Aircraft leasing is a common practice in the aviation industry, allowing airlines and other operators to rent aircraft either with or without crew for short or long terms. Leasing provides flexibility in fleet management, enabling airlines to quickly adjust capacity, reduce capital expenditures, and access specific aircraft types.

This article outlines the legal framework governing aircraft leasing in Romania, integrating national legislation with European Union (EU) law.

Key Leasing Structures

Aircraft can be leased in two principal configurations:

• Dry Lease: This involves the leasing of an aircraft without crew. The lessee is responsible for operational control and must operate the aircraft under its own Air Operator Certificate (AOC). The lessee assumes all safety, maintenance, and regulatory obligations.
• Wet Lease: Under a wet lease, the aircraft is provided with crew, maintenance, and insurance (commonly known as ACMI). The aircraft is operated under the AOC of the lessor, who retains operational control and responsibility.

Both arrangements are commonly used in commercial aviation depending on operational needs and market dynamics.

Romanian Legal Framework

The domestic legal basis for aircraft leasing is found primarily in:

• Romanian Aeronautical Code (Law no. 21/2020): This code defines rights over civil aircraft, including those arising from lease agreements. It confirms that the lessee may be recognised as the holder of the aircraft during the term of the lease and must adhere to applicable aviation laws and international conventions. It also acknowledges the importance of EU legislation in shaping operational requirements.
• AACR (Autoritatea Aeronautică Civilă Română): The national civil aviation authority is tasked with certifying operators, approving leasing arrangements, and overseeing compliance with EU and Romanian rules. The AACR’s internal regulations and civil aviation procedures further detail the conditions and documentation needed for leasing approvals.

European Union Legal Framework

As a member of the European Union, Romania is bound by EU-wide aviation rules, which establish harmonised standards for safety, environmental protection, and operational oversight.

• Regulation (EU) 2018/1139: This regulation is known as the EASA Basic Regulation. It establishes the European Union Aviation Safety Agency (EASA) and defines responsibilities for member states and the agency itself. It introduces uniform safety and environmental rules and authorises detailed implementing rules.
• Regulation (EU) 965/2012: Known as the Air Operations Regulation, it sets out technical and administrative rules for air operations. It includes specific provisions for dry and wet lease arrangements, defining the scope, responsibilities, and obligations of lessees and lessors.

These regulations are directly applicable in Romania and are enforced through the AACR.

Approval Requirements by AACR

Operators intending to lease aircraft must obtain prior approval from the AACR. The process varies depending on the type of lease and whether the aircraft is registered within the EU or in a third country.

Main Approval Requirements:

• Application Submission: Operators must submit a formal application including justification for the lease, operational needs, and safety assessments.
• Lease Agreement: A signed or draft lease agreement must accompany the application. For wet leases, the lessor’s AOC and crew qualifications must be included.
• Aircraft Documentation: The Certificate of Registration, Certificate of Airworthiness, and insurance certificates are essential.
• Safety Evaluation: AACR performs a risk and compliance analysis to verify that the lease complies with EASA and EU safety standards.

In the case of dry leases involving third-country aircraft, approval is generally limited to seven months within a 12-month period, unless exceptional justification is provided. The aircraft may also need to be added to the Romanian operator’s AOC, and an agreement under Article 83bis of the Chicago Convention may be necessary to delegate oversight responsibilities.

Legal and Operational Implications

Dry Lease

• The lessee assumes full operational and legal responsibility.
• The aircraft must be maintained and operated according to EASA regulations.
• Lessee must ensure inclusion of the leased aircraft in its Safety Management System (SMS).
• Operational manuals, procedures, and crew training must reflect the aircraft type.

Wet Lease

• The lessor retains operational control and legal responsibility.
• The lessee must ensure the lessor’s operations meet equivalent safety standards.
• Crew licences must be recognised or validated under EU law.
• Transparency obligations under Regulation (EC) No 2111/2005 require the lessee to inform passengers of the actual operating carrier.

Compliance and Oversight Considerations

Aircraft leasing involves ongoing compliance responsibilities:

• Maintenance: Whether under dry or wet lease, the aircraft must remain compliant with continuing airworthiness requirements. For dry leases, this burden lies with the lessee; for wet leases, it rests with the lessor.
• Crew Licensing: In wet leases, crew must hold appropriate licences and type ratings accepted by EASA. Where crew originate from outside the EU, validation may be required.
• Insurance: EU Regulation 785/2004 mandates minimum liability insurance, including third-party and passenger coverage. The party holding the AOC generally provides this.
• Environmental Compliance: Aircraft must meet EU standards on noise and emissions. Operators must ensure compliance with applicable regulations, including participation in the EU Emissions Trading Scheme (ETS) where applicable.

Cross-Border Leasing Within the EU

One of the advantages of operating within the EU is the ability to lease aircraft across borders with fewer regulatory obstacles:

• Mutual Recognition: Aircraft airworthiness certificates, crew licences, and AOCs are mutually recognised among EU Member States, simplifying approvals.
• Operational Simplicity: No re-registration is required when leasing aircraft between EU countries. AACR coordinates with the relevant Member State’s authority.
• Flexible Utilisation: Leasing arrangements can be structured quickly to accommodate seasonal or strategic demand.

Wet leases between EU carriers are usually approved swiftly, provided that the safety and economic conditions are satisfied.

Leasing from Non-EU Entities

Where aircraft or operators are based in third countries, additional conditions apply:

• Safety Standards Assessment: AACR must confirm that the third-country operator meets equivalent safety standards to EASA rules.
• Article 83bis Agreements: When a dry lease involves a non-EU registered aircraft, Romania and the aircraft’s state of registration must agree on oversight responsibilities.
• Time Limits: Dry leases from third countries are generally restricted to seven months per 12-month period, though exceptions exist.
• Licence and Certificate Recognition: Foreign crew licences and airworthiness certificates may require EASA validation or review.

The goal is to ensure that leased aircraft meet the same safety and operational standards as EU-registered aircraft.

Strategic and Commercial Considerations

Operators often use leases to:

• Adjust capacity for seasonal peaks.
• Expand fleet without immediate capital outlay.
• Test new markets or routes.
• Maintain operations during maintenance of owned aircraft.

However, legal and commercial contracts must carefully allocate:

• Maintenance and insurance responsibilities.
• Termination rights and delivery conditions.
• Return conditions and damage obligations.
• Regulatory reporting and transparency duties.

Engaging aviation legal counsel ensures that these obligations are properly documented and compliant with Romanian and EU law.

Aircraft leasing in Romania is governed by an integrated and comprehensive legal framework. Whether through dry or wet leasing, operators must adhere to national and EU regulatory standards, ensuring aircraft safety, operational accountability, and environmental compliance. The Romanian Civil Aeronautical Authority plays a central role in overseeing approvals and ensuring adherence to international and European norms. As aircraft leasing continues to be a strategic tool in fleet management, understanding and complying with the legal framework is essential for smooth, efficient, and legally sound operations.