What is a maritime lien?

A maritime lien is a special kind of debt that applies to ships. It is a legal claim that a creditor has against a vessel for the debt it owes them. It can be imposed for a variety of reasons, including unpaid wages for work performed onboard a vessel, services provided to a vessel, and repairs or supplies provided to a vessel. Maritime liens are different from other types of liens in that they are preferred liens. This means that, in the event of a ship being sold or unable to pay its debts, a maritime lien will be paid before any others. A maritime lien will also follow a vessel wherever it goes and is considered a “floating lien.” In the District of Columbia, maritime liens are governed by the Federal Maritime Lien Act of 1920. According to this act, a maritime lien may be imposed for a variety of reasons, such as unpaid wages, repairs, services, and supplies provided to a vessel. Maritime liens are a powerful tool for creditors and suppliers to recover what is owed to them in the event that a vessel is unable or unwilling to pay. They also provide creditors with the assurance that their claims will be paid before any other debt. This makes maritime liens an important part of maritime law in the District of Columbia.

Related FAQs

What is the scope of the International Convention on Standards of Training, Certification, and Watchkeeping for Seafarers?
What are the main provisions of the UNCITRAL Model Law on International Commercial Arbitration?
What is maritime law?
What is the scope of the Protocol of 2003 to the International Convention on the Establishment of an International Fund for Compensation for Oil Pollution Damage?
What is the scope of the International Convention on Load Lines?
What is the scope of the Inter-American Convention on Liability for Maritime Claims?
What international conventions are related to persons with disabilities?
What is the difference between maritime law and admiralty law?
What is the scope of the Carriage of Goods by Road Act of 1982?
What is the scope of the Hamburg Rules?

What is a maritime lien?

Related FAQs

Related Blog Posts