The Ghana Airports Company Limited (GACL) has terminated its Fixed Base Operation (FBO) agreement with McDan Aviation Handling Services Limited at Accra International Airport following repeated non-payment of licence fees, rent, and royalties, the airport operator said on Thursday.
The agreement, signed in August 2022, allowed McDan Aviation to operate FBO services in designated areas of Terminal 1.
Under the terms, the company was required to pay licence fees, royalties, and rent. GACL said McDan Aviation defaulted on payments shortly after the deal began and again accumulated significant arrears in 2025, despite previously settling some debts for 2022–2024.
“Following the lapse of the required notice period and several reminders, GACL formally terminated the FBO agreement on January 16, 2026,” the airport authority said. Terminal 1 was subsequently secured, and the company was directed to remove its equipment, with only partial payment of debts made on February 27.
Rejection
McDan Aviation has rejected GACL’s actions, alleging breaches of contract and contempt of court. In a statement, the company said the contract required a 90-day notice before eviction and accused GACL of ignoring a court injunction served on March 10, 2026.
“This sequence of events reveals a troubling pattern: GACL has not only breached its contractual obligations by ignoring the 90-day notice requirement but has also demonstrated contempt for the rule of law by acting contrary to a court injunction,” the statement said. McDan Aviation said it would pursue all legal remedies to challenge the termination.
Caution
GACL said any future payments from McDan Aviation would be treated strictly as settlement of outstanding debts and emphasized that there was no legal basis for reinstating the FBO agreement. The airport operator also warned that other businesses must honor financial obligations to avoid debt recovery procedures.
The dispute comes amid ongoing litigation between McDan Group and GACL over a separate 16-acre land development at the airport, in which GACL says the company owes millions in unpaid obligations.
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