Security Agreement Regarding Aircraft and Equipment
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The Federal Aviation Regulations governing the registration of aircraft and the recording of conveyances in the United States are found at 14 C.F.R. Parts 45, 47 and 49 (the Regulations). The Regulations have been established by the FAA to carry out the provisions and requirements of the Act. The procedure for recording interests in U.S. registered aircraft is set out in §§ 44107 and 44108 of the Act, and Part 49 of the Regulations.

Until a conveyance, lease, or instrument executed for security purposes which may be recorded under § 44107(a)(1) or (2) has been filed with the FAA, it is valid only against the parties to the instrument and individuals and entities who have actual knowledge of the instrument. Therefore, the interests of the parties to a transaction, including purchasers, lessor, lessees and secured parties, are not perfected until the instruments creating those interests have been filed with the FAA.

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