BAHAMAS Law and Practice Contributed by: Richard Horton and Emma Van Wynen, Alexiou, Knowles & Co.
• other international instruments addressing ship- source pollution and liability. The Minister’s powers in relation to pollution also include directing preventative or remedial measures, detaining vessels, and enforcing compliance and lia - bility regimes where pollution occurs or is threatened. Regarding wreck removal, the relevant port authority is empowered to: • designate approved disposal or scuttling locations for wrecks and condemned vessels; • order the removal, destruction or sinking of wrecks that constitute a hazard to navigation or the envi - ronment; • carry out such removal at the owner’s expense where the owner fails to comply; and • notify the Minister of actions taken and co-ordinate further enforcement where required. 1.3 Domestic Legislation Applicable to Ship Registration The primary domestic legislation governing registra - tion of commercial and ocean-going vessels is the Merchant Shipping Act. Registration of smaller rec - reational vessels is governed by the Water Skiing and Motor Boat Control Act and the Boat Registration Act. The Port Department handles domestic registration of private pleasure craft; the BMA, as the responsible public authority for regulation and control of all mat - ters related to shipping within The Bahamas, oversees registration of large commercial vessels and yachts. 1.4 Requirements for Ownership of Vessels Vessels registered in The Bahamas are not required to be owned by Bahamian citizens. Foreign owner - ship is permitted, and ships of any nationality may be registered as Bahamian vessels provided they meet the applicable registration criteria. In particular, ships of 1,600 gross tons or more engaged in international voyages may register as Bahamian regardless of the owner’s nationality or place of incor - poration. The Minister also has discretion to approve the registration of smaller seagoing vessels or yachts engaged in commercial or non-commercial activities (other than under a charter for the carriage of persons
for pleasure) that would not otherwise meet the ton - nage threshold. The requirements for ownership of vessels registered in The Bahamas are set out under Section 9 of the Merchant Shipping Act. Pursuant to Section 3 (5) if the Merchant Shipping Act, a ship that is under construction and whose keel has been laid may be registered in The Bahamas at that stage if it is wholly owned by Bahamian citizens or by Bahamian companies that are beneficially owned by Bahamian citizens, or if, regardless of the owner’s nationality or place of incorporation, the completed ship will be 1,600 net tons or more. In such cases, the vessel may only be temporarily registered as a “ship being built”, and the statutory requirements relating to survey, measurement and marking do not apply during the construction period. 1.5 Temporary Registration of Vessels The laws of The Bahamas permit the temporary regis - tration of vessels under specific conditions. As stated in 1.4 Requirements for Ownership of Vessels , ships under construction may be temporarily registered as ships being built, provided they meet the requirements of Section 3 (5) of the Merchant Shipping Act. Provisional registration is also available during a flag- transfer procedure under Section 26 of the Merchant Shipping Act, which allows for provisional registra - tion of up to six months (or for a longer period as a registrar or the director thinks fit) while the owner completes all documentary and survey requirements. Dual registration is also possible under the Merchant Shipping Act Section 25 (and where the laws of the other flag allow it) for either of the following: • Bahamian registered vessels to be bareboat char - tered to another country’s registry, where the bare - boat charter is entered into with any citizen of a foreign country or with any corporate body estab - lished under the laws of a foreign country, whereby the Bahamian registration is deemed temporarily suspended; or • a vessel registered in another country may be bare - boat registered on the Bahamian register where the bareboat charter is entered into with any citizen of
58 CHAMBERS.COM
Powered by FlippingBook