Originally Posted by
TillerEnvy
Wow. You really are an absolutely clueless moron. Go back and read it again Dilbert. Someone suggested that Republic would lease the planes to another carrier and have that pilot group fly them. It's not possible with the TA. I'll say it nice and slow for you. The...planes... are....owned....by....RAH. Regardless if Republic loses a lawsuit, a judge can't change the terms of the TA! We're not talking bankruptcy here genius. Now go back and read it again...slowly.
Man, you make it too easy.
I'm just curious if those that think like this person, really understand how those payments on those planes work and what is needed to make sure your payments on "owned" planes don't default.
Customers pay money to their mainline provider and the mainline provider provides payments to their contracted partner to cover their costs associated with their contracted lift. Sometimes those costs involve the airplane costs. Sometimes the mainline partner bears the cost. If contracted partner fails to live up to their contractual obligations, the mainline partner may cancel their contract (CPA) with their contractor.
Now riddle me this. If Republic's mainline partners withhold payments to Republic for failing to meet the terms of their CPA, how exactly will RAH make the payments on those planes.
To put it another way. You may own that car or home of yours, but if you owe on a loan, do you think you aren't at risk of it being repossessed or foreclosed on? Or do you just keep to keep your car or house forever if you decide to never make the payments?