Airplane Purchase Agreement Template for India

The Airplane Purchase Agreement is a critical legal document used when acquiring aircraft in India, whether for commercial, private, or specialized operations. This agreement is essential for documenting the terms and conditions of aircraft purchases, ensuring compliance with Indian aviation regulations and international standards. It becomes necessary when any entity plans to acquire an aircraft, whether new from manufacturers or pre-owned, and must address various aspects including technical specifications, regulatory compliance, financing arrangements, and risk allocation. The document must comply with Indian laws, particularly the Aircraft Act 1934, Aircraft Rules 1937, and DGCA regulations, while also considering international aviation conventions. It serves as the primary reference document for the entire transaction, protecting both parties' interests and establishing clear procedures for aircraft delivery, acceptance, and post-purchase obligations.

1. Parties: Identification of buyer and seller with full legal names, registration details, and addresses

2. Background: Context of the transaction, including brief description of the parties and purpose of the agreement

3. Definitions: Detailed definitions of technical terms, legal terms, and other specific terminology used in the agreement

4. Sale and Purchase: Core transaction terms including aircraft description, purchase commitment, and basic price

5. Purchase Price and Payment Terms: Detailed breakdown of purchase price, payment schedule, deposit requirements, and payment methods

6. Delivery and Acceptance: Terms regarding aircraft delivery, acceptance testing, and transfer of title and risk

7. Conditions Precedent: Prerequisites that must be satisfied before the agreement becomes effective

8. Seller's Representations and Warranties: Warranties regarding aircraft condition, title, airworthiness, and compliance with regulations

9. Buyer's Representations and Warranties: Warranties regarding authority to purchase, compliance with laws, and financial capacity

10. Pre-Delivery Inspection: Rights and procedures for aircraft inspection before delivery

11. Registration and Regulatory Compliance: Requirements for aircraft registration and compliance with aviation regulations

12. Insurance: Insurance requirements during delivery and transfer process

13. Indemnification: Mutual indemnification provisions for various risks and liabilities

14. Default and Termination: Events of default, remedies, and termination rights

15. Governing Law and Jurisdiction: Choice of Indian law and jurisdiction provisions

16. Dispute Resolution: Procedures for resolving disputes, including arbitration provisions

17. Miscellaneous: Standard boilerplate provisions including notices, amendments, and severability

18. Execution: Signature blocks and execution formalities