I am thinking about going into partnership with my plane that I currently own and I wanted to see if anyone has a copy of their partnership agreement/contract and maybe some lessons learned.
I axed the same kweshion when I was looking for a partner but ended up not going that route so I don't have anything of my own to send u. EDIT: agree with george, aopa should have something to start with
Several pilots that I know used AOPA's model agreements. Using them helps you to get a legally up to date model, as changes in laws, plus court rulings make altered wording desirable, from what was best a year ago. The club that I am associated with changed ours several times, as AOPA changed their model contract. The club is now more than half a century old, and the agreement has served us well. The Geezer
Start with the AOPA model, discuss all the details with you partners over a reasonable period of time, so you all have time to think about it. You first have to decide if this is going to be done under an LLC. You will want to consult both an attorney and an accountant familiar with your state laws after you've hashed out most of the agreement with the partners. Make sure you have a clear way "out". The only specific recommendation I have is to not allow the airplane to be used as collateral for any loan. If someone wants to finance their share on a HELOC, etc, that should only be their problem, not yours.
I second this. I have only been in one partnership, and when it soured, we found we had never contemplated how to end it. We finally agreed to have the airplane appraised and then decide who would buy out the other partner. Fortunately, my partner had his eye on something else, so I paid him for his share. This really put a strain on our friendship.
Another option I used was to simply enter into a cost sharing agreement and you keep 100% ownership. For instance split actual costs 50-50 plus getting a payment for engine reserve. I also paid a cost of capital amount to owner since I could invest the amount saved.
