Mortgages, maritime liens, retention and
arrestoProfessor Erik Røsæg
oScandinavian Institute of Maritime Law
[email protected]/erikro
2
Basic concepts
oMortgageo Security ordered by a courtoMaritime lieno Arresto (Bottomry)
3
The Conventions
o Liens and Mortgages 1967 and 1993
o Arrest 1952 and 1999
4
The Contractso Loan agreemento Mortgage documento Other security
o Assignment of freighto Cancellation clauses
o NMC § 44o MAC clauses
o Controlo Long term charterparties
o Accessories, NMC § 45
5
Mortgages and registration
o The main rule, NMC § 20o Priority, NMC §§ 23-25o Closingo Encumbrances in non-ships
oShips under construction, NMC § 31oNon-ships, NMC § 33oPlatforms, NMC § 507oPermanent installations
6
Maritime Liens in vessels, NMC §§ 51 et seq.
o Protected claimsoWagesoPort duesoPersonal injury claimsoProperty claimsoSalvage rewards
o Priority
7
Maritime Liens in cargo, NMC §§ 61 et seq.
o Protected claimsoSalvage RewardoExpenses in relation for cargooClaims under the contract of
carriage,cf NMC §§ 269 and 292
8
Time bars
o Lengtho Arrest, NMC § 55
oPossibility of arrest, Dispute Act § 33-2
o Security to prevent arresto Arrest forumo The Lugano/Brussels system
9
Right of retention
oNMC § 54o Continuityo Priorityo Relation to bankruptcy
10
Maritime liens –the system
o Liability of reder or owneroMaritime lien or mandatory
insuranceo Limitationo Subrogationo Relation to
oMortgageeoHull insurer
11
Enforcement of liens and mortgages
o Forced ordinary saleo Auctiono Forced useo Agreements?
12
Some remarks on common law
o Arresto Lieno Actions in rem, cp NMC § 137
13
Choice of law and jurisdiction
o Registered mortgages, NMC § 74oMaritime Liens, NMC § 75o Forced sale abroad, NMC § 76
Arresto Effects
o Vessel is detained. Guaranteeso Jurisdictiono Saleo Timebars
o Conditionso Maritime claimo Arrest necessaryo Within jurisdictiono Limitation ruleso Connection liability - ship
o Costs
14