1 Yacht-Building Contracts 1
Introduction 1
The nature of a contract for the construction of a yacht 2
Common terms and conditions of sale 11
2 Yacht Registration 19
Historical introduction 19
The modern law 24
Registration under Part Ⅰ of the Register 25
Registration as a small ship on Part Ⅲ of the Register 33
The entitlement to fly the British flag 35
Commercial use of yachts and choice of registry 36
3 Value Added Tax and Yachts 39
Introduction 39
VAT and the European Union 40
Commercial yachts and VAT 44
Zero rating 52
Special purpose vehicles and ownership structures 62
Importing superyachts into the EU 68
Place of supply 73
Other relevant transactions 78
Other taxes 80
4 Yacht Finance 83
Finance leases and their structure 83
Mortgages 87
Default and enforcement 99
5 Insurance Legislation and Contracts 105
Non-disclosure and misrepresentation 106
The insurance schedule 111
The Institute Yacht Clauses 115
Third-party liabilities and P＆I cover 128
6 Employment and Manning 129
Introduction 129
Crew agreements 131
Employment law and UK employment tribunal jurisdiction 133
Manning of yachts 137
Certification and training 139
Maritime Labour Convention 2006 142
7 Yacht-Brokers 151
Yacht-broker associations and central agency agreements 151
The role of brokers 153
The authority of the broker 156
The basic duties of the broker 159
The fiduciary duties of the broker 160
The broker as stakeholder 164
The remuneration of the broker 165
8 Yacht Chartering and the MYBA Form 171
Introduction 171
The MYBA Charter 172
9 Mooring 215
Introduction 215
Marinas 218
Rights and liabilities 224
10 Sale and Purchase under the MYBA Form 229
Introduction 229
Seller's rights and obligations 230
Buyer's rights and obligations 238
Final provisions 248
11 LY2: Safety and Compliance for Superyachts 253
The LY2 253
The SOLAS Convention 255
The ISM Code 256
The ISPS Code 259
The STCW95 260
Compliance and classification societies 261
12 Accidents at Sea 265
Introduction 265
Collisions 266
Salvage 272
Limitation of liability 280
Passenger claims 289
Bunker oil pollution 298
Wreck removal 301
13 The Recycling of Yachts 307
The international and European legal framework 308
Ships, yachts and the Basel system 309
The Basel Convention and yachts 310
Yachts and the Ship Recycling Convention 313
Contracts for the recycling of yachts 324
Appendices 331
Ⅰ Merchant Shipping Act 1995, extracts 331
Ⅱ Merchant Shipping (Registration of Ships) Regulations 1993, extracts 341
Ⅲ VAT 375
(a) Value Added Tax Act 1994, Schedule 8 (Group 8—Transport), extracts 375
(b) Directive 2006/112/EC, extracts 377
(c) List of Member States of the European Union as at 31 March 2012 380
(d) The European Union Directives relevant to the operation of VAT 382
(e) Summary of the Italian flat rate reduction of the taxable basis under Administrative Ruling No.49/2002 as confirmed by Administrative Ruling No.43/2011 384
Ⅳ Large Commercial Yacht Code (LY2), extracts 385
(a) Manning Scale for Motor Yachts (Paragraph 26.2.8 ) 385
(b) Manning Scale for Sailing Yachts (Paragraph 26.2.9) 386
(c) List of Certificates to be issued to UK ships, applicable UK Regulations and extent of Delegation (Annex 5, Table 1) 387
Ⅴ Specimen Loan Facility Agreement for motor or sailing yachts 391
Ⅵ The MYBA Memorandum of Agreement and draft Addendum One 419
Ⅶ The MYBA Charter Agreement 431
Ⅷ The Institute Yacht Clauses 439
Ⅸ International (Ready for Recycling) Certificate and Yacht Green Passport 449
(a) International (Ready for Recycling) Certificate 449
(b) Yacht Green Passport 452
Ⅹ The List of Special Ensign yacht clubs 467
Index 471