The Cape Town Convention is a significant shoot forward in the field of international aviation law. It implies an international guarantee and is a unique means of protecting creditors and lessors of aircraft, aircraft engines and helicopters. At present, the member states of the Convention are 73 states: Great Britain, Germany, Italy, China, USA, Turkey, Switzerland, Russia, Kazakhstan, Tajikistan and others. Following the signing of the Law “On accession of the Republic of Uzbekistan to the Convention on International Interests Mobile Equipment” by the President of Uzbekistan on December 28, 2017 (Cape Town, November 16 2001) Uzbekistan has also entered into the Protocol to this Convention on aviation equipment. Prior to this, the law was adopted by the Lower Chamber of the parliament on December 6, 2017 and approved by the Senate of Oliy Majlis on December 20, 2017.
The Convention provides for the generation of the international system for registration of rights to aviation machinery – an international registry. Accordingly, contracts entered into by companies from Uzbekistan on the acquisition of aircraft equipment, firstly, shall be registered in this international register, and secondly they shall be provided with an international guarantee that will facilitate the financing of expensive aviation machinery and reduce the risks of leasing and credit operations.
In addition, the international regime established by the Convention and the Protocol is designed to reduce the risk of creditors and, consequently, the cost of credit, which in turn shall increase the possibility of obtaining financing for the acquisition and operation of aircrafts (aircraft and engines) by companies in the developing countries.
It should be noted that the law on joining of our country to the Convention and the Protocol contains five statements of Uzbekistan, made with due regard to the international experience of states that have joined to the Cape Town documents.
Additionally, joining of Uzbekistan to the Convention and application of its standards shall simplify the system of financing expensive aviation equipment, including aviation facilities, providing preferential terms and additional discounts.