Registration Issues

Not everyone can own an aircraft. The FAA rules place certain limitations on who can become the registered owner of an aircraft. Avoiding these limitations is important where the aircraft is to be flown in the United States, particularly where the aircraft is to be operated under the more relaxed requirements of Part 91 of the FAA rules.

An individual must generally be a U.S. citizen or a resident alien.

A corporation must be incorporated in the United States and must not be controlled or managed by foreign interests.  These limitations can generally be avoided where the aircraft is "based and primarily used" in the United States. Otherwise, a voting trust or owner trust might be the only alternative.  These rules also apply to an LLC, regardless of whether the LLC is treated as an "ignored entity" for tax purposes.

A partnership must be composed entirely of individuals. A partnership with a general corporate partner is not allowed to become the registered owner of the aircraft.

The trustee of a trust may become a registered owner of an aircraft.

A special type of trust which is defined by the FAA rules.