Title 46, ShippingRelease 119-110

§57514 Qualifications of Bidders

Title 46 › Subtitle V — Merchant Marine › Part F — Government-Owned Merchant Vessels › CHAPTER 575 — CONSTRUCTION, CHARTER, AND SALE OF VESSELS › SUBCHAPTER II — CHARTERS › § 57514

Last updated Sep 22, 2026|Official source

Summary

When deciding who gets a ship charter, the Secretary of Transportation must look at the bidder’s money, credit standing, and real experience running vessels. The Secretary must also consider other things a careful businessperson would check before making a large investment. The Secretary cannot award a charter to anyone who appears to lack enough capital, good credit, and the experience needed to operate the vessel successfully for the whole charter period.

Full Legal Text

Title 46, §57514

Shipping, Source: USLM XML via OLRC

(a)Considerations.—

In deciding whether to award a charter to a bidder, the Secretary of Transportation shall consider—

(1)the bidder’s financial resources, credit standing, and practical experience in operating vessels; and

(2)other factors a prudent business person would consider in entering into a transaction involving a large capital investment.

(b)Disqualifications.—

The Secretary may not charter a vessel to a person appearing to lack sufficient capital, credit, and experience to operate the vessel successfully over the period covered by the charter.

Legislative History

Notes & Related Subsidiaries

Historical and Revision Notes

Revised SectionSource (U.S. Code)Source (Statutes at Large) 5751446 App.:1203.June 29, 1936, ch. 858, title VII, § 713, 49 Stat. 2010; Pub. L. 97–31, § 12(115), Aug. 6, 1981, 95 Stat. 164.

Reference

Citations & Metadata

Citation

46 U.S.C. § 57514

Title 46, Shipping

Last Updated

Sep 22, 2026

Release point: 119-110