46 USC 31329 - Court sales of documented vessels

U.S Code last checked for updates: Nov 22, 2024

§ 31329.

Court sales of documented vessels

(a)

A documented vessel may be sold by order of a district court only to—

(1)

a person eligible to own a documented vessel under section 12103 of this title; or

(2)

a mortgagee of that vessel.

(b)

When a vessel is sold to a mortgagee not eligible to own a documented vessel—

(1)

the vessel must be held by the mortgagee for resale;

(2)

the vessel held by the mortgagee is subject to chapter 563 of this title; and

(3)

the sale of the vessel to the mortgagee is not a sale to a person not a citizen of the United States under section 12132 of this title.

(c)

Unless waived by the Secretary of Transportation, a person purchasing a vessel by court order under subsection (a)(1) of this section or from a mortgagee under subsection (a)(2) of this section must document the vessel under chapter 121 of this title.

(d)

The vessel may be operated by the mortgagee not eligible to own a documented vessel only with the approval of the Secretary of Transportation.

(e)

A sale of a vessel contrary to this section is void.

(f)

This section does not apply to a documented vessel that has been operated only for pleasure.

(Pub. L. 100–710, title I, § 102(c), Nov. 23, 1988, 102 Stat. 4747; Pub. L. 104–324, title XI, § 1118, Oct. 19, 1996, 110 Stat. 3973; Pub. L. 109–304, § 15(32), Oct. 6, 2006, 120 Stat. 1704; Pub. L. 111–281, title IX, § 913(c), Oct. 15, 2010, 124 Stat. 3017.)

cite as: 46 USC 31329