MarAd Publishes Final Rule On Regulated Transactions

A final rule concerning regulated transactions involving documented vessels and other maritime interests has been published in the Federal Register by the U.S. Maritime Administration (MarAd).

The MarAd rule, Docket No. R- 125, makes final regulations implementing statutory changes that became effective on January 1, 1989 for approval of vessel transfers to noncitizens and noncitizen financing of U.S.-documented vessels. A notice of proposed rulemaking and two interim final rules were published in the Federal Register and the significant comments were received and considered in developing this final rule.

The regulations govern the procedures for obtaining statutorily required approval for the mortgaging, charter, sale, etc., of U.S.- documented vessels to noncitizens, and approval for noncitizens to hold preferred mortgages on documented vessels or act as trustees. In many cases, the regulations eliminate the need to apply for these approvals and should facilitate the process for those approvals still requiring applications.

For additional information contact Robert J. Patton Jr., deputy chief counsel, Maritime Administration, Washington, D.C. 20590; (202) 366-5712.

Other stories from July 1992 issue


Maritime Reporter

First published in 1881 Maritime Reporter is the world's largest audited circulation publication serving the global maritime industry.