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Canada Shipping Act, 2001 (S.C. 2001, c. 26)

Assented to 2001-11-01

Marginal note:Entry of discharge of mortgage

 On receipt of satisfactory evidence that a mortgage has been discharged, the Chief Registrar is to enter the discharge in the Register.

Marginal note:Priority of mortgages
  •  (1) If more than one mortgage is registered in respect of the same vessel or share in a vessel, a mortgage registered before another mortgage has priority over that other mortgage.

  • Marginal note:Consent to change in priority

    (2) The priority of mortgages may be changed if all of the mortgagees file their written consent with the Chief Registrar.

Marginal note:Mortgagee not treated as owner

 A mortgage of a vessel or a share in a vessel does not have the effect of the mortgagee becoming, or the mortgagor ceasing to be, the owner of the vessel, except to the extent necessary to make the vessel or share available as security under the mortgage.

Marginal note:Mortgagee has power of sale
  •  (1) A mortgagee of a vessel or a share in a vessel has the absolute power, subject to any limitation set out in the registered mortgage, to sell the vessel or the share.

  • Marginal note:Restriction

    (2) If there is more than one registered mortgage of the same vessel or share, a subsequent mortgagee may not, except under an order of the Federal Court or of a court of competent jurisdiction whose rules provide for in rem procedure in respect of vessels, sell the vessel or share without the agreement of every prior mortgagee.

Marginal note:Mortgage not affected by bankruptcy

 The mortgage of a vessel or a share in a vessel is not affected by the bankruptcy of the mortgagor after the date of the registration of the mortgage, and the mortgage is to be preferred to any right, claim or interest in the vessel or share of the other creditors of the bankrupt or any trustee or assignee on their behalf.

Marginal note:Transfer of mortgages
  •  (1) A registered mortgage of a vessel or a share in a vessel may be transferred to any person, in which case the instrument effecting the transfer must be filed in the form and manner specified by the Chief Registrar.

  • Marginal note:Entry of particulars

    (2) The Chief Registrar is to enter the particulars of the transfer in the Register.

Marginal note:Transmission of interest of mortgagee
  •  (1) If the interest of a mortgagee in a vessel or a share in a vessel is transmitted on death or bankruptcy, or by any lawful means other than by a transfer under section 71, the person to whom the interest is transmitted must file with the Chief Registrar the evidence of the transmission that the Chief Registrar specifies.

  • Marginal note:Entry of particulars

    (2) The Chief Registrar is to enter the particulars of the transmission in the Register.

Transfers of Vessels or Shares in Vessels

Marginal note:Transfer

 If the ownership of a Canadian vessel or a share in one changes and the vessel is still required or entitled to be registered under this Part,

  • (a) the owner must provide the Chief Registrar with the evidence, including declarations, that the Chief Registrar considers necessary to establish that the vessel is required or entitled to be so registered; and

  • (b) the Chief Registrar must amend the Register and the vessel’s certificate of registry to reflect the change.

Marginal note:Order for sale on acquisition by an unqualified person

 If an unqualified person acquires a Canadian vessel, other than a vessel described in paragraph 47(b) (a vessel owned by a foreign corporation), a vessel described in paragraph 47(c) (a vessel subject to a financing agreement) or a vessel described in section 48 (a bare-boat chartered vessel), or a share in one, any interested person may apply to the Federal Court, or any court of competent jurisdiction whose rules provide for in rem procedure in respect of vessels, for an order that the vessel or share, as the case may be, be sold to a qualified person.

Marginal note:Power of court to prohibit transfer

 On the application of an interested person, the Federal Court, or any court of competent jurisdiction whose rules provide for in rem procedure in respect of vessels, may make an order prohibiting any dealing with a Canadian vessel or a share in one for a specified period.

Entries

Marginal note:Copies of entries

 A person may examine or obtain copies of any entries in the Register with respect to a vessel.

Regulations

Marginal note:Regulations

 The Governor in Council may, on the recommendation of the Minister, make regulations for carrying out the purposes and provisions of this Part, including regulations

  • (a) respecting the registration, listing and recording of vessels;

  • (b) respecting the issuance and renewal of certificates of registry;

  • (c) respecting the suspension and cancellation of the registration or listing of a Canadian vessel;

  • (d) respecting the naming and marking of vessels;

  • (e) respecting the port of registration;

  • (f) respecting the form and manner of notifying the Chief Registrar under section 58;

  • (g) respecting the evidence that owners of vessels previously registered in a foreign state must provide to prove that the vessels are no longer registered in the foreign state;

  • (h) respecting the calculation of the tonnage of vessels and the issuance of certificates of tonnage; and

  • (i) prescribing anything that may be prescribed under this Part.

Offences and Punishment

Marginal note:Contravention of Act or regulations
  •  (1) Every person commits an offence who contravenes

    • (a) subsection 57(4) (wilfully defacing, altering, concealing or removing markings); or

    • (b) a provision of the regulations made under paragraph 77(h).

  • Marginal note:Punishment

    (2) Every person who commits an offence under subsection (1) is liable on summary conviction to a fine of not more than $100,000 or to imprisonment for a term of not more than one year, or to both.

Marginal note:Contravention of Act or regulations
  •  (1) Every person commits an offence who contravenes

    • (a) subsection 46(2) (register vessel);

    • (b) an order made under subsection 52(4) (renaming of vessel);

    • (c) subsection 57(1) (mark vessel);

    • (d) subsection 57(3) (maintenance of markings);

    • (e) subsection 58(1) (notify of changes — authorized representative);

    • (f) subsection 58(2) (notify of alteration — authorized representative);

    • (g) subsection 58(3) (notify if no authorized representative — owner);

    • (h) subsection 58(4) (notify of completion of construction);

    • (i) subsection 63(1) (operation of vessel without a certificate on board);

    • (j) subsection 63(2) (deliver certificate to person entitled to operate vessel);

    • (k) subsection 63(3) (deliver certificate to Chief Registrar);

    • (l) subsection 64(2) (fly Canadian flag); or

    • (m) a provision of the regulations made under any of paragraphs 77(a) to (g).

  • Marginal note:Punishment

    (2) Every person who commits an offence under subsection (1) is liable on summary conviction to a fine of not more than $10,000.

  • Marginal note:Continuing offence

    (3) If an offence under paragraph (1)(a) or (c) is committed or continued on more than one day, the person who committed it is liable to be convicted for a separate offence for each day on which it is committed or continued.

PART 3PERSONNEL

Interpretation

Definition of “Minister”

 In this Part, “Minister” means the Minister of Transport.

Application

Marginal note:Canadian vessels

 This Part applies in respect of Canadian vessels, other than pleasure craft, everywhere. Subsections 86(2) to (4) also apply in respect of foreign vessels in Canadian waters.

Masters

Marginal note:Presentation of documents
  •  (1) The master of a Canadian vessel shall ensure that every person who is employed in a position on board presents to the master all Canadian maritime documents that they are required under this Part to have for that position.

  • Marginal note:Sufficient and competent staff

    (2) No master of a Canadian vessel shall operate it unless it is staffed with a crew that is sufficient and competent for the safe operation of the vessel on its intended voyage, and is kept so staffed during the voyage.

  • Marginal note:Obstruction prohibited

    (3) No crew member shall wilfully obstruct a master’s operation of a Canadian vessel unless the master is, without just cause, putting at risk the safety of the vessel or of any person on board.

Marginal note:Detention of persons
  •  (1) The master of a Canadian vessel may detain any person on board if the master has reasonable grounds to believe that it is necessary to do so to maintain good order and discipline on the vessel or for the safety of the vessel or of persons or property on board. The detention may last only as long as necessary to maintain order and discipline or to ensure the safety of persons or property.

  • Marginal note:Custody

    (2) The master of a Canadian vessel on a voyage may take into custody without warrant any person on board who the master has reasonable grounds to believe has committed an offence under this Act or any other Act of Parliament, and must as soon as feasible deliver that person to a peace officer.

  • Marginal note:Use of force on a voyage

    (3) The master of a Canadian vessel on a voyage is justified in using as much force as the master believes on reasonable grounds is necessary for the purpose of maintaining good order and discipline on the vessel, but the master must not use force that is intended or is likely to cause death or grievous bodily harm unless the master believes on reasonable grounds that it is necessary for self-preservation or the preservation of anyone on the vessel from death or grievous bodily harm.

 

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