The Scenario

A lessee had shop visited six engines at a Maintenance organisation, and had draw down from the engine’s maintenance reserves to pay for the shop visits.

The lessor wanted an independent review of the shop visit invoices to verify that they were correct, and that the draw down was justified

TES' Service

TES reviewed six shop visits on behalf of a Lessor. This process involved TES establishing direct liaison with a workshop and identifying exactly what work was requested and had been undertaken. TES also reviewed what material had been fitted and scrapped out of the engines.

This led to a number of discrepancies or disputable items being identified. These typically focused around material scrappage, and service bulletin incorporation. These discrepancies had an initial value estimate of $120k

TES managed the negotiation of these invoice disputes, and upheld a firm stance, requiring that all disputed actions taken by the workshop were supported by appropriate documentation (from the lessees) instructing them to take such action.

The Outcome

The negotiations focused on the high value disputes where, in a number of cases, the workshop was unable to provide the requested supporting documentation. TES successfully negotiated a final credit of $239k with a workshop