraft transaction before, during and after the pre-purchase inspection. This is no time to try and cut costs, and both parties will need a full complement of aviation professionals and a knowledgeable, experienced PPI facility to help them navigate the process and come away from the transaction feeling as though they each got a great deal! T
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