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

Ownership of Vessels

Marginal note:Shares

• 53. (1) For the purposes of registration, the property in a vessel is divided into 64 shares.

• Marginal note:Registered owners

  (2) Subject to subsections (3) and (4), only owners or joint owners of a vessel or of one or more shares in a vessel may be registered in the Register as owners of the vessel or shares, as the case may be.

• Marginal note:Registered owners — financing agreements

  (3) In the case of a vessel described in paragraph 47(c) (a vessel subject to a financing agreement), the persons referred to in that paragraph are to be registered in the Register as the owners of the vessel.

• Marginal note:Bare-boat charterers

  (4) In the case of a vessel described in section 48 (a bare-boat chartered vessel), no person may be registered in the Register as an owner of the vessel.

• Marginal note:Registration of joint owners

  (5) No more than five persons may be registered in the Register as joint owners of a vessel or a share in a vessel.

• Marginal note:Disposition of registered joint interests

  (6) A registered jointly owned interest in a vessel or a share in a vessel may be disposed of only by the joint owners acting together.

• Marginal note:Registration of fractions prohibited

  (7) No person may be registered as the owner of a fractional part of a share in a vessel.

• Marginal note:No effect on beneficial owners

  (8) This section does not affect the beneficial interests of a person represented by or claiming through an owner of a vessel or a share in a vessel.

• Marginal note:Trusts not recognized

  (9) No notice of a trust may be entered in the Register.

Certificates

Marginal note:Certificates of registry

• 54. (1) If the Chief Registrar is satisfied that all of the requirements of registration or listing have been met with respect to a vessel, the Chief Registrar must register or list the vessel, as the case may be, in the Register and issue a certificate of registry.

• Marginal note:Information

  (2) Every certificate of registry in respect of a vessel must contain the information specified by the Chief Registrar, including

  • (a) its description;

  • (b) its official number; and

  • (c) the name and address of

    • (i) in the case of a vessel described in paragraph 47(b) (a vessel owned by a foreign corporation), the authorized representative,

    • (ii) in the case of a vessel described in section 48 (a bare-boat chartered vessel), the bare-boat charterer, and

    • (iii) in any other case, its owner and the authorized representative.

• Marginal note:Period of validity

  (3) Every certificate of registry is valid for the period specified by the Chief Registrar.

Marginal note:Provisional certificates

• 55. (1) The Chief Registrar may, on application, issue a provisional certificate in respect of a vessel that is required or entitled to be registered under this Part if

  • (a) the vessel is in a foreign port and a person intends to register it under this Part; or

  • (b) the vessel is in a port in Canada and the Chief Registrar is satisfied that permission to operate the vessel should be granted before a certificate of registry can be issued.

• Marginal note:Issuance

  (2) The Chief Registrar may, on application, issue a provisional certificate in respect of a vessel that is not required or entitled to be registered under this Part if the Chief Registrar is satisfied that the vessel needs to undergo sea trials.

• Marginal note:Validity

  (3) A provisional certificate is valid for the purpose and the period specified by the Chief Registrar.

• Marginal note:Application

  (4) An application for a provisional certificate must be made in the form and manner, include the information and be accompanied by the documents specified by the Chief Registrar.

Marginal note:Lost certificates

56. If a certificate of registry or provisional certificate is mislaid, lost or destroyed, the Chief Registrar must issue a replacement certificate of registry or provisional certificate, as the case may be, on application made by the authorized representative in the form and manner and including the information and accompanied by the documents specified by the Chief Registrar.

Marking

Marginal note:Marking

• 57. (1) The authorized representative of a Canadian vessel shall, in the form and manner specified by the Chief Registrar, mark the vessel with its official number and any other information that the Chief Registrar specifies.

• Marginal note:Validity of certificate of registry

  (2) A vessel’s certificate of registry is not valid until the vessel has been marked in accordance with subsection (1).

• Marginal note:Maintenance of markings

  (3) The authorized representative shall ensure that the vessel is kept marked.

• Marginal note:Defacing, etc., markings

  (4) No person shall wilfully deface, alter, conceal or remove the markings of a Canadian vessel.

Notifying Chief Registrar

Marginal note:Notification of changes

• 58. (1) The authorized representative of a Canadian vessel shall notify the Chief Registrar within 30 days after any of the following occurs:

  • (a) the vessel is lost, wrecked or removed from service;

  • (b) there has been a change in the owner’s, the authorized representative’s or a registered mortgagee’s name or address;

  • (c) the information provided with the application under section 51 has changed; or

  • (d) in the case of a vessel described in section 48 (a bare-boat chartered vessel),

    • (i) the right to fly the flag of the foreign state is reinstated, or

    • (ii) the charterer ceases to have complete control and possession of the vessel.

• Marginal note:Notification of alterations

  (2) If a Canadian vessel is altered to the extent that it no longer corresponds with its description or particulars set out on the certificate of registry, the authorized representative shall, within 30 days after the alteration, notify the Chief Registrar and provide the Chief Registrar with the relevant information and documents.

• Marginal note:Notification of changes

  (3) If for any reason a Canadian vessel does not have an authorized representative, its owner shall

  • (a) notify the Chief Registrar of that fact as soon as possible in the circumstances; and

  • (b) notify the Chief Registrar within 30 days after any event referred to in subsection (1) or (2) occurs.

• Marginal note:Notification of completion of construction

  (4) Within 30 days after completion of the construction of a vessel that is recorded as being built in Canada, the person in whose name the vessel is recorded shall notify the Chief Registrar of that fact and of the name and address of its owner.

Maintenance of Register

Marginal note:Amendments

59. The Chief Registrar may amend the Register or a certificate of registry to give effect to changes of which the Chief Registrar has been notified under section 58 or to correct any clerical errors or obvious mistakes.

Suspension, Cancellation and Reinstatement of Registration

Marginal note:Suspension and cancellation

• 60. (1) Subject to the regulations, the Chief Registrar may suspend or cancel the registration or listing of a Canadian vessel if

  • (a) it is not marked in accordance with subsection 57(1);

  • (b) its certificate of registry has expired;

  • (c) it does not have an authorized representative; or

  • (d) section 58 has not been complied with.

• Marginal note:Cancellation

  (2) Subject to the regulations, the Chief Registrar must cancel the registration or listing of a Canadian vessel if

  • (a) it has been lost, wrecked or removed from service;

  • (b) it is no longer required or entitled to be registered or entitled to be listed under this Part; or

  • (c) in the case of a registered vessel, a tonnage certificate provided by a tonnage measurer indicates that the vessel should be re-registered.

• Marginal note:Notice before cancellation

  (3) If a Canadian vessel is not required or entitled to be registered under this Part after its ownership changes, the Chief Registrar must, before cancelling its registration under paragraph (2)(b), give the owners and registered mortgagees

  • (a) notice of the change in ownership; and

  • (b) an opportunity that, in the opinion of the Chief Registrar, is sufficient to transfer the vessel or shares in the vessel to a qualified person or to make an application under section 74.

• Marginal note:Cancellation of registration

  (4) Except in the case of a vessel described in paragraph 47(c) (a vessel subject to a financing agreement), the Chief Registrar must cancel the registration of a vessel if a person who acquires the vessel or a share in it does not, within the prescribed period, provide evidence that satisfies the Chief Registrar that the vessel is required or entitled to be registered under this Part.

Marginal note:Registration of mortgages not affected

61. The cancellation of the registration of a vessel does not affect the registration of mortgages in respect of the vessel.

Marginal note:Reinstatement

62. The Chief Registrar may reinstate the registration or listing of a vessel if, in the Chief Registrar’s opinion, the registration or listing of the vessel should not have been cancelled.

Custody of Certificates of Registry and Provisional Certificates

Marginal note:Carrying on board

• 63. (1) Subject to subsection (3), no person shall operate a vessel in respect of which a certificate of registry or provisional certificate has been issued unless the certificate is on board.

• Marginal note:Delivery of certificate

  (2) A person who is in possession of a vessel’s certificate of registry or provisional certificate shall deliver it to the person who is entitled to operate the vessel.

• Marginal note:Delivery of certificate

  (3) A person who is in possession of a certificate of registry or a provisional certificate issued under this Part shall deliver it to the Chief Registrar on request.

• Marginal note:Detention of certificate

  (4) A certificate of registry or provisional certificate is not subject to detention because of any title to, lien on, charge on or interest in the vessel that is claimed by an owner, a mortgagee, a charterer or an operator of the vessel, or by any other person.

Rights and Obligations

Marginal note:Right to fly Canadian flag

• 64. (1) A Canadian vessel has the right to fly the Canadian flag.

• Marginal note:Obligation to fly flag

  (2) The master of a Canadian vessel, other than one registered in the small vessel register, shall ensure that it flies the Canadian flag

  • (a) when signalled to do so by a government vessel or a vessel under the command of the Canadian Forces; or

  • (b) when entering or leaving, or while moored at or anchored in, a port.

• Marginal note:Exception

  (3) The Chief Registrar may, on application, suspend the registration of a Canadian vessel in respect of the right to fly the Canadian flag while the vessel is shown on the registry of a foreign state as a bare-boat chartered vessel.

Mortgages

Marginal note:Mortgage of vessel or share

• 65. (1) The owner of a vessel registered under this Part other than in the small vessel register, of a share in such a vessel or of a vessel recorded as being built in Canada may give the vessel or share, as the case may be, as security for a mortgage to be registered under this Part.

• Marginal note:Filing of mortgage

  (2) A mortgage is to be filed with the Chief Registrar in the form and manner specified by the Chief Registrar.

• Marginal note:Date and time of registration

  (3) A mortgage is to be registered in the order in which it is filed, indicating the date and time of registration.

Marginal note:Entry of discharge of mortgage

66. 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

• 67. (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

68. 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

• 69. (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

70. 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

• 71. (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

• 72. (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

73. 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

74. 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

75. 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

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

Regulations

Marginal note:Regulations

77. 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.