SHIP REGISTRATION ACT
(Part 2 — Schedules)
Website Note:
Because of the size of this file, it has been broken into TWO parts. This is
Part 2.
There is an Explanatory Memorandum at the end of
the Act.
A link is also provided at
the end to take you back to Part 1 or
GO BACK TO PART 1 OF THE ACT
Schedule 1
PRIVATE LAW PROVISIONS FOR REGISTERED SHIPS
(Section 31(4))
1. Definitions
In this Schedule --
(a) "bill of sale" means a bill of sale referred to in item 3; and
(b) "ship" means a registered ship.
2. General
(1) No record of any interest in a ship or in a share in a ship, other than by way of ownership or mortgage, may be made in the Register and, subject to this Act and to any rights and powers appearing in the Register to be vested in any other person, the right of an owner of a ship or of a share in a ship to dispose of the ship or share is not affected by this Act.
(2) Subject to subitem (1), any beneficial interest may be enforced by or against the owner or mortgagee of a ship or of a share in a ship in respect of his or her interest in the ship or share in the same manner as in the case of any other movable property, or as permitted by law.
3. Transfer of ship
(1) Subject to item 4, a ship or a share in a ship is transferred by registration of a bill of sale made in the prescribed form, unless the transfer will result in the ship ceasing to be entitled to be registered.
(2) The transferee under a bill of sale contemplated in subitem (1) may not be registered as the owner of the ship or share unless --
(a) he or she has lodged the prescribed application with the Registrar; and
(b) the Registrar is satisfied that the ship continues to be entitled to be registered and that he or she would not refuse to register the ship in terms of this Act.
(3) If an application in terms of subitem (2) is granted by the Registrar, the Registrar must register the bill of sale by entering in the Register the name of the transferee as owner of the ship or share and must endorse on the bill of sale that such entry has been made, with the date and time of entry.
(4) Bills of sale lodged in terms of this item must be registered in the order of their lodgment.
4. Transmission by operation of law
(1) Where any interest in a ship or a share in a ship is transmitted to a person by any lawful means other than by a transfer in terms of item 3 and the ship continues to be entitled to be registered, that person must make a declaration of transmission in the prescribed form and must lodge that declaration, together with the evidence of the transmission that may be prescribed, with the Registrar within 14 days of that transmission taking place or within the further period that the Registrar may allow in special circumstances.
(2) If the Registrar is satisfied that the ship continues to be entitled to be registered and that he or she would not refuse to register the ship in terms of this Act, the Registrar must thereupon enter in the Register the name of that person as owner of the ship or share.
5. Order for sale on transmission where ship ceases to be entitled to be registered
(1) Where any interest in a ship or share in a ship is transmitted to a person by any lawful means other than by a transfer in terms of item 3, but as a result thereof the ship is no longer entitled to be registered, the Authority may, on application by or on behalf of that person, order a sale of the property so transmitted and direct that the proceeds of the sale, after deducting the expenses of the sale, be paid to that person.
(2) If an application is made to the Authority in terms of subitem (1), it must cause notice of that application to be published in the Gazette and in the newspapers and be served on the persons that it may determine.
(3) A notice contemplated in subitem (2) must be in a form approved by the Authority and must call on all persons who may object to the order being made to lodge their objections in writing with the Authority within the period determined in the notice.
(4) On proof of the publication and service of the notice contemplated in subitem (2), and --
(a) if no objection in writing has been lodged with the Authority within the period mentioned in the notice; and
(b) if the Authority is satisfied of the legality of the applicant's claim,
it must make the order contemplated in subitem (1).
(5) If an objection in writing is lodged with the Authority within the period determined in the notice or if it is not satisfied of the legality of the applicant's claim, it must refuse to make the order.
(6) If the Authority refuses to make an order contemplated in subitem (1), the applicant may apply to a court for such an order.
(7) The court may require any evidence in support of the application it deems necessary, and may make the order on the terms and conditions it deems fit, or may refuse to make the order.
(8) Any application contemplated in subitem (1) must be made to the Authority within 30 days of the transmission taking place, or within the further period, not exceeding one year, that the Authority may allow, and any application contemplated in subitem (6) must be made to the court within 30 days after the refusal by the Authority to make the order, or within the further period, not exceeding one year, that the court may allow.
(9) A ship or share is subject to forfeiture under this Act if --
(a) an application is not made within the period allowed in terms of subitem (8); or
(b) the court refuses to make the required order.
6. Transfer of ship by order of Authority or court
(1) Where the Authority or a court orders the sale of any ship or share in a ship in terms of this Act, the order must contain a declaration vesting in a named person the right to transfer the ship or share.
(2) The person contemplated in subitem (1) is entitled to transfer the ship or share in the same manner and to the same extent as if he or she were the registered owner of the ship or share.
(3) The Registrar must deal with any application relating to the transfer of the ship or share made by the person contemplated in subitem (1) as if that person were the registered owner.
7. Power of court to prohibit transfer
(1) A court may, if it deems it necessary, without prejudice to the exercise of any other power, on the application of any interested person, make an order prohibiting any dealing with a ship or share in a ship for a determined period.
(2) A court may make the order contemplated in subitem (1) on the terms and conditions it deems fit, or may refuse to make the order.
(3) When a copy of an order contemplated in subitem (1) is served on the Registrar, it is binding on him or her whether or not the Registrar was a party to the proceedings.
8. Endorsement of registration certificate on change of ownership
(1) Where a ship or a share in a ship is transferred to a person by a bill of sale or transmitted to a person by any other lawful means, the person who has possession or control of the ship's registration certificate must deliver the certificate to the person to whom the ship or share is transferred or transmitted --
(a) if the ship is at a South African port at the time of the transfer or transmission, within ten days after the transfer or transmission; or
(b) in any other case, as soon as is practicable after the transfer or transmission.
(2) Where a registration certificate is delivered to a person in terms of subitem (1), that person must immediately deliver the certificate to the Registrar.
(3) Where a registration certificate is delivered to the Registrar in terms of subitem (2), the Registrar must, subject to item 3(2) or 4(2), as the case may be --
(a) endorse the registration certificate with the particulars of change of ownership of the ship or share; and
(b) cause the endorsed certificate to be returned to the registered agent of the ship or to the person that the registered agent directs.
9. Mortgage of ship
(1) A ship or a share in a ship may be mortgaged as security for the discharge of an obligation in terms of this Act.
(2) A mortgage contemplated in subitem (1) is created by the registration of a mortgage instrument made in the prescribed form.
(3) Subject to subitem (4), on lodgment of a prescribed mortgage instrument, the Registrar must register the mortgage instrument by entering its particulars in the Register and must endorse the fact that such entry has been made on the instrument, with the date and time of entry.
(4) The Registrar may not register a subsequent mortgage instrument without the written consent of the existing mortgagees under all prior mortgages of the ship or share in question.
(5) Mortgage instruments lodged in terms of this item must be registered in the order of their lodgment.
10. Priority of mortgages
Where two or more mortgages are registered in respect of the same ship or share in a ship, the priority among the mortgagees is in accordance with the order of registration of the mortgages.
11. Rights of mortgagee
(1) The mortgagee under a mortgage of a ship or of a share in a ship may recover any amount due under the mortgage in a court and, when giving judgment or thereafter, the court may direct that the ship or share in question be sold in execution of the judgment.
(2) Subject to subitem (1), the mortgagee under a mortgage of a ship or of a share in a ship is not merely by reason of the mortgage entitled to sell or otherwise dispose of the ship or share.
12. Transfer of mortgage
(1) A mortgage of a ship or of a share in a ship is transferred by an instrument of transfer made in the prescribed form.
(2) Where a mortgage is transferred as contemplated in subitem (1), the transferee must lodge the instrument of transfer, together with the relative mortgage instrument, with the Registrar within 14 days after execution of the instrument of transfer or within the further period that the Registrar may allow in special circumstances.
(3) The Registrar must enter in the Register the name of the transferee as the mortgagee of the ship or share which is the subject of the mortgage and must endorse the fact that such entry has been made on the instrument of transfer, with the date and time of entry.
(4) A transferee of a mortgage in terms of this Act enjoys the same right of preference that was enjoyed by the transferor.
13. Transmission of mortgage by operation of law
(1) Where the interest of a mortgagee in a mortgage of a ship or of a share in a ship is transmitted to a person by any lawful means other than by a transfer in terms of item 12, that person must make a declaration of transmission in the prescribed form and must lodge that declaration, together with the evidence of the transmission that may be prescribed, with the Registrar within 14 days of that transmission taking place or within the further period that the Registrar may allow in special circumstances.
(2) The Registrar must enter in the Register the name of the person contemplated in subitem (1) as mortgagee of the ship or share.
14. Discharge of mortgage
(1) In this item, "mortgagor", in relation to a ship or a share in a ship, includes any person in whom, having regard to any intervening act and circumstances, the interest of the mortgagee would have been vested had the mortgage not been made.
(2) Where a mortgage is discharged, the mortgagor must lodge the mortgage instrument, together with the evidence of the discharge of the mortgage that may be prescribed, with the Registrar within 14 days after the discharge or within the further period that the Registrar may allow in special circumstances.
(3) The Registrar must make an entry in the Register to the effect that the mortgage has been discharged and, on that entry being made, any interest of the mortgagee under the mortgage vests in the mortgagor.
(4) Where the mortgage instrument cannot, for any reason, be lodged with the Registrar, the mortgagor must make and lodge with the Registrar a declaration setting out the particulars relating to the ship in respect of which the mortgage was given, the mortgage and its discharge and the particulars that may be prescribed for the purposes of this subitem.
Schedule 2
AMENDMENT OF LAWS
(Section 60(b))
|
No. and year of law |
Short Title |
Extent of amendment |
|---|---|---|
| Act No. 57 of 1951 | Merchant Shipping Act, 1951 | 1.
Amendment of section 2 --
(a) by the insertion in subsection (1) after the definition of "goods" of the following definition:
(b) by the insertion in subsection (1) after the definition of "international voyage" of the following definition:
(c) by the substitution in subsection (1) for the definition of "owner" of the following definition:
(d) by the substitution in subsection (1) for the definition of "port of registry" of the following definition:
(e) by the insertion in subsection (1) after the definition of "recognized non-South African" of the following definition:
(f) by the substitution in subsection (1) for the definition of "register tons" and "register tonnage" of the following definition:
(g) by the substitution in subsection (1) for the definition of "South African ship" of the following definition:
(h) by the deletion in subsection (1) of the definition of "superior court"; and (i) by the substitution in subsection (1) for the definition of "surveyor" of the following definition:
2. Amendment of section 3 -- (a) by the substitution for subsection (4) of the following subsection:
(b) by the substitution for subsection (7) of the following subsection:
3. Substitution for section 4 of the following section: "Powers of Authority
4. Amendment of section 10 by the substitution for subsection (1) of the following subsection:
5. Substitution for section 17 of the following section: "Tonnage once ascertained to be tonnage of ship
6. Amendment of section 18 by the substitution for subsection (4) of the following subsection:
7. Substitution for section 68 of the following section: "Certain vessels to be licensed
8. Amendment of section 72A by the substitution for paragraph (b) of subsection (2) of the following paragraph:
9. Amendment of section 139 by the substitution for subsection (2) of the following subsection:
10. Amendment of section 190 by the substitution for subsection (1) of the following subsection:
11. Amendment of section 192 -- (a) by the substitution for paragraph (a) of the following paragraph:
(b) by the substitution for paragraph (c) of the following paragraph:
12. Amendment of section 193 -- (a) by the substitution in paragraph (1) for the words preceding subparagraph (a) of the following words:
(b) by the substitution in paragraph (2) for the words preceding subparagraph (a) of the following words:
(c) by the substitution for paragraph (3) of the following paragraph:
(d) by the substitution in paragraph (4) for the words preceding subparagraph (a) of the following words:
13. Amendment of section 194 by the substitution in subsection (2) for the words following on subparagraph (ii) of the following words:
14. Amendment of section 197 by the substitution for paragraph (a) of subsection (3) of the following paragraph:
15. Amendment of section 200 by the substitution in subsection (1) for the words preceding paragraph (a) of the following words:
16. Amendment of section 205 by the substitution for subsection (1) of the following subsection:
17. Amendment of section 209 by the substitution for subsection (2) of the following subsection:
18. Amendment of section 232 by the substitution for the words preceding paragraph (a) of the following words:
19. Amendment of section 259 by the substitution for subsection (2) of the following subsection:
20. Amendment of section 264 by the substitution in paragraph (a) of subsection (1) for the words preceding subparagraph (i) of the following words:
21. Amendment of section 269 by the substitution for subsection (2) of the following subsection:
22. Amendment of section 287 by the substitution for subparagraph (ii) of paragraph (b) of the following subparagraph:
23. Amendment of section 356 -- (a) by the deletion of paragraphs (iv), (v), (vii), (viii) and (xli)bis of subsection (1); and (b) by the deletion of subsection (7). 24. Substitution for the expression "superior court" wherever it occurs of the expression "High Court". |
| Act No. 2 of 1991 | Marine Traffic Act, 1981 | 25.
Amendment of section 1 by the substitution for the definition of
"foreign" of the following definition:
|
| Act No. 2 of 1986 | Marine Pollution (Prevention of Pollution from Ships) Act, 1986 | 26.
Amendment of section 1 by the substitution for the definition of
"South African ship" of the following definition:
|
| Act No. 94 of 1996 | Wreck and Salvage Act, 1996 | 27.
Amendment of section 1 by the substitution for the definition of
"South African ship" of the following definition:
|
Schedule 3
TRANSITIONAL PROVISIONS
(Section 61)
1. Definitions
In this Schedule, unless the context indicates otherwise --
(a) "commencing date", in relation to any provision of this Act, means the date fixed in respect of that provision under section 62;
(b) "repealed law" means a law repealed by section 60(a).
2. Additional operation of Schedule
Without prejudice to its effect apart from this item, this Schedule also has, by virtue of this item, the effect it would have if a reference in item 3 to a ship entitled to be registered were a reference to a ship other than a ship so entitled.
3. Ships registered in Republic in terms of repealed law
(1) Every ship entitled to be registered that was immediately before the commencing date registered in terms of a repealed law at a South African port is deemed, on and from that date, to be registered in terms of this Act.
(2) Any entry or record in respect of a ship referred to in subitem (1), that immediately before the commencing date appeared in a register book kept at a South African port in terms of a repealed law, is deemed to be an entry or record in the Register in respect of that ship and to have been made on the date on which and at the time when it was made in terms of the repealed law.
4. Instrument made in terms of repealed law continues in force
(1) Subject to subitems (2) and (3) --
(a) any instrument or other document made in terms of a provision of a repealed law and in effect immediately before the commencing date; and
(b) any endorsement, memorandum or other note made in terms of a repealed law on any such instrument or document and in effect immediately before the commencing date,
[shall] continue to have effect on and after that date as if it had been made in terms of the corresponding provision of this Act.
(2) Where any instrument or other document referred to in subitem (1) is lodged with or received by the Registrar for the purposes of this Act, and the Registrar is of the opinion that --
(a) the instrument or document does not sufficiently comply with the requirements of this Act; or
(b) it would be inappropriate to accept the instrument or document for the purposes of this Act,
the Registrar may refuse to accept the instrument or document for the purposes of this Act.
(3) Subitem (1) does not apply to a certificate of mortgage or a certificate of sale granted in terms of section 52 of the Merchant Shipping Act, 1951.
5. Applications in terms of repealed law
Despite anything to the contrary in this Act, where --
(a) before the commencing date, an application was made in terms of a repealed law, but not finalised; and
(b) the Registrar is satisfied that the requirements of this Act in respect of an application of the same kind are substantially similar to the requirements of the repealed law,
the Registrar must treat that application as if it had been made in terms of this Act.
6. Certificates of registry may be recalled
For the purpose of the issue of a registration certificate in terms of this Act in respect of a ship deemed to be registered by virtue of item 3, the Registrar may recall the certificate of registry issued in terms of a repealed law in respect of the ship.
7. Registers kept in terms of repealed law
Each register kept at a South African port in terms of a repealed law is deemed to be part of the Register to be kept in terms of this Act, and any documents retained in terms of that repealed law that are associated with the register book kept in terms thereof must be retained by the Registrar.
8. Request for verification and information
(1) The Registrar may by notice in writing served on the registered agent of a ship deemed to be registered by virtue of item 3 or, if there is no registered agent entered in the Register in respect of that ship, the registered owner of that ship, require him or her --
(a) to verify, in the manner determined in the notice, any matter or particular appearing in the Register by virtue of item 7; or
(b) to furnish the information and documents relating to the ship and its owner determined in the notice, being information and documents of the kind required in connection with or in support of an application for registration,
or to do that verification as well as to furnish that information and documents, within a determined period, but not less than 30 days after the date of service of the notice.
(2) If the person on whom a notice is served in terms of subitem (1) fails to verify a matter or particular or to furnish any information or document in accordance with that notice, the Authority may, unless the Authority has information that leads it to believe that the ship may still be entitled to be registered, by notice in writing given to the Registrar direct that the registration of the ship be closed and, on receipt of such a notice by the Registrar, that notice must be regarded as a notice in terms of section 42(1)(b), and section 42 is applicable.
(3) Where no entry or amendment of an entry has been made in respect of a ship in the Register for the period that may be prescribed for the purposes of this item, the Registrar may by notice in the Gazette specifying the name of the ship, the official number of the ship and the full name and address of the registered owner, determine that, unless the Registrar is contacted within 30 days by the registered owner, the registered agent, or another person having knowledge of the whereabouts of either the ship or the registered owner or registered agent, the Registrar must inform the Authority of the fact that a notice has been published in terms of this subitem and that no such contact has been made.
(4) Where the Registrar informs the Authority that he or she has published a notice in terms of subitem (3) and that he or she has not been contacted as required by that notice, the Authority may, unless the Authority has other information that leads it to believe that the ship may still be entitled to be registered, by notice in writing given to the Registrar direct that the registration of the ship be closed and, on receipt of such a notice by the Registrar, that notice must be regarded as a notice in terms of section 42(1)(b), and section 42 is applicable.
9. Ships deemed to be registered to cease to be registered if not entitled to be registered
(1) In this item --
(a) "last day on which the notice was served" means --
(i) where the notice is to be served on only one person, the day on which notice is served on that person; or
(ii) where the notice is to be served on more than one person --
(aa) if the notice is served on those persons on the same day, that day; or
(bb) if the notice is served on those persons on different days, the later or latest of the days on which notice is so served; and
(b) "mortgage" includes a mortgage deemed to be registered by virtue of this Schedule.
(2) At any time after the expiration of the period of six months after the commencing date, the Registrar must, if he or she has reason to suspect that a ship regarded as registered on that date was not on that date entitled to be registered, serve notice of that fact on the owner and any mortgagee of the ship, drawing attention to the provisions of this item.
(3) If, within a period of three months beginning on the last day on which the notice was served, evidence to the satisfaction of the Registrar that the ship is entitled to be registered is not produced, the Registrar must, on the expiration of that period, cause the registration of that ship to be closed.
10. Registrar may defer registration
(1) Despite anything to the contrary in this Act, during the period of 14 days beginning on the commencing date, the Registrar may defer the following until the expiration of that period:
(a) The doing of any thing relating to documents lodged, or produced for lodgment;
(b) the making of any record or entry in the Register;
(c) the registration of any ship or of any matter; or
(d) the doing of any thing incidental to the registration of a ship or of any matter.
(2) Documents produced for lodgment or lodged during the period contemplated in subitem (1), must after the expiration of that period be dealt with in the order in which they were received by the Registrar.
(3) Where any document has been produced for lodgment or lodged during the period referred to in subitem (1) and the Registrar has deferred the making of a record or entry in the Register or the doing of any other thing in respect of the document during that period, then, for the purpose of making a record or entry in the Register or doing any other thing in respect of the document after the expiration of that period --
(a) in the case of a document for lodgment, if the Registrar considers that the document is in a form satisfactory for lodgment, the document is deemed to have been lodged on the date on which, and at the time when, it was so produced; and
(b) in the case of a document lodged, the record or entry made in the Register or the thing done relating to the document is deemed to have been made or done on the date on which, and at the time when, it was lodged.
11. Regulations for transitional purposes
(1) The Minister may by regulation make provision for any matter arising from, consequential to or otherwise connected with the operation of this Schedule.
(2) Regulations made in pursuance of subitem (1) may be expressed to take effect on and from a date earlier than the date of the making of the regulations concerned, but not a date earlier than the commencing date.
MEMORANDUM ON THE OBJECTS OF THE SHIP REGISTRATION BILL
1. The object of the Ship Registration Bill, 1998, is to regulate the registration of ships in the Republic and incidental matters such as the transfer of ownership and the creation and transfer of mortgages. It therefore repeals and replaces most of Chapter II of the Merchant Shipping Act, 1951 (Act No. 57 of 1951), which governs the recording, registering and licensing of ships in the Republic.
2. One of the principal aims of the Bill is to put into effect some of the objectives of the Government's White Paper on Transport Policy in so far as it relates to maritime affairs. Specifically, the Bill seeks to facilitate the development of the South African Ships Register through the introduction of revised conditions for the registration of ships in the Republic.
3. The following three key considerations influenced the Bill's development, namely --
(a) the need for a "genuine link" between the Republic and ships entered in its Register, so as to avoid classification as an "open" or "convenience" register;
(b) the provision of a professional and client-focussed ship registration service; and
(c) acceptability to industry and labour.
4. Principal changes made by the Bill are summarized as follows:
4.1 Changes affecting ownership and eligibility
The Bill permits registration of the following ships:
(a) South African-owned ships, i.e. ships wholly owned by South African nationals, or ships (other than fishing vessels) majority-owned by South African nationals;
(b) ships (other than fishing vessels) of less than 25 gross tons wholly owned by residents of the Republic or by residents of the Republic and South African nationals;
(c) ships (other than fishing vessels) of less that 25 gross tons operated solely by residents of the Republic or South African nationals or both;
(d) ships on bareboat charter to South African nationals.
4.2 Bareboat charter in and out allowed
4.2.1 The registration of bareboat chartered ships has become common practice in many maritime countries and is adopted in the Bill.
4.2.2 A Foreign ship on bareboat charter to a South African national may be registered for the period of the charter, but the private law provisions for registered ships do not apply to such ships.
4.2.3 Regulations under the Bill will permit a registered South African-owned ship to operate under a foreign flag while on bareboat charter to a foreign resident.
4.3 Control of ships
Measures are introduced to enhance control over ships having a South African connection in that unregistered ships entitled to be registered are prohibited to embark on international voyages from South African or foreign ports.
4.4 Registered agent
A registered agent must be appointed in respect of every registered ship, the purpose of such an agent being to facilitate the Bill's administration.
4.5 Administration
The Office of the Registrar of Ships and a South African Ship Registration Office are established for the purpose of the efficient administration of ship registration.
5. For the remainder, the Bill re-enacts, with minor modifications, certain provisions of the Merchant Shipping Act, 1951.
6. Consultations on the Bill took place over a two-year period and involved representatives from the shipping industry, organized labour and other stakeholders in the public and private sectors, nationally and internationally. They made valuable contributions, which have been incorporated wherever possible.
7. The State Law Advisers are of the opinion that the Bill must be dealt with in accordance with the procedure prescribed by section 75 of the Constitution, since it contains no provision to which the procedure set out in section 74 or 76 of the Constitution applies.