Law 491-06 created the Civil Aviation Board (JAC) and consolidated the Dominican Institute of Civil Aviation (IDAC). The JAC establishes the public policies and economic regulation of civil aviation; IDAC is the specialized technical authority that regulates and oversees civil aviation matters, including safety oversight, in accordance with the law.

IDAC validates licenses and certificates issued by other countries that are parties to the Convention on International Civil Aviation (Chicago Convention).

The DR holds FAA Category 1 status under the U.S. IASA program, which permits Dominican carriers to operate to the United States; operators structuring routes should verify the current bilateral framework for each destination.

II. Aircraft Registration and Nationality

Under Law 491-06, an aircraft may not be validly registered in more than one country. Aircraft registered abroad may acquire Dominican registration upon cancellation of the prior foreign registry.

To register, modify or cancel an aircraft’s registration, the applicant must comply with the formalities established by the law and the aeronautical regulations. All requests are filed before IDAC.

III. The National Registry of Aircraft

The National Registry of Aircraft, kept by IDAC, maintains the property registry of all Dominican civil aircraft. The following may be recorded:

• Aircraft nationality and registration marks.
• Deeds and legal documents that create, transfer, recognize, modify, extinguish or otherwise affect property rights over an aircraft, its engines and accessories.
• Court decisions granting, transferring, modifying or extinguishing property rights over aircraft.
• Mortgages over aircraft and aircraft engines.
• Restraints and precautionary measures on aircraft.
• Agreements on the utilization of aircraft (leases and similar arrangements).
• Suspension of aircraft activities, cancellation, loss and other substantial modifications.
• Corporate documents of Dominican aircraft owners.
• Insurance contracts over aircraft or their engines.

Because leases, mortgages and utilization agreements are recordable, lenders and lessors should perfect their interests at the National Registry of Aircraft; recording is what makes the security enforceable against third parties in the DR.

IV. Encumbrances, Mortgages and Seizure of Aircraft

Under Law 491-06, an aircraft may be mortgaged as security for the repayment of loans. The registration of the security interest is governed by the Civil Aviation Law, the Civil Code and special legislation.

V. Licenses and Certificates

Any person requiring an aeronautical license or certificate must apply before IDAC. Foreign nationals may also request licenses where their work is carried out within the DR.

The owner of an aircraft registered in the DR may obtain from IDAC a certificate of airworthiness for its aircraft, and operators may obtain the Air Operator Certificate (AOC) upon application and compliance with the technical requirements.

VI. Classification of Air Services

Air services are classified as commercial aviation, other air work and non-commercial aviation. Local and international air transport operations are subject to the policies and provisions of the law and to the regulations of the JAC and IDAC.

Commercial air transport is classified as regular and non-regular, and as domestic and international. Non-commercial aviation comprises non-profit operations such as training, recreation and sport, and may not provide paid air transport services.

VII. The Certificate of Economic Authorization

Before commencing operations, an air operator requires the Certificate of Economic Authorization issued by the JAC, which verifies that the applicant has the economic and financial capacity to provide air transport services. The application must follow the requirements of Law 491-06.

The two-track authorization, economic (JAC) and technical (IDAC, through the AOC), should be run in parallel; sequencing them one after the other is the most common cause of delayed launch dates for new operators.

This publication is provided for informational purposes only and not as legal advice. Any transaction related to any of the described aspects shall require advice and be specifically consulted with the Firm in advance. © Arthur & Castillo. All Rights Reserved. Next