Aviation

Aviation

Shahid Law Firm excels in addressing intricate aviation legal matters. The Firm has handled some of the largest and most high-profile cases in the last years, setting precedents in the Egyptian legal market before courts of all degrees and instances. The aviation and transportation team combines long-standing expertise in Egyptian law with an in-depth and practical understanding of the aviation and transportation sectors, as well as solid insurance and dispute-resolution experience. With our multidisciplinary approach and profound industry knowledge, our team is entrusted by several key players in the aviation and transportation industry both locally and regionally.

Our specialized team boasts extensive experience and in-depth knowledge of the aviation industry, providing expert guidance on a wide range of issues including regulatory compliance, aircraft financing, leasing, day-to-day corporate-commercial matters, acquisitions and conducting traditional accident defense litigation matters, specifically advising airlines in claims against insurance companies notably with respect to compensation for accidents occurring overseas. The Firm also advises on consumer disputes including in claims under the Warsaw and Montreal Conventions, and the Egyptian Commercial Code.

Shahid Law Firm is also one of the few teams that handle aircraft financing and employment work in Egypt, acting both for borrowers and lenders. Moreover, our team has experience representing lessors and lessees in aviation financing and lease transactions and has advised on the sale, lease and acquisition of aircraft. The Firm also advises on aircraft and engine liens registration in Egypt and international registry, service and other commercial agreements, and repossession of aircraft unlawfully seized.

The Firm represents numerous clients, among which are airlines, international and local aircraft leasing companies, financiers, and trade associations, ensuring a facilitated navigation of complex legal and regulatory frameworks with ease.

Our team regularly provides clients with unique insights regarding the trends and developments in the industry, and provides a plethora of services including:

  • Asset leasing and finance
  • Handling typical litigation in relation to day-to-day carrier activities;
  • Drafting and reviewing various types of agreements;
  • Advising on matters related to aircraft lease, sale, purchase, and insurance;
  • Providing crisis management support in relation to aircraft accidents;
  • Advising on, and representing clients in contentious cases by way of litigation and arbitration;
  • Providing day-to-day corporate-commercial, compliance, advisory, and corporate secretarial support;
  • Counseling on cargo claims, shipping, handling and logistics matters; and
  • Advising on the construction of roads, ports, airports and ancillary buildings under various schemes (BOT, BOOT, etc.).

  • Representing International Air Transport Association (“IATA”) in several legal matters concerning operations in Egypt including the handling of lawsuits, reviewing declarations, and advising on dealings with third parties. The most recognizable one is the following:
    • IATA entered an Insurance Cover for IATA Accredited Agents Participating in the Billing and Settlement Plan (the “Insurance Policy”) with an Egyptian insurance company to cover the non-payment of airline tickets from local travel agents for the amount of EGP 150 million.
    • The travel agent failed to pay its due amounts to IATA, which led IATA to request the insurance company to pay EGP 115.5 million. Relying on a Guarantee Agreement, IATA, in its capacity as the agent of leading international airlines injured by the travel agent’s failure to pay, initiated a claim against the insurance company, its Jordan-based broker, and its US-based reinsurer.
    • The case is important as it will determine the exact rights and obligations of insurers, reinsurers, and brokers in a cross-border transaction involving a strategic State-backed industry, which is an area of law that is still developing in Egypt.
    • The Financial Regulatory Authority investigated the matter and on 23 August 2022, the Financial Regulatory Authority’s Dispute Settlement Committee ruled in favor of IATA, ordering its entitlement to the full amount claimed.
  • Representing Qatar Airways in several litigation cases before courts of a wide range of instances and degrees.
  • Advising Air Leisure, one of Egypt’s largest airlines in the negotiation of the finance of aircraft from one of the world’s largest aircraft leasing companies.
  • Counseling an aviation company with regard to a multi-million-dollar insurance claim to which it was entitled following an aircraft accident in an African state.
  • Advising XL London Market Ltd, a subsidiary of XL Catalin including XL in relation to a total loo of an aircraft in the area of Sharm El-Sheikh.
  • Representing clients in discussions with the Ministry of Civil Aviation and the Egyptian Civil Aviation Authority on matters relating to aircraft leasing and licensing requirements.
  • Representing an Egyptian business group in the full acquisition of shares in Midwest Airlines Egypt.
  • Successfully representing the heirs of a victim of a Swissair aircraft accident (Swissair Flight 111), securing compensation by way of out-of-court settlement (Civil Action No. 99-5744, 99-6089).
  • Representing Turkish Airlines on day-to-day employment matters including drafting of employment contracts, executing staff members’ termination, and handling social insurance matters as well as the exceptional statutory measures to be undertaken by employers as a result of COVID-19 and the mechanism of applying these measures on their employees. The Firm also represents the Client in several litigation cases before courts of a wide range of instances and degrees.
  • Acting for JPMORGAN CHASE & Co., UK Export Finance and other creditors (ECAs) in connection with the re-financing acquisition by EgyptAir of Two (2) Rolls Royce Trent Aircraft Engines. Advice included handling all aspects relating to the transaction and ensuring compliance with Egyptian law.
  • Advising JPMorgan Chase Bank, UK Export Finance, and other creditors (ECAs) on a re-financing acquisition by EgyptAir of [Three Airbus A320 NEO Aircrafts] as part of its renewal of its aircraft arsenal. Our firm is handling providing advice to the ECAs from an Egyptian law standpoint, and working with borrowers, EgyptAir and the Egyptian Civil Aviation Authority towards closing the transaction.
  • Advising UK Export Finance; KfW IPEX-Bank GmbH; and Euler Hermes Aktiengesellschaft (ECAs) on a re-financing acquisition by EgyptAir of [Three Airbus A320 NEO Aircraft] as part of its renewal of its aircraft arsenal. Our firm handled providing advice to the ECAs from an Egyptian law standpoint, and working with borrowers, EgyptAir and the Egyptian Civil Aviation Authority towards closing the transaction.
  • Advising an aerospace company on the possibility of re-filing a commercial arbitration against the Egyptian Ministry of Civil Aviation, among others, for its reported breach of a multi-million-dollar construction contract (of an airport and resort) in the Sinai Peninsula.
  • Representing UK Export Finance and several creditors including JP Morgan Chase Bank in aircraft and engine financing transactions in Egypt, as part of EgyptAir’s plan to renew its aircraft arsenal, including securing what to the best of our knowledge is the first engine mortgage in Egypt.
  • Acting for leading European banks and export credit agencies in the USD 130 Million cross-border refinancing of the purchase of three (3) Airbus 320 neo aircraft ultimately operated by Egypt’s national carrier. The transaction was the first of its kind in the Egyptian aviation market given its complex structure, as it involved the sale, leasing.
  • Representing Arab Banking Corporation in a USD 120 Million financing for EgyptAir. The transaction involves procuring the required securities, reviewing and advising on the facility agreement and related documents from and Egyptian law standpoint, assignment of receivables, and mortgaging aircraft.
  • Advising a US aviation Company on compliance matters in the context of its dealings with the Egyptian Civil Aviation Authority.
  • Acting for an international aviation company in the context of its acquisition of shares in a domestic airline.
  • Advising one of the world’s leading aircraft leasing companies with respect of certain administrative law implications and procedures before Egyptian courts with respect to filing a claim to secure the release of a detained aircraft.
  • Representing a regionally recognized airways company in a case filed by the Client requesting compensation of USD billion in damages from the Egyptian government for banning its operations in Egypt and for violating the treaty obligations over the continuity of air blockade.
  • Reviewing a contract between the Egyptian National Railways (ENR), an Egyptian governmental authority, and the Italian railway security and control company ECM S.p.A. in relation to the supply of local and imported components for the protection and operation of a full automatic protection system.
  • Advising the Cairo Transport Authority (CTA) – along with Strategy& (formerly Booz and Co.) – in relation to the restructuring process of the CTA, and the tendering of several routes to the private sector to operate the project.
  • Acting as counsel for Respondent in the matter between the Consortium of International Dredging Companies (Claimant) v. the Egyptian Red Sea Ports Authority (Respondent).