Marginal note:Action by Administrator
53 (1) If there is an occurrence that gives rise to liability of an owner of a ship under subsection 51(1),
(a) the Administrator may, either before or after receiving a claim under section 85, commence an action in rem against the ship that is the subject of the claim, or against any proceeds of sale of the ship that have been paid into court; and
(b) subject to subsection (3), the Administrator is entitled in any such action to claim security in an amount not less than the owner’s maximum aggregate liability under section 54 or 55.
Marginal note:Subrogation
(2) The Administrator may continue an action referred to in subsection (1) only if the Administrator has become subrogated to the rights of the claimant under subsection 87(3).
Marginal note:Entitlement to claim security
(3) The Administrator is not entitled to claim security under subsection (1) if
(a) in the case of a Convention ship, a fund has been constituted under section 58; and
(b) in the case of any other ship, a fund has been constituted under Article 11 of the Limitation of Liability Convention.
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