Privacy
Enhancement Trusts

Reliable FAA Owner Trust Services

Enhanced Confidentiality

Protecting Your Privacy in Every Aspect of Ownership

Discreet Solutions

Privacy-Focused Trust Structures for Peace of Mind

Secure Ownership

Confidential, Compliant Trust Options Tailored to You

Privacy Enhancement Trusts

Privacy Enhancement Trusts

Reliable FAA Owner Trust Services for International Clients

Request a Quote

Privacy Enhancement Trusts

Safeguarding the privacy of aircraft owners and passengers has become increasingly important. Many owners and passengers face security concerns, need to maintain a competitive edge over similar businesses, wish to avoid unwelcome public or media attention, or simply want to steer clear of commercial solicitation. PEAK 38 Solutions has designed a flexible owner trust structure that offers superior privacy protection compared to other allowable ownership structures, like limited liability companies, while still adhering to all regulatory requirements.

The Definition of an Aircraft Trust

An aircraft trust is an arrangement in which a trustee holds ownership of an aircraft on behalf of an entity or individual, known as the trustor or trust beneficiary. The trustee acts on behalf of the beneficiary, with the aircraft being titled and registered in the trustee’s name. This setup is often referred to as an owner trust, as all benefits and assets of the trust ultimately belong to the true owner. It’s important to note that this structure is FAA-approved, has been in use for over three decades, and is widely recognized within the business aviation industry.

The United States is the most sought-after jurisdiction for aircraft registration, even for aircraft primarily based outside the country. This preference is partly due to the protection it offers for the owner’s significant investment in the aircraft. The FAA’s standards for operations and maintenance are respected globally, and the U.S. remains the largest market for used aircraft sales, with U.S. buyers favoring aircraft that are registered domestically. A substantial number of transactions occur while the aircraft are in the U.S., and foreign buyers often maintain U.S. registration, even if the aircraft will eventually be registered in another jurisdiction after leaving the U.S. Additionally, non-U.S. aircraft owners can sometimes take advantage of the numerous bilateral agreements between the U.S. and foreign aircraft registration authorities by temporarily registering in the U.S. to ease the transition from one foreign jurisdiction to another.

To register an aircraft in the United States, the owner must be a U.S. citizen. According to FAA regulations, individuals who are not U.S. citizens and businesses based outside the U.S. are not eligible to own or register aircraft in the country. The criteria for determining U.S. citizenship can be complex and may even disqualify certain U.S.-based corporations, LLCs, and partnerships. However, U.S. law provides a solution: non-qualifying individuals and entities can establish trusts with U.S. citizen trustees. These trustees can hold legal title to the aircraft and register it on behalf of the non-U.S. owner.

Additionally, U.S. citizens may also utilize the FAA’s owner trust structure for various benefits, such as maintaining anonymity, facilitating aircraft sales, and optimizing loan or lease agreements.