Qualified ownership of aircraft registered in the Isle of Man
Introduction
Isle of Man civil aviation legislation specifies the persons that are qualified to hold a legal or beneficial interest by way of ownership in an aircraft registered in the Isle of Man or in a share in such an aircraft. This is known as “qualified ownership”.
Registry Publication 2 (RP 2) provides the qualified ownership as specified under the following legal basis:
- Prior to 1 August 2022: The Air Navigation (Isle of Man) Order 2015 (as amended) Part 1, Article 5 and Exemption/Permission 2021/055;
- From 1 August 2022: The Civil Aviation (Aircraft Registration and Marking) Order 2022, Article 7.
Applicants for the registration of an aircraft in the Isle of Man, or for the change of registered owner of an aircraft already registered, must declare the qualified ownership criteria that they fall under on the Form 2.
Subject to legal protections for aircraft entered in the Register of Aircraft Mortgages or subject to an international interest. If at any time after an aircraft has been registered in the Isle of Man an unqualified person becomes entitled to a legal interest by way of ownership in the aircraft or in a share in the aircraft, the registration of the aircraft becomes void and shall be cancelled.
Qualified Ownership Criteria
Any aircraft may use one of the following criteria:
The following persons are qualified to hold a legal or beneficial interest by way of ownership in an aircraft registered in the Isle of Man or in a share in such an aircraft:
- the Crown in right of the Isle of Man, the United Kingdom or any part of the United Kingdom;
- Commonwealth citizens;
- Nationals of any European Economic Area (EEA) State or Switzerland;
- British protected persons;
- bodies incorporated in some part of the Commonwealth or having their registered office, central administration or principal place of business in a part of the Commonwealth; or
- undertakings formed in accordance with the law of the Isle of Man, an EEA State or Switzerland and having their registered office, central administration or principal place of business within the Isle of Man, an EEA State or Switzerland.
Only “transitional aircraft” may use the following criteria (“transitional aircraft” are aircraft (typically airliners) which are awaiting a commercial lease or sale). The following persons are qualified to hold a legal interest by way of ownership in a transitional aircraft registered in the Isle of Man or in a share in such an aircraft:
- bodies incorporated in or having their registered office, central administration or principal place of business in any of the States or territories listed below; or,
- undertakings formed in accordance with the law of and having their registered office, central administration or principal place of business within any of the States or territories listed below.
- The States or territories referred to in (a) and (b) above are:
- Hong Kong (Special Administrative Region);
- Japan;
- People’s Republic of China;
- United States of America.
- The States or territories referred to in (a) and (b) above are:
Exceptions for all aircraft:
- If an unqualified person resides or has a place of business in the Isle of Man and holds a legal or beneficial interest by way of ownership in an aircraft or in a share in an aircraft, the IOMAR may register the aircraft in the Isle of Man if it is satisfied that the aircraft may otherwise be properly registered.
- If an aircraft is chartered by demise to a person qualified under paragraphs above the IOMAR may, whether or not an unqualified person is entitled as owner to a legal or beneficial interest in the aircraft, register the aircraft in the Isle of Man in the name of the charterer by demise if it is satisfied that the aircraft may otherwise be properly so registered. Such an aircraft may remain registered during the continuation of the charter.
For further details please refer to IOMAR RP2:
The IOMAR team of highly experienced experts are here to answer any questions you may have. Please contact us by email at aircraft@gov.im.
All the best,
Simon
Simon Williams BA(Hons), LRPS, FRAeS
Director of Civil Aviation
Office Address: Ground Floor, Viscount House, Ronaldsway Airport, Ballasalla, Isle of Man IM9 2AS, British Isles
