Story was first revealed when BOC Aviation filed a suit "BOC Aviation Limited v AirBridgeCargo Airlines LLC " (1:22-cv-02070) at the New York Southern District Court on 14th March 2022 to repossess it's Aircraft - a B747-8 model registered as 'VQ-BFE' .
Current status is , on 25th March 22, the Boeing B747-83Q(F) aircraft has already flown to San Bernardino (SBD) airport from Hong Kong International Airport (HKG) via a ferry flight number 'VQBFE'
1. BOCA is the owner of a Boeing 747-8F aircraft that it leased to AirBridge, a privately owned Russian company that operates as a Russian cargo airline. The aircraft is currently located in Hong Kong. Reinsurance covering the aircraft was recently canceled and invalidated pursuant to sanctions issued by the European Union. The aircraft’s current value exceeds US$148 million.
2. The cancellation of reinsurance triggered a default under a provision of the parties’ lease agreement that requires AirBridge to maintain specific types and amounts of reinsurance.
3. The lease agreement gives BOCA broad authority to repossess immediately the aircraft and its records in the event of a default by AirBridge, specifically authorizing BOCA to enter upon the premises where the aircraft is located and take immediate possession and remove the aircraft, by summary proceedings or otherwise
In it's suit , BOC Aviation sought court orders for one of the three B747-8 freighters on lease to 'AirBridgeCargo' , to be repossessed from it's last grounded location at Hong Kong and flown to the United States for storage.
BOC Aviation Aircraft Portfolio .
BOC Aviation also released it's statement in the court that,
As a result of the cancelled and invalidated insurance, BOCA terminated the leasing of the aircraft and exercised its contractual right to demand the immediate return of the aircraft with all necessary records.
AirBridge, however, is refusing to recognize the termination of leasing of the aircraft and is refusing to return the records. It is instead demanding that BOCA authorize the aircraft to be flown from Hong Kong to Russia.
AirBridge already flew two other Boeing 747-8F aircraft owned by BOCA from China to Moscow on March 6, 2022, in breach of specific instructions from BOCA to ground those aircraft, and in one case, after the termination of the leasing of aircraft and consequent suspension of the certificate of airworthiness for the aircraft. To date, AirBridge has refused to release those aircraft to BOCA.
BOCA is entitled to immediate possession of the aircraft under the parties’ lease agreement and under international treaty. Accordingly, BOCA seeks, among other things, an order of immediate possession of the aircraft under Article 20 of the CTC, a declaration that it is entitled to immediate possession of the aircraft, and an order directing AirBridge to turn over all necessary aircraft documentation to allow BOCA to ferry the aircraft out of Hong Kong.
The court has allowed the BOC Aviation to repossess the aircraft and fly it to California , after it found AirBridgeCargo was in breach of the terms of leasing agreement.
BOC Aviation also mentioned the aircraft was worth $148 million and that AirBridgeCargo was in breach of the lease agreement for two other 747-8s when it flew the planes back to Russia despite the lessor's explicit instructions to ground them on March 5 after their insurance coverage was terminated.
JET BLAST
— BIG JET TV (@BigJetTVLIVE) April 25, 2019
ABC’s @volgadneprgroup 747-8F VQ-BFE pulls into stand during our 2-hour excl All-Elite show, where we were given an Airside Tour by the Social Media Team and Cargo Management at Frankfurt Airport.
Thanks to all the Team @Airport_FRA - give them a follow ????#avgeeks pic.twitter.com/m8rNdAD9T0
A Clip from Big Jet TV.
Under Section 19.06 of the Lease Agreement, in the event of a default , BOCA has the right to
“sell or re-lease or otherwise deal with the Aircraft Airframe, Engine or any Item of Equipment at such time and in such manner and on such terms as Lessor considers appropriate in its absolute discretion, free and clear of any interest of Lessee and without any duty to account to Lessee with respect to such action or inaction, as if this Lease had never been entered into.”
Due to western sanctions on Russia, an approx. $12 billion worth of leased jets need to be retured to Lessors like "Ireland-based SMBC Aviation Capital" and "Singapore-based BOC Aviation" and "AerCap".
