Abandoned and Derelict Vessels

The following information and documents are courtesy of the Harbour Authority Association of Bristish Columbia (HAABC). Disclaimer: Fisheries and Oceans Canada assumes no responsibility for the accuracy or reliability of any legislative material on this website, which has been prepared for convenience of reference only and does not have official sanction.

Table of Contents

Possible Strategies

Check List for Harbour Authorities

Vessel Survey Form

Instructions to Surveyors

Possible Strategies

1. Offer to waive unpaid moorage if and only if the vessel leaves harbour by certain date and agrees to not return, ideally in writing so there is proof (include in the HA's log as well).
   
   
2. If there are no mortgages on vessel, have owner sign a blank Bill of Sale in exchange for the waiver of moorage and sell "where is as is". Do not transfer it into the Harbour Authority's name, as taxes would be payable and it would create potential liability to the Harbour Authority for any pollution or liability caused by vessel. There are some risks, but it can work if the owner is simply incapable of organizing the sale himself and wants to get rid of the vessel. If a registered vessel must use the Transfer Form found at TC web page, otherwise use a simple bill of sale form.
   
   
3. Have vessel towed overland to and left on owner's property. Have it surveyed or at least photographed before and after so no claims for damage from the move can be advanced.
   
   
4. If mortgaged, send a letter to mortgage details from Ship's Registry (if a licensed vessel, check Personal Property Registry by "K" No. or HIN). The Mortgagee may deal with unpaid moorage to avoid a fire sale of vessel.
   
   
5. If the vessel is licensed (not registered) the Bailiff may be prepared to sell. The Bailiff generally cannot transfer title to a registered vessel without a Court Order. However, licensed vessels are often sold at Bailiff's sale without Court Order.
   
   
6. Arrest the vessel and seek a Court ordered removal or sale, or seek mandatory removal Order. However, this is costly ($1, 500 to &10, 000+) and if the owner refuses to obey the Order, you are still left with cost of destruction. This method is only useful if there is decent value to vessel.
   
   
7. If a vessel is arrested at your dock by another creditor, either get a Court Order that moorage from the date of the arrest ranks #1, along with the costs of arrest, from any sale proceeds or get the parties to agree to this. The Court almost always grants this Order, so the parties will often agree to this voluntarily. A vessel under arrest can only be moved by Court Order or agreement of the parties. When a vessel is "arrested", custody of it remains with the owner. Therefore, the party arresting is not liable for the moorage. So your customer is still on the hold for the moorage and, if he owes money to other creditors, there may be nothing left for moorage if you do not get this order for ingoing moorage to rank ahead of the mortgage and other debts.
   
   
8. Haul the vessel to the junkyard. It is absolutely critical to record its condition inside and outside and get a surveyor to confirm its lack of seaworthiness and value.
   
   
9. Try seeking a Wreck Removal Order from Navigable Waters if the vessel has sunk and is an obstruction to navigation. The owner must respond to it though to work.
   
   
10. Report pollution or imminent pollution to the CCG-ER, so they can order the owner to take remedial steps.

Check List for Harbour Authorities

PDF Version

HARBOUR : _______________________

VESSEL NAME:_________________________(attach photos)

REGISTERED # ? ________________IS REG. CURRENT AT SHIP'S REG? _______________(attach a print out)

LICENSED? ____________________CFV? __________________BUY BACK? (if so, when?)___________________

NAME OF LAST KNOWN OWNER OR OPERATOR(and circle which):_____________________________________

LAST KNOWN CONTACT DETAILS: _________________________________________________________________

________________________________________________________________________________________________

MOORAGE AGREEMENT (if yes, attach a copy) _____________________

IS MOORAGE PAID UP? _______________ IF NOT, SINCE WHEN? ______________________________________

HOW MUCH OWING AND FOR WHAT? ______________________________________________________________

HOW MUCH DOES DEBT INCREASE PER MONTH? ____________________________________________________

HAS THE H.A. HAD A SURVEY CONDUCTED YET? (if yes, attach a copy) ______________

HAS THE H.A. HAD TO EXERT ANY EFFORTS TO KEEP IT AFLOAT OR TO PREVENT POLLUTION? (describe dates and activities on separate page – more detail the better to consider either a salvage claim can be made or to ask Ship Source Oil Pollution to deal with it): ___________________________________________

RECORD OF LAST COMMUNICATION WITH OWNER? WHY IS VESSEL THERE? ANY REASON BILLS NOT PAID OR OWNEVER NOT DOING ANYTHING? _____________________________________________________________

_________________________________________________________________________________________________

_________________________________________________________________________________________________


WHAT DEMAND LETTERS HAVE BEEN SENT OR EFFORTS MADE TO GET RID OF BOAT?

_________________________________________________________________________________________________

_________________________________________________________________________________________________

WHAT IS GENERAL CONDITION OF VESSEL? _________________________________________________________

ANY POTENTIAL VALUE TO HULL OR MACHINERY? ___________________________________________________

DETAIL IMMEDIATE POLLUTION CONERCERNS (if any) _______________________________________________

_________________________________________________________________________________________________

IS THE VESSEL DERELICT? (ownership known, probably unseaworthy) _________________________________
                OU
IS THE VESSEL ABANDONED? (ownership known, probably unseaworthy) _______________________________


COMPLETED BY: ______________________________________________ DATE : ____________________________

Vessel Survey Form

PDF Version

Harbour or Location	Vessel Name	Registry # or CFV #	Owner's Name (if available)	Length (ft)	Abandoned Vessel (√)	Derelict Vessel (√)	Commercial Vessel of Concern (√)	Recreational or Other Vessel of Concern (√)

Instructions to Surveyors

The Harbour Authority ("HA") has a vessel at its Harbour that must be removed. The HA needs a survey report as to the vessel's condition, its likely fair market value should it be sold as is where is, and its potential to cause pollution or create other hazards. The vessel’s condition should be well recorded, along with photos or video.

For a list of marine surveyors check the web or the yellow pages.