Question

Plaintiff, known as 660 Syndicate, owned an airplane that had been leased to Wyoming Airlines. The Wyoming Airlines had Rocky Mountain Turbines (R.M.T.) service and repair the airplane. Although it had not been paid, R.M.T. returned the airplane to Wyoming Airlines. After it could not collect the money it was owed, R.M.T. reaquired possession of the repaired airplane. Plaintiff filed suit claiming that it was entitled to possession of the airplane. Plaintiff argued that R.M.T.'s lien was unenforcable. Was R.M.T's lien on the plane made valid by the subsequent acquisition of the plane? Explain.

Answer 1

Answer:

Plantiff, 660 Syndicate, is right and entitled to hold the possession of aircraft and therefore R.M.T.'s lien was uneforceable. R.M.T's lien on the plane is invalid becuase plantiff leased the aircraft to Wyoming. Wyoming Airlines was to pay all costs of maintenance, operation, registration and other charges during the lease period. The repairs performed on the aircraft by Rocky Mountain and by Central were performed during the period of lease to Wyoming Airlines at Wyoming Airlines' request. The lease under which Wyoming Airlines held plantiff's aircraft required Wyoming Airlines to be responsible for all costs of maintenance and operation. The aircraft was to be returned to plantiff in an "airworthy" condition — the same condition in which it was received. Plantiff did not benefit from the repairs made by Rocky Mountain beyond that contracted for by Wyoming Airlines. Wyoming Airlines benefited from such repairs to the extent of fulfilling its obligation under the lease. Therefore Wymoing airlines are obliged to pay the repair cost to R.M.T. and also should return the aircraft in good condition to plantiff.