For anyone involved in the acquisition of any aircraft:
1. Ensure that the entire procedure is handled by a bonded, third party escrow
service. These companies handle the deposits and the purchase funds
according to the terms set out in your LOIs and purchase agreements.
2. Ensure in your LOI that the deposit is fully refundable based upon
satisfactory inspection of the aircraft. Your deposit in (reputable) escrow
cannot be accessed by any other party until you say so, ie; once the
inspection has been completed and you notify the seller that you will
accept the aircraft.
3. Once the aircraft has been inspected and accepted by the buyer, the buyer
notifies the escrow house, who notifies the seller.
4. Once all parties are happy with the inspection results, all can proceed to
the purchase agreement. The escrow house will ensure that the buyer and
seller are ready to proceed per the terms of that Purchase Agreement. They
will ask the seller for the Bill of Sale made out to the buyer and ask the
buyer to deposit the balance of the purchase funds.
5. On acceptance by both parties to proceed with the purchase, the escrow
house will ensure that the Bill of Sale and purchase funds change hands at
the same time. The escrow house will also have de-registered the aircraft
from the seller and readied it for registration to the buyer.
They will also have ensured that there are no liens or encumbrances
against the aircraft.
This is a very simplified precis of the steps involved but handling it this way ensures that your money stays within your control until you and your lawyers
are satisfied with everything.
NEVER, EVER PAY ANY FUNDS DIRECTLY INTO THE SELLERS OR ANY OTHER ACCOUNT OTHER THAN THAT OF THE ESCROW HOUSE!
We have used a major escrow house in the US for years without a problem of any kind and it is the best guarantee of protecting your money and ensuring that the product you are buying is real.
I don't think we can post names here but I am happy to PM any party the name and contacts of the escrow house we use.
Regards
carholme