46 U.S.C. § 56302: Charter terms

Summary

When the government takes a vessel for its use but not ownership, the Secretary of Transportation must offer the person who has the right to the vessel a charter right away or as soon as possible. The charter must list the rules the Secretary thinks should apply and the hire rate the Secretary thinks is fair for using the vessel and any services. If the person rejects the charter or rate, the law sets a different process to resolve it.

Title 46, §56302

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(a)In General.—

If a vessel is requisitioned for use but not ownership under this chapter, the Secretary of Transportation, at the time of requisition or as soon thereafter as the situation allows, shall offer the person entitled to possession of the vessel a charter containing—

(1)the terms the Secretary believes should govern the relationship between the United States Government and the person; and

(2)the rate of hire the Secretary considers just compensation for the use of the vessel and the services required under the charter.

(b)Refusal To Accept.—

If the person does not accept the charter and rate of hire, the parties shall proceed as provided in section 56304 of this title.

Notes & Related Subsidiaries

Historical and Revision Notes

Revised SectionSource (U.S. Code)Source (Statutes at Large) 5630246 App.:1242(c) (1st sentence).June 29, 1936, ch. 858, title IX, § 902(c) (1st sentence); as added Aug. 7, 1939, ch. 555, § 3, 53 Stat. 1255; Pub. L. 97–31, § 12(131), Aug. 6, 1981, 95 Stat. 165. In subsection (a), the words “requisitioned for use but not ownership under this chapter” are substituted for “taken and used under authority of this section, but the ownership thereof is not required by the United States” to eliminate unnecessary words. The word “requisition” is substituted for “taking”, and the word “vessel” is substituted for “such property”, for consistency. Subsection (b) is added because the provisions about disputed compensation, for both charter use and other takings, are consolidated in section 56304 of the revised title to avoid repetition.

§56302 Charter Terms

Summary

Title 46, §56302

Notes & Related Subsidiaries

Historical and Revision Notes

Citations & Metadata