Replacement and Pooling of Parts Alterations Modifications and Additions Sample Clauses

This clause governs the procedures and rights related to replacing, pooling, altering, modifying, or adding parts to equipment or property covered by the agreement. It typically outlines when and how parts can be swapped or pooled between similar assets, and sets conditions for making changes or upgrades, such as requiring prior approval or ensuring that modifications do not reduce the value or functionality of the asset. The core function of this clause is to maintain the integrity and value of the property while allowing necessary maintenance or improvements, and to clarify responsibilities and limitations regarding changes to the original equipment.
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Replacement and Pooling of Parts Alterations Modifications and Additions. (a) Except as otherwise provided in Section 11(d), Lessee, at its own cost and expense, will promptly replace all Parts, which may from time to time be incorporated or installed in or attached to the Airframe or any Engine or any Spare Engine and which may from time to time become worn out, lost, stolen, destroyed, seized, confiscated, damaged beyond repair or permanently rendered unfit for use for any reason whatsoever. In addition, in the ordinary course of maintenance, service, repair or testing, Lessee at its own cost and expense may remove any Parts, whether or not worn out, lost, stolen, destroyed, seized, confiscated, damaged beyond repair or permanently rendered unfit for use, provided that, except as otherwise provided in Section 11(d), Lessee at its own cost and expense shall replace such Parts as promptly as practicable. All replacement Parts shall be owned by Lessor free and clear of all Liens (except Permitted Encumbrances and for pooling arrangements to the extent permitted by Section 11(b)), and shall be in as good operating condition as, and shall have a value and utility at least equal to, the Parts replaced assuming such parts were in the condition and repair required to be maintained by the terms hereof. All Parts at any time removed from the Airframe or any Engine or any Spare Engine shall remain the property of Lessor and shall remain subject to the lien and security interest of the Aircraft Chattel Mortgage, no matter where located, until such time as such Parts shall be replaced by parts which have been incorporated or installed in or attached to the Airframe or any Engine or any Spare Engine and which meet the requirements for replacement parts specified above. Immediately upon any replacement Part becoming incorporated or installed in or attached to the Airframe or any Engine or any Spare Engine as above provided, without further act, (A) title to such replacement Part shall vest in and such replacement part shall become the property of Lessor and shall become subject to this Lease and the lien and security interest of the Aircraft Chattel Mortgage and shall be deemed part of the Airframe or such Engine or Spare Engine for all purposes hereof to the same extent as the property originally comprising, or installed on, such Airframe or such Engine or Spare Engine, and (B) title to the replaced part shall no longer be the property of Lessor and shall thereupon become free and clear of all rights of Lessor hereunder and all rights deriv...
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Replacement and Pooling of Parts Alterations Modifications and Additions. Substitution of Engines 9 Section 3.05 Loss, Destruction or Requisition 14 Section 3.06 Insurance 15 Section 3.07 Filings; Change of Office 16 ARTICLE IV REMEDIES 16 Section 4.01 Remedies 16 Section 4.02 Return of Aircraft, Etc 17 Section 4.03 Remedies Cumulative 18 Section 4.04 Discontinuance of Proceedings 19 Section 4.05 Waiver of Past Defaults 19
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Replacement and Pooling of Parts Alterations Modifications and Additions 
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Related to Replacement and Pooling of Parts Alterations Modifications and Additions

  • Alterations, Modifications and Additions Company will, or will cause a Permitted Lessee to, make (or cause to be made) such alterations and modifications in and additions to the Airframe and the Engines as are required from time to time to meet the applicable requirements of the FAA or any applicable government of any other jurisdiction in which the Aircraft is then registered; except for (i) immaterial and non-recurring violations with respect to which corrective measures are being taken promptly by Company (or, if a Lease is then in effect, any Permitted Lessee) upon discovery thereof and (ii) any law, rule, regulation or order the validity or application of which is being contested in good faith by Company (or, if a Lease is then in effect, any Permitted Lessee) in any manner which does not involve any material risk of sale, loss or forfeiture of the Aircraft and does not materially adversely affect Loan Trustee’s interest in the Aircraft. In addition, Company (or any Permitted Lessee), at its own expense, may from time to time add further parts or accessories and make or cause to be made such alterations and modifications in and additions to the Airframe or any Engine as Company (or any Permitted Lessee) deems desirable in the proper conduct of its business, including, without limitation, removal (without replacement) of Parts; provided that no such alteration, modification or addition shall materially diminish the value or utility of the Airframe or such Engine below its value or utility immediately prior to such alteration, modification or addition, assuming that the Airframe or such Engine was then in the condition required to be maintained by the terms of this Indenture, except that the value (but not the utility) of the Airframe or any Engine may be reduced by the value of any such Parts that are removed that Company (or such Permitted Lessee) deems obsolete or no longer suitable or appropriate for use on the Airframe or any Engine. For the avoidance of doubt, Company may make alterations in the passenger configuration of the Aircraft and such alterations shall not be subject to the immediately preceding sentence. All Parts incorporated or installed in or attached or added to the Airframe or any Engine as the result of such alteration, modification or addition shall, without further act, be subject to the Lien of this Indenture. Notwithstanding the foregoing, Company (or any Permitted Lessee) may, at any time, remove any Part from the Airframe or any Engine if such Part: (i) is in addition to, and not in replacement of or substitution for, any Part originally incorporated or installed in or attached to the Airframe or such Engine at the time of delivery thereof to Company or any Part in replacement of, or substitution for, any such Part, (ii) is not required to be incorporated or installed in or attached or added to the Airframe or such Engine pursuant to the first sentence of this Section 7.04(c) and (iii) can be removed from the Airframe or such Engine without materially diminishing the value or utility required to be maintained by the terms of this Indenture that the Airframe or such Engine would have had had such Part never been installed on the Airframe or such Engine. Upon the removal by Company (or any Permitted Lessee) of any Part as permitted by this Section 7.04(c), such removed Part shall, without further act, be free and clear of all rights and interests of Loan Trustee and the Lien of this Indenture and shall no longer be deemed a Part hereunder. Upon request of Company from time to time, Loan Trustee shall execute and deliver to Company instruments reasonably requested by Company confirming the release of any such removed Part from the Lien of this Indenture. Loan Trustee acknowledges that it has no interest in the Excluded Equipment. Notwithstanding the provisions of this Section 7.04(c) or any other term or condition of this Indenture, Company (or any Permitted Lessee) may from time to time install on, and remove from, the Aircraft equipment that is owned by, leased to or conditionally sold to Company (or any Permitted Lessee) (and title to such equipment shall remain vested in Company, such Permitted Lessee, or the lessor or the conditional vendor thereof) if (1) such equipment is Excluded Equipment and (2) the location affected by any such removal, if damaged, is repaired prior to return, in a workmanlike manner, to a condition suitable for commercial passenger service; provided that all costs of installation, removal and replacement shall be the responsibility of Company.