Employment analysis: In the period from 1 April 2020 to 31 March 2021 the average waiting time, from receipt of a claim to the first hearing in an employment tribunal, was 335 days for single claims and 388 days for multiple claims. This is the most recent available data because the employment tribunals have moved to a new case management system and HM Courts & Tribunals Service (HMCTS) is currently working to incorporate the new IT system alongside longer-established data sources to provide a more complete and consistent data set for this jurisdiction, according to the response by James Cartlidge, Parliamentary Under Secretary (Ministry of Justice) to a written question as published in Hansard. He also clarified that the Ministry of Justice aims to upload employment tribunal judgments to the public register within ten working days of promulgation.

The Convention on International Interests in Mobile Equipment (the Convention) and the associated Protocol to the Convention on Matters Specific to Aircraft Equipment (the Protocol) (together more commonly known as the Cape Town Convention) came into force on 1 March 2006. The Cape Town Convention establishes a uniform set of rules guiding the constitution, protection, prioritisation and enforcement of certain rights in aircraft and aircraft engines. Central to the purpose of the Cape Town Convention is the creation of the International Registry for aircraft objects where certain categories of interest may be recorded, including a security interest in an aircraft. The Cape Town Convention also provides protection for creditors if there is a default or insolvency situation. Primary purpose of the Cape Town Convention The Convention on International Interests in Mobile Equipment is designed to: ‘Provide a stable international legal regime for the protection of secured creditors, conditional sellers and lessors of aircraft objects… through a set of basic default remedies and the protection of creditors’ interests by registration in an International Registry, thus

Aircraft in commercial operation may be financed from several sources, including support from governmental or quasi-governmental entities known as export credit agencies (ECAs). The level of ECA support for aircraft finance typically fluctuates depending on the availability in the market of commercial financing. In times of financial crisis, where commercial financing may not be as readily available, the proportion of aviation finance transactions involving ECA support usually increases and vice-versa. ECA support has fluctuated more than normal over recent years. Historically, the key aircraft finance transactions supported by ECAs were for Airbus and Boeing aircraft. Most Airbus aircraft are partly manufactured in the UK, France and Germany and traditionally, the main ECAs involved in financing Airbus aircraft were: • Export Credits Guarantee Department (ECGD), which is a department of the government of the United Kingdom that operates under the name UK Export Finance (for more information, see Practice Note: UK Export Finance (UKEF)) • Bpifrance Assurance Export, which is the French Export Credit Agency. It took over the French state’s export guarantees activity from Compagnie

The Islamic finance industry has seen rapid growth as financial institutions and their clients look towards exploring alternative methods of financing. Islamic finance is an asset-based system and there has been an increase in the use of Islamic finance in the complete and partial financing of aircraft, assets which are permissible investments under the Islamic law (Shariah). Principles of Islamic finance The principles of Islamic finance are derived from the Shariah prescribed in the Quran, the sacred book of Islam believed to record the Word of God as revealed to the Prophet Mohammed and the Sunnah, the practices of the Prophet Mohammed. Islamic finance is established in order to ensure that wealth remains pure and is utilised in a just manner in accordance with the following general principles: No unjust enrichment—Riba • the charging of interest, or Riba, is strictly prohibited • in Islamic finance, money should not be treated as a commodity and does not have any intrinsic value; it is only viewed as a means of exchange. Any

Pre-delivery payment financing (PDP financing) has developed into a commonly used financing tool for airlines and lessors. However, the increase in the number of PDP financings has led to close scrutiny by the aircraft manufacturers into the industrial and commercial issues which arise as a result of the involvement of a financier in aircraft purchase arrangements. In any PDP financing there may therefore be significant commercial issues to be negotiated, as well as sometimes complex legal issues, particularly in relation to security, to be considered. PDP financing, and the protection available to any lender, is very different to the situation that exists under other types of aviation finance. Funding is provided while the asset itself is under construction and security cannot be obtained in the same manner as for a completed aircraft. As a result, the provisions setting out the steps that will be taken in the event of enforcement are extremely important for the manufacturer, purchaser and lender. PDPs and purchase agreements What are pre-delivery payments? Pre-delivery payments (PDPs) are stage payments which are payable by the purchaser

There are two principal types of aircraft finance structure: • secured lending under which the lender lends money to the purchaser to buy the aircraft and the lender takes security over the aircraft, and • leasing which offers greater flexibility to financiers in many instances Difficulties with secured lending Secured loan structure Under a traditional secured loan structure, the lender will lend money to the prospective owner of the aircraft in order to finance its acquisition of the aircraft. In return for this money being made available, the lender will usually take first priority security by way of a mortgage over and in respect of the aircraft (see Practice Note: Taking security over aircraft in aviation finance transactions). Once the loan has been repaid in full, together with any other amounts owing under the transaction documents, the lender will release the aircraft from the mortgage with unencumbered title being returned to the borrower. If the borrower does not repay the loan or it defaults in respect of any of its other obligations under the loan agreement,

Operating leases are often used in the airline industry. Aircraft have a long working life and, as such, a highly developed market place for marketing second hand aircraft has developed. The most basic concerns for a lessee in an operating lease are that the aircraft it leases is in an airworthy condition and that it is able to use the aircraft without interference from the lessor. The lessor’s most basic concerns are that it gets paid for allowing the lessee to use the aircraft and does not suffer any losses as a result of the operation of the aircraft by the lessee. This Practice Note explains what an operating lease is, how operating leases differ from other types of leases and the basic concepts involved in the business of operating lessors together with the key provisions in operating leases which relate to delivery condition, quiet enjoyment, rent and deposits and operational indemnities. It also covers the key provisions in operating leases about subleasing and events of default. The business of operating lessors Operating leasing is a

Aviation finance lends itself to tax leasing in many jurisdictions. Tax leases are usually a means of tax deferral. They can be advantageous, from a tax perspective, to equity investors that have taxable profits arising from their normal course of business. Tax leases can be completed in various jurisdictions including Japan, Germany and France. The key risk in tax leasing arises if the transaction is terminated early. This will mean that the equity investors will be unable to defer their tax liability to the extent and for the period they had anticipated. What is a tax lease? Most tax leases are tax deferral structures. They occur when certain entities (equity investors) enter into a transaction with the express intention of incurring an immediate tax loss, which they can set off against their taxable profits arising from their normal course of business. At a certain time in the future, they will expect the transaction to generate profits and, at that point, the overall liability of the equity investors to tax will increase. The equity

This Practice Note sets out certain key cases and associated content that are relevant to aviation finance. The cases are grouped together by topic. Key cases relating to purchasing an aircraft Odyssey Aviation Ltd v GFG 737 Ltd Aircraft sale and purchase agreement—termination—buyer claims for breach of warranty as to title and breach of conditions precedent—seller also attempts to terminate the sale and purchase agreement [2019] EWHC 1927 (Comm) On 28 May 2018, Odyssey Aviation Ltd (Odyssey) and GFG 737 (GFG) entered into an Aircraft Sale and Purchase Agreement (APA). Under the APA, Odyssey agreed to sell and GFG agreed to buy a Boeing Business Jet B737-72U (the Aircraft), for US$30m. The APA was governed by English law. Prior to the conclusion of the APA, on 23 April 2018, GFG paid a refundable holding deposit which was deposited with an escrow agent. The scheduled delivery date under the APA was 19 July 2018. On 20 July 2018, GFG purported to terminate the APA on two grounds: • firstly, that Odyssey had breached its warranty as to title

MLex: The EU’s aviation industry has said that the European Commission must deliver an aviation strategy this year focusing on driving the sector’s decarbonisation, while strengthening its global competitiveness. In its policy recommendations unveiled today, the industry calls for the aviation sector to be prioritised in the upcoming Clean Industrial Deal, and for a scaleup of the availability and uptake of affordable sustainable aviation fuels.

Law360, London: A company that says it is Britain's first artificial intelligence (AI)-based insurance broker has said it has raised almost £1m from investors including Aviva and a venture capital firm in a preliminary funding round.

Law360, London: Aviva plc encountered a 14% rise in the number of fraudulent insurance claims in the UK in 2024, comprising more than 12,700 suspected false claims worth £127m, the insurer said in a report on 8 April 2025.