Commonwealth Consolidated Acts

AIR SERVICES ACT 1995 - SECT 60

             (1)  The following provisions of this Division have effect in relation to an aircraft while a statutory lien on the aircraft continues in effect.

             (2)  The provisions apply:

                     (a)  in spite of:

                              (i)  any encumbrance in respect of the aircraft; and

                             (ii)  any sale or disposition of, or dealing in, the aircraft or an interest in the aircraft; and

                     (b)  whether or not AA has possession of the aircraft at any time.

             (3)  For the purposes of priorities amongst creditors and the purposes of the distribution of the proceeds of a sale made under section 67, the statutory lien has effect as a security interest in respect of the aircraft ranking in priority:

                     (a)  after any security interest (other than a floating charge) in respect of the aircraft created before the time of registration of the statutory lien, to the extent that the security interest covers a debt incurred before that time; and

                     (b)  before any security interest that is not covered by paragraph (a), or to the extent that it is not covered by paragraph (a).

             (4)  A statutory lien is not to be taken by implication to have any effect otherwise than as provided by this Act.