HUNGARY Law and Practice Contributed by: Szabolcs Mestyán, John Fenemore, Balázs Rokob and Nóra Kertai, Lakatos, Köves & Partners
2.8.8 Documents Required to Enforce Deregistration Power of Attorney
forward and quicker with the active co-operation of the lessee. 2.8.3 Required Documentation The following documents are required to deregister the aircraft: • an application for deregistration of the aircraft; • an application for deregistration of any mortgage over the aircraft (together with a notarised mort - gage release declaration); • evidence that the aircraft will be registered else - where; and • evidence that the person making the application has the necessary capacity and authority to do so. 2.8.4 Duration of Deregistration Process The CAA has 55 days to complete the process from the date of filing a request for deregistration. It is fea - sible to request a priority process in which case the applicable deadline is 10 days. 2.8.5 Aviation Authority’s Assurances The CAA does not provide advance assurances as to the prompt deregistration of the aircraft. In practice, however, it usually aims to comply with the reasonable requests of the parties. 2.8.6 Costs, Fees and Taxes Relating to Deregistration Costs associated with the deregistration involve the fee of HUF19,000 (approximately EUR48), payable to the CAA. The fee payable for the priority process is HUF28,500 (approximately EUR71). 2.8.7 Deregistration Power of Attorney Deregistration powers of attorney are customarily pro - vided, but their effectiveness on enforcement in Hun - gary remains untested. In particular, Hungarian law does not treat powers of attorney as being irrevoca - ble. There is a risk that underlying transaction docu - ments or supporting corporate documentation may be required for enforcement purposes, if the lessee is uncooperative. It is advisable that the deregistration power of attor - ney be prepared in bilingual form, notarised and duly certified.
The enforcement practice of deregistration powers of attorney is untested in Hungary, therefore, underlying transaction documents or supporting corporate docu - mentation may be required for enforcement purposes, if the lessee is not co-operative, and enforcing rights to repossession shall require further action before the courts. 2.8.9 Choice of Laws Governing Deregistration Power of Attorney It is advisable to stipulate English law as the governing law of the deregistration power of attorney, as this is generally the chosen governing law of the other main transaction documents. Further, a power of attorney granted under Hungarian law will be revocable not - withstanding that it is expressed to be irrevocable. 2.8.10 Revocation of a Deregistration Power of Attorney As a matter of Hungarian law, the grantor of a power of attorney may revoke the power of attorney even where it is stated to be irrevocable. As deregistration powers of attorney are customarily governed by non- Hungarian law, the effect of such a revocation should be considered in light of the law governing the dereg - istration power of attorney. 2.8.11 Owner’s/Lessor’s Consent No export licence is required for re-exporting (ie, transferring out of Hungary) the aircraft in general. Import restrictions may apply if the aircraft is exported to a jurisdiction outside the EU. For the repossession and export of the aircraft by a third party (eg, the security trustee), the consent of the owner is required. 2.8.12 Aircraft Export Permits/Licences No aircraft export permits or licences are required for export from Hungary. 2.8.13 Costs, Fees and Taxes Concerning Export of Aircraft Upon the exportation of an aircraft to outside the EU, customs fees may be payable depending on the juris - diction the aircraft is being exported to.
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